Insurers that are subject to IFRS must report in accordance with the new IFRS 17 benchmark as of 2021. This benchmark represents a fundamental change in the valuation of insurance obligations, and will have major consequences for existing financial reporting and operations. Besides this direct impact on financial systems and processes, IFRS 17 will also have major consequences for e.g. the pricing of your products, KPI’s, remuneration, hedging policy and communication with your stakeholders.
In the build-up to 2021, a lot of work is still needed to be ready on time. Does your organisation have an implementation plan for, and an insight into, the impact of IFRS 17? We believe we can help you in the following areas as we approach 2021.
To start with, we will use ‘blended learning’ to transfer our knowledge about IFRS 17 to your core teams in the finance, risk and IT departments. E-learnings will be used to establish the basis for a few workshops, where the acquired knowledge will be linked to your specific situation.
We will then work with the core team to examine the impact of the various options and possibilities on your financials, as well as the required modifications to your systems, data, processes and organisation.
Models, systems and processes must then be prepared so complex new calculations can be carried out in good time. This will require certain data as input, which most insurers aren’t always able to access. If impact analyses shows that additional IT implementation is required, we can help you to select a provider and support you in the implementation process.
´To make sure the opening balance sheet for 2021 complies with IFRS 17, you should be able to perform a parallel run in 2020 at the latest. This means IFRS 17 is closer than you might think. We will be pleased to advise you about potential impact and help you with implementation.´
Our international experience with (insurance-related) front-runners in IFRS 17 helps us to acquire best practices which can be used to benefit all our customers. Some of them are referred to as process accelerators:
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