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Consolidated Statements Of Cash Flows - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2017
Sep. 30, 2016
Cash flows from operating activities    
Net income $ 2,328 $ 2,525
Adjustments to reconcile net income to net cash flows from operating activities    
Net realized (gains) losses (84) 510
Amortization of premiums/discounts on fixed maturities 526 558
Amortization of UPR related to the Chubb Corp acquisition 0 1,415
Deferred income taxes (151) (13)
Unpaid losses and loss expenses 2,789 916
Unearned premiums 340 (547)
Future policy benefits 186 129
Insurance and reinsurance balances payable 247 149
Accounts payable, accrued expenses, and other liabilities (828) (109)
Income taxes payable (262) 308
Insurance and reinsurance balances receivable (339) (201)
Reinsurance recoverable on losses and loss expenses (976) (241)
Reinsurance recoverable on policy benefits (10) (6)
Deferred policy acquisition costs (256) (1,316)
Prepaid reinsurance premiums (14) 33
Other (85) (273)
Net cash flows from operating activities 3,411 3,837
Cash flows from investing activities    
Purchases of fixed maturities available for sale (18,478) (23,837)
Purchases of fixed maturities held to maturity (262) (189)
Purchases of equity securities (125) (100)
Sales of fixed maturities available for sale 9,215 13,863
Sales of equity securities 152 963
Maturities and redemptions of fixed maturities available for sale 7,699 6,936
Maturities and redemptions of fixed maturities held to maturity 644 627
Net change in short-term investments 44 11,866
Net derivative instruments settlements (170) (181)
Acquisition of subsidiaries (net of cash acquired of nil and $71) 0 (14,248)
Other (62) 26
Net cash flows used for investing activities (1,343) (4,274)
Cash flows from financing activities    
Dividends paid on Common Shares (978) (851)
Common Shares repurchased (707) 0
Repayment of long-term debt (500) 0
Proceeds from issuance of repurchase agreements 1,798 1,457
Repayment of repurchase agreements (1,793) (1,455)
Proceeds from share-based compensation plans 109 117
Policyholder contract deposits 312 473
Policyholder contract withdrawals (211) (247)
Other 0 (4)
Net cash flows used for financing activities (1,970) (510)
Effect of foreign currency rate changes on cash and cash equivalents 5 42
Net increase (decrease) in cash 103 (905)
Cash – beginning of period 985 [1],[2] 1,775 [3]
Cash – end of period 1,088 [2],[4] 870 [3]
Supplemental cash flow information    
Taxes paid 652 360
Interest paid $ 404 $ 390
[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, 2016, 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 September 30, 2017 and December 31, 2016, 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 September 30, 2016 and December 31, 2015, 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 September 30, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.