2022 loss reserve discount factors for insurers released by IRS

On December 23, 2022, the Internal Revenue Service (IRS) released Revenue Procedure 2023-10, which contains the new discount factors for the 2022 accident year for use by insurance companies in computing discounted unpaid losses and discounted estimated salvage recoverable.

Tables 3 and 4 provided for in this Revenue Procedure present the discount factors for each line of business for losses incurred in the 2022 and earlier accident years. This Revenue Procedure applies to any insurance company that is required to discount unpaid losses under Internal Revenue Code (IRC) section 846 or that is required to discount estimated salvage recoverable under IRC section 832.