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Consolidated Statements Of Cash Flows - USD ($)
$ in Millions
6 Months Ended
Jun. 30, 2016
Jun. 30, 2015
Cash flows from operating activities    
Net income $ 1,165 $ 1,623
Adjustments to reconcile net income to net cash flows from operating activities    
Net realized (gains) losses 610 (37)
Amortization of premiums/discounts on fixed maturities 376 71
Amortization of UPR related to the Chubb Corp acquisition 1,095 0
Deferred income taxes 48 108
Unpaid losses and loss expenses 330 (87)
Unearned premiums (382) 420
Future policy benefits 106 114
Insurance and reinsurance balances payable 193 532
Accounts payable, accrued expenses, and other liabilities 18 48
Income taxes payable 67 (120)
Insurance and reinsurance balances receivable (238) (332)
Reinsurance recoverable on losses and loss expenses (17) 55
Reinsurance recoverable on policy benefits (11) 16
Deferred policy acquisition costs (1,042) (236)
Prepaid reinsurance premiums 12 (261)
Other (177) (23)
Net cash flows from operating activities 2,153 1,891
Cash flows from investing activities    
Purchases of fixed maturities available for sale (17,077) (9,179)
Purchases of to be announced mortgage-backed securities 0 (31)
Purchases of fixed maturities held to maturity (121) (24)
Purchases of equity securities (78) (70)
Sales of fixed maturities available for sale 11,868 3,611
Sales of to be announced mortgage-backed securities 0 31
Sales of equity securities 932 102
Maturities and redemptions of fixed maturities available for sale 3,910 3,691
Maturities and redemptions of fixed maturities held to maturity 443 470
Net change in short-term investments 11,711 228
Net derivative instruments settlements (93) (33)
Acquisition of subsidiaries (net of cash acquired of $71 and $620) (14,248) 255
Other 81 (71)
Net cash flows used for investing activities (2,672) (1,020)
Cash flows from financing activities    
Dividends paid on Common Shares (530) (427)
Common Shares repurchased 0 (750)
Proceeds from issuance of long-term debt 0 800
Proceeds from issuance of repurchase agreements 904 1,327
Repayment of long-term debt 0 (450)
Repayment of repurchase agreements (902) (1,327)
Proceeds from share-based compensation plans, including windfall tax benefits 92 46
Policyholder contract deposits 274 235
Policyholder contract withdrawals (103) (107)
Other (4) (6)
Net cash flows used for financing activities (269) (659)
Effect of foreign currency rate changes on cash and cash equivalents 24 (77)
Net (decrease) increase in cash (764) 135
Cash – beginning of period 1,775 [1],[2] 655 [3]
Cash – end of period 1,011 [2],[4] 790 [3]
Supplemental cash flow information    
Taxes paid 259 263
Interest paid $ 319 $ 127
[1] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2015, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2016 and December 31, 2015, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[3] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2015 and December 31, 2014, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[4] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.