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Actuarial Valuation is an Actuarial (statistical and mathematical) exercise involving probability of death, attrition etc and financial assumption like salary growth, discount rate etc. to determine present value of future liabilities like Gratuity, Earned Leave, Sick Leave, Long Term Service Award, Interest Rate Guarantee on exempt provident fund, LTC etc.
It is required for defined benefit scheme of the company as per AS15 (Rev 2005) and Ind AS19.

Actuarial Assumptions:. Since the future is unknown, actuarial valuations are based on assumptions. For an actuarial valuation to be reliable, the assumptions used should reflect the best information available, which should be supported by rigorous discussion and deep analysis.

Actuarial valuations in India are mostly done for accounting purposes - under AS 15 (revised, 2005), lAS 19 or US GAAP (FAS 87/88/158), as they are mandatory requirements issued by the relevant accounting body. However, actuarial valuations are also done for determining contribution rate for funds and during mergers and acquisitions.

Types of schemes covered under AS 15 (revised. 2005)
Within Indian accounting framework, AS 15 (revised, 2005) deals with the accounting of employee benefits. AS 15 requires that actuarial valuation should be done in respect of following employee benefits:
1. Gratuity
2. Leave benefits (for both encashable and non-encashable leaves)
3. Pension schemes (including both defined benefit and defined contribution schemes which guarantee a minimum investment return)
4. Exempt Provident Fund (those PFs managed in-house and not by EPFO)
5. Long-term service awards (e.g. awards given on completion of certain number of years of service or at retirement)
6. Bonus and profit-sharing arrangements
7. Leaves for leisure and travel purposes
8. Sick Leave

Actuarial valuation a micro explanation to non-actuarial person.
Let us assume that a company generates some profits at the end of a year of its operations. Now any non actuarial or even non accounting professional will say depreciation needs to be provided; if it is already not provided. Similar is the case for employees liabilities e.g. gratuity, leave encashment etc.
Depreciation can be calculated by the technical expert who knows about that particular machinery. Similarly employees liability accrued during a year will be calculated by an Actuary by performing Actuarial valuation.
Let us consider ‘Gratuity’ first. The similar considerations are applicable broadly for leave encashment liabilities. As gratuity liability accumulates due to service rendered by the employees during the year. This liability also increases on account of following reasons listed below:
Increase in salary and increase in past service.
Time period of retirement gets reduces by 1 year
There are other factors also, but not explained here.
An Actuary through actuarial valuation tries to estimate actuarial present value of accrued gratuity normally payable on retirement by using appropriate discount rate, salary growth rate etc.
Gratuity is payable on exit after 5 years of service, actuarial valuation takes care of this contingency also with the help of attrition rates.
Finally gratuity is payable on death also irrespective of length of past service. Actuary during actuarial valuation applies appropriate mortality rates to provide for financial effect of likelihood of earlier payment on death of an employee.
It should be appreciated that actuarial liability which will be arrived through actuarial valuation will increase on decreasing discount rate and increasing salary growth rate and vice versa.

The actuary calculates the following as per provisions of AS 15 and IndAS19 for each applicable employee benefit scheme, which then need to be disclosed in company's annual accounts:
1. A liability in respect of the benefits in company's balance sheet
2. An expense in respect of the benefits in company's P&L account

Suppose age of an employee (Mr X) today is: 55 Years
Salary growth rate: 5%
Discount Rate (yield on long term government security) :8%
Retirement Age :60 Years
Past Service of X :5 Years
Salary per month of X :26,000/- (INR)
Accrued Gratuity :15/26 X 26,000 X 5 = Rs 75,000
Actuary will actuarially discounts this amount of Rs 75000/- for a further period of 5 years taking into account probability of death, attrition, discount rate and salary growth rate etc.
This may come near about Rs 65,000/- for Discount Rate 8% and Salary Growth Rate 5%

In this case, the employee's right to receive the benefit is conditional on future employment for a period of five years. Although there is a possibility that the benefit may not vest, there is also a probability that the employee would serve for the minimum period of five years and become eligible for gratuity. An obligation exists even if a benefit is not vested. The obligation arises when the employee renders the service though the benefit is not vested. The measurement of this obligation at its present value takes into account the probability that the benefit may not vest and this is appropriately factored in the calculation of the present value of the defined benefit obligation. An enterprise should, therefore, create a provision in respect of gratuity payable during the first five years of service of an employee. (Extract from ASB guideline)

Yes, Actuarial Valuation under AS15 (2005)&Ind AS19 is required.
Excerpt of foot note from LIC of India certificate which exists in every certificate issued by LIC of India itself claims the same. This excerpt is reproduced here in below for ready reference:
“Note: The above report is not certification under AS-15 revised 2005 read with Actuaries act, 2006. It is simply a report generated to help companies for proper accounting of employees liabilities.”
Also LIC certificate is not signed by a qualified actuary.