ACSG1614

Introduction to Actuarial Science

NQF level 6

16 credits

Mathematical Statistics and

Actuarial Science

Compiled by

Louwtjie Voges

2024
TABLE OF CONTENTS
1. Welcoming.................................................................................................................... 2
2. Module Objective ......................................................................................................... 3
3. Module Outcomes ........................................................................................................ 3
4. Learning Units .............................................................................................................. 5
5. Prerequisites ................................................................................................................ 6
6. Credits and Notional Learning Hours ......................................................................... 6
7. Module Calendar .......................................................................................................... 7
8. Study Material .............................................................................................................. 7
9. Assessment.................................................................................................................. 8
9.1. Assessment Breakdown....................................................................................... 8
9.2. Missed assessments ............................................................................................ 9
9.3. Calculation of the Final Mark ............................................................................... 9
9.4. Examination Admission ........................................ Error! Bookmark not defined.
9.5. Passing the Module .............................................................................................. 9
10. Transgressions .......................................................................................................... 10
11. Updating of Module Information and Resources ..................................................... 11

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 1. WELCOMING

Welcome to ACSG1614, Introduction to Actuarial Science! Below is all the contact

information that you will need to contact a relevant staff member in the Department of
Mathematical Statistics and Actuarial Science.

LECTURER 1 and Head of Department

Lecturer: Frans Koning

Office number: Westblock - W109

Email address: koningf@ufs.ac.za

LECTURER 2

Lecturer: Louwtjie Voges

Office number: Westblock - W103

Email address: vogesjl@ufs.ac.za

LECTURER 3

Lecturer: Jan Blomerus

Office number: Westblock - W4

Email address: blomerusjm@ufs.ac.za

LECTURER 4

Lecturer: Kojo Essel-Mensah

Office number: Westblock - W106

Email address: esselmensahka@ufs.ac.za

LECTURER 5

Lecturer: Sean van der Merwe

Office number: Westblock - W104

Email address: vandermerwes@ufs.ac.za

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 2. MODULE OBJECTIVE

In this section I will provide you with a short overview of what will be expected from you to be
successful in your learning of this module.

The aim of ACSG1614 is to give an overview of what an Actuary is, in what fields they
operate, key considerations and an introduction to some of the calculations that actuaries
perform.

3. MODULE OUTCOMES

After successful completion of this module, you should be able to:

(i) Describe what an Actuary is, and how to become an Actuary.

(ii) Describe and implement the Actuarial Control Cycle.
(iii) Describe the characteristics of a profession.
(iv) Explain the standards expected of members by their colleagues, their employers, their
clients, the public and the regulators.
(v) Explain the Code of Professional Conduct.
(vi) Discuss some of the issues and challenges faced currently by each main practice area
(life insurance, general insurance, finance and investments, healthcare and pensions)
and in the general economic environment.
(vii) Describe the different areas in which actuaries operate.
(viii) Describe risk and differentiate forms of risk.
(ix) Differentiate between risk factors and ratings factors as they pertain to risk
quantification.
(x) Describe different forms of risk mitigation strategies.
(xi) Describe the function of insurance in a society
(xii) Describe the desirable properties of insurance
(xiii) Identify uninsurable risk and explain the reasons therefore
(xiv) Differentiate between Medical Schemes and Health Insurance

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 (xv) Demonstrate knowledge and understanding of how the health care environment
operates.
(xvi) Describe the different forms of Life Insurance
(xvii) Demonstrate knowledge and understanding of how the life insurance industry
operates.
(xviii) Describe the different forms of General Insurance
(xix) Demonstrate knowledge and understanding of how the general insurance industry
operates.
(xx) Describe the different forms of Retirement Funds
(xxi) Identify the main advantageous and disadvantageous of saving through a retirement
scheme and perform basic calculations to demonstrate these.
(xxii) Differentiate between defined benefit and defined contribution funds
(xxiii) Describe the different annuitisation options available to a retiree.
(xxiv) Demonstrate knowledge and understanding of how the retirement fund industry
operates
(xxv) Demonstrating a basic understanding of the characteristics of the different asset
classes
(xxvi) Define and use the more important compound interest functions, including annuities
certain
(xxvii) Define and use mortality and survival probabilities
(xxviii) Demonstrate an understanding of present value, future value and expected values
(xxix) Calculate present value, future value and expected values in the presence of
uncertainty
(xxx) Price some basic life insurance products
(xxxi) Consider your ability to function in a multi-cultural environment.
(xxxii) Discuss one’s awareness of one’s own behaviour within a group.
(xxxiii) Give a brief overview of the study of ethics.
(xxxiv) Briefly describe the three prominent normative ethics theories of deontology,
utilitarianism, and value ethics
(xxxv) Demonstrate understanding of how normative theories can lead to different decisions
in applied ethics.
(xxxvi) Give a brief overview of the ethical and regulatory issues involved in working with
personal data and extremely large data sets are explained.
(xxxvii) Discuss the main issues to be addressed by a data governance policy and its
importance for an organisation are explained.
(xxxviii) Explain the risks associated with the use of data (including algorithmic decision
making).

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 4. LEARNING UNITS

In addressing the module outcomes above, the following 10 learning units (chapters) are
assessed in this module.

Chapter Title Lecturer

1 Risk Jan

2 Insurance Jan

3 Retirement Benefits Louwtjie

4 Healthcare Louwtjie

5 Financial Mathematics Kojo

6 Mortality Calculations Kojo

7 Expected Value and EPV Kojo

8 Valuing Life Products Kojo

9 The Actuarial Control Cycle Frans

10 Ethics Sean

It should be noted that each chapter/section is covered by a different lecturer. Please

address any queries to the appropriate lecturer.

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 5. PREREQUISITES

National Senior Certificate (NCS) or equivalent

Mathematics on performance level 5 (60%) OR MATD1564 OR MATD1534 OR MATM1584

6. CREDITS AND NOTIONAL LEARNING HOURS

‘Notional learning hours’ indicate the amount of learning time taken by the ‘average’ student
to achieve the specified learning outcomes of the course unit or programme. This includes
all learning relevant to achieving the learning outcomes, e.g., directed study, essential
practical work, group work, private study, preparation and assessment.

This module has 16 credits, requiring 160 notional learning hours from students.

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 7. MODULE CALENDAR

Due to the ever changing environment in which we are operating, no clear schedule can be
produced currently. Expectations of you will be communicated on a regular basis.

Please attend all class and keep an eye out for any blackboard announcements.

8. STUDY MATERIAL

• There is no prescribed textbook for this course.

• Notes will be made available on Blackboard, at the start of each chapter.
• Additional notes, study material, and assignments will be used as part of teaching and
learning in this module. These materials and activities will be made available on
Blackboard throughout the semester.
• It is each student’s responsibility to ensure that he/she obtains and prepares all study
material in time.
• All material as made available on Blackboard will form part of assessable material,
unless clearly indicated otherwise.

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 9. ASSESSMENT

9.1. ASSESSMENT BREAKDOWN

Your module mark (predicate) will be calculated as follows:

ASSESSMENT CONTRIBUTION TO MODULE MARK

Assessment(s) Chapter 1 10%
Assessment(s) Chapter 2 10%
Assessment(s) Chapter 3 10%
Assessment(s) Chapter 4 10%
Assessment(s) Chapter 5 10%
Assessment(s) Chapter 6 10%
Assessment(s) Chapter 7 10%
Assessment(s) Chapter 8 10%
Assessment(s) Chapter 9 10%
Assessment(s) Chapter 10 10%

There will be at least one assessment per chapter.

You will be required to complete all the assessments.

An assessment can take any form, for example, a class test, assignment, blackboard quiz or
any other reasonable form that the lecturer determines.

Late submissions of any assessment will not be marked and a student will be given 0.

More detailed assignment information will be made available on Blackboard throughout the
year. It is each student’s responsibility to ensure that he/she takes note of all the information
and aligns themselves with the expectations.

Assessments need not be announced in advance, and can be administered in class at any
time, with or without announcement.

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9.2. MISSED ASSESSMENTS
All assessments will count towards a student’s final grade. If the student was unable to
complete a particular assessment due to illness, the student will need to submit a valid
medical certificate to the appropriate lecturer within 48 hours after the assessment was due.
At the end of the Semester, there will be an opportunity to re-do up to 3 missed
assessments, for which appropriate arrangements were made.

9.3. CALCULATION OF THE FINAL MARK

This module is a continuous assessment module. And as such, there is no examination and
the mark breakdown as shown in section 9.1. will be used as a students final mark for this
module.

9.4. PASSING THE MODULE

A student should obtain a final mark of 50% or more in order to pass this module.

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 10. TRANSGRESSIONS

Using prohibited material in assessments, copying another student’s work, or allowing

someone to copy your work on any assessment in any way, will lead to a mark of 0 for the
entire assessment and might result in further disciplinary action or even an incomplete or fail
for this module.

Offenders might be placed on a list of No Confidence. These candidates will not receive the
endorsement of this department when attempting to register as a member of ASSA, i.e. we
will not sign the recommendation forms needed to register.

Please do your own work at all times.

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 11. UPDATING OF MODULE INFORMATION AND RESOURCES

The module schedule, syllabus (study material) and this module guide, either orally or in
writing, can be updated or modified at any time by the lecturer or the Department of
Mathematical Statistics and Actuarial Science. It is the responsibility of students enrolled in
this module to stay up to date with the schedule and syllabus. An announcement of this type
can be given in face-to-face class sessions or communicated on Blackboard. It is
recommended that students check Blackboard regularly to keep up to date with the latest
developments in ACSG1614.

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