Proposed Accounting Standards Update · 2013
Proposed ASU 2013-290 — Insurance Contracts (Topic 834)
Affects834
The main objectives of the guidance in this proposed Update is to increase the decision usefulness of the information about an entity's insurance liabilities, including the nature, amount, timing, and uncertainty of cash flows related to those liabilities, and the related effect on the statement of comprehensive income, and to provide comparability, regardless of the type of entity issuing the contract. The guidance in this proposed Update would require an entity to measure its insurance contracts under one of two measurement models, referred to as the building block approach and the premium allocation approach. The proposed Update would improve convergence of U.S. GAAP and IFRSs by moving towards a more globally comparable standard.
For more information, see the following:
Issued: June 27, 2013
Comments Due: October 25, 2013
The Exposure Draft identifies the Codification Sections that may be changed upon issuance of this guidance.
Text as published in the FASB Accounting Standards Codification, Basic View.