가상의 사례를 이용한 IFRS 17(보험계약)의 회계처리와 IFRS 17 도입의 영향

[Purpose]The purpose of this paper is to explain the accounting treatments of IFRS 17(Insurance Contracts) adopted from 2023 and to analyze the impact of its adoption. [Methodology]Main characteristics of IFRS 17 are described, and specific yearly journal entries and financial statements are presented using a hypothetical case and compared with those under prior accounting standards. [Findings]The impact of IFRS 17 on financial statements is as follows. First, insurance liabilities recorded at fair value create volitility with the change of an interest rate, thereby raising the volitility of capital. Second, the value of insurance contracts reflected as contractual service margin on financial statements enhances the usefulness of accounting information. Third, revenue recognition matched to the fulfillment of insurance contracts decreases the size of revenues. Fourth, a loss is recognized for the net outflow for onerous contracts, which alleviates information asymmetry. IFRS 17 will cause the development of new insurance products and the structural change in the product mix of insurance, sales management, and the adjustment of asset liability management to absorb unexpected swings in earnings. [Implications]This paper contributes to enhancing students’ understanding of IFRS 17 by presenting specific accounting treatments and financial statements under a hypothetical case which can be used in class.