Winning the waiting game?
Insurers’ preparations for the new IFRS accounting rules
The Global IFRS Insurance Survey – Winning the waiting game? is an international and independent analysis of insurers’ attitudes towards, and preparations for the new IFRS accounting rules.
While the International Accounting Standards Board (IASB) and Financial Accounting Standards Board (FASB) continue their deliberations on achieving a single global accounting framework, Deloitte commissioned the Economist Intelligence Unit to survey over 200 insurers operating across the globe to understand their views on the impact of the proposed changes on their business and what they are doing to prepare.
The findings make for compelling reading and highlight how, as the standard setters edge towards a global reporting framework, the continued uncertainty in the timetable is leaving insurers playing a high-risk ‘waiting game’.
Key findings from the research:
- Insurers’ main concern is the uncertainty as to when they will have to adopt the proposed accounting changes in IFRS 9 and IFRS 4 Phase II.
- Insurance companies worry that political considerations could interfere with the standard-setting process.
- Insurance companies want to be able to use one set of global accounting standards.
- Preparations for the new standards are low at many companies.
- Many boards of insurance companies are not being kept up to date with the progress that standard-setters have made and when implementation might begin.
- A big fear among insurance executives is that the transition to new accounting rules will confuse investors.
- Companies are finding it hard to work out whether the benefits will justify the costs.
Download the full report to learn more.
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