Fair Value under IFRS 17 and Market Risk Benefits under LDTI: a Comparative Evaluation

With both International Financial Reporting Standard and U.S. GAAP evolving to a new framework, there will be significant implications for U.S. insurers. This paper aims to cover the key components to LTDI and IFRS 17, with a focus on Fair Value and Market Risk Benefits, and better prepare insurers for the changes. We discuss the following:

• General methodology and overview of IFRS 17 and LDTI considerations
• Assumptions under the GAAP and IFRS frameworks
• Transition to IFRS 17
• Risk mitigation for the transition