SECTION 7. — Internal Revenue Bulletin 2024-34

OF CREDIBLE MORTALITY INFORMATION

.01 Experience Study Period . The applicant must identify the period of time covered by the mortality experience study (“Experience Study Period”) used to develop the Substitute Base Table(s) and the base year for the Substitute Base Table(s). See § 1.430(h)(3)-2(d)(2) and (f) (4) (regarding the selection of an experience study period) and § 1.430(h)(3)-2(c)

(3)(ii) (regarding identification of the base year).

.02 Full credibility threshold . The applicant must identify the full credibility threshold in § 1.430(h)(3)-2(d)(3) and the number of actual deaths in the Experience Study Period.

.03 Optional rules . (1) Simplified rule. The applicant must identify whether it used the simplified rule under which the determination of whether there is credible mortality information for a gender is made by only taking into account individuals who are at least age 50 and less than age 100. See § 1.430(h)(3)-2(c)(2) (ii)(B).

(2) Combined genders rule . The applicant must identify whether it used the rule under which a single mortality ratio is developed and applied for both genders to construct Substitute Base Tables for the Plan (or Aggregated Group). See § 1.430(h)(3)-2(d)(6).

Required information. The information required in section 7.04(1)-(12) of this revenue procedure must be provided in tabular form for all individuals within each population for whom separate approval to use substitute mortality tables is requested, for all ages between 18 and 100 (unless the applicant is using the simplified rule as provided in section 7.03(1) of this revenue procedure, in which case, only those individuals who are at least age 50 and less than age 100 are considered). This information must be provided separately for each 12-month period in the Experience Study Period and also as an aggregate amount for all 12-month periods in the Experience Study Period.

(1) The total number of individuals at that age at the beginning of the 12-month period, excluding individuals who left the population during the 12-month period for reasons other than death.

(2) The total number of individuals at that age at the beginning of the 12-month period who left the population for reasons other than death.

(3) The total number of individuals at that age at the beginning of the 12-month period who died during the 12-month period.

(4) The number of expected deaths for individuals at that age determined by multiplying the mortality rate from the stan

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dard mortality table described in section 7.05(1) of this revenue procedure by the total of the individuals determined in section 7.04(1) and (2) of this revenue procedure, adjusted for exposure periods of less than 12 months.

(5) The sum of the benefit amounts described in § 1.430(h)(3)-2(d)(2)(iii) for all individuals at that age at the beginning of the 12-month period, excluding individuals who left the population during the 12-month period for reasons other than death.

(6) The sum of the benefit amounts described in § 1.430(h)(3)-2(d)(2)(iii) for individuals at that age who left the population during the 12-month period for reasons other than death.

(7) The sum of the benefit amounts described in § 1.430(h)(3)-2(d)(2)(iii) for individuals at that age who left the population during the 12-month period on account of death.

(8) The amount determined by multiplying the mortality rate for that age from the standard mortality table described in section 7.05(1) of this revenue procedure, by the total of the amounts determined in section 7.04(5) and (6) of this revenue procedure, adjusted for exposure periods of less than 12 months.

(9) The amount determined under section 7.04(8) of this revenue procedure, except that, if the 12-month period in the experience study period begins in 2020, 2021, or 2022, then the mortality rate must be from the adjusted standard mortality table in section 7.05(2) of this revenue procedure.

(10) The sum of the squares of the benefit amounts described in § 1.430(h)(3)2(d)(2)(iii) for all individuals at that age at the beginning of the 12-month period excluding individuals who left the population during the 12-month period for reasons other than death.

(11) The sum of the squares of the benefit amounts described in § 1.430(h) (3)-2(d)(2)(iii) for individuals at that age who left the population during the 12-month period for reasons other than death.

(12) The amount determined by multiplying the mortality rate from the standard mortality table described in section 7.05(1) of this revenue procedure by the total of the amounts determined in section

7.04(10) and (11) of this revenue procedure, adjusted for exposure periods of less than 12 months.

.05 Standard mortality table . (1) The request must include the standard mortality table for the base year for the Substitute Base Table, determined pursuant to § 1.430(h)(3)-2(d)(4)(iii).

(2) If a 12-month period in the experience study period begins in 2020, 2021, or 2022, then the request must also include the standard mortality table for the calendar year in which the 12-month period begins reflecting the adjustment provided for in § 1.430(h)(3)-2(d)(4)(iii)(B) for the 12-month period. .06 Adjustment for exposure periods of less than 12 months . The request must include a description of the method or methods used to make adjustments for individuals who left the population for reasons other than death to reflect exposure periods of less than 12 months.

.07 Adjustments to make experience study predictive of future mortality experi- ence in light of changes to the plan popu- lation. The request must include a description of any method used to adjust the experience study data to reflect changes in the population during the Experience Study Period. For example, if an annuity purchase, lump sum window or other risk transfer activity occurred during the experience study, the request should include a description of how those populations were treated in the study.

.08 Other data adjustments. The request must include a description of any other method used to adjust experience study data.

.09 Other relevant information . The request should also note if any future risk transfer activity is anticipated, and, if so, a description of how that would affect the population.