Q3 2025 Assurant Inc Earnings Call
Speaker #1: All and webcast at this time . All participants have been placed in a listen only mode , and the floor will be open for your questions .
Speaker #1: Following management's prepared remarks , we ask that you please hold all questions until the completion of the formal remarks , at which time you will be given instructions for the question and answer session .
Speaker #1: It is now my pleasure to turn the floor over to Sean Mosher , Vice President of Investor Relations . You may begin .
Speaker #2: Thank you . Operator , and good morning , everyone . We look forward to discussing our third quarter results with you today . Joining me for conference call are Keith Demmings , our President and Chief Executive Officer .
Speaker #2: And Keith , our chief financial officer . Yesterday , after the market closed , we issued an earnings release announcing our results for the third quarter of 2025 .
Speaker #2: The release and corresponding financial supplement are available on ASSURANT, INC. . Also on our website is a slide presentation for our webcast participants .
Speaker #2: Some of the statements made today are forward looking , forward looking statements are based upon our historical performance and current expectations and subject to risks , uncertainties and other factors that may cause actual results to differ materially from those contemplated by these statements .
Speaker #2: Additional information regarding these factors can be found in the earnings release , presentation and financial supplement on our website , as well as in our SEC reports .
Speaker #2: During today's call , we will refer to non-GAAP Financial Measures , which we believe are important in analyzing the company's performance . For more details on these measures , the most comparable GAAP measures and a reconciliation of the two , please refer to the earnings release , presentation and financial supplement on our website .
Speaker #2: We'll start today's call with remarks before moving into Q&A . I will now turn the call over to Keith Demmings .
Speaker #3: Good morning , everyone , and thank you for joining us . 2025 continues to be a remarkable year for Assurant . We delivered a very strong third quarter with double digit earnings growth across both global housing and global lifestyle .
Speaker #3: Our We continue to execute for our partners , policyholders and shareholders our unwavering commitment to operational excellence continues to deliver exceptional client outcomes .
Speaker #3: performance during the quarter and year to date continues to drive significant cash generation and support our balanced capital allocation through our powerful B2b2c business model and diversified lifestyle and housing portfolio .
Speaker #3: Customer experiences and differentiated returns . Through the first nine months of the year , we've achieved 13% adjusted EBITDA growth and 15% adjusted EPs growth , both excluding reportable catastrophes .
Speaker #3: Given the strength of our business performance , we're increasing our 2025 outlook . We now expect full year adjusted earnings per share growth of low double digits and adjusted EBITDA growth approaching 10% .
Speaker #3: Excluding Cats , a significant increase from our initial expectations for both metrics . This upward revision further differentiates Assurant in the broader PNC industry .
Speaker #3: As a provider of innovative services within specialized protection and insurance products , our performance is a testament to our talented employees and their commitment to our clients and policyholders .
Speaker #3: Their dedication is the foundation of our success , and it's one of the reasons why we've been recognized by time as one of the world's best companies .
Speaker #3: For the third year in a row . Let's turn to global lifestyle performance and highlights lifestyle earnings have continued to accelerate throughout 2025 and have increased 4% or 6% on a constant currency basis year to date , supported by double digit growth in the third quarter , we remain well positioned to deliver full year growth across both connected living and global automotive in connected living , performance has been the result of executing on our long term strategy to drive commercial momentum through new client programs and the continued expansion of our partnerships , combined with enhanced capabilities and services .
Speaker #3: This quarter , we're excited to announce two new connected Living opportunities that were made possible by important investments , which have enabled us to expand our end to end solutions and reinforce our competitive advantage .
Speaker #3: First , in mobile , we're significantly expanding our repair and logistics capabilities through a new multi-year agreement with a large US mobile carrier .
Speaker #3: We have co-created and are now operating a new , fully dedicated , state of the art logistics facility where we receive return devices from across their entire ecosystem , including mobile phones , tablets , home internet and accessories .
Speaker #3: This one facility solution will process and repurpose all returns from store locations , customers and manufacturers under one roof . Our joint vision was to create a facility that maximizes circularity in the mobile industry , allowing us to reuse , repair and remanufacture and deliver these devices back to end customers within the client's network .
Speaker #3: This allows us to help them optimize their device protection program while improving the end customer experience . This leverages our capabilities , including device processing , upgrading , repair , and rapid claims fulfillment while providing a broad supply of high quality refurbished devices for insurance replacement , wholesale and direct to consumer channels .
Speaker #3: This collaboration demonstrates assurance role as a strategic partner and solidifies our position as a leader in the reverse logistics space , successfully executing programs like this demands seamless integration of our operational technology and supply chain management with our clients .
Speaker #3: We leverage advanced automation , AI and robotics on the processing side to maximize efficiency and ensure consistent , scalable outcomes . We're encouraged by the traction we've made in mobile repair and reverse logistics , and continue to be excited about additional near-term opportunities .
Speaker #3: Our second new opportunity within Connected Living is in our retail extended service contracts business , where we recently launched a partnership to provide administration and underwriting with Best Buy .
Speaker #3: The world's largest specialty consumer electronics retailer . Through this partnership , Best Buy's Geek Squad Protection customers will begin to have access to additional services by Assurant receiving support through our AI enabled virtual agents .
Speaker #3: Live chat and access to repairs through our nationwide service network , including our cell phone repair or CPR stores . This partnership represents another win in a space where we've increased our footprint and gained significant momentum over the last several years .
Speaker #3: Now , working with US retail leaders across appliances and consumer electronics , looking to 2026 and beyond , we see clear opportunities within connected living that will further strengthen Assurant in global auto adjusted EBITDA , increased 4% year to date and we remain on track to grow for the full year , supported by stable run rate earnings and ongoing loss experience improvement .
Speaker #3: We also continue to optimize performance across the business with a sharp focus on our clients , systems , product design claims , cost and people .
Speaker #3: We have momentum in global auto , which is driven by renewed partnerships across distribution channels , including international OEMs and US dealership groups .
Speaker #3: Further solidifying our client base and reinforcing our position as a market leader . A great example is our expanded partnership with Holman Automotive , one of the largest privately owned dealership groups in the United States .
Speaker #3: Following Holman's 2024 acquisition of Leath Automotive Group , Assurant will support 30 newly added dealership locations with finance and insurance products , dealership sales and participation , program guidance .
While our 5-year average Roe of approximately, 13% reflects the impact of Prior Acquisitions, our average return on tangible Equity over the same period trended above 30%. Well, above the median of the PNC index, a testament to our earnings power and differentiated returns
Our unique and advantaged portfolio of lifestyle and housing. Businesses has created Diversified sources of earnings and capital generating strong returns robust cash flow and strong growth with lower volatility.
Looking ahead. We remain laser focused on finishing the year, strong and building for 2026.
Although we see Power in the diversification, in our business, we are pleased to drive growth in 2025, across our Global housing connected living and Global Automotive businesses.
We're well positioned for future growth. As we expand offerings with a focus on increasing, attachment rates, with existing Partners winning new clients across the globe and prioritizing investments in our core markets.
That includes launching new products and services across both lifestyle and housing and continue to embed Innovation across everything we do.
From AI powered tech, support and personalized solutions to robotics in our device care centers.
These enhancements are helping us drive simpler faster and more consistent outcomes for our clients, helping them increase the lifetime value of a customer.
We see further opportunity for attractive organic growth, as we enter adjacent sectors through new product. Offerings planned for early 2026, creating Pathways for growth that align with our strengths and extend our reach.
We have a clear strategy and a team that's ready to deliver on the strong momentum. We have across Global lifestyle and Global housing
As we head into the final quarter of the Year, we're energized by the progress we've made and we're confident in our ability to continue creating value for stakeholders. I'll now turn it over to Keith Meyer, to highlight our third, quarter results, and expectations, for the remainder of the year.
Thanks, Keith and good morning everyone.
As we near the end of 2025, we continue to make significant progress on our key priorities.
Driving growth and strong financial performance through our intense, focus on Innovation and product differentiation.
We have continued to elevate customer experience.
Building on our long history of technology advancements with AI and digital automation.
While increasing expense efficiency.
And ensuring our Capital position remains strong.
Putting Assurance in a position to create meaningful value over the long term.
Our third quarter results, reflect that significant progress.
Which together drove third quarter. Adjusted IBA.
And EPS growth of 13%.
Both excluding cats demonstrating positive momentum within our businesses.
Let's take a look at our segment results, beginning with global lifestyle.
In the third quarter, adjusted ibida, increased 12%, compared to last year, driven by double-digit earnings growth across connected living and Global Automotive.
In Connected, living earnings increased 11%.
driven by,
Strength, within Financial Services. Particularly a new card benefits program launched late last year.
Subscriber growth in Mobile.
With. 2.1 million net additions. Year-over-year largely from expanding Partnerships with us clients.
And optimized global trade, and performance supported by growth across us, cable, and carrier Partners, as well as our certified pre-owned business.
In Global Auto.
Adjusted evida was up 15%, which includes a net non-right benefit of approximately 6 million dollars.
When normalized for this non-un rate item, adjusted ibida was up 6%.
Growing both on a sequential and year-over-year basis from improved loss experience.
We're encouraged by the improved loss experience in our vehicle service contract business and stable earnings overall.
We continue to benefit from prior rate increases and enhancements to our claims processes and product designs. While consistently working closely with our clients to stay on, track to deliver full year growth. Despite ongoing inflationary pressures across the industry.
For Global lifestyle.
Our net earned, premium fees, and other income through 7%.
Primarily driven by connected living growth from mobile programs and a new program in financial services.
As well as contributions from Global Automotive.
Moving to Global housing.
Third quarter, adjusted ibida was 256 million, including 3 million dollars of reportable catastrophes.
Excluding cats adjusted ibida increased 13% to 259 million.
Marking another quarter of strong double-digit growth.
Our homeowners business benefited from the absence of a previously. Disclosed 28 million, unfavorable non-un rate adjustment in the third quarter of 2024
This was partially offset by 16 million of lower. Favorable prior period Reserve development with 29 million in the current quarter compared to 45 million in the prior year period.
Excluding these two items, underlying results were strong with 9% growth.
Results benefited from favorable non- catastrophe loss experience mainly due to lower claims frequency and continued Topline. Growth within lender placed from higher, enforced, policies, and average premiums
Finally.
Our liquidity position at quarter end was 613 million.
Providing us with flexibility to continue to invest in our business, return Capital, to shareholders and support future growth.
We are driving strong cash flows. This quarter. We returned 122 million to our shareholders, including 81 million of share repurchases and 41 million in dividends.
through October 31st, we have repurchased, an additional 27 million of shares for a total of 234 million so far this year
during the quarter, we completed the successful issuance of $300 million in 2036 senior notes and redeemed 175 million of senior notes coming due in 2026.
The issuance was well received and demonstrated, the strong demand for investment grade bonds. Further affirming, the strength of a assurance and our Capital position.
Let's move on to our updated outlook for 2025.
The strength of our year-to-date results, reflect the power of our unique business model and differentiated Financial profile.
Driven by our year-to-date outperformance within Global housing.
And earnings momentum in global lifestyle.
We now expect adjusted EPS to grow low, double digits and full year adjusted IBA growth to approach 10% both excluding cats.
Reinforces the earnings power of assurance.
We continue to expect strong growth for the year and Global housing.
As well as earnings expansion, within Global lifestyle.
We're both connected living and Global Automotive are expected to grow.
Global lifestyle results are expected to be partially offset by investments in new Partnerships and programs.
As well as unfavorable foreign exchange for the year.
We continue to attract approximately 15 million dollars of strategic Investments for 2025 directly tied to launching high impact programs and clients.
Within Global housing, we expect strong growth for the year to be led by lender place.
Including increased policies in force.
As a reminder, our Outlook does not contemplate additional prior year Reserve development beyond the 91 million dollars from the first 9 months of the year.
In corporate. We now expect our 2025 full year loss to be approximately 120 million.
An increase of 5 million dollars from our previous Outlook.
This primarily reflects organic investments in a new adjacent program.
We would expect additional investments associated with this opportunity in the corporate segment in 2026.
And are looking forward to sharing more details on our next earnings, call in February.
And finally,
Our capital objectives remain consistent, given our position of strength.
As we focus on, maintaining balance and flexibility, enabling us to support new business growth, while returning excess Capital to shareholders.
For 2025, we now expect to return, 3 million, to shareholders, through share repurchases.
At the top end of our 200 to 300 million dollar, anticipated range from the beginning of the year.
For the fourth quarter, we would expect a higher level of segments, dividends compared to third quarter. Given our business's ability to generate meaningful cash flows.
Pull your cash conversion to the holding company is expected to approximate 2024 levels.
This reflects the strength of our capital position and disciplined approach to capital management.
Investing in growth while prioritizing shareholder returns.
Our year today performing Outlook reinforce the strength of our businesses and the value. We bring to our stakeholders.
As we look to deliver our ninth consecutive year of profitable growth, we see significant opportunities across clients products and geographies.
Through the power of insurance business model. We're driving growth by activating opportunities already in our pipeline.
Deepening relationships and expanding offerings with existing partners.
And increase investments in core markets.
All underscored by our Relentless focus on innovation.
We're excited about what's ahead and remain committed to delivering, meaningful value. For all of our stakeholders.
With that operator, please open the call for questions.
Thank you. The floor is now. Open for questions.
If you would like to ask a question, please click on the raise hand button which can be found on the black bar at the bottom of your screen. When it is your turn, you will receive a message on your screen from the host, allowing you to talk, and then you will hear your name called please. Accept, unmute your audio and ask your question. We will wait. 1 moment to allow the queue to form
Our first question will come from Mark Hughes with truist Securities. You may now unmute your audio and ask your question.
Morning Mark. Yeah, thank you.
Good morning, Keith Keith.
Um, You referred to a pipeline. I think you were talking about a homeowners or renters and said you had a strong pipeline, which doesn't seem like the usual thing in that line of business. Could you expand on that?
Sure. You know, I think we've seen a lot of momentum really across the board in housing, you know, certainly the fundamental performance of the business has been strong, but we've been investing pretty deeply the last few years. In all of our technology, operational capabilities. I think our lender placed solution is unquestionably Market leading. And we do see further opportunities to drive growth with new clients over time. Even though we've got a strong leadership position, there's still opportunity for whites space and then renters. You've seen pretty consistent uh PMC growth for the last 3 years and we expect that that will continue as we look forward.
area that you think is,
Sustainable or likely to Hold Steady going forward.
Yeah, thanks Mark. And you know, I'd say overall for Ottawa we're really pleased with the quarter. Uh, growing IBA, 15% year-over-year. I think when when we look at the loss performance, our vehicle service contract side, I think all of our rate, uh, actions that we've taken place, you know, over 20 over the last few years and the product changes, I think we've seen that uh, become more stable. So we're we're pleased with that and then, you know, we've touched on the Gap side as well. Those lots of exposures continue to diminish as expected, you know? So we should expect those results continue to improve. So, overall, we feel good about, you know, the business has uh stabilized. Well, this year,
then the 1 more, if I might sneak 1 in
uh, in the
Homeowners. I think you've been helped somewhat by the hard Market. Um I think you your product has been
Priced, Right? For a lot of homeowners, if the housing market starts to soften a little bit or, you know, broader homeowners Market.
Do you think that has, uh, meaning for your, uh, topline prospects?
Yeah. I mean there there's lots of Dynamics at play. I'd say for sure. We've benefited from the, the challenging voluntary Market, you know, we've seen a lot of policy growth result of that, you know, in that continued certainly through the year and, and we'll have to watch where that goes. And then we've also driven, you know, growth with clients and different portfolios. So I think we're well positioned, it's also counter cyclical. So should there be a downturn in the economy? Generally, we may see an uptick in placement rate. So, we'll have to monitor, you know, how all these factors play together.
Appreciate it. Thank you.
Great. Thanks, Mark. Thanks Mark.
Our next question comes from Charlie. Leier with BML. Please go ahead with your question.
Morning, Charlie. Hi, Charlie.
Hey hey. Good morning.
I think we lost you.
Can you hear me?
Yeah now yep. Yep, okay sorry so just starting on the the new Partnerships and connected living um
Is there anything you can quantify or color? You can give around the impact. You're Expecting from the reverse Logistics and deep Squad deals. Are these immediate Revenue generators? And what kind of trajectory are you expecting? And and how should we think about the Investments, spend around these next year, relative to the the 15 million this year?
Yeah, it's a great question. So, um, certainly the on the reverse Logistics side, you know, we're really excited about, um, being in a position to announce that to the market. It's incredibly strategic, uh, and we're co-locating with a client in the facility, so it's terrific. It, it certainly will begin to contribute in 2026, uh, we'll continue to make investments. That will be positive as we think about EBA impact next year, and then I'd say something similar for for the Best Buy opportunity as well. It will contribute in 26. We've made a lot of Investments this year that will certainly taper off and it will help us in in our go forward. Even with a
Got it. Thanks. Um and then on the the buyback guide. So you you increased it from 250 to, to 300 um or to to the you know, the top end of that range. Um, I guess given that the lower cats this year, um,
Would you expect your 26 outlook on Capital deployment to to be a little bit higher, too or or how how are you thinking about Capital deployment next year?
yeah, I I think, first of all, I would say we feel really good about the
Strength of our Capital position today, you know, we've got 613 million in hokko liquidity. So I think that really gives us that flexibility, um, that that we want to have, uh, and, and we try to have a balanced approach Charlie. Um, as we typically talk about, you know, so Keith highlighted, some organic Investments that we continue to make. Um, in addition we always have an m&a pipeline that we're, uh, that we're working. You know, we've announced a few smaller ones this year. We had just in Brazil, that helped our auto business. We had, uh, optofidelity that helped our uh, device Care Centers and, and adding some technology there. And then we also acquired new Solutions in Japan.
That, uh, furthered our, uh, walk-in repair capabilities in that market. So you'll see us continue to to invest in m&a opportunities.
That, that's why we signaled going to the top end of our range. And so we, and as we exit this year, we expect to be in a strong Capital position and will provide more guidance on share BuyBacks next year, um, on our next earnings call. And the, lastly, I would just say, you know, we also have done 20 straight years of dividend increases as well. So we like being able to have a balanced in in a strong position across the board. Yeah. And and maybe just to add a little flavor for for 2026. You know, we'll certainly talk more about buyback. Expectations and capital deployment in February. We'll see where Q4 ends up. That'll help us understand the, um, the drivers as we think about 2026 performance to provide the guidance. But I would say as we think forward, you know, we're incredibly pleased with the momentum that we have really across all the businesses. You know, we do expect to grow all 3 for the full year connected living Auto and housing, certainly this quarter. We had double digit growth in each of those businesses.
So we've got a lot of momentum, which is very good, and as we think about 2026, we do expect lifestyle to continue to grow. We'll certainly benefit from the investments we've made the past couple of years, and then we do expect underlying growth in housing to continue. So, setting aside the impact of the following three years of really strong performance, we expect to see that continue. And then we will have a higher corporate loss in 2026. Keith Meier touched on it relative to our.
25 guidance, we are expecting to launch a new program in an adjacent business and we'll talk more about that in detail at February as well.
Thanks. Um, maybe maybe just 1 more um, on the the the 2', uh, PMC deals. You, you talked about, um, can you Dimension the opportunity there? Uh, relative to the growth, we've seen, uh, this year.
Yeah, I think we, you know, we feel good about the consistency of the performance in in renters, I mean we've had 13 quarters in a row of of double digit growth. Our largest partners are growing um really excited. We we renewed our largest PMC client to a multi-year agreement. We did a really successful book roll and then adding additional pmc's, that's what's going to continue to fuel the momentum that we've seen and and we expect that to continue.
Our next question comes from James Kane with Morgan Stanley. Please go ahead with your question.
Good morning, morning James.
Hey, good morning, everybody. Uh, this is James Kane on for Bob. So my first question relates to housing. So my understanding is that you have 60 plus percent market share and lender placed curious how much you think you could realistically uh grow share in the intermediate term and do you have aspirations to grow, share to a certain level in the intermediate term? Thanks.
Yeah, I mean, we've, you know, like I said earlier, we've got a strong right to win, you know, we're incredibly focused on having the best solution and capabilities in the market. There's some big client opportunities, where we don't perform that service today. Um, so obviously we're laser focused on those. I wouldn't say we've set up a threshold or a Target. We're trying to acquire clients all the time and every 1 of our businesses and and lender places, no exception to that.
Got it.
Great. Thanks for that. Um, my second question is a related 1 so um, on the notable drivers uh supporting housing results, uh, recently. So higher uh, aiv, the hardening of the volunteer Market, uh, solid placement rates, curious, how you would rank them in terms of their contribution to the recent, uptick in segments growth. And how are you, how are you thinking about their relative contribution to growth going forward?
Yeah, I mean, I think the the growth that our policies certainly has been the biggest driver. As we think about the housing performance, we're up 8% year-over-year in terms of our policy counts that certainly shows up in the placement rate and it's a result, a lot of it from the, the hard voluntary market rate in aiv, I think, is been, uh, a little bit favorable this year, but it's not a dramatic change. Aivs are certainly up, but normalizing. So I would definitely put our policy growth at the top of the list.
You combine it. That's 1 of the things that makes that business. So powerful is there's multiple ways to grow.
Got it. Thanks everyone.
Thank you. You're welcome.
Our next question comes from, Tommy M joint with KBW, please go ahead with your question.
Hey Tommy. Hi Tommy.
Good morning everyone. Uh this is Molly null, I'm calling in calling for Tommy MC joint. Uh, my first question is about the iPhone upgrade cycle. It has been getting a lot of attention in the media. Um that's what to question about. How Downstream suppliers and service providers can benefit. So can you just remind us about Assurance role and opportunity and trade in upgrade and adding covered device counts uh specific to the iPhone upgrade cycle.
Yeah, I think what we've seen certainly is, uh, a robust cycle. Um, I think we saw some demand pulled forward in the second quarter. Uh, and I think we've seen as we are as we outlined some additional contributions to our, uh, trade in business, uh, as a result of some of that as well. The Big Driver for us, uh, in our business, really is the protection programs and, and often, uh, the customer that has their Protection Program on their last phone will roll it over to the, to the new phone. So, that's what generates a lot of stability for our business. Um, you know, as we go through the, the various Cycles, but certainly overall it, it's a positive Dynamic for us.
Yeah, and we've, you know, if we look at the clients that we operate, the protection services with particularly in the US, our clients gained 81% of the post-paid net ads. So to the extent that there is elevated, switching, strong, promotional, activity, and and as you said, strong demand for the new iPhone new devices, you know, that tends to bode well for us, both on protection as our clients grow. But also we support a lot of different clients as well with trade-in opportunities. So uh feel good about how we're positioned there.
Great. Um, thank you guys so much. Um, my second question would be just to understanding, you know, Investments are part of the business cycle. Are there any major investment projects that you currently have planned? Uh, for next year that we should think about? As we think about margin expansion, opportunity across the business lines?
Yeah, I think the, the 1 thing that we're trying to Signal today is we will be launching a new program in an adjacent business, uh, early next year, we're excited to share more details and it will create a long-term Vector for growth for the company. We're looking to, um, to have the corporate
Investment be a little higher in 2026 which we'll talk more about in February but that's probably the big thing that we're signaling that we're going to talk about in more detail to come.
yeah, and and we've started already to invest uh in that a little bit this year and that's why we've we've raised the the number on our on our corporate uh loss by 5 million this year that that takes that into account
Thank you, appreciate it. Welcome, thank you.
As a reminder, if you would like to ask a question, please click on the raise hand button which can be found on the black bar at the bottom of your screen.
Our next question comes from Mark Hughes which was Securities. You may now unmute your line and ask your question.
Welcome back, Mark. Hello again.
Thank you, glad to be back.
Um,
In in Google housing. If you look at the loss ratio, is there a a material difference in the loss ratio between the lender place?
Uh, policies. And
Voluntary policies.
I,
General. I think the premium rates are are different Mark. Um, so I think there is a I think they're they would correspond. I think generally, um and I think that it also comes into play, where our expenses for tracking, go into our rates for lender place. So, uh, there's the lender placed tracking expenses versus typically commissions on a voluntary basis but, uh, overall depending on the mix,
You know, those are probably be the bigger differences more so than the loss ratios.
Yeah. What is the magnitude of the Top Line? Differential of Premium different.
As the voluntary Market raises their, their rates significantly, I think all the work we've done to drive expensive efficiencies. Um, you know, our our expense ratio was in the mid-40s a couple years ago now, it's in the high 30s so us not having to raise rates as much as the voluntary Market. I think has has certainly helped our and contributed to our our improved placement rates.
Yeah.
When you talk about a new program that you're talk, your plan is to talk about in February. Is that kind of a new line of business? Is that what we're talking about?
Yeah. It's a it's a new line of business that we're not in today, which is why we've put it in corporate um the efforts being driven by our chief. Innovation officer who used to run the connected living business for the company. And yeah, we're trying to create a new pathway for long-term growth and we're very excited to talk more about it later.
Yeah.
Um, You reinsurance by it seems like the reinsurance market is going to be a more favorable for you.
Next year.
Would your preference be for reducing your retention for larger events? Or
Reducing costs on the program.
Yeah, I would first say that, uh, you know, we probably Buy in, uh, to reduce our volatility more than than typical. Um, we'll certainly evaluate that as we, as we look at the pricing. Um, but I do think we're in a good position going into next year. You know, we didn't have anything that touched our, uh, our our, uh, reinsurance Tower this year. So, I think that's positive. And then obviously this, uh, last quarter having very, uh, low, uh, cat activity. Uh, should certainly be a, a positive as well. Um, our renewal kicks in on, uh, April 1st. That's when we placed the, the next year and we certainly look forward to to sharing more with you on that. The only other thing I would say, is it also
The mix of business, and the, and the geography in which we've been growing. And so, uh, if you look at our reinsurance rates, uh, last year versus this year, we expect them to be, uh, on a normalized basis. Pretty similar, just over 200 million and I think that's a little less than we were expecting this year because, uh, our Florida business, you know, hasn't grown. But we've grown significantly unless caprone States. So, we've been really happy with the mix of business in terms of where we've grown for our housing business.
Yeah, thank you very much.
Thanks Mark. You're welcome.
There are no further questions at this time. I will now pass the call back to Keith Demmings.
All right, I just want to say thank you to everyone for joining. As we've said, we're excited about the momentum. We have across our businesses and certainly look forward to delivering our ninth consecutive year of profitable growth and we'll talk to everybody again in February, have a great day.