Rick McKenney: Yes, I appreciate that question, Tom. I’m going to turn it over to Mark Till, who runs our international operations. Mark?
Mark Till: Yes. Thank you, Rick. The way I would think about it is, firstly, we’ve got a strong underlying performance in the business. Secondly, in the UK, we have had very high inflation building through the course of 2022. In the UK, the inflation benchmark we used has peaked at 14.2% in October because we cap our benefits where they are inflation-linked at 5%; it creates a margin for us. We expect that to decline during the course of 2023 as the inflation rate starts to trend downwards. We have a government stance of halving inflation in the UK. So therefore, you should start to see it coming off during the €“ probably during the first half of 2023. And we think our long-term position with this business should be generating something in the low-20 millions.
Tom Gallagher: Got you. And just related to that, Till, would you expect some level of favorability to persist into the earlier part of 2023?
Mark Till: Yes. In the early part of 2023, as it starts it trend down from what’s now 13 and a bit towards a more long-term average. We’ll get that benefit probably in the first half of the year.
Tom Gallagher: Got you. Thanks. And then if I could just sneak one more in. The 100, I thought the rate increase comments on long-term care were interesting. I guess I was a little surprised you only got 100 million of NPV of rate increases in 2022, which then makes your January success of 200 million for one state, a very big number, certainly in proportion. But can you just give a little bit about what’s going on there? Was there a big backlog? Would you expect other meaningful increases? Or do you think this is the big one for most of 2022?
Steve Zabel: Yes, Tom, it’s Steve.
Tom Gallagher: Sorry, I meant for most of 2023?
Steve Zabel: 2023, yes. This is the big one. We have a lot of outstanding requests in a lot of states that are meaningful, but in most of those states their annual approvals that are phased in over time. And so they really approve portions of it on a year-to-year basis. And that’s mostly what we have left, and so we were very happy with the 100 million in 2022. That’s just kind of where we are with the program that what we’re down to, it’s going to take multiple years to get it through the process. But what I would say is that they are getting through the process, states are approving them. We continue to make progress and so we have no reason to believe that our best estimate is not a good estimate ultimately.
Tom Gallagher: Okay. Thanks.
Steve Zabel: Thanks Tom.
Rick McKenney: Thanks Tom.
Operator: Thank you. The next question today comes from the line of Mark Hughes from Truist. Please go ahead. Your line is now open.
Mark Hughes: Yes. Thank you and good morning. You mentioned natural growth a few times. Could you give a specific number for that in the fourth quarter?
Mike Simonds: It’s Mike. Good question. Sort of ranges a bit by product line, but you placing it somewhere in the 5% to 6% range for group insurance is a pretty good number for us. Pretty evenly split, Mark, in terms of new employees coming on as well as the wage increases that are coming through.
Rick McKenney: I think it’s important, Mark, to realize that is, as Mike mentioned, that is the group line. So we have premiums coming through all of our voluntary lines, et cetera, which just don’t feel that immediate benefit like we do get to see on the group side.
Mark Hughes: Yes, exactly. And then the €“ could you talk about the benefit ratio in Colonial Life? Obviously some improvement here through the year. So what’s the €“ what should we expect 2023 or what’s the normal run rate?
