L'application des dispositions de la norme IFRS 4 "contrats d'assurances" et de la directive européenne "Solvabilité II" par les entreprises d'assurances belges : état de la situation et perspectives

Abstract

Nowadays, insurers are conveyed by two main legislations, namely the European Directive “Solvency II” and the standard IFRS 4 “Insurance contracts” phase II. Needless to say that the purpose of those two is to provide a one-track framework for insurance companies which accounting measurement principle is unique. However, those regulations have also specific different accounting and financial rules. As a consequence, insurers have decided to give the challenge of convergence a go. In this respect, this paper will first contribute to a description of both legislations with a main focus on the valuation of insurance liabilities. In order to do meet any convergence, we will in fact draw the major similarities between the European Directive “Solvency II” and the final standard IFRS 4 “Insurance contracts”. The second part of the thesis will be devoted to several analysis lead to answer the three following hypothesis: - Hypothesis 1: “Solvency II” can be capitalised for the implementation of IFRS 4 “Insurance contracts” phase II. - Hypothesis 2: The costs engendered by the two legislations worth the benefits they can bring. - Hypothesis 3: The impacts produced by the two regulations differ according to the size of the insurance company. The panel questioned will consist of the seven market leaders, according to the life technical provisions. Interviews will be lead with financial experts who respectively represent either the European Directive or the standard IFRS. Those exchanges will serve as a basis to tackle the different impacts endured by the insurance companies as well as to suggest capitalisation leads. To conclude, we will figure out first that the enforcement of “Solvency II” was really demanding at the following levels: human, operational and financial. Afterwards, capitalisation tracks actually exist but in addition of the complexity of such an implementation, as the final standard IFRS 4 “Insurance contracts” has not come out yet most of the insurers have not started this process neither.