Donald Templin: Yes. look, it’s a technical issue. So, we’ll acknowledge that up front. Look, these are going to be high-cost drug delivery when you get into the whole genetic side of what’s going on. And this is an area, where the team actually, for the last couple years, has been trying to, as best as able, without much experience, like what do we think usage is going to look like, and how do we think about usage not just within a particular plan or a client, but how do we think about it across a book of business. And so, there’s a lot of benefit to what we’ve done the last few years and growing scale in this space. I think the story will be written into the future for sure, but it’s a topic that the team from an underwriting and pricing perspective is anticipating and making as smarter decisions as we possibly can, getting outside perspective that feeds into how we think about layering in this pricing to the underwriting manual and those sorts of things.
So, I think we’re doing our best and we’re paying attention to it to your point. It’s a hot topic in this space, just because of the size of the cost that comes with it. But again, this is something we’re paying close attention to and again, both hands on the wheel.
Josh Shanker: Thank you.
Operator: Our next question comes from Joel Hurwitz with Dowling & Partners. Please proceed with your question.
Joel Hurwitz: Hey. good morning. Just a follow-up on the $12 billion wealth pipeline. How much of that is full service versus recordkeeping and sort of how do the pipeline and both of those businesses compare year-over-year?
Rob Grubka: Yes. look, I would just think about it as consistent with our book. The thing I keep coming back to with this is, it’s a powerful data point for sure. We’re not done writing new business. We’re not going to sit around and wait for this thing to refill. You always just keep filling the front of the funnel. We’re not talking about things we know about for ’25 and ’26, but we’ve got a lot of optimism is what we’re seeing from, in those cases, more from a recordkeeping perspective. The $12 billion that we’re talking about, again, year-over-year, it’s up 15%. We feel great about that. In this sort of environment, we’ve gone through, we were seeing a little bit slower to develop in the tax-exempt side of the marketplace.
We’re seeing some of the negative effects of that this year; but as we look forward, we’re starting to see a much better trajectory on activity. I would tell you in the middle part of the market, really strong performance year-over-year is emerging there, building confidence. And importantly, enabling us to connect across health business, wealth business and Benefitfocus. We’re both health and Benefitfocus, there’s been much more home base has been middle market. We’re really excited about that again, being a leverage point for talking about how we drive benefits and savings strategically, and drive and learning for the organization as we continue to get experience in that space collectively across all three business. But look, a lot of optimism, you can hear that coming through.
And again, this isn’t all we’re going to be doing.
Christine Hurtsellers: And simply put, just keep in mind that we serve multiple markets across tax codes and we’re a leader in the space. And so, that our value prop is resonating with our clients. As Rob mentioned, we’re quite excited by what we’re seeing.
