| This summary of Accounting Standards Board (AcSB) projects has been prepared for
information purposes only. Decisions reported are tentative and reflect only the current status of
discussions on this project, which may change after further deliberations by the AcSB. Decisions to publish
Handbook material are final only after a formal ballot process. |
Status: AcSB has decided not to retain its standards on insurance-related topics as
guidance for applying IFRS 4 after the adoption of IFRSs. AcSB monitoring IASB project.
Background
Activities to Date
Related Information
Contact Information
Background
The International Accounting Standards Board (IASB) is undertaking a project to develop a comprehensive, globally accepted, high-quality standard to replace the wide
variety of standards and practices currently applied in different countries. The AcSB will adopt the
resulting standard in accordance with its strategy of adopting International Financial Reporting Standards
for publicly accountable enterprises.
The IASB issued International Financial Reporting Standard IFRS 4, Insurance
Contracts, at the end of March 2004. The standard reflects the outcome of the first phase of the
IASB's project. For details on the IASB project, see the project summary and meeting decision summaries on the IASB
website.
Activities to Date
The AcSB's Insurance Accounting Task Force, comprised of
insurance industry accountants and auditors and an actuary, considered the views included in the IASB’s
Discussion Paper, “Preliminary Views on Insurance Contracts” and submitted its response to the IASB in
November 2007. This task force assisted the AcSB in responding to the IASB’s proposals. This project and some
others currently underway (for example, Revenue Recognition and Financial Statement
Presentation) will have a substantial effect on Canadian insurance company accounting.
In February and July 2008, the AcSB considered its approach for dealing with its standards on insurance
relative to IFRS 4, Insurance Contracts, assuming that the IASB’s current
project on insurance contracts will not be complete when Canada adopts IFRSs in 2011.
During 2008, the AcSB consulted with several key stakeholders, including its Insurance Accounting Task
Force, the Office of the Superintendent of Financial Institutions and representatives from the Canadian
Institute of Actuaries, regarding the adoption of IFRSs.
In September 2008, the AcSB decided not to retain its standards on insurance-related topics as guidance
for applying IFRS 4 after the adoption of IFRSs. Consistent with its general policy of adopting IFRSs without
modification, the AcSB decided not to carry forward Section 4211, Life Insurance
Enterprises — Specific Items, AcG-3, Financial Reporting by Property and
Casualty Insurance Companies, AcG-8, Actuarial Liabilities of Life Insurance
Enterprises — Disclosures, and AcG-9, Financial Reporting by Life Insurance
Enterprises.
AcSB staff will continue to monitor the IASB project on this topic.
Related Information
Contact Information
Questions or comments on this project should be directed to:
Karlene Mulraine, CA, CPA
Principal, Accounting Standards
Telephone: +1 (416) 204-3466
Fax: +1 (416) 204-3412
Canadian Accounting Standards Board
277 Wellington Street West
Toronto ON M5V 3H2 Canada
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