Description: Latest development in IFRS 17 including a first look at companies disclosures and financial impacts, as well as a discussion of some of the run time issues that companies face.

Description: Update on IFRS 17 including news, how IFRS 17 is impacting companies financials, comparisons to LDTI, and KPIs.

Description: The implementation of the IFRS 17 insurance accounting standard has brought significant changes to the financial reporting landscape of insurance companies. With new disclosure requirements and altered profit analysis, understanding and interpreting future profitability have become a topic of concern for the industry. While stability remains a key objective for insurance companies, the earning patterns might become more volatile especially when the contractual service margin (CSM) is exhausted, and a loss component (LC) needs to be established. Reinsurance, a common risk mitigation tool, can play a pivotal role in managing earnings volatility and minimizing losses for onerous measurement units. In this article, we propose a new key performance indicator (KPI) called “loss recoverability” to assess the performance of reinsurance treaties in achieving these objectives. We explain how this KPI can be utilized in multiple scenarios to evaluate the effectiveness of reinsurance strategies and pursue stability in earning patterns.

Description: As IFRS 17 Insurance Contracts casts its net wide, reinsurers find themselves sailing toward new horizons of financial reporting. The transition to IFRS 17 is not just a regulatory compliance exercise but a transformational journey that reshapes the financial reporting landscape for reinsurers. The enhanced disclosure requirements, the granular contract-level accounting, and the measurement consistency across different reinsurance contracts promise to unveil a clearer financial picture. Yet, these new reporting waters could be choppy, demanding a sturdy understanding and application of IFRS 17's principles. This article describes benchmarking of IFRS 17 information provided at HY 2023 for four reinsurers.

Description: This article is an abstract of the Deloitte whitepaper “Financial KPIs in the New World” that will be published in January 2023. It provides a market view of how the new Financial KPIs will be integrated in the insurers’ decision-making process and about the main challenges and opportunities for insurers’ management and external stakeholders in the jurisdictions that have adopted IFRS17 and in particular countries in the EMEA region.

Description: Sustainable operations under changes in accounting principles and solvency standards

Description: IFRS 17 and US GAAP LDTI represent the biggest accounting changes for life insurers in decades and both become effective starting January 1, 2023. While many are familiar with the forthcoming changes under either IFRS 17 or LDTI, users of financial statements will need to be able to translate between the two accounting models (or at minimum, understand both models) when reviewing the financials of multi-national insurers. Learn about earnings expectations under both accounting models and compare and contrast product features performance, measurement requirements (including key policy decisions), and financial statement presentation under IFRS 17 and LDTI for traditional life insurance products. Explore illustrative examples as well as anecdotes from first-hand implementation experience to solidify the key themes and insights. By attending the session, you will:•Understand the impacted components of the financial statement for both IFRS 17 and LDTI as well as be able to translate between the two different presentations.•Describe the key methodology differences between IFRS 17 and LDTI and how those differences will impact earnings.•Describe the advantages and disadvantages of accounting for an insurance product under IFRS 17 versus LDTI.•Describe expected earnings impacts for traditional life products under both IFRS 17 and LDTI.

Description: IFRS 17 will be effective as of 1 Jan 2023 and provide opportunities as well as challenges to both Direct Writers and Reinsurers across the insurance industry. If the new framework is not fully understood, an implementation can elevate the risk of problems in financial reporting, product development, investment management and more. The transition to IFRS provides an opportunity for companies to optimize the financial position of the enterprise by implementing mitigating strategies to reduce the risks and challenges that IFRS brings to the table.

Description: December 12, 2023 - Companies spent much time and resources to prepare for the launch of IFRS-17 and US GAAP LDTI in January 2023 in many parts of the world. Once implemented, challenges have been overcome and important lessons have been learned. India is expected to adopt its version of IFRS-17 soon.

Description: Following the success of our first webcast on IFRS 17 implementation in the GCC, we are excited to announce the second installment, which will take place on September 26. This time, we will have a new panel of experts representing the actuarial, finance, and IT functions. The journey towards IFRS 17 implementation has been complex, but it has also brought these three functions closer together, creating a true team effort. The SOA has been a committed partner in this journey, providing in-depth technical support to the industry. Our IFRI Certificate program has been well-received around the world, and we have also delivered several webcasts on the topic, including a three-part series with simultaneous translation to Arabic. This webcast is the second part of our three-part series on the implementation of IFRS 17, which went into effect on January 1, 2023. The series will focus on the lessons learned, challenges, and best practices that have been experienced in the GCC. The third and final discussion will take place in person during the SOA's Regional Symposium in Riyadh on November 19-20. We hope you will join us for this important discussion.