David Motemaden: Hi, thanks. Good morning. Just had a question on the workers’ comp loss cost. Chris, I think you said that you expect loss cost to be slightly up, but that includes 5% medical cost severity. Could you just talk about what you’re assuming on frequency? Are you assuming negative frequency there? And maybe how we should think about that in the current environment? And then maybe just talk about on the indemnity side as well.
Chris Swift: Yes. Thank you for joining us, David. I will just be clarifying €“ the trends that I talked about on the loss cost side were relatively flat and stable year-over-year. Medical severity at 5, I didn’t give you a frequency number or not, but those trends are fairly consistent. What changed though is, sort of net rate and exposure, that , that is going to be down slightly year-over-year into a slight negative territory. On the wage indemnity side, it’s sort of a self-balancing equation from my perspective. We charge more. We collect more as salaries go up and it’s sort of a natural hedge for increasing indemnity payments that we get to collect upfront. And then there’s a little bit of medical severity benefit because only 50% of loss content in workers’ comp is wage. So, that’s what I would share with you.
Beth Costello: Yes, the only thing maybe I’ll €“ just to clarify, one item as Chris said, it’s a , right? When we think about the trend relative to loss, we’re not making a change year-over-year, but again, as you said, medical severity with 5 points, some of the other items that he referenced wouldn’t result in negative trend. So, from a pure loss cost perspective, you’d expect some increase, but all the other components that Chris talked about then also affect overall results.
David Motemaden: Got it. Okay. That’s helpful. And then just on, I guess, Chris, you had said, you expect 50 basis points underlying combined ratio improvement in commercial lines and you gave a lot of detail. Just it sounds to me like you expect most of that come from the expense ratio as opposed to the loss ratio, just given the headwind from workers’ comp obviously offset by expansion on other lines? Is that the right interpretation?
Chris Swift: I would say half-and-half. So, the point of buying ratio improvement in commercial lines year-over-year at the point from expense, at the point from margin. That’s what we’re confident we’re going to achieve. in the quarter as we execute during the year.
David Motemaden: Hello?
Chris Swift: David, sorry, I was on mute. I was going to say no. I think you’ve misinterpreted a half a point of expense ratio improvement and a half a point of loss ratio improvement and feel highly confident on that. Half a point of, I’ll call it loss ratio improvement. And we’re going to play for upside from there. Again, highly confident of achieving, sort of those midpoints and we’re going to aim to overachieve during the year.
David Motemaden: Got it. So, half a point on the underlying loss ratio. So, I guess that would imply I guess you’re assuming of expansion on everything excluding comp, I guess. If I just take €“ if I just do a weighting, 33% of your book is comp and then the balance I would expect you to get 1.5 points of improvement. Is that the right way to think about it?
