FBK Grant Thornton and Diasoft Hold IFRS 17 Webinar

Experts from FBK Grant Thornton and Diasoft have held a webinar on IFRS 17 automation. At the webinar, they demonstrated the functionality developed to account for insurance contracts in accordance with IFRS 17, showed how to calculate metrics as part of the initial recognition of a group of contracts, as well as subsequent measurement of a group of contracts with due regard to changes in flows and assumptions, calculate arising loss liabilities and make accounting entries.

Ekaterina Nedosekina, the head of Diasoft Insurance Finance, said that it is important to distinguish the area of assumptions, judgements and expected cash flow estimation (actuarial valuation) and the area of the actual calculation of metrics under IFRS 17, such as assets and liabilities, margins, revenues, finance and insurance income/expenses, to make accounting entries and prepare financial statements.

Maksim Chikishev, the Head of Advisory to Insurance Companies at FBK Grant Thornton, spoke about the areas of IFRS 17 application which require professional judgement in respect of accounting for insurance contracts and their measurement. He said that companies need to develop appropriate methodologies and accounting policies to apply the new standard so that information systems might process inputs, calculate metrics and prepare financial statements in accordance with the requirements of IFRS 17.