Stephanie Bush : Yeah, absolutely. What I would share with you is that on the in-force book, you see the written rate. The rate has to earn in. But as we’ve shared in previous calls, we also look at new business rate adequacy. So when — what is the rate level of new business? And we expect, based on all of our actions that more than half of our states by this year, by year-end, will be new business rate adequate. And that makes up about 65% of our new business volume. And so again, that gives us a degree of confidence in terms of continuing to market to drive in new. So you have to think about new business being rate adequate given all of our rate actions. And then on the in-force, that book is going to earn in that rate overtime.
Josh Shanker : Thank you for the details. Appreciate it.
Operator: And we will take our next question from Michael Zaremski with BMO Capital Markets. Your line is open.
Unidentified Analyst: Hi, good morning. This is Jack on for Mike. Just one question on the commercial insurance competitive environment. Excluding workers’ comp, are you surprised at all that commercial pricing has continued to increase? Any thoughts on how we should think about pricing into 2024 once higher reinsurance costs are through the system? And we’re seeing some declines in certain core CPI gauges.
Chris Swift: Hey, Jack, thanks for the question. I’ll start and I’ll have Mo add. No, I don’t think there’s any surprise. I thought I tried to address it that just given the environment, I think the continuation of rate being disciplined reinsurance costs are probably increasing. All point need to be disciplined on rate and work with our distribution partners and customers to make sure they understand why, so that there can be an element of explanation back to the end customer. So I see more of the same as we head into ’24 at this point in time. But Mo, what would you add on the commercial side?
Mo Tooker : Yeah. No, I would say that the reinsurance market feels fairly stable, fairly predictable. So I think that’s getting priced in ahead of renewal dates. I would say, second, the rate environment is still pretty conducive. We think it’s constructive and we think that will continue. And then third, again, I talked before about we have months periodically where we just think the market is competitive. It just is lumpy that way. And oddly right now, October is feeling really good. And so just things bounce around a little bit, and that’s just — we’re going to be really disciplined about it, but we’re looking to grow in a really responsible fashion.
Unidentified Analyst: Thank you.
Operator: We will take our next question from Tracy Benguigui with Barclays. Your line is open.
Tracy Benguigui: Good morning. There is a big debate on what is the best definition of pricing. Is it pure rate or exposure to act like rate? Your 19.7% pricing increase for personal auto is a great achievement. I’m not really hearing that pricing level from your peers. So just to get grounded, are you including exposure in there? And if you are, how does auto exposure act like rate?
Chris Swift: Tracy, I would add some commentary and then ask Stephanie. But my commentary is going to be more on commercial just so you have that. It’s somewhat unique in Personal Lines auto, home. Home, we talk about the rate that we’re achieving both includes pure rate and ITV, which we think works in tandem. But I think we disclosed — I know I talked about it in my prepared remarks, ex comp, our renewal written pricing was 8% in the quarter, up four tenth. And I would say the component of exposure that acts like rate there, yes, I think you could think of it as basically 2.5 points, 2.6 points to be precise for one third exposure and then two third sort of net rate. That’s on commercial. And I would ask Stephanie to explain to you the auto.
