Analysis of the Application of Contract Settlement Accounts for Insurance Companies Under the New Revenue Standard
DOI:
https://doi.org/10.64051/jhn.v1i2.42Keywords:
New Revenue Standards, Insurance Companies, Contract Settlement Accounts, AccountingAbstract
The implementation of the new revenue standard has a far-reaching impact on the accounting treatment of insurance enterprises, and the application of contract settlement accounts, as the key to connect business and financial accounting, needs to be standardized. This paper analyzes the core requirements of the new revenue standard, combines the special characteristics of insurance contracts with both service and financial attributes, and explains the logic of setting up and accounting methods of secondary accounts, such as insurance service income and investment component apportionment. In view of the practical pain points such as variable consideration apportionment and reclassification of inter-period contracts, the paper proposes strategies for system upgrading and internal control strengthening. The study shows that standardizing the application of accounts can help enterprises implement the requirements of the standard and improve the quality of financial information.
References
[1] Wang X., Wang Q. Research on Revenue Recognition and Measurement Strategies for Enterprises under the New Revenue Standard [J]. Journal of Inner Mongolia University of Finance and Economics, 2018,16(02):71-75.
[2] Fu H. Research on Insurance Contracts under the New Revenue Standard [J]. New Accounting, 2018, (03):23-25.
[3] Wang J. Analysis of the Impact of New Insurance Contract Accounting Standards on the Financial Insurance Industry and Policy Recommendations [J]. New Finance, 2021, (05):61-63.
[4] Ma Y. Discussion on Revenue Recognition for Software Enterprises under the New Revenue Standard [J]. Finance and Accounting, 2022, (16):50-52.
[5] Li Y.N., Xu L.N. International Convergence and Improvement Suggestions for China's Insurance Contract Accounting Standards [J]. Accounting Communications, 2020, (07):148-151+155.
[6] Fang G.B. Analysis of the Impact of New Insurance Contract Accounting Standards on Insurance Company Profits [J]. Shanghai Insurance, 2025, (01):12-17.
[7] Chen M., Zhou L.H., Cheng Y.N. Accounting for Original Insurance Service Performance under the General Model Measurement of New Insurance Contract Accounting Standards [J]. Finance and Accounting, 2021, (13):61-65.
