1103

APPLICATION OF THE

2012 IAR MORTALITY TABLE

1103.1 In using the 2012 IAR Mortality Table, the mortality rate for a person age x in year (2012 + n) is calculated as follows:

$$q_x²⁰¹²⁺ⁿ = q_x²⁰¹² (1-G2_x)^n$$

The resulting $q_x²⁰¹²⁺ⁿ$ shall be rounded to three decimal places per 1,000, e.g., 0.741 deaths per 1,000. Also, the rounding shall occur according to the formula above, starting at the 2012 period table rate.

For example, for a male age 30, $q_x²⁰¹² = 0.741$.

$$q_x²⁰¹³ = 0.741 * (1 - 0.010) \wedge 1 = 0.73359, \text{ which is rounded to } 0.734.$$

$$q_x²⁰¹⁴ = 0.741 * (1 - 0.010) \wedge 2 = 0.7262541, \text{ which is rounded to } 0.726.$$

A method leading to incorrect rounding would be to calculate $q_x²⁰¹⁴$ as $q_x²⁰¹³ * (1 - 0.010)$, or $0.734 * 0.99 = 0.727$. It is incorrect to use the already rounded $q_x²⁰¹³$ to calculate $q_x²⁰¹⁴$.

SOURCE: Final Rulemaking published at 62 DCR 5493 (May 1, 2015).