<TABLE> <S> <C>
<ARTICLE> 7
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANACIAL INFORMATION EXTRACTED FROM FORM
FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2000 AND IS QUALIFIED IN ITS ENTIRETLY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<CIK> 0000225648
<NAME> DANIELSON HOLDING CORPORATION
<MULTIPLIER> 1000
<CURRENCY> U.S. DOLLARS
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-START> JAN-01-2000
<PERIOD-END> SEP-30-2000
<EXCHANGE-RATE> 1
<DEBT-HELD-FOR-SALE> 123,841
<DEBT-CARRYING-VALUE> 0
<DEBT-MARKET-VALUE> 0
<EQUITIES> 23,049
<MORTGAGE> 0
<REAL-ESTATE> 0
<TOTAL-INVEST> 149,422
<CASH> 2,794
<RECOVER-REINSURE> 18,180 <F1>
<DEFERRED-ACQUISITION> 3,512
<TOTAL-ASSETS> 199,401
<POLICY-LOSSES> 86,807
<UNEARNED-PREMIUMS> 21,692
<POLICY-OTHER> 0
<POLICY-HOLDER-FUNDS> 732
<NOTES-PAYABLE> 0
1,849
0
<COMMON> 0
<OTHER-SE> 81,908 <F2>
<TOTAL-LIABILITY-AND-EQUITY> 199,401
48,140
<INVESTMENT-INCOME> 6,528
<INVESTMENT-GAINS> 5,741
<OTHER-INCOME> 791
<BENEFITS> 36,428
<UNDERWRITING-AMORTIZATION> 8,824
<UNDERWRITING-OTHER> 9,643
<INCOME-PRETAX> 6,170
<INCOME-TAX> 144
<INCOME-CONTINUING> 6,026
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 6,026
<EPS-BASIC> .33 <F3>
<EPS-DILUTED> .32 <F4>
<RESERVE-OPEN> 79,306
<PROVISION-CURRENT> 35,895
<PROVISION-PRIOR> (467)
<PAYMENTS-CURRENT> 17,315
<PAYMENTS-PRIOR> 25,917
<RESERVE-CLOSE> 71,502
<CUMULATIVE-DEFICIENCY> (2,491)
<FN>
<F1> INCLUDES REINSURANCE RECOVERABLES ON UNPAID LOSSES OF 14,305 AND
REINSURANCE RECOVERABLES ON PAID LOSSES OF 3,875.
<F2> INCLUDES TREASURY STOCK OF (66).
<F3> REPRESENTS EARNINGS PER SHARE-BASIC.
<F4> REPRESENTS EARNINGS PERSHARE-DILUTED.
</FN>
</TABLE>