The International Accounting Standards Board (IASB) said yesterday it would be willing to hold talks with insurers opposed to their proposed financial reporting rules.
IASB chairman Sir David Tweedie said a meeting with European insurers had been scheduled for September. The move follows sustained pressure from the European Commission for the IASB to engage in talks with insurers.
However, Sir David said it would not mean IASB proposals would be changed.
He said: "If they [the insurers] have a good argument, which is better than ours [the IASB's], we have to take it," he said. "If they have not, we have to stay with ours."
Insurers fear that, if adopted, IASB rule 39 would mean that premiums received would not be booked to the profit and loss account, and therefore would decline significantly.
If the dispute between the IASB and insurers persists, it could threaten the EU's plans for comprehensive accounting standards from 2005.
