IFRS 17 is a new accounting standard that sets out the principles for the recognition, measurement, presentation, and disclosure of insurance contracts. The implementation of IFRS 17 is expected to be challenging for accountants in the following ways:
Complex calculations: IFRS 17 requires complex calculations and data processing, which could be challenging for accountants who are not familiar with the new standard.
Data availability: The standard requires a significant amount of data to be collected and processed, including historical data, which may not be readily available.
IT infrastructure: The implementation of IFRS 17 requires a robust IT infrastructure to support the data processing and calculation requirements.
Systems integration: IFRS 17 may require integration with other systems, such as actuarial systems, financial systems, and data warehouses, which can be challenging.
Interpretation of the standard: The standard is open to interpretation, and accountants may need to exercise judgment in applying it to different insurance contracts.
Stakeholder management: The implementation of IFRS 17 requires coordination with various stakeholders, including auditors, regulators, and investors, which can be challenging.
Training: Accountants may need training on the new standard, including its requirements, calculations, and data processing.
Overall, the implementation of IFRS 17 requires significant effort, resources, and coordination, and accountants will need to be prepared to address these challenges.
How can we help? AVC Learning Solutions is pleased to offer a bespoke IFRS 17 solution. A 20 hours' training program that helps you understand the standard better and in a lucid manner.
For specific information, reach out at email@example.com