ASC 944-30, Acquisition Costs, establishes requirements for the accounting for and financial reporting of acquisition costs. This includes related considerations for internal replacement transactions (i.e., when a product benefit or feature is modified) and reinsurance.

The types of costs that are deferrable are consistent among the various insurance models (i.e., short-duration, long-duration, financial guarantee and title insurance). See IG 2 for a description of the various models. In addition, although investment contracts issued by insurance entities lack insurance risk, the types of costs related to these contracts that are deferrable follows the DAC guidance. Although the types of costs that are deferrable is uniform among the various types of insurance and investment contracts, the method of amortization varies depending on the specific insurance model classification, as further described in IG 3.5.