Insurance: Property and Casualty Insurance

What is property and casualty (P&C) insurance? And what does accounting for property and casualty insurance look like in practice? If you’re looking to understand the unique accounting and reporting requirements for P&C insurance contracts under U.S. GAAP, specifically those outlined in ASC 944, this course is for you.

This CPE-eligible, online course (2.0 CPE credits) provides a foundational overview of the primary accounting principles that apply to short-duration insurance contracts. From underwriting to claims, you'll gain a clear understanding of how to account for premiums, acquisition costs, reserves, and more.

Designed for accountants, auditors, and financial professionals working in or with the insurance industry, this course covers the entire financial reporting cycle for P&C insurers. You’ll explore the underwriting process, how premiums are earned and recognized, and how insurers account for claims and loss adjustment expenses (LAE). You'll also learn how to evaluate and recognize premium deficiencies and gain an understanding of the key differences between U.S. GAAP and Statutory Accounting Principles (SAP).

Topics covered in this course include:

• Introduction to the P&C insurance business
• Underwriting process and accounting for premiums
• Claims/reserving process and accounting for loss and LAE reserves
• Accounting for premium deficiencies
• Overview of significant U.S. GAAP and Statutory Accounting Principles (SAP) differences

ASC 944, Financial Services—Insurance, outlines unique requirements for accounting for property and casualty insurance, especially for short-duration contracts, which represent the majority of the P&C insurance industry. This course equips you with the knowledge to navigate these requirements confidently and accurately.

Interested in group discounts for your team? Contact us to learn more.

 By the end of this course, you should be able to: 

• Classify the various lines of business offered by property and casualty (P&C) insurance entities
• Recall how premium revenue is recognized for both short – and long duration insurance contracts 
• Identify whether policy acquisition costs should be capitalized and recall the accounting for subsequent amortization  
• Identify the various components of loss and LAE reserves and when/how they should be accrued 
• Recall whether or not a premium deficiency liability needs to be recorded 
• Identify significant differences between U.S. GAAP and statutory accounting practices (SAP) related to P&C insurance contracts