Insurance market update – November 2011
The Deloitte view for non-life insurers
Insurers are currently permitted to use a variety of different approaches to measure the value of their insurance contracts, making it difficult to compare the financial position and financial performance of insurers within a country or in different countries. The International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) continue to work together on their insurance project, IFRS 4 Phase II, which aims to provide a consistent financial reporting model across the industry.
In this edition we look at the differences in the proposed Phase II financial statement presentation by offering an example of an income statement, illustrating the specific impact on general insurance contracts. As the IASB and FASB continue to work together to harmonise insurance accounting, we also highlight some of the key challenges facing the industry as the finalisation of Phase II draws nearer.
Insurance Market Update (PDF)