Main areas of auditing insurance companies’ financial statements

Abstract

This article formulates and analyzes the main areas of audits of financial reporting of insurance organizations and audit procedures, as well as auditor's programs in this area. At the same time, proposals and recommendations on auditing the financial statements of insurance companies have been prepared. In order to confirm the financial stability and solvency of the insurance organization, the task of determining compliance of the financial and operating operations with the current legislation, the reliability and the validity of the financial results of the insurance companies in accounting and reporting, audit was organized. It is evident that as there appear legal relationship and the mutual interest on the basis of a contractual arrangement, it is required that the control system be improved. According to the AXS 200, Conducting general objectives of the independent auditor and auditing in accordance with international auditing standards and AHS 250, Consideration of laws and regulations in the audit of financial statements, the purpose of the audit is to ensure the reliability and accounting of financial (accounting) the implementation of the procedure according to the legal and regulatory requirements. Thus, the origin of the audit of the financial statements of insurance organizations is primarily incompatible with the interests of reporters (managers of the entities) and interests of users (owners of subjects of the subject), necessity of reliable information for economic decision making, the material required for evaluation appears as they are commercial secrets.