The Impact of Implementing the International Financial Reporting Standard for Insurance Contracts (IFRS 17) On the Financial Performance of Insurance Companies Listed on the Amman Stock Exchange (Jordan)

Abstract

This study aimed to identify the impact of implementing the International Financial Reporting Standard for Insurance Contracts (IFRS 17) on the financial performance of insurance companies listed on the Amman Stock Exchange (Jordan).** 

To achieve this objective, the study adopted a descriptive-analytical approach, which aligned with the nature of the research. Financial statement data from insurance companies was analyzed both before and after the implementation of IFRS 17, with a comparative analysis conducted between the two periods. 

The researchers utilized appropriate statistical methods through STATA software. The results demonstrated that the independent variable—the implementation of IFRS 17—had a positive impact on the financial performance of insurance companies listed on the Amman Stock Exchange. 

The study concluded that IFRS 17 represents one of the most significant developments in Jordan's insurance sector. To ensure its continued successful implementation, greater preparation, planning, and execution of the standard are required. Jordanian insurance companies must monitor the effects of this new standard on their financial data, related systems, controls, processes, and outputs. Necessary improvements should be made to enhance the quality of these companies' financial performance and the reliability of their financial reports and statements. This, in turn, will positively impact users of financial statements in particular and investment activities in general.