Insurers Praise FASB Decision To Pursue Convergence Agenda

News provided by

Group of North American Insurance Enterprises

Feb 09, 2011, 12:05 ET

NEW YORK, Feb. 9, 2011 /PRNewswire-USNewswire/ -- The Group of North American Insurance Enterprises (GNAIE) commended the Financial Accounting Standards Board (FASB) on today's decision to work with the International Accounting Standards Board (IASB) on a single, high quality, converged accounting standard for insurance contracts.

"GNAIE welcomes the FASB's adoption of a convergence agenda for the insurance accounting project as a major step forward in the successful development of a single, global high quality accounting standard," said Jerry de St. Paer, executive chair of GNAIE, an association representing the chief financial officers of major life, property/casualty and reinsurance companies in Bermuda, Canada, and the United States

He noted that GNAIE had expressed its support last year for the FASB's circulation of a Discussion Paper (DP) on accounting for insurance contacts as the best way to resolve issues that divide accounting standard setters, in contrast to the IASB's issuance of an Exposure Draft (ED), which is usually required to be a near final standard.

De St. Paer also reaffirmed GNAIE's support of both board's decision to extend their June 30, 2011 deadline to December 31, 2011 for many projected standards in order to assure a sound deliberative process.

To work with international accounting and solvency standards setters and stakeholders to ensure robust, high quality standards for insurance enterprises.

www.gnaie.net

SOURCE Group of North American Insurance Enterprises