With the IASB announcing a proposed one-year delay to the implementation date of IFRS 17 (and IFRS 9), and also proposing to make some limited changes to its requirements, insurers are asking what this means for their implementation efforts and how best to respond.
We recommend an approach to help the management and/or the IFRS 17 Program Steering Committee make clear decisions on the way forward through a period of uncertainty.
It is important to understand the impact of the delay on the program and the flexibility that any potential changes to the standard may offer. Then insurers should evaluate the alternative to be considered at both work stream and program level.
Evaluating the impacts
We recommend a three step approach to evaluating the impacts of the IFRS 17 delay;
Assessing the options
Once the assessment of the impacts has been carried out, insurers should consider the broad options at both a program and work stream level.
There are three potential options, the pros and cons of which we explore below. The options are:
Read our latest publication below, which sets out EY’s recommended approach to making clear decisions on the way forward, through this period of uncertainty. We see three potential options for insurance companies.
If you would like to discuss further, please don’t hesitate to contact us.