All insurance companies reporting under IFRS (International Financial Reporting Standard) will be impacted by the new reporting standard when it becomes effective in January 2022. IFRS 17 will result in significant changes to the way that financial information is presented, and adoption will require significant planning.
IFRS 17 presents opportunities to harness data more effectively, to improve the structure of your finance function and to better inform your decision making. Ultimately IFRS 17 is about what story you want to tell about your company… and if you really grab the opportunities that implementing the standard presents, imagine the sort of business you could be running in 2021.
The extra year the IASB is oﬀering for implementing IFRS 9 and IFRS 17 provides an opportunity to rethink the current roadmap and consider more eﬀective ways to implement them. But the deferral could also whet appetites for signiﬁcantly extending the scope of the project: spending more money, bringing in new people with new ideas to question decisions or burning the ones who worked on the topics since two years on top of their daily jobs.
This white paper adds another point of view to this discussion. It shows how to maximise the value of the extra year without spending signiﬁcantly more money.
Following the IASB’s vote to defer the start date for IFRS 17 until 1 January 2022, we have been speaking with clients across the globe about how this might affect their implementation plans.
Watch the reply of our webcast from 17th January 2019, hosted by Alex Bertolotti, PwC’s IFRS 17 leader, with Gail Tucker (PwC Global Technical leader), Alwin Swales (PwC UK Technology Consulting Leader) and Darrel Scott from the IASB board, to find out how insurers are using their extra time, helping to inform your own decision making - no matter what stage you have reached.
The IFRS 17 insurance accounting standard will be delayed by one year and the extension of the deferral of IFRS 9 to the same date subject to the IASB’s due process, Alex Bertolotti, IFRS17 leader at PwC, said:
“Today’s announcement of a one-year delay to the implementation of IFRS17 will be welcomed by many in the insurance community. The additional time will help alleviate some risk from existing plans, however many companies still have a lot to do and cannot afford to press pause."
It is now more than one year since the announcement of IFRS 17 and the scale of the implementation challenge is becoming clear.
Watch the replay of our webcast to see PwC’s IFRS 17 leaders and Darrel Scott, IASB board member, discussing progress to date.
We shared stories of the varied ways companies around the world are tackling their IFRS 17 programmes, and discuss some of the issues that have arisen along the way. We also provided news of the latest developments at the IASB and the Transition Resource Group.
This webcast is suitable for all members of IFRS 17 teams, as well as other stakeholders in the business that want to get a better understanding of progress across the global insurance community.
The collaboration with Moody’s Analytics will allow us to provide an unparalleled end-to-end solution with a rich blend of domain knowledge, tools and execution capabilities spanning Finance, Actuarial and Operations to help insurers meet the new International Financial Reporting Standard for Insurance contracts (IFRS 17) globally.
The collaboration with Oracle will provide PwC insurance clients with enhanced visibility related to near-term and ongoing compliance with the IFRS 17 Standard. Together, Oracle and PwC will enable broader risk and finance transformation as well as help insurers to adopt IFRS 17. Oracle will provide the data management platform to enable finance transformation and analytical applications for IFRS 17 with pre-built business rules, valuations, contractual service margin calculations and disclosures. The data management platform with associated tools, provides prebuilt integrations to the accounting and financial close process, enables integrations to actuarial systems and creation of integrated results for internal and external reporting with auditability and lineage. PwC will act as Oracle’s strategic advisor and provide consulting and implementation services and accelerator tools delivering tailored enhancements. Insurers will benefit from improved decision making, modernized actuarial analytics, and more timely and insightful reporting related to compliance needs.
As a leading provider of professional services to insurance organisations across the globe PwC has extensive knowledge of the issues and challenges that insurers face with IFRS 17. Helping you to plan and understand how you can use IFRS 17 outputs to better inform your decision making is our priority. Our credentials, capabilities and experts span across the globe, with over 160 IFRS 17 territory champions who are ready to help to support you in this journey. For more information and contact details of your local territory experts please contact Stuart Low, Global IFRS 17 Business Driver, PwC UK.