# ASC 310-944-25: Receivables — Financial Services—Insurance — 25 Recognition

Source: FASB Accounting Standards Codification, Basic View

[Read online](https://asc.understandingaccounting.org/asc/310/944/#25-recognition)

Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.

Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure.

Source downloaded (UTC): 2026-09-09T23:29:56.043Z to 2026-09-09T23:29:56.043Z

Record version: sha256:de99a205770c4af9f23c18c86b03284a2aca3a5ffaec2c6e8b38e530a83d0841

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


## ASC 310-944-25: 25 Recognition

[Read section](https://asc.understandingaccounting.org/asc/310/944/#25-recognition)

SEC content: no

#### Mortgage Loans

##### [310-944-25-1](https://asc.understandingaccounting.org/asc/310/944/#310-944-25-1)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:29:56.043Z to 2026-09-09T23:29:56.043Z

Record version: sha256:12f9bc12bf99284367a9520cdab1a92cea68f984e4c05aa4dfe535acaae953bb

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


Mortgage loans shall be recognized as assets.

### Reinsurance Contracts

#### Reinsurance Recoverables

##### [310-944-25-2](https://asc.understandingaccounting.org/asc/310/944/#310-944-25-2)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:29:56.043Z to 2026-09-09T23:29:56.043Z

Record version: sha256:0a44ae28edf072355695d65cc3c7113df1a968b2df3f02bd7904f10b5fe21764

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


Ceding entities shall report separately as assets estimated [reinsurance recoverables](https://asc.understandingaccounting.org/glossary/r/#reinsurance-recoverable "All amounts recoverable from reinsurers for paid and unpaid claims and claim settlement expenses, including estimated amounts receivable for unsettled claims, claims incurred but not reported, or policy benefits.") arising from both of the following types of contracts:

1.  a
    
    [Reinsurance](https://asc.understandingaccounting.org/glossary/r/#reinsurance "A transaction in which a reinsurer (assuming entity), for a consideration (premium), assumes all or part of a risk undertaken originally by another insurer (ceding entity). For indemnity reinsurance, the legal rights of the insured are not affected by the reinsurance transaction and the insurance entity issuing the insurance contract remains liable to the insured for payment of policy benefits. Assumption or novation reinsurance contracts that are legal replacements of one insurer by another extinguish the ceding entity's liability to the policyholder.") contracts that are legal replacements of one insurer by another (often referred to as assumption and novation)
    
2.  b
    
    Reinsurance contracts in which a [ceding entity](https://asc.understandingaccounting.org/glossary/c/#ceding-entity "The party that pays a reinsurance premium in a reinsurance transaction. The ceding entity receives the right to reimbursement from the assuming entity under the terms of the reinsurance contract.") is not relieved of the legal liability to its policyholder.

### Financial Guarantee Insurance Contracts

##### [310-944-25-3](https://asc.understandingaccounting.org/asc/310/944/#310-944-25-3)

Pending content: no

Source downloaded (UTC): 2026-09-09T23:29:56.043Z to 2026-09-09T23:29:56.043Z

Record version: sha256:02bdd0de91bad95a6d9e8a146135f3bede4c9458d8272f9b6b80f2d138395d3f

Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f

Effective as of: not established by retrieval timestamps.


Paragraph [944-605-30-7](https://asc.understandingaccounting.org/asc/605/944/#605-944-30-7) states that if the premiums are received as payments over the period of the financial guarantee insurance contract, the insurance entity shall initially measure the unearned premium revenue at an amount equal to the present value of the premiums due or expected to be collected over the period of the financial guarantee insurance contract. Example 1 in Section 944-605-55 (see paragraph [944-605-55-16](https://asc.understandingaccounting.org/asc/605/944/#605-944-55-16)) illustrates the application of this paragraph. Paragraph [944-310-30-2](https://asc.understandingaccounting.org/asc/310/944/#310-944-30-2) provides guidance on the discount rate and the period used.