International Financial Reporting Standard 4 is an interim standard published in 2004. Over the years, with the development of the insurance industry, several fundamental problems have emerged that indicate that certain provisions of IFRS 4 are outdated or ineffective. Given the importance of the insurance industry, efforts were made to correct these problems and publish a new standard that would enable a simpler, more transparent and standardized determination of insurance contracts. In 2017, the IASB publishes the new International Financial Reporting Standard 17 - Insurance Contracts, which seeks to correct inconsistencies caused by the application of IFRS 4, i.e. to ensure transparency, standardization and comparability of financial statements of insurance companies. The application of IFRS 17 seeks to implement equal treatment of insurance contracts between the companies themselves and within the group, in order to implement the consolidation in a standardized manner. Also, the goal is to harmonize IFRS 17 with other standards, adjust estimates to reflect current changes in the market, and also to reflect financial effects and risks. The introduction of the new standard will affect management, administration and employees, as well as external users of financial statements, who will be able to monitor and compare the company's operations in a clearer and more transparent way.