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Data analytics vendor SAS has joined forces with reinsurance firm Tugu Reasuransi Indonesia (Tugure) to ensure compliance with an upcoming regulatory standard, PSAK 74, for the local insurance industry. The standard will take into effect in January 2025.
Tugure will tap on the SAS International Financial Reporting Standard (IFRS) 17 solution which aims to support users in a multitude of tasks such as data management (ETL), cash flow calculations, contractual service margins (CSM), journal entries, and disclosure reporting.
This gives local insurers a thorough and robust alternative to customised solutions, generating savings in both financial and work-hour costs, while ensuring compliance agility to PSAK 74 well before it comes into force.
The vendor’s compliance solution is already in use by insurance companies globally.
“From data orchestration and analytics, to risk and profitability reporting, insurers can protect their investments in actuarial, accounting and related solutions by integrating key IFRS 17 capabilities,” said Febrianto Siboro, managing director of SAS Institute Indonesia.
“SAS enables all of these to help organisations stay ahead of IFRS 17 requirements for compliance without losing visibility. No longer is there a need to spend more than necessary, or cause delays to PSAK 74 compliance, with a customised solution that is cost-effective and significantly reduces computational burden from new reporting guidelines.”
Based on the IFRS 17, PSAK 74 is intended to enhance transparency and comparability in financial reporting and is expected to lead to significant changes across the industry.
“Meeting the new reporting standard nearly three years in advance of its implementation will be a competitive edge for any insurance company that can achieve it,” said Tugure’s finance director, Dradjat Irwansyah.
“Having a smooth transition to PSAK 74 will enable us to serve our customers better and we are confident that SAS, with its long track record of delivering solutions to insurance companies worldwide, is the right partner for the transition.”
