IFRS 17 'Insurance contracts', currently expected to have an effective date of 1 January 2022, is anticipated to have a significant impact on many aspects of an insurers financial reporting and operational processes.
Its implementation is widely anticipated to be a major project that will require managing both internal and external stakeholders.
The Global Public Policy Committee (GPPC) consists of representatives from the six largest international accounting networks - BDO, Deloitte, EY, Grant Thornton, KPMG and PwC. They have published two papers with the objective of providing support to those charged with governance (including Audit Committees) in fulfilling their responsibilities when it comes to ensuring a high-quality implementation of IFRS 17.
The publication 'Implementation of IFRS 17 Insurance Contracts' consists of two papers.
Considerations for those charged with governance
This paper provides ten questions that those charged with governance might ask management in order to assess management’s progress implementing IFRS 17, and ten questions that those charged with governance might ask the external auditor in order to understand their observations and views on management’s progress.
Companion document on key judgements and accounting policy choices
This paper is designed as a companion document to the first paper and provides those charged with governance with an overview of the key areas in IFRS 17 where key judgements and accounting policy choices are made, as well as questions that those charged with governance might consider asking management with respect to those judgements and choices.