Lee Shavel: Yes. So, Seth, thank you for the question. And I’m going to ask Neil to talk about where we see incremental opportunities within the life space. I think it’s not only clients, but also thinking about kind of the nature of their technology, that low-code, no-code approach and its applicability more broadly here in the industry.
Neil Spector: Yes. Thanks, Lee. So our solution in life is a low-code, no-code software platform that helps a life insurer from the policy administration distribution claims from a full lifecycle. And what we’ve seen is even in the current environment, there is a huge need in the life industry to modernize technology. They’re behind P&C as far as modernization of systems. And as Lee pointed out, because our system is a low-code, no-code, we have the opportunity to potentially lower the operating costs of deployed lines of business on our platform pretty substantially versus legacy solutions. So there’s a strong incentive for life insurers to move on to these more flexible and lower cost operating environments. We’ve also seen a huge need from our customers in support of their transformation and that has driven some of our service or transactional revenue for our existing customers because of their desire to have us support their implementation efforts.
Operator: Your next question comes from the line of Surinder Thind with Jefferies. Your line is now open.
Surinder Thind: Thank you. Lee, could you please discuss maybe the performance in the international business, maybe what’s driving growth there and how that kind of differs from the U.S. and maybe even some product plans or how you expect to kind of further offering out there.
Lee Shavel: Yes. Thank you, Surinder. I’m going to appreciate that. We’ve been pleased with the international growth rates across the organization. I would put them into three categories. We first have our specialty business solutions, which is predominantly London-based addressing the Lloyd’s or the excess and surplus market there. They continued to have success in delivering workflow and automation efficiencies through the software platform that they are — have built and are integrating other components to. We think that’s delivers a lot of value to the participants in that market, so that’s been additive to our overall growth rate. On the underwriting side, we have a life, health, and travel business that has performed well, particularly coming off of the resurgence of global travel post the pandemic.
Since then, it’s kind of normalized, but we continue to see opportunities for that to grow. And I’m going to actually turn to Maroun Mourad, who has had several businesses internationally on the claim side to give you a sense of our experience there as well.
Maroun Mourad: Thank you, Lee. Thank you, Surinder for the question. As I may have mentioned in previous calls, we had made a decision within the international claims business to reorganize the units splitting the UK and Europe about a year ago to drive more focus and growth. And that approach and the execution of the strategy has paid dividend. I’ll talk about the UK first, which is growing with speed and focus under the leadership of Chris Sawford and his team innovating on existing property, bodily injury and auto, or motor as we call it across upon solutions. And more recently, there’s been a focus on the anti-fraud space within the UK. On the European side, under the leadership of Samer Abou-Jaoudé and his team, we had entered the bodily injury market through Germany a couple of years ago through the acquisition of ACTINEO as a matter of fact, I was just in Cologne where we hosted a market event attended by over 70 customers who showed greater support for the bodily injury solutions and product offering, as well as an appetite to engage more frequently with Verisk to on the motor side, where we have a few months back made the Krug acquisition on the motor side and that integration is proceeding well and delivering on plan.
And last but not least, we have our Mavera acquisition in Scandinavia based out of Sweden that delivers technology solutions for the bodily injury space. And finally, from an operating model perspective, we are leveraging our position in multiple territories with single finance, human resources, marketing, legal, as well as technology platforms.
Lee Shavel: And Surinder, just to kind of put it in context, the international revenues represent about 17% of our total, as you probably would see in the investor presentation. And I think the characteristic is that this is an opportunity for us to penetrate new markets. It is diverse, as you can hear from a lot of the businesses. So we have a number of growth factors and I would end by saying a focus also on elevating our dialogue to articulate the strategic value to international institutions is part of our strategy as well. So we’re happy with the progress that we’re making. We continue to see that as a substantial growth opportunity for us.
Operator: Your next question comes from the line of Ashish Sabadra with RBC. Your line is now open.
Ashish Sabadra: Thanks for taking my question. Lee you mentioned gen AI a couple of times, so — and you highlighted improving existing product as well as launching new products using gen AI. My question there was how should we think about the monetization of gen AI? Wondering if you could give some anecdotal example of some products that are coming to the market. How should we think about monetization? Will that be offered as free or will you be charging more for gen AI? And the third last would be the timeline. How should we think about timeline for some of these product launches? Thanks.
Lee Shavel: Yes. Well, thank you, Ashish. So let me give you a couple of responses to that. So first, I have to say, generative AI is something that is certainly relatively new and so there is a developing aspect to this technology and its application. And so there will be dimensions of this that we’re still in the process of piloting and testing. But let me refer you back to the comments that I made around Discovery Navigator and what we are doing in the casualty space where we are already utilizing AI, including some generative AI elements in that solution. And so generative AI is a component kind of similar to traditional AI or machine learning that is a tool to help our clients gather data, consolidate and interpret and then utilize data.
So as it relates to Discovery Navigator, there are some generative AI elements that are included in that, that we are in the process of monitoring by demonstrating the substantial ROIs by improving the speed with which they can gather that data from a workers’ comp claim through all of those medical records. So that’s in flight we have other dimensions of that in certain businesses. The second example I would give is in utilizing generative AI from a coding perspective to improve efficiency is something that we have been exploring and testing and we think there are internal efficiencies for us in adapting some of that technology. And then, finally, what is on the horizon that I referenced in speaking to our client engagement and their enthusiasm for us to developing a product is something that would be a co-pilot in an underwriting context that utilizes our data sets, our experience in supporting from an actuarial standpoint from a rating standpoint, the underwriting process that is specifically targeted to a line of business.
