FASB Delays Guidance on Long-Duration Insurance Contracts

The FASB has issued Accounting Standards Update (ASU) No. 2020-11, Financial Services — Insurance (Topic 944): Effective Date and Early Application.

The new ASU (1) permits insurance companies to take an additional year to implement the guidance on long-duration insurance contracts and (2) reduces cost and complexity for early adopters.

For more information, see the press release and ASU on the FASB’s Web site.