The Accounting Standards Board (AcSB) has issued its Exposure Draft that corresponds to the International Accounting Standards Board’s (IASB) Exposure Draft on proposed amendments to IFRS 17 Insurance Contracts.
The proposed amendments respond to concerns and challenges raised by stakeholders as this new insurance standard is being implemented. The IASB’s proposals include deferring the effective date of the new insurance standard by one year and extending the temporary exemption from applying IFRS 9 Financial Instruments for qualifying entities by one year to keep the effective dates aligned.
The AcSB’s due process includes ensuring that Canadian entities’ financial reporting needs are considered by the IASB and issuing the AcSB’s own exposure draft on each IASB proposal. Subject to the responses to the AcSB’s Exposure Draft on whether the IASB’s proposals are appropriate for application in Canada, the AcSB expects that the amendments will be incorporated into Canadian GAAP in accordance with the AcSB’s strategy of adopting IFRS® Standards for publicly accountable enterprises.