Kirk Lusk: Thanks, Paul.
Operator: Thank you. And our next question today comes from Mark Hughes with Truist. Please go ahead.
Ernie Garateix: Hey Mark, good morning.
Mark Hughes: Can you hear me?
Ernie Garateix: Yes.
Mark Hughes: Good morning, Kirk.
Kirk Lusk: Yes, good morning, Mark.
Mark Hughes: The gross losses for the Maui wildfires and Idalia, can you share that number?
Kirk Lusk: We haven’t disclosed those individual numbers yet. We’ve just kind of given a combined number of the $40 million net.
Mark Hughes: That’s your net? How much larger is the gross volume?
Kirk Lusk: The gross is not significantly large there. We have just a little bit of per risk reinsurance on there. It’s actually about a little less than $4 million.
Mark Hughes: Okay. So seemingly, the reinsurers will have made pretty good returns on your program this year. Is that fair?
Kirk Lusk: I think that is a fair assessment, yes.
Mark Hughes: Yes, yes. Okay. How much more room to run on the commercial residential business? How do you feel like your market share is there? Do you think it can get bigger?
Ernie Garateix: We think we can get a slightly bigger on that piece. We’re evaluating that as we look at the market right now as heading into ’24 and making plans for that piece. But again, it’s all going to be dependent on profitability, looking at areas and making sure we’re not overly concentrated in any one area on that piece of it. But we do think there is some more runway on that piece.
Kirk Lusk: Yes. Also, there have been a number of meetings with agents to kind of explore additional opportunities. And we think that there are some opportunities there that would give us some additional runway.
Mark Hughes: Yes. Okay. Want to look at your non-cat, non-weather losses. They’re definitely down substantially year-over-year, maybe ticked up a little bit sequentially. Is that some seasonality perhaps just around 3Q? Do you see a similar pattern last year? I think you had said, Ernie, that you’re seeing improvement in litigation. Would you say that the progression from 2Q to 3Q was normal in terms of non-cat, non-weather losses good? How would you characterize that?
Ernie Garateix: Yes. I would say it’s good. It’s also a bit of seasonality, right, when you get to that end of the third quarter on that piece last year. If you take a look at Ian, right, our weather attritional losses were low obviously after Hurricane Ian, right, which is normally what we see on that piece of it. But we are very pleased in the direction that it’s heading and hope that, that continues.
Kirk Lusk: Yes. One other aspect about it is with our PIF count down, policy count down, that actually has a tendency to drive the frequency down a little bit there also. So when you look at the attritional losses, with our premiums being up and PIF counting down, that’s also one of the drivers.
Mark Hughes: Very good, thank you.
Operator: Thank you. And ladies and gentlemen, this concludes our question-and-answer session. I’d like to turn the conference back over to the management team for any closing remarks.
Ernie Garateix: We appreciate everybody joining us on the call today and wish everyone a great weekend.
Operator: Thank you. This concludes today’s conference call. We thank you all for attending today’s presentation. You may now disconnect your lines and have a wonderful day.
