Insurance stakeholders need to better understand KPIs

The accounting firm’s audit and assurance partner Sharon Kok Pei Loo said with the changes to measurement, presentation, and disclosure of insurance contracts introduced, many insurers would need to focus on the business performance aspect and its implications on the financial reporting framework

KUALA LUMPUR: Deloitte Malaysia has highlighted the need for clearer guidance and understanding on key performance indicators (KPIs) for the insurance industry under a new accounting standard for insurance contracts called IFRS 17 that will take effect on Jan 1, 2023.

The accounting firm’s audit and assurance partner Sharon Kok Pei Loo said with the changes to measurement, presentation, and disclosure of insurance contracts introduced, many insurers would need to focus on the business performance aspect and its implications on the financial reporting framework.