Predicting the impact of IFRS 17 on earnings
“How to treat the CSM is creating a lot of noise – in terms of implementation questions – in the insurance market right now as insurers work out what IFRS 17 means for their business.”
Mary H. Trussell
“The Board’s outcome does seem sensible for direct participating contracts as it is consistent with how IFRS 17 identifies and accounts for these contracts. But a problem pops up if investment-related services are not reflected in CSM allocation for any other insurance contracts.”
“To be frank, insurers can’t necessarily begin preparing their investors for what their bottom line’s going to look like when they don’t know it themselves...”
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