### Question
What is the definition of loss development factor?


### Answer
The definition of **loss development factor** is as follows in *15 U.S.C. § 1013*:

> an adjustment to be made to reserves held for losses incurred for claims reported by any person engaged in the business of insurance, for the purpose of bringing such reserves to an ultimate paid basis

#### Citation:
  - *15 U.S.C. § 1013*
  - Heading: **CHAPTER 20-REGULATION OF INSURANCE**

