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Income Taxes
 12 Months Ended
Dec. 31, 2023
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income tax expense (benefit) consists of:
(In thousands)Current
Expense		Deferred (Benefit) ExpenseTotal
December 31, 2023   
Domestic$352,891 $(43,456)$309,435 
Foreign44,372 16,750 61,122 
Total expense (benefit)$397,263 $(26,706)$370,557 
December 31, 2022   
Domestic$295,849 $(27,544)$268,305 
Foreign42,890 23,532 66,422 
Total expense (benefit)$338,739 $(4,012)$334,727 
December 31, 2021   
Domestic$239,090 $2,752 $241,842 
Foreign— 10,048 10,048 
Total expense$239,090 $12,800 $251,890 
        

Income before income taxes from domestic operations was $1,430 million, $1,240 million and $1,224 million for the years ended December 31, 2023, 2022 and 2021, respectively. Income before income taxes from foreign operations was $324 million, $480 million and $59 million for the years ended December 31, 2023, 2022 and 2021, respectively.

A reconciliation of the income tax expense and the amounts computed by applying the Federal and foreign income tax rate of 21% for 2023, 2022 and 2021 to pre-tax income are as follows:
(In thousands)202320222021
Computed “expected” tax expense$368,425 $361,133 $269,410 
Tax-exempt investment income(8,361)(10,815)(11,380)
Change in valuation allowance(10,883)(28,064)2,974 
Impact of foreign tax rates5,461 (453)(2,368)
State and local taxes12,271 8,976 4,230 
Other, net3,644 3,950 (10,976)
Total expense$370,557 $334,727 $251,890 
At December 31, 2023 and 2022, the tax effects of differences that give rise to significant portions of the deferred tax asset and deferred tax liability are as follows:
(In thousands)20232022
Deferred tax asset:  
Loss reserve discounting$230,956 $192,181 
Unearned premiums200,938 180,326 
Unrealized investment losses126,693 228,456 
Net operating losses & foreign tax credits59,154 58,182 
Other-than-temporary impairments12,691 5,935 
Employee compensation plans68,062 63,313 
Other78,025 72,536 
Gross deferred tax asset776,519 800,929 
Less valuation allowance(36,283)(47,166)
Deferred tax asset740,236 753,763 
Deferred tax liability:  
Amortization of intangibles15,205 13,973 
Loss reserve discounting - transition rule9,894 14,843 
Deferred policy acquisition costs176,281 157,055 
Property, furniture and equipment43,501 45,887 
Investment funds161,867 125,525 
Other66,525 67,479 
Deferred tax liability473,273 424,762 
Net deferred tax asset$266,963 $329,001 

The Company had a net current tax payable of $46 million and a net tax receivable of $5 million at December 31, 2023 and 2022, respectively. At December 31, 2023, the Company had foreign net operating loss carryforwards of $220 million that have no expiration date. At December 31, 2023, the Company had a valuation allowance of $36 million as compared to $47 million at December 31, 2022. The Company has provided a valuation allowance against the utilization of foreign tax credits and the future net operating loss carryforward benefits of certain foreign operations. The statute of limitations for the Company’s U.S. Federal income tax returns has closed for all years through December 31, 2019.

The realization of the deferred tax asset is dependent upon the Company’s ability to generate sufficient taxable income in future periods. Based on historical results and the prospects for future current operations, management anticipates that it is more likely than not that future taxable income will be sufficient for the realization of this asset.

The Tax Cuts and Jobs Act of 2017 (the "Tax Act") provided for a reduction of the U.S. corporate income tax rate from 35% to 21% effective January 1, 2018. The U.S. tax law requires insurance reserves to be discounted for tax purposes. The Tax Act modified this computation. The IRS issued revised discount factors to be applied to the 2017 reserves, which increased the beginning of year 2018 deferred tax asset for loss reserve discounting. Under the related transition rule, a deferred tax liability was established which will be included in taxable income over the eight year period that began in 2018.

The Company has not provided U.S. deferred income taxes on the undistributed earnings of approximately $261 million of its non-U.S. subsidiaries since these earnings are intended to be permanently reinvested in the non-U.S. subsidiaries. In the future, if such earnings were distributed the Company projects that the incremental tax, if any, will be immaterial.