Insurance
Investment in Associate — Equity Method Pickup
Recording the insurer's share of profit from a strategic investment in an associate company.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Investment in Associate | Asset (+) | 500,000.00 | - |
| Share of Associate Profit | Revenue (+) | - | 500,000.00 |
💡 Accountant's Note
Large insurers often have strategic equity stakes in banks, hospitals, or other companies. Under IAS 28, significant influence (20-50% ownership) requires the equity method — the insurer's share of profit increases the investment carrying value.
Professional Excel Template
Get the automated version of this entry. Includes built-in IFRS checks, VAT calculators, and SAP-ready upload formats.
QA
Expert Analysis by Qusai Ahmad
General Accountant Supervisor & IFRS Specialist
Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.