Insurance firms gear up for new accounting standard

MANILA – The Insurance Commission (IC) has started the countdown for insurance companies in the country to transition to a new set of accounting policies that will make their financial reports more transparent especially for the investing public and universally comparable.

In a webinar on the new accounting system conducted last week, IC Deputy Commissioner Ferdinand George Florendo said insurance companies may start the shift to Philippine Financial Reporting Standard (PFRS) 17 --from the current PFRS 4-- starting January 2023 in time for the industry-wide application in 2025.

Florendo said the firms are given enough time to complete the transition as these need to change their data administration, financial presentations, and actuarial calculations.