(paragraphs 29-37 and B36-B92 of IFRS 17)

BC146 As explained in paragraphs BC19-BC20, IFRS 17 requires an entity to measure the fulfilment cash flows at a risk-adjusted present value. The sections below discuss the measurement of the fulfilment cash flows, in particular:

(a) how an entity estimates the expected value of cash flows (see paragraphs BC147-BC157);

(b) which cash flows should be included in the expected value of cash flows (see paragraphs BC158-BC184N);

(c) how the cash flows are adjusted to reflect the time value of money and the financial risks, to the extent that the financial risks are not included in the estimates of future cash flows (see paragraphs BC185-BC205B); and

(d) how the cash flows are adjusted to depict the effects of non-financial risk (see paragraphs BC206-BC217).