It’s been said that the greatest challenge posed by IFRS 17 is its data requirements.
But is this really the case?
A lot has been said about how the granularity of data required for IFRS 17 adds to its complexity. But life insurance actuaries have been performing calculations at a policy, or even benefit, level for years.
So, for IFRS 17 reporting, granularity of data isn’t necessarily the problem. Apart from items such as locked in rates and missing historical data required for transition, we should already have all the data we need.
Instead, one may argue that the true IFRS 17 complexity comes from the management of data throughout the process; the where, how and who of its aggregation. Finance and actuarial now need to work together much more closely to ensure that the data of each contract is recognised, grouped, and reported correctly.
MBE’s spreadsheet-based IFRS Assess is invaluable in demystifying the data and calculation requirements of IFRS 17 and identifying gaps in both data and understanding. You can complete an end-to-end dry run IFRS 17 reporting exercise using the data you already have to hand in a risk-free environment.
Such an exercise may provide comfort that IFRS 17 isn’t as difficult as you may think and can assist greatly in systems and modelling decisions.
Contact us to find out how IFRS Assess can help with your IFRS 17 reporting.
