SEC. 4. APPLICATION

.01 The following tables present separately for each line of business the discount factors under § 832 for the 2000 accident year. All the discount factors presented in this section were determined using the applicable interest rate under § 846(c) for 2000, which is 6.09 percent,

2000–43 I.R.B. 417 October 23, 2000

Accident and Health (Other Than Disability Income or Credit Disability Insurance)

Discount factor for all years equals 97.0874 percent.

Auto Physical Damage

Discount Tax Year Factors (%)

AY+ 0 95.7079 AY+ 1 94.3008 AY+ 2 97.0874

Commercial Auto/Truck Liability/Medical

Discount Tax Year Factors (%)

AY+ 0 88.4462 AY+ 1 87.6196 AY+ 2 89.3091 AY+ 3 88.6027 AY+ 4 88.4348 AY+ 5 90.7689 AY+ 6 86.1529 AY+ 7 91.6750 AY+ 8 90.1421 AY+ 9 92.6871 AY+10 95.2242 AY+11 97.0874

Composite Discount Factors

Discount Tax Year Factors (%)

AY+ 0 86.0068 AY+ 1 84.4299 AY+ 2 84.0175 AY+ 3 83.9135 AY+ 4 84.6433 AY+ 5 85.2133 AY+ 6 85.2701 AY+ 7 85.3660 AY+ 8 88.1610 AY+ 9 90.6657 AY+10 93.2331 AY+11 95.7807 AY+12 97.0874

Fidelity/Surety

Discount Tax Year Factors (%)

AY+ 0 93.0043 AY+ 1 94.3008 AY+ 2 97.0874

Financial Guaranty/Mortgage Guaranty

Discount Tax Year Factors (%)

AY+ 0 94.8017 AY+ 1 94.3008 AY+ 2 97.0874

International (Composite)

Discount Tax Year Factors (%)

AY+ 0 86.0068 AY+ 1 84.4299 AY+ 2 84.0175 AY+ 3 83.9135 AY+ 4 84.6433 AY+ 5 85.2133 AY+ 6 85.2701 AY+ 7 85.3660 AY+ 8 88.1610 AY+ 9 90.6657 AY+10 93.2331 AY+11 95.7807 AY+12 97.0874

Medical Malpractice — Claims-Made

Discount Tax Year Factors (%)

AY+ 0 70.6135 AY+ 1 73.2471 AY+ 2 71.8267 AY+ 3 71.2085 AY+ 4 74.7120 AY+ 5 73.1233 AY+ 6 82.6622 AY+ 7 91.6505 AY+ 8 96.4072 AY+ 9 97.0874

Medical Malpractice — Occurrence

Discount Tax Year Factors (%)

AY+ 0 64.5191 AY+ 1 67.8389 AY+ 2 72.3139 AY+ 3 76.0455 AY+ 4 72.9166 AY+ 5 78.8620 AY+ 6 83.7311 AY+ 7 86.8009 AY+ 8 91.1931 AY+ 9 93.8108 AY+10 96.4471 AY+11 97.0874

Miscellaneous Casualty

Discount Tax Year Factors (%)

AY+ 0 95.1290 AY+ 1 94.3008 AY+ 2 97.0874

Multiple Peril Lines (Homeowners/Farmowners Multiple Peril, Commercial Multiple Peril, and Special Liability (Ocean Marine, Aircraft (All Perils), Boiler and Machinery))

Discount Tax Year Factors (%)

AY+ 0 88.5313 AY+ 1 87.5052 AY+ 2 88.2611 AY+ 3 87.9246 AY+ 4 89.0327 AY+ 5 90.4578 AY+ 6 90.4533 AY+ 7 89.4276 AY+ 8 91.7961 AY+ 9 94.4397 AY+10 97.0874

Other (Including Credit)

Discount Tax Year Factors (%)

AY+ 0 96.1583 AY+ 1 94.3008 AY+ 2 97.0874

October 23, 2000 418 2000–43 I.R.B.

Other Liability — Claims-Made

Discount Tax Year Factors (%)

AY+ 0 77.8928 AY+ 1 83.2885 AY+ 2 82.3182 AY+ 3 80.0331 AY+ 4 82.9792 AY+ 5 87.5716 AY+ 6 86.1171 AY+ 7 91.6842 AY+ 8 93.7737 AY+ 9 96.4015 AY+10 97.0874

Other Liability — Occurrence

Discount Tax Year Factors (%)

AY+ 0 78.8476 AY+ 1 79.5688 AY+ 2 81.9224 AY+ 3 83.8683 AY+ 4 85.1067 AY+ 5 82.7221 AY+ 6 86.7561 AY+ 7 88.6932 AY+ 8 92.7419 AY+ 9 95.2771 AY+10 97.0874

Private Passenger Auto Liability/Medical

Discount Tax Year Factors (%)

AY+ 0 91.7145 AY+ 1 91.1741 AY+ 2 90.2569 AY+ 3 89.8777 AY+ 4 89.4206 AY+ 5 89.8689 AY+ 6 88.6823 AY+ 7 89.3993 AY+ 8 90.0819 AY+ 9 92.6259 AY+10 95.1657 AY+11 97.0874

Products Liability — Claims-Made

Discount Tax Year Factors (%)

AY+ 0 79.2866 AY+ 1 81.3032 AY+ 2 85.7298 AY+ 3 85.6427 AY+ 4 81.3092 AY+ 5 88.2121 AY+ 6 81.0185 AY+ 7 88.3819 AY+ 8 96.8185 AY+ 9 97.0874

Products Liability — Occurrence

Discount Tax Year Factors (%)

AY+ 0 75.8372 AY+ 1 78.4119 AY+ 2 76.8096 AY+ 3 78.0983 AY+ 4 79.8362 AY+ 5 79.1928 AY+ 6 80.5510 AY+ 7 72.7819 AY+ 8 78.1849 AY+ 9 80.6043 AY+10 83.2009 AY+11 86.0229 AY+12 89.1515 AY+13 92.7357 AY+14 97.0874

Reinsurance A (Nonproportional Property)

Discount Tax Year Factors (%)

AY+ 0 86.7196 AY+ 1 89.8651 AY+ 2 92.5548 AY+ 3 91.9205 AY+ 4 79.2342 AY+ 5 94.8666 AY+ 6 93.5010 AY+ 7 96.0788 AY+ 8 97.0874

Reinsurance B (Nonproportional Liability)

Discount Tax Year Factors (%)

AY+ 0 74.9392 AY+ 1 77.1865 AY+ 2 77.9061 AY+ 3 77.3172 AY+ 4 79.7911 AY+ 5 74.9223 AY+ 6 76.6707 AY+ 7 84.0847 AY+ 8 86.4718 AY+ 9 88.9546 AY+10 91.5395 AY+11 94.2379 AY+12 97.0874

Reinsurance C (Financial Lines)

Discount Tax Year Factors (%)

AY+ 0 81.2986 AY+ 1 83.6608 AY+ 2 86.8994 AY+ 3 92.7099 AY+ 4 91.3004 AY+ 5 93.1619 AY+ 6 89.7226 AY+ 7 96.9751 AY+ 8 97.0874

Special Property (Fire, Allied Lines, Inland Marine, Earthquake, Glass, Burglary and Theft)

Discount Tax Year Factors (%)

AY+ 0 92.3377 AY+ 1 94.3008 AY+ 2 97.0874

2000–43 I.R.B. 419 October 23, 2000

Workers’ Compensation

Discount Tax Year Factors (%)

AY+ 0 78.6954 AY+ 1 81.0988 AY+ 2 82.9848 AY+ 3 84.5349 AY+ 4 84.6485 AY+ 5 84.8143 AY+ 6 85.9824 AY+ 7 86.7267 AY+ 8 89.1111 AY+ 9 91.6840 AY+10 94.3504 AY+11 97.0874

DRAFTING INFORMATION

The principal author of this revenue procedure is Katherine A. Hossofsky of the Office of the Associate Chief Counsel (Financial Institutions and Products). For further information regarding this revenue procedure, contact Ms. Hossofsky at (202) 622-3477 (not a toll-free number).

October 23, 2000 420 2000–43 I.R.B.