JofA Article
By Jeff Drew
FASB issued two new Accounting Standards Updates (ASU) that delay many of the effective dates for new standards on leases, hedging, current expected credit losses (CECL), and long-duration insurance contracts.
The updates came a month after FASB voted unanimously to delay certain effective dates for leases, hedging, and CECL and to align the effective dates for long-duration insurance contracts with the new CECL standards.
The new ASUs are as follows:
- ASU No. 2019-10, Financial Instruments — Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates, finalizes effective date delays for private companies, not-for-profit organizations, and certain smaller reporting companies applying the credit losses, leases, and hedging standards.
- ASU No. 2019-09, Financial Services — Insurance (Topic 944): Effective Date, finalizes insurance standard effective date delays for all insurance companies that issue long-duration contracts such as life insurance and annuities.