{"id":22536,"date":"2026-07-29T15:28:02","date_gmt":"2026-07-29T12:28:02","guid":{"rendered":"https:\/\/modecon.mnau.edu.ua\/?p=22536"},"modified":"2026-07-29T15:28:02","modified_gmt":"2026-07-29T12:28:02","slug":"ifrs-17-implementation-as-a","status":"publish","type":"post","link":"https:\/\/modecon.mnau.edu.ua\/en\/ifrs-17-implementation-as-a\/","title":{"rendered":"Skrypnyk M., Skrypnyk N., Rylieiev S. IFRS 17 Implementation as a Tool for Strengthening the Accounting and Analytical Framework of Economic Security of Ukrainian Insurance Undertakings"},"content":{"rendered":"

[vc_row][vc_column][vc_column_text]<\/p>\n\n\n\n
JEL Classification:<\/strong> M41, G22, G28, F65, K23<\/td>\nDOI<\/b>: https:\/\/doi.org\/10.31521\/modecon.V57(2026)-27<\/a><\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

[\/vc_column_text][vc_column_text]Skrypnyk Mykola,<\/strong> PhD (Economics), Associate Professor of the Department of Finance, Accounting and Taxation, Chernivtsi Trade and Economic Institute of DTEU, Chernivtsi, Ukraine<\/p>\n

ORCID:<\/strong> 0000-0003-3597-6188<\/span><\/a>
\ne-mail: <\/strong>skripnik76@ukr.net<\/span><\/a><\/p>\n

Skrypnyk Nataliia,<\/strong> PhD (Economics), Associate Professor, Associate Professor of the Department of Finance, Accounting and Taxation, Chernivtsi Trade and Economic Institute of DTEU, Chernivtsi, Ukraine<\/p>\n

ORCID:<\/strong> 0000-0003-2180-5863<\/span><\/a>
\ne-mail: <\/strong>nvs20@meta.ua<\/span><\/a><\/p>\n

Rylieiev Serhii,<\/strong> PhD (Economics), Associate Professor, Associate Professor of the Department of Finance, Accounting and Taxation, Chernivtsi Trade and Economic Institute of DTEU, Chernivtsi, Ukraine<\/p>\n

ORCID:<\/strong> 0000-0002-2058-1004<\/span><\/a>
\ne-mail: <\/strong>ryleev76@gmail.com<\/span><\/a><\/p>\n

IFRS 17 Implementation as a Tool for Strengthening the Accounting and Analytical Framework of Economic Security of Ukrainian Insurance Undertakings<\/strong><\/p>\n

Abstract<\/em><\/strong>. <\/em><\/strong>Introduction.<\/em><\/strong> The Ukrainian insurance market is undergoing a structural transformation driven by the consequences of a large-scale armed conflict, commitments to European integration, and a comprehensive regulatory overhaul initiated by the National Bank of Ukraine after it assumed supervision of the insurance sector in 2020. The transition from IFRS 4 to IFRS 17 Insurance Contracts, which has been mandatory since January 1, 2023, represents far more than a technical accounting change. Replacing heterogeneous, nationally derived reserve methodologies with a unified, current-value measurement framework directly impacts the quality of financial information available to supervisors, investors, and policyholders. Since over 40% of Ukrainian insurance companies failed to meet the NBU’s updated capital adequacy requirements in early 2024, the question of whether improved accounting transparency can contribute to the sector’s economic security has become both theoretically and practically urgent.<\/em><\/p>\n

Purpose.<\/em><\/strong> The study aims to evaluate the impact of implementing IFRS 17 on the accounting and analytical framework that supports the economic security of Ukrainian insurance companies, as well as to identify the key institutional prerequisites for its effective adoption.<\/em><\/p>\n

Results.<\/em><\/strong> This paper shows that IFRS 17 introduces a superior liability measurement system by breaking down the measurement into fulfillment cash flows, risk adjustments, and the contractual service margin (CSM). A comparative analysis of the three measurement models shows that the PAA applies to approximately 75\u201380% of the Ukrainian market, while the adoption of the GMM remains limited due to deficits in actuarial infrastructure. An original conceptual linkage matrix maps the five IFRS 17 disclosure clusters to the following economic security dimensions: solvency, profitability, risk management, operational transparency, and regulatory analytical capacity.<\/em><\/p>\n

Conclusions.<\/em><\/strong> Full compliance with IFRS 17 improves the analytical quality of insurance reporting and reduces information asymmetry between insurance companies and regulators. However, accounting reform alone is insufficient. Targeted investment in actuarial capacity, IT infrastructure, and differentiated NBU supervisory guidance are necessary additions to the adoption of standards.<\/em><\/p>\n

Keywords:<\/em><\/strong> IFRS 17, insurance contracts, economic security, accounting framework, financial reporting, Contractual Service Margin, NBU regulation<\/em><\/p>\n

References<\/b>:<\/strong><\/p>\n

    \n
  1. Haiduchok, T. S., Maksymiv, Yu. V., & Shkromyda, N. Ya. (2025). Profesiina dobrochesnist yak osnova yakisnoi finansovoi zvitnosti v mizhnarodnomu konteksti [Professional integrity as the basis of quality financial reporting in the international context].\u00a0Modern Economics<\/em>,\u00a052<\/em>, 19\u201324. https:\/\/doi.org\/10.31521\/modecon.V52(2025)-03<\/li>\n
  2. Barigou, K., & Dhaene, J. (2019). Fair valuation of insurance liabilities via mean-variance hedging in a multi-period setting. Scandinavian Actuarial Journal<\/em>, 2019<\/em>(2), 123\u2013148. https:\/\/doi.org\/10.1080\/03461238.2018.1528477<\/a><\/li>\n
  3. Palmborg, L., Lindholm, M., & Lindskog, F. (2021). Financial position and performance in IFRS 17. Scandinavian Actuarial Journal<\/em>, 2021<\/em>(3), 171\u2013197. https:\/\/doi.org\/10.1080\/03461238.2020.1823464<\/a><\/li>\n
  4. Financial Stability Institute (BIS). (2020). Accounting standards and insurer solvency assessment<\/em> (FSI Insights on Policy Implementation, No. 26). Bank for International Settlements. https:\/\/www.bis.org\/fsi\/publ\/insights26.pdf<\/a><\/li>\n
  5. International Accounting Standards Board. (2017). IFRS 17 insurance contracts<\/em>. IFRS Foundation. https:\/\/www.ifrs.org\/issued-standards\/list-of-standards\/ifrs-17-insurance-contracts\/<\/a><\/li>\n
  6. Shehi, E., & Shehi, R. (2025). IFRS 17 and Solvency II: A comparative analysis. In 10th International Scientific-Business Conference LIMEN 2024 \u2014 Conference Proceedings<\/em> (pp. 571\u2013578). LIMEN. https:\/\/doi.org\/10.31410\/LIMEN.2024.571<\/a><\/li>\n
  7. National Association of Insurers of Ukraine (NASU). (2023). Key trends in the Ukrainian insurance market in 2023\u20132024: Steady progress towards the European Union<\/em>. https:\/\/nasu.com.ua\/en\/key-trends-in-the-ukrainian-insurance-market-in-2023-2024-steady-progress-towards-the-european-union\/<\/a><\/li>\n
  8. National Bank of Ukraine (NBU). (2023a). IFRS 17 insurance contracts: Guidance for Ukrainian insurers<\/em> (Presentation No. 1, March 30, 2023). https:\/\/bank.gov.ua\/admin_uploads\/article\/MSFZ_17_NBU_1_pr_2023-03-30_en.pdf<\/a><\/li>\n
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  10. Pucci, S., Lupatelli, U., & Vaccarezza, J. (2023). The new income statement of insurance companies in IFRS 17: First application issues. In M. Tutino, V. Santolamazza, & A. Kostyuk (Eds.), New outlooks for the scholarly research in corporate governance<\/em> (pp. 23\u201326). Virtus Interpress. https:\/\/doi.org\/10.22495\/nosrcgp4<\/a><\/li>\n
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  12. Scott, D. (2025). IFRS 17 implementation update<\/em> [Conference session presentation]. World Bank \/ Centre for Financial Reporting Reform (CFRR). https:\/\/cfrr.worldbank.org\/sites\/default\/files\/2025-04\/Session 4 IFRS 17 Darrel Scott.pdf<\/a><\/li>\n
  13. Hladchuk, O. (2023). Finansova bezpeka ukrainskykh strakhovykh kompanii u suchasnykh realiiakh [Financial security of Ukrainian insurance companies in modern realities].\u00a0Ekonomika ta suspilstvo<\/em>, (55). https:\/\/doi.org\/10.32782\/2524-0072\/2023-55-40<\/a><\/li>\n
  14. Kotsiurba, O. Yu., & Nasypaiko, D. S. (2020). Strakhovyi rynok Ukrainy: suchasnyi stan ta problemy rozvytku [Insurance Market of Ukraine: Current State and Development Problems].\u00a0Tsentralnoukrainskyi naukovyi visnyk. Ekonomichni nauky<\/em>,\u00a05<\/em>(38), 284\u2013291. https:\/\/doi.org\/10.32515\/2663-1636.2020.5(38).284-291<\/a><\/li>\n<\/ol>\n

    [\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]Received: 22 April 2026<\/strong><\/p>\n

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    Skrypnyk M., Skrypnyk N., Rylieiev S. (2026). IFRS 17 Implementation as a Tool for Strengthening the Accounting and Analytical Framework of Economic Security of Ukrainian Insurance Undertakings. Modern Economics, 57(2026), 194-202. DOI: https:\/\/doi.org\/10.31521\/modecon.V57(2026)-27.<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

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    [vc_row][vc_column][vc_column_text] JEL Classification: M41, G22, G28, F65, K23 DOI: https:\/\/doi.org\/10.31521\/modecon.V57(2026)-27 [\/vc_column_text][vc_column_text]Skrypnyk Mykola, PhD (Economics), Associate Professor of the Department of Finance, Accounting and Taxation, Chernivtsi Trade and Economic Institute of DTEU, Chernivtsi, Ukraine ORCID: 0000-0003-3597-6188 e-mail: skripnik76@ukr.net Skrypnyk Nataliia, PhD (Economics), Associate Professor, Associate Professor of the Department of Finance, Accounting and Taxation, Chernivtsi Trade
    Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":13475,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[258],"tags":[259],"class_list":["post-22536","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-57-2026-articles","tag-57-2026"],"_links":{"self":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/22536","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/comments?post=22536"}],"version-history":[{"count":3,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/22536\/revisions"}],"predecessor-version":[{"id":22582,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/posts\/22536\/revisions\/22582"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/media\/13475"}],"wp:attachment":[{"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/media?parent=22536"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/categories?post=22536"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/modecon.mnau.edu.ua\/en\/wp-json\/wp\/v2\/tags?post=22536"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}