Charlie Lederer: Okay. And I guess just one quickly. I think the guide was for 40% amortization in 2024 of the intangibles from the Validus deal. Is that still the guide? It came in a little lighter than we expected in the quarter?
Robert Qutub: Yes. It started — the amortization started the first — last two months of last year. So, as I tried to guide Brian to, when he asked a question from UBS, was that they are going to start to taper off over the course of this year, and a bulk of them will be out by end of this year, into the first quarter of next year. And then the longer tail on some of the longer lived intangibles will stay in for a while.
Charlie Lederer: Okay. Thank you.
Operator: Our next question comes from David Motemaden with Evercore ISI. Please go ahead.
David Motemaden: Hi. Thanks. Good morning. Hoping you could dig into the reserve development in the casualty and specialty segment. Just some of the moving pieces among the lines behind the $2.4 million of favorable development?
Robert Qutub: Yes. No. David, that’s a good question. We have — the purchase accounting does go through the prior year. And so prior year development had about basically 2 points coming through there related to that. And so you will see a repressed level of favorable development. So, I think, about $10 million, $11 million.
David Motemaden: Got it. And what was driving that? The $11 million — $10 million or $11 million of favorable development?
Robert Qutub: Yes. That’s coming across as we go through the development on our prior years. But that $10 million or $11 million is the purchase accounting adjustment that goes against it. So, I think, pre-purchase accounting, favorable development would have been closer to about $13 million or $14 million.
David Motemaden: Understood. Thanks. Thanks for that clarification. And I think this came up just sticking on the reserves on the casualty side. I think it came up earlier that on accident year 2014 through 2018, you guys still have substantial protections on those years. Could you just elaborate what you mean by that? And how much protection you’re referring to?
Kevin O’Donnell: Yes. So, there’s several things that I was trying to highlight on that. So, one is our book was substantially smaller from a written perspective in those years. If you look at the growth of our overall casualty specialty, it really started to increase materially in 2019. The acquisitions that we’ve made, which brought prior year reserves were protected by ADCs, which we discussed before, both for Tokyo and for Validus, which buffers it. And then additionally we have additional protections that we purchased for the syndicate for the years prior to 2018. So within all of those, there’s significant limit in coverage, which also reduces the net amount which was captured in the 5% that I highlighted earlier.
David Motemaden: Got it. And on the Tokyo Marine ADC, is there any way we can size how much of protection is left on that?
Kevin O’Donnell: No, there’s limit left and we’re not going to talk about an individual contractor with a counterparty.
David Motemaden: Okay. Makes sense. Thank you.
Kevin O’Donnell: Thank you.
Operator: And this will conclude today’s question-and-answer session. I would now like to turn the conference back to Kevin O’Donnell for any additional or closing remarks.
Kevin O’Donnell: Well, thank you, everybody. We’re pleased with the results we’ve had this year and look forward to our call next quarter. Thanks, again.
Operator: And this concludes the RenaissanceRe First Quarter 2024 Earnings Call and Webcast. Please disconnect your line at this time, and have a wonderful day.
