29 posts categorised "IFRS 17"

05 November 2019

Adjust your IFRS 17 implementation to consider Adjusted Operating Profit (AOP)

With many insurers well progressed with their technical IFRS 17 accounting decisions and entering detailed design phases, attention is now being focused on how they will be viewed and judged externally once IFRS 17 goes live. Our first report on key performance indicators (KPIs) ‘New Measures, New Perspective’ analysed the current suite of KPIs insurers report to the market and assessed how these metrics were likely to be affected by IFRS 17. In our latest report, we explore the challenges and options insurers have when calculating Adjusted Operating Profit (AOP) under IFRS 17.

28 October 2019

IFRS 17 In A Box: Taking the headache out of implementation

I have spoken about the importance of getting on the front foot with IFRS 17, in order to firstly ensure compliance with the standard come D-day, and secondly take advantage of the opportunity to transform the finance systems you already have to better serve your company. But what if you’re late coming to the IFRS 17 implementation process and are unsure about where to start? Or your company is not large or complex enough to run a dedicated finance transformation programme? Or even that you are busy developing your own bespoke solution, but want a ‘control’ against which to validate your results? We have identified that there is a significant gap in the market for such a solution and therefore have spent over a year developing our own software solution: PwC’s IFRS 17 In A Box.

28 July 2019

Using IFRS 17 as a catalyst for Finance Transformation: What's all the fuss about?

IFRS 17 as a catalyst for finance transformation and digital change within an insurance company - Is this a crazy idea? IFRS 17 is an accounting standard after all so it's only for accountants to think about isn't it? Why should an insurer change their whole business approach and systems to comply with an accounting change? and surely other regulatory changes have offered this opportunity too?Over the last 2.5 years, I've been more intensely involved with IFRS 17 and linking with PwC insurance teams all over the world. I've recently heard clients being increasingly receptive to including other areas into their IFRS 17 projects. To be honest, some insurers still see IFRS 17 as a pure technical accounting exercise to comply with the Standard set by the IASB, where others are running full scale finance transformation projects and using IFRS 17 as a catalyst.

30 May 2019

IFRS 17: The impact on internal audit

This is not the first time I’ve spoken about the importance of a full and accurate impact assessment, and it certainly won’t be the last, but today I want to focus specifically on how IFRS 17 is likely to impact internal audit. With the help of internal audit expert Klaas de Vries, in this blog I have summarised the key impacts, and the corresponding ways in which you can best utilise your internal audit function ahead of 1 January 2022.

17 May 2019

Next generation finance: Using IFRS 17 as a foundation for transformation

Preparations for IFRS 17 and the parallel IFRS 9 have moved up several gears over the course of this year. Clear signs of this increased urgency came from the finance leaders taking part in our recent “Is IFRS 9/17 a building block for digital finance transformation?” briefing and Q&A session. I wasn’t just struck by their readiness to take time out to discuss implementation at the height of the reporting season, but also the detail of their questions, which shows how much they’re now getting down to the nitty-gritty of IFRS 17.

13 May 2019

IFRS 17: What can we learn from the Middle East?

In the past 2 weeks, I was lucky enough to spend a week in sunny Dubai with my PwC counterparts across the Middle East, in order to gain an understanding of how their IFRS 17 plans are shaping up in comparison to the other countries around the world. This was a fantastic opportunity not just for knowledge sharing and networking, but also to focus on areas that we can learn from the Middle East’s experience, and vice versa. So, other than the importance of factor 50 suncream, what lessons can we learn from the Middle East IFRS 17 journey so far?

09 April 2019

IFRS 17: New Measures, New Perspective

Over the past year and a half, the insurance industry’s focus for IFRS 17 has primarily been on risk assessments, vendor solutions and implementation plans. These topics have of course warranted their time in the spotlight, but the new agenda item in the market is key performance indicators (KPIs). How do KPIs change in a post IFRS17 world and how does this influence how a company tells its story to the market?

25 February 2019

IFRS 17: Jump start your IFRS 17 project

In mid-February, my PwC IFRS 17 colleagues in the UK and I were joined by over 30 clients who expressed an interest in hearing more about what we have collectively learnt from the 140 projects that we are currently involved in, and the current position of other global Insurers on their respective IFRS 17 journeys. At such a busy time of year for Insurers, it is great to see that there is still a high demand to compare journeys and progress with peers in the market. A decent proportion of clients are not letting this reporting period be 3 months lost in their IFRS 17 programs.

20 December 2018

IFRS 17: A year in review

As a busy 2018 draws to a close, it seems only appropriate to reflect on the past 12 months and ask those key questions such as, what went well, what could’ve gone better and what lessons have we learned? In this short blog, I would like to revisit some of my personal highlights and take a look ahead into 2019 – and I would encourage you all to do the same!Let’s start at the beginning. From October 2017 to March 2018, PwC hosted a series of IFRS 17 Tech Showcases in 12 different cities, which attracted over 1,000 clients and a variety of technology vendors. These showcases were successful in initiating conversations around technology solutions, and gave attendees some ‘food for thought’ in terms of how best to plan for shortages in IFRS 17 SME resources. I personally gained a lot from these trips as they greatly enhanced my understanding of Asia’s general state of readiness for IFRS 17 in comparison with Europe and the America

06 December 2018

No let-up: Why insurers can’t afford to lose sight of IFRS 9

The new accounting rules for insurers who have already elected to defer changes to their financial instruments accounting by 3 years, may have been delayed by an additional year, but they’ve not gone away. With so much to do and so many complex hurdles to overcome, to stand still is to fall behind.

05 December 2018

The impact of IFRS 17 on the tax function

IFRS 17 brings huge change for the insurance industry. This new accounting standard will require companies to transform their accounting systems, processes, data and governance. Over the past few months there has been much focus on how IFRS 17 will require finance and actuarial platforms to be transformed. When one thinks traditionally about tax, many only consider the impacts on the numbers and tax calculations in the financial statements and tax returns. However, if a company is making changes to its finance systems, the data it gathers, its controls framework, etc., it is likely there will also be a big impact on the tax function.

25 October 2018

IFRS 17 : Important considerations for the legacy market

As IFRS17 comes sharper into focus for the insurance industry as a whole, it is becoming ever-clearer that the legacy insurance market will not escape its grasp. Potential changes to the way that profit from past and future transactions can be recognised on transition and in the future mean that it is critical that these changes are fully understood by legacy market participants in order to plan for the financial and operational impacts on your business.

10 October 2018

IFRS 17: What is the impact on people?

By Alex Bertolotti People management is hard to get right first time, and as such should be prioritised. What’s more, lessons learned from prior regulatory driven transformation programs could be crucial in your success. So far, in my series of IFRS 17 blogs, I have focused heavily on the technical...

31 July 2018

IFRS 17: Global Webcast – Where are we 1 year on?

On the 27 June, three expert panel members and I took to the airwaves as part of PwC’s Global IFRS 17 Webcast, to discuss how IFRS 17 is developing one year on from the official announcement. In this blog, I will briefly summarise the keys points that were discussed.

13 July 2018

Is CSM starting to move centre stage for investors?

We have seen interest and focus on IFRS 17 by the investor and analyst community increase over the past year, with some publishing their own research and educational papers on its impact.

25 June 2018

IFRS 17: The Challenges of Reinsurance

We spend a lot of time travelling to many countries to meet with clients on IFRS 17 and one topic keeps coming - reinsurance. We hear again and again that this has been the forgotten area of the standard, but as companies get into the detail of what the standard actually says and how this interacts with their own reinsurance arrangements, or the data required, they are starting to realise this should be a priority.

07 June 2018

IFRS 17: How can digital training help you?

Insurers are well aware by this stage in their IFRS 17 journeys that the standard is likely to cause significant changes throughout their organisations. One area our clients are starting to focus on is training; namely, how much training, to whom and at what point in the journey do they start?

17 May 2018

Where are all the specialists needed to implement IFRS 17?

As I continue conversations about IFRS 17 implementation plans with companies across the globe, I can’t help but notice I am being asked the same question over and over: where are all the specialists needed to implement IFRS 17?

12 March 2018

IFRS 17: What it means for tax

In my last blog on IFRS 17, I spoke about the importance of involving auditors early on. In this blog I want to address the importance of tax considerations during the implementation of IFRS 17; after all, it’s real money and in an environment where cash is king, that tends to get people’s attention.

06 February 2018

IFRS 17: How best to involve your auditors

With less than 3 years now until IFRS 17 becomes effective, I would hope most insurers have already come to terms with the large role that auditors have to play in the IFRS 17 journey.