During its October meeting, IASB discussed the feedback it received from stakeholders about the new insurance contracts standard, IFRS 17. This feedback has allowed IASB and its technical staff to better understand concerns about the implementation of IFRS 17 and whether further steps, including possible standard-setting, are required.
IASB has previously stated that it will respond to implementation challenges, if required. In the October meeting, IASB considered whether to respond to the feedback received but was not asked by staff to make decisions about whether to propose any changes to the standard. At this meeting, IASB agreed on the criteria it will use in evaluating potential changes to IFRS 17, namely that any changes should not result in less useful information for investors, disrupt existing implementation processes, and risk undue delays in the effective date of a much-needed standard, which can address inadequacies in the current wide range of insurance accounting practices.
IASB will discuss further whether there is a need to propose changes to IFRS 17 in the coming months. It is too early to say whether these discussions will result in any proposals to change the standard. If any changes were to be proposed, IASB will follow its normal due process for standard-setting, which includes a public consultation.
Keywords: International, Accounting, Insurance, IFRS 17, Insurance Contracts, Implementation Supports, IASB
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