Probability (P) - All English

Probability (P) – All English

₹22,100.00

P – Probability – Regular Course
Faculty: Praveen Patwari & Gaurav Patwary
Course Duration: 90+ hours

Category:

SOA Exam P – Probability

Build Strong Foundations in Probability, Statistical Distributions and Actuarial Risk Assessment

Exam P – Probability is one of the preliminary actuarial examinations conducted by the Society of Actuaries (SOA), USA, and forms part of the pathway towards the Associate of the Society of Actuaries (ASA) designation.

The examination focuses on applying fundamental probability concepts to assess uncertainty, analyse risks and solve mathematical problems relevant to actuarial science.

Exam P covers probability theory, random variables, probability distributions, expected values, multivariate distributions and insurance risk applications, developing essential quantitative and analytical skills for actuarial studies.

Course Structure & Syllabus

Exam P combines mathematical probability concepts with practical applications in insurance and risk management.

Key Topics Covered:

  1. Fundamentals of Probability:
    Sample spaces, events, probability laws, conditional probability, independence, counting techniques and Bayes’ Theorem.
  2. Discrete Random Variables:
    Binomial, Poisson, geometric, negative binomial, hypergeometric and discrete uniform distributions.
  3. Continuous Random Variables:
    Normal, exponential, gamma, beta, lognormal and continuous uniform distributions, including probability density and cumulative distribution functions.
  4. Expected Values & Statistical Measures:
    Expected value, variance, standard deviation, moments, percentiles and transformations of random variables.
  5. Joint & Multivariate Distributions:
    Joint, marginal and conditional distributions, covariance, correlation, conditional expectations and independence of random variables.
  6. Transformations & Probability Approximations:
    Order statistics, linear combinations of random variables, convolution techniques and the Central Limit Theorem.
  7. Insurance & Risk Applications:
    Loss random variables, policy deductibles, coinsurance, benefit limits, claim payments and expected insurance losses.

The Exam P syllabus focuses on probability modelling, statistical reasoning, mathematical calculations and quantitative risk assessment.

Syllabus Topics & Weightages

The SOA syllabus is organised into three principal areas:

Topic Approximate Weightage
General Probability 23–30%
Univariate Random Variables 44–50%
Multivariate Random Variables 23–30%

Topic weightages are indicative ranges rather than fixed percentages. Actual question distribution may vary between examination sittings.

Examination Structure

Exam P is a computer-based multiple-choice examination assessing probability concepts and their actuarial applications.

Particulars Details
Examination SOA Exam P – Probability
Conducting Body Society of Actuaries (SOA)
Examination Format Multiple-Choice Questions
Total Questions 30
Examination Duration 3 Hours
Examination Mode Computer-Based Testing (CBT)
Examination Centre Authorised Prometric Test Centres
Negative Marking No
Exam Months January, March, May, July, September and November

Important Examination Guidelines

  • Multiple-Choice Examination:
    Candidates must solve 30 probability-based questions within three hours.
  • Numerical Applications:
    Questions assess probability calculations, statistical distributions and insurance-related risks.
  • Calculators:
    Only calculators approved under SOA examination rules are permitted.
  • Reference Material:
    Any examination-specific reference tables are supplied through the authorised examination interface.
  • Examination Booking:
    Candidates must register through the SOA and schedule their examination appointment in accordance with the prescribed procedures.
  • Examination Conduct:
    Candidates must comply with SOA and Prometric identification, security and examination regulations.

Eligibility Criteria

Exam P is an introductory actuarial examination suitable for students beginning their SOA actuarial qualification journey.

  • No prior actuarial examination pass is required before attempting Exam P.
  • Students from Mathematics, Statistics, Commerce, Economics, Engineering and other academic backgrounds may prepare for the examination.
  • A strong understanding of calculus, probability and mathematical reasoning is recommended.
  • Familiarity with basic insurance and risk management concepts is beneficial.
  • Candidates must meet SOA’s applicable registration, identification and examination entry requirements.

Learning Objectives

Studying Exam P develops the ability to:

  • Understand and apply fundamental probability principles.
  • Analyse discrete and continuous random variables.
  • Calculate expected values, variances and probabilities.
  • Apply conditional probability and Bayes’ Theorem.
  • Work with joint and multivariate probability distributions.
  • Evaluate covariance, correlation and statistical dependence.
  • Apply probability concepts to insurance losses and claim payments.
  • Develop mathematical reasoning and quantitative risk assessment skills.

Practical Applications of Exam P

The knowledge gained in Exam P is applicable across several actuarial and financial disciplines:

  1. Life Insurance:
    Understanding mortality-related uncertainty, insurance claims and risk probabilities.
  2. General Insurance:
    Modelling claim frequency, claim amounts and insurance risk characteristics.
  3. Health Insurance:
    Analysing healthcare claims, morbidity-related uncertainty and benefit payments.
  4. Banking & Financial Risk Management:
    Evaluating uncertain financial outcomes and quantitative risk exposures.
  5. Data Science & Analytics:
    Applying probability distributions, statistical reasoning and predictive modelling techniques.

Exam P establishes fundamental probability knowledge that supports more advanced actuarial studies, including Fundamentals of Actuarial Mathematics (FAM) and Statistics for Risk Modeling (SRM).

Technical Requirements – AEI Learning Application

To access online classes, recorded lectures and digital study resources, students must ensure their devices meet the following minimum technical requirements of the Actuators Educational Institute (AEI) Learning Application.

Device / Platform Minimum Requirement
Android Android 9.0 or above
Windows PC / Laptop Windows 10 or above
iPhone / iPad (iOS) iOS 12.0 or above
MacBook / iMac (macOS) Apple M1 chip or above with macOS 14 or later
WHAT YOU WILL GET

Course Deliverables

gold medal
Recorded Lectures
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Live Discussion & Practice Sessions
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Softcopy of AEI Own Study Materials
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Access to Student Dashboard
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Technical Support
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Chapter Wise MCQ Bank
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Course Extension (2 More Terms)
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Interactive Q & A Forum

Ishika MakkarCleared
Anvi MittalCleared
Neel MundhraCleared
Harshvardhan VijayCleared

FACULTY

Meet The Instructor


Praveen Patwari is a Chartered Accountant (CA), Financial Risk Manager (FRM) and Associate of the Institute of Actuaries of India (AIAI), with additional professional credentials including CIRA, CCRA, CIDT, CIIB and NISM Series VIII (Equity Derivatives). With over 15 years of experience in finance, actuarial education, mentoring and professional training, he has built a strong reputation for simplifying complex concepts and guiding students across multiple professional pathways.

As the Founder and Lead Mentor at Actuators Educational Institute (AEI), Praveen has taught and mentored 50,000+ students across Actuarial Science, FRM, CFA, finance and related professional programmes. He has mentored numerous rankers and top-performing students and is a regular speaker at leading institutions including SRCC, Miranda House, Hansraj College, Lady Shri Ram College, St. Xavier’s College, NMIMS, Ramjas College, NM College and HR College of Commerce.

Gaurav Kumar Patwary is a risk management professional with nearly four years of experience in Model Risk Management, working with quantitative finance-based models used within the Asset Management division of a multinational bank. He holds a Bachelor’s degree in Economics from St. Xavier’s College, Kolkata and a Master’s degree in Economics from the Delhi School of Economics, and has cleared 9 out of 13 actuarial papers from the IAI.

With a strong foundation in statistics, economics and finance, Gaurav also brings hands-on experience in Python, using it to test and challenge different aspects of financial models. At Actuators Educational Institute, his teaching approach focuses on conceptual clarity, analytical thinking and practical application, helping students connect theoretical concepts with real-world quantitative and risk-management perspectives.

PLAYLIST

Demo Class Videos


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