- 13 -
I. Treasury Methodology
The Department of Treasury calculates the asset/liability
percentage (i.e., the mean of assets of domestic insurance
companies divided by the mean of total insurance liabilities of
those same domestic companies) and the domestic investment yield
(i.e., the net investment income of domestic insurance companies
divided by the mean of assets of those same domestic insurance
companies) for purposes of section 842(b) using the financial
data obtained from the A.M. Best Co. The A.M. Best Co. compiled
the data from the NAIC forms 1 filed by domestic insurance
companies with their respective State insurance regulatory
authorities. The Treasury considers only data from those
companies that appeared in the A.M. Best Co. files for both the
second and third years preceding the year at issue (2-year
aggregate data). For the years at issue, the Treasury calculated
the following asset/liability percentages and domestic investment
yields:
Return Years Asset/Liability Domestic Investment
Percentage Yield
1988 120.5% 10.0%
1989 117.2 8.7
1990 116.5 8.8
J. Motion For Entry of Decision
On October 31, 1994, respondent filed a motion for entry of
decision. On November 1, 1994, petitioner objected to
Page: Previous 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 NextLast modified: May 25, 2011