Insurance
Unearned Premium Reserve (UPR) — Monthly
Deferring the unearned portion of annual premiums using the 1/365 pro-rata method.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Written Premium (Gross) | Revenue (-) | 900.00 | - |
| Unearned Premium Reserve (Liability) | Liability (+) | - | 900.00 |
💡 Accountant's Note
For short-duration contracts (motor, property), revenue is earned over the policy period. A policy written on October 1 for one year has 9/12 unearned at December 31. The UPR represents future obligations to provide coverage.
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.