Members of the Financial Accounting Standards Board voted at a meeting Wednesday to scale back FASB’s convergence efforts on insurance accounting standards with the International Accounting Standards Board.

The convergence project on insurance contracts had been considered one of the four priority projects that FASB and the IASB have been working on as they seek to harmonize U.S. GAAP with International Financial Reporting Standards. However, the project was always less of a priority for FASB than the other three projects—revenue recognition, leasing and financial instruments—as the U.S. already has detailed accounting standards in place for insurance, whereas the standards under IFRS are relatively few. Meanwhile, FASB and the IASB have struggled to complete the other three projects in their 12-year-long convergence efforts, although a converged standard on revenue recognition is expected in the first half of this year.

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