Chartered Accountants Ireland has published Technical Release 13/2016 “Guidance for Auditors of Insurance Undertakings in Ireland”. The Technical Release provides guidance to auditors engaged by an insurance undertaking to carry out an audit of the undertaking’s financial statements and, where applicable, to provide a reasonable assurance opinion in relation to the relevant elements of the Solvency and Financial Condition Report (SFCR) of that undertaking.
This Technical Release provides guidance on the following matters of relevance to the auditors of insurance undertakings in Ireland:
- The duties and right of the statutory auditor to report to the Central Bank of Ireland (“the Central Bank”) in certain circumstances;
- Reporting on elements of the SFCR of insurance undertakings subject to the European Union (Insurance and Reinsurance) Regulations 2015 (SI 485 of 2015), including illustrative auditor opinions;
- Meetings between the statutory auditor and the Central Bank under the Auditor Protocol framework for communication between auditors of regulated financial service providers and the Central Bank.
Previous guidance for the auditors of Irish insurance undertakings was contained in the Auditing Practices Board’s Practice Note (PN) 20 (I) The audit of insurers in the Republic of Ireland issued in 2002. That PN was withdrawn by the Financial Reporting Council (“FRC”) in January 2016. Auditors of insurance undertakings not subject to SI 485 of 2015 continue to refer to Chartered Accountant’s Ireland’s Technical Alert 01/2016, Reporting on regulatory returns of insurers: Extract from PN 20(I), in relation to guidance for auditors reporting on the regulatory returns of insurers not subject to SI 485 of 2015.