Insurance EuropeInsurance Europe
Event
Webcast EFRAG IFRS 17 simplified case study

Monday 23 April 2018 | 16h00 – 18h00 | Webcast

Insurance Europe will organize an information webcast on 23 April between 16:00 and 18:00 CEST aimed at European Insurance companies who must apply IFRS 17 as of 2021.  This will be an opportunity for companies and associations to hear from industry experts about their implementation projects, their key issues and concerns and about the endorsement process, and the simplified testing case study from the European Financial Reporting Advisory Group. (EFRAG).

Background

IFRS 17 represents a fundamental change in how insurance liabilities will be measured for the balance sheet and P&L.  It is intended to bring improvements to the transparency and consistency of insurers’ financial reporting. Implementation will involve considerable costs and effort and combined with IFRS 9 will have a major impact on the financial results of insurers.  As with all new IFRS standards, IFRS 17 will have to be endorsed by the European Parliament and Council before it can be applied in Europe. The European Commission has asked EFRAG to provide advice on endorsement before the end of 2018.

The insurance industry raised a range of concerns during the development of IFRS 17 and not all of these were addressed in the final text published in May 2017. One of the concerns was that the standard had never been tested and this is why testing is a key part of EFRAG’s process to develop its advice.  Extensive case studies are being undertaken by 10 large insurers but EFRAG has also published a simplified and more flexible case study to allow as many companies as possible to provide input into the endorsement process.  The deadline for providing answers to EFRAG for the simplified case study is 31 May 2018.

Insurance Europe is encouraging insurance companies affected by the standard in all European jurisdictions to participate in EFRAG’s simplified case study.  This will help ensure EFRAG is aware of any very important technical and operational issues with IFRS 17.

The Webcast

The webcast is intended to help increase general awareness and understanding of IFRS and to provide information that can be of help to companies in their planning and implementation of IFRS 17. It should also be of help for those who wish to respond to the simplified case study.  It will be organised in three parts:

  1. Presented by Insurance Europe, this will provide an overview of IFRS 17, the scope of application in Europe, key industry concerns and the endorsement process and EFRAG’s simplified case study testing
  2. Presented by CFO Forum members, this will provide an overview of their implementation plans and also cover a selection of key technical and practical issues 
  3. The third part will give participants the opportunity to engage in a Q&A session with the presenters

 

 

Published 23 April 2018
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Contacts
Philippe Angelis
Philippe Angelis
Policy advisor, financial reporting