The Australian Prudential Regulation Authority (APRA) has released prudential standards designed to strengthen and clarify the appointed actuary role within insurers.

The two new standards set out requirements for an insurer to appoint an actuary and the role’s functions. They aim to ensure the insurer has access to appropriate actuarial advice, and establish a framework for the provision of that advice.

They also set out requirements for the valuation of insurance liabilities.

APRA Member Geoff Summerhayes says the requirements will increase flexibility, streamline requirements and clarify the position’s seniority within insurers.

The regulator developed the standards to address high turnover and declining seniority among actuaries, he says. The standards have been delayed until July 1 next year.