Current And Future Changes In Accounting Policies (Policies) |
6 Months Ended |
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Apr. 30, 2024 | |
Statement [Line Items] | |
Current Changes in Accounting Policies | CURRENT CHANGES IN ACCOUNTING The following new standard has been adopted (millions of Canadian dollars) Amount Insurance-related liabilities $ 7,468 Other liabilities 131 Other assets (2,361) Net insurance-related balances as at October $ 5,238 Changes in actuarial assumptions, including (192) Recognition of losses on onerous contracts 113 Other adjustments (93) Net insurance-related balances as at $ 5,066 Insurance contract liabilities $ 5,761 Reinsurance contract assets (695) Net insurance-related balances as at $ 5,066 |
Insurance Contracts | Insurance Contracts The IASB issued IFRS 17 which replaced Insurance Contracts after January 1, 2023, which was November insurance contracts. Under IFRS 17, insurance contracts are Revenue is recognized as insurance services onerous. The liabilities presented by insurance reported as Insurance contract liabilities occurred and includes the loss component related have not been reported, and related insurance IFRS 17 introduces two measurement models (GMM). The Bank measures the majority of and health contracts. The PAA is a simplified model applied to insurance Contracts using the GMM are longer-term life deferred acquisition cash flows allocated reported in insurance service expenses for longer term contracts using the GMM When a group of contracts is expected increases the LRC and insurance service expenses. underlying insurance The Bank measures the LIC at the present Consolidated Balance Sheet date. The LIC non-financial risks changes related to discounting the liability are expenses were recorded in insurance Reinsurance contracts held are recognized Other assets on the Interim Consolidated Balance Consolidated Statement of Income. Refer to The Bank initially applied IFRS 17 on approach which resulted in the measurement The following table sets out adjustments Bank’s insurance-related balances reported under recognized by the Bank as at November (millions of Canadian dollars) Amount Insurance-related liabilities $ 7,468 Other liabilities 131 Other assets (2,361) Net insurance-related balances as at October $ 5,238 Changes in actuarial assumptions, including (192) Recognition of losses on onerous contracts 113 Other adjustments (93) Net insurance-related balances as at $ 5,066 Insurance contract liabilities $ 5,761 Reinsurance contract assets (695) Net insurance-related balances as at $ 5,066 On November 1, 2022, IFRS 17 transition 60 earnings of $ 112 Upon the initial application of IFRS 17 on operations to minimize accounting mismatches is applicable for entities that previously used Financial Instruments a decrease to retained earnings and an increase 10 |
Future Changes in Accounting Policies | FUTURE CHANGES IN ACCOUNTING The following standard has been issued, but Presentation and Disclosure in Financial In April 2024, the IASB issued IFRS 18, Presentation and Disclosure in Financial Presentation of Financial Statements statements. IFRS 18 focuses on the presentation beginning November 1, 2027. Early application |
Impairment - Expected Credit Loss Model Assumptions | Impairment – Expected Credit Loss Model The expected credit loss (ECL) model requires economic environment. There remains elevated has experienced significant increase in credit effects are not fully incorporated into the model |
Insurance Contracts Assumptions | Insurance Contracts The assumptions used in establishing the Bank’s For property and casualty insurance accordance with Canadian accepted actuarial the future, in order to arrive at the estimated For life and health insurance contracts, the policies. Critical assumptions used in Further information on insurance risk assumptions |