March 2017
When the FASB released Accounting Standards Update (ASU) 2015-09, Disclosures About Short-Duration Contracts, it intended to increase the transparency of the estimates insurers make when measuring claim liabilities, and to provide educated readers of the financial statements information to facilitate this analysis. The ASU is effective for public companies for the 2016 year-end and will be effective for private companies for the 2017 year-end.
Recently, there has been considerable discussion about the new disclosures. In that spirit, we want to summarize the key aspects of the disclosures, given the significant amount of new information that reporting entities will need to include in their footnotes.
