FASB published the tentative decisions taken at its Board meeting in June 2020. Among other issues, FASB discussed agenda requests regarding the effective date of Accounting Standards Update No. 2018-12 on the targeted improvements to accounting for long-duration insurance contracts (Topic 944). FASB voted to issue a proposed Accounting Standard Update that would grant insurance companies that issue long-duration contracts an additional year to implement the Accounting Standards Update No. 2018-12. Stakeholders will have 45 days to review and provide comment on the proposed Accounting Standard Update, which FASB expects to issue in the coming weeks. FASB directed the staff to draft a proposed Update for vote by written ballot.
At the June meeting, FASB also decided against adding a project to the technical agenda to introduce an alternative effective date of the amendments in Update 2018-12 for certain reinsurance arrangements. Additional decisions were to
- Add a project to the technical agenda to amend the effective date of the amendments in Update 2018-12
- Propose a one-year deferral of the effective date of the amendments in Update 2018-12 for all insurance entities
- Propose a change to the early application provisions of Update 2018-12, whereby the early application transition date would be the beginning of the prior period
Keywords: Americas, US, Insurance, Accounting, Tentative Decisions, Insurance Contracts, Topic 944, IFRS 17, Implementation Timeline
US Agencies (FDIC, FED, and OCC) finalized two rules, which are either identical or substantially similar to the interim final rules in effect and issued earlier this year.
EIOPA is consulting on a supervisory statement on the use of risk mitigation techniques by insurance and reinsurance undertakings.
APRA announced that it is resuming consultation on the confidentiality of data submitted to APRA by the authorized deposit-taking institutions.
BoE and FCA are supporting and encouraging liquidity providers in the sterling swaps market to adopt new quoting conventions for inter-dealer trading based on SONIA, instead of LIBOR, from October 27, 2020.
Deutsche Bundesbank published special schema files for securities holdings statistics (SHS), along with a document on the XML format description.
EC adopted a decision determining, for a limited period of time, that the regulatory framework applicable to central counterparties, or CCPs, in the UK and Northern Ireland is equivalent to the requirements laid down in the European Market Infrastructure Regulation (EMIR or Regulation 648/2012).
ESMA announced that it will recognize three central counterparties (CCPs) established in the UK as third-country CCPs, from January 01, 2021.
PRA published Version 02.04 of the PRA110 liquidity metric monitoring tool (PRA110 LMM tool).
FSB confirmed the Regulatory Oversight Committee (ROC) of the Global Legal Entity Identifier System (GLEIS) as the International Governance Body for the globally harmonized identifiers used to track over-the-counter (OTC) derivatives transactions, with effect from October 01, 2020.
FCA is consulting on its approach to the authorization and supervision of international firms operating in UK.