Beyontec Solutions – a global insurance technology solutions provider, has partnered AJMS – a leading accounting, tax and governance, risk & compliance (GRC) consulting firm, to develop a comprehensive IFRS 17 solution for the Middle East and Africa (MEA) insurance markets.
Introduced as the harmonised global accounting standard for insurance contracts including reinsurance, IFRS 17 aims to provide consistency across all aspects of accounting in insurance. Issued by the International Accounting Standards Board (IASB), the new standard will come into effect from 1 January 2021, with an option to adopt early.
Mr Vivek Sethia, director and co-founder of Beyontec DMCC said, “At present, insurers follow many divergent accounting practices that make it difficult for the comparison of financial statements. With IFRS 17, it will result in improved comparability of financial statements and will increase the overall quality of the financial disclosures by insurers.”
The new reporting standard under IFRS 17 will undoubtedly be a significant change for accounting requirements. However, it poses tremendous challenges for insurers in grasping the operational impacts on data, systems and processes.
“We are delighted to partner with AJMS on developing the IFRS 17 specific software product as we see great synergies in our understanding of the insurance industry, and the combined ability to proactively consult and transition insurers into the new standards,” added Mr Sethia.
With its extensive experience in assisting companies to monitor and manage risk & compliance with regulatory requirements, AJMS will drive the product blueprinting for the new IFRS 17 solution being developed by Beyontec.
“AJMS looks forward to working with Beyontec on the new IFRS 17 solution. Our insurance experience, IFRS consulting and implementation knowledge complement their deep domain knowledge and skill sets that are needed to develop a comprehensive solution on time,” said Mr Abhishek Jajoo, partner & CEO of AJMS.
Once developed, this new product can be implemented across general and life insurers and will have IFRS 17 capabilities across finance and actuarial systems. It will connect data, systems and process environment between finance and actuarial with the ability to meet future accounting challenges. M