The American Institute of CPAs has issued Technical Practice Aids with information to help insurance entities with their accounting.
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The documents includes helpful information for insurance entities initially applying the guidance in the Financial Accounting Standards Board’s Accounting Standards Update 2010-26, Financial Services—Insurance (Topic 944): Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts (a consensus of the FASB Emerging Issues Task Force), for year-end 2012.
TIS section 6300.39, Cumulative Effect of Change in Accounting Principle and Accounting Standards Update No. 2010-26, discusses items to consider when evaluating the direct effects of retrospective application of ASU No. 2010-26. Meanwhile, TIS section 6300.40, Deferrable Commissions and Bonuses under Accounting Standards Update No. 2010-26, discusses whether all commissions and bonuses are deferrable under the guidance in FASB ASU 2010-26.
For more information, visit http://www.aicpa.org/InterestAreas/FRC/Pages/RecentlyIssuedTechnicalQuestionsandAnswers.aspx.