Thomas Gayner: Yes. Scott, it is most significantly concentrated within our general liability and professional product lines and more specifically within segments of those classes, but there are large segments and the ones we’ve underwritten for a long time. We’ve also grown meaningfully over the years. So again, that primary casualty contractors GL, Excess & Umbrella, D&O, E&O and what I would sort of say there is we feel like there continues to be uncertainty in the current claims environment. And we’re dealing with a degree of unknown. And I would just say, generally, that causes our radar to be up. And it doesn’t feel like the recent social inflation trends, the cost to adjust and settle claims, the prevalence of litigation funding, the aggressiveness of the plaintiffs’ bar, the sentiment of juries and so on is likely to abate in the near-term.
So we’re planning accordingly. We’re building in a margin of safety today to try to get a step ahead of that tomorrow. That’s kind of what Markel has always done to your point. We are also responding by, we’re pushing rate. We’re adjusting terms. We’re shortening limits. We’re modifying attachment points on a deal-by-deal basis. We’re shaping our portfolios, really taking a robust analysis of this underlying claims trends and activities, using segmentation strategies that can impact exposures and locations, subclasses, insureds and so on. And we’re trying to build more diversification into our book by challenging areas where we were maybe slightly concentrated in favor of segments where we wanted to grow. So I mentioned earlier the example of sort of thinking of construction or contractors in the four largest states, being sensitive to the weight of the business in those spaces.
So each organization, each company is going to sort of take different approaches. Timing is always going to differ largely, I think what I’m speaking to. We view that to be an industry-wide set of circumstances. We’ve been talking about it for a while. The industry has been grappling with in a while. I would also say that, fortunately, I think it’s leading to really good conversations with our trading partners. In the current trading environment, given some of the industry missteps on the year, I mean, more due consideration is given to the quality of the insurance solution, our market-leading claims handling capabilities, I think are really well recognized, and clients are thinking really carefully about who’s going to be there for them in five years and 10 years and 20 years.
So I think we’re kind of trying to go with that from a little bit of a position of strength.
Scott Heleniak: Thanks.
Operator: And this concludes our question-and-answer session. I would like to hand the call back over to Tom Gayner for any closing remarks.
Thomas Gayner: Thank you very much for joining us. We look forward to catching up with you 90 days from now. Thank you so much. Bye-bye.
Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.
