India needs more qualified actuaries amid RBC, IFRS transition: Irdai Chair

Irdai Chairman Ajay Seth flags acute actuarial talent shortage, says capacity building critical as India adopts risk-based capital norms and aligns with IFRS standards

India needs a significantly larger pool of qualified actuaries to strengthen financial protection, particularly as the country prepares to adopt risk-based capital (RBC) norms and converge with international financial reporting standards (IFRS), Insurance Regulatory and Development Authority of India (Irdai) Chairman Ajay Seth said on Tuesday.

 

Addressing the 25th Global Conference of Actuaries, Seth highlighted the acute shortage of actuarial professionals in the country. India has fewer than one fellow actuary per million people, compared with more than 40 per million in the United States and over 250 per million in the United Kingdom.

 

The total membership of the Institute of Actuaries of India (IAI) has declined to nearly 9,700 in 2025 from around 12,000 in 2011, underscoring the widening talent gap.

 

Seth said actuaries play a critical role in both life and general insurance.

 

In life insurance, he flagged concerns over real returns on savings-oriented products after adjusting for inflation. He also pointed to rising healthcare costs and the challenges of maintaining health insurance affordability and sustainability.

 

In general insurance, insurers face increasing exposure to climate risks, natural disasters and cyber threats.

 

“Addressing these challenges demands careful product design, robust pricing, prudent reserving, and long-term strategic planning — areas where actuarial expertise is decisive. Capacity building is therefore critical, particularly as India faces a continuous shortage of qualified actuaries,” he said.

 

Seth noted that the enactment of the Sabka Bima Sabki Raksha Act has strengthened the insurance ecosystem and formalised the role of actuaries within it. He added that actuarial science is integral not only to life and general insurance but also to banking, investment management and advanced analytics.

 

Looking ahead, he urged the actuarial community to focus on three priorities: capacity building and talent development, innovation with responsibility, and reinforcing public trust by placing policyholder interests at the centre of every decision.