By InsuranceAsia News Staff, InsuranceAsia News | October 18, 2018
Nine national and regional insurance bodies have called for a two-year delay from the original date of 1 January 2021 before the imposition of costly accounting rules, known as IFRS 17.
The insurance bodies from Australia, Canada, Europe, New Zealand, South Africa and South Korea have also called on the International Accounting Standards Board (IASB) to amend the accounting rules, which are aimed at further opening the books of accounts of insurers.
IASB rules are used in over 100 countries (but not the US) and the IFRS 17 seeks to make it easier for investors to compare how much insurers earn from policies, for example by stopping insurers count deposit components from premiums as revenue.
In a letter to the IASB the insurance bodies said there are several important issues that need to be resolved to make the new rules practical.
The IASB board will discuss reports about a potential delay and amendments next week, but no decision is expected at that time.