How is "actuarial science" defined?

Actuarial science is defined as a field that combines mathematics, statistics, and financial theory to analyze and study uncertain future events, primarily within the context of insurance and finance. This discipline is fundamental in assessing risks and determining premiums for insurance policies. Actuaries use the tools of actuarial science to evaluate the likelihood of events occurring, developing models that help insurers set aside the necessary funds to cover expected claims. Their analyses enable companies to not only manage risk effectively but also to maintain financial stability over time.

In contrast, the other options do not accurately capture the essence of actuarial science. For instance, using marketing strategies pertains to the promotion and selling aspects of insurance, which is separate from the analytical focus of actuarial work. Similarly, a method for selling insurance policies does not represent the mathematical and statistical analysis that defines actuarial science. Lastly, while regulations governing insurance practices are important to the insurance industry, they do not relate to the foundational principles of risk assessment and management that actuarial science embodies.