Accounting – [BonkNote]

MVA – Market Value Accounting Market value accounting presents the real economic “worth” of the insurance operation, and shows how that worth can and does change when the external environment changes. This information is valuable on a going concern basis as well as on a sale or liquidation basis, since an insurance company cannot be…

IASB – International Accounting Standards Board ifrs.org/groups/international-accounting-standards-board/ Life Committee of the IASB 1986 – AAA – American Academy of Actuaries – Yearbook – 406p 1986 – SOA – American Academy of Actuaries Committee on Principles and Practices for Dividends and Other Non-Guaranteed Elements – 22p 1987 – SOA – Status Of The Valuation Actuary In…

Fair Value Accounting Fair Value? I have always felt that the arguments for failing to carry assets at fair value are weak. (See “Fair-Value-Accounting : What’s in Store?” June Update) The supposed inability to value liabilities on an appropriate basis and the reliance on the long-term nature of these liabilities to justify the ignorance of…

PWC – Price Waterhouse Cooper AIG Auditors AIG – FCIC -PWC IKB https://www.nytimes.com/2008/03/27/business/worldbusiness/27iht-ikb.4.11477028.html?searchResultPosition=1 2003 0701 – Report – For NCOIL – The Path to Reform – The Evolution of Market Conduct Surveillance Regulation, by PricewaterhouseCoopers and Georgia State University – 117p

Surplus Surplus Notes Surplus Relief The availability of surplus sometimes constrains the growth of an insurance company. To optimize growth, a company under such constraint must develop equivalent profit standards for all opportunities that use surplus, such as sales of insurance products, acquisition of investments, or development of a sales force. 1981 – SOA -…

IFRS – International Financial Reporting Standards ifrs.org/ IASB – International Accounting Standards Board ifrs.org/issued-standards/list-of-standards/ifrs-17-insurance-contracts/ 2020 06 – CIA/ICA – Draft Educational Note: IFRS 17 Discount Rates for Life and Health Insurance Contracts – 56p APPENDIX – The nature of contracts with discretionary participating features US2 – In the US, almost all participating business is sold by…

Mark to Market Accounting 2012 0105 – OFR – A Survey of Systemic Risk Analytics – 165p (p19) – Sapra (2008) considers issues arising from historical and mark-to-market accounting for both insurance companies and banks. 2008 – AP – Do accounting measurement regimes matter? A discussion of mark-to-market accounting and liquidity pricing,” by Haresh Sapra,…

GAAP – Generally Accepted Accounting Principles First, let me remind you of the brief history of GAAP for life insurance companies. You will recall that the first exposure draft of the American Institute of Certified Public Accountants (AICPA) appeared in December, 1970. — John H. Biggs 1976 – SOA – Trends in GAAP and Statutory…

Accounting Fair Value Accounting GAAP – Generally Accepted Accounting Principles Mark to Market Accounting SAP – Statutory Accounting Principles IAS – international accounting standards for insurers “natural reserve theory” AICPA – American Institute of Certified Public Accountants The CPA letter FASB – Financial Accounting Standards Board IFRS – International Financial Reporting Standards IASB – International…

SAP – Statutory Accounting Principles SAP, SSAP 1987 – SOA – Valuation Actuary Handbook – Chapter I – Insurance Company Statutory Valuation, Society of Actuaries – 34p The NYDFS recognizes only statutory accounting practices (“SAP”) prescribed or permitted by the State of New York for determining and reporting the financial condition and results of operations…