Promoting quality in the actuarial assessment of quantum of damages in South Africa

Abstract

This paper applies a quality framework theory to a field of actuarial practice. The paper is relevant to the professionalism of actuaries in general, and to those who assess the quantum of damages in particular. Quality framework theories propose that practitioners need to apply a range of technical and normative capabilities to provide a quality professional service. This paper suggests the various capabilities that are needed by actuaries in the field of assessment of the quantum of damages, and orders them by applying a quality framework. A methodology for practitioners to benchmark the quality of their practice is outlined. In South Africa, there is no formal curriculum, canon, or specific guidance for actuaries practising in this field. The paper therefore also contributes to the professionalisation of the field by reviewing and recording relevant literature, and provisionally filling gaps in it from personal experience of the author as practitioner in this field. The paper concludes by suggesting that this approach could also help professionalise other fields of actuarial practice.

Keywords: Professionalism; professionalisation; professional practice; actuarial quality framework; assessment of quantum of damages; loss of support; loss of earnings