Information provided in connection with outstanding debt of subsidiaries (Tables)

6 Months Ended

Jun. 30, 2018

Table Text Block Supplement [Abstract]

Condensed Consolidating Balance Sheet at June 30, 2018



(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)		Chubb INA Holdings Inc. (Subsidiary Issuer)		Other Chubb Limited Subsidiaries		Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Assets
Investments	$	—	$	172	$	101,014	$	—		$	101,186
Cash ⁽¹⁾	1		1		2,238		(1,240		)	1,000
Restricted cash	—		—		101		—			101
Insurance and reinsurance balances receivable	—		—		11,297		(956		)	10,341
Reinsurance recoverable on losses and loss expenses	—		—		27,117		(12,325		)	14,792
Reinsurance recoverable on policy benefits	—		—		1,127		(923		)	204
Value of business acquired	—		—		311		—			311
Goodwill and other intangible assets	—		—		21,759		—			21,759
Investments in subsidiaries	42,919		51,706		—		(94,625		)	—
Due from subsidiaries and affiliates, net	8,686		—		257		(8,943		)	—
Other assets	2		655		18,760		(1,577		)	17,840
Total assets	$	51,608	$	52,534	$	183,981	$	(120,589	)	$	167,534
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	73,427	$	(10,649	)	$	62,778
Unearned premiums	—		—		16,815		(1,067		)	15,748
Future policy benefits	—		—		6,393		(923		)	5,470
Due to subsidiaries and affiliates, net	—		8,943		—		(8,943		)	—
Affiliated notional cash pooling programs ⁽¹⁾	403		837		—		(1,240		)	—
Repurchase agreements	—		—		1,413		—			1,413
Short-term debt	—		600		—		—			600
Long-term debt	—		12,173		11		—			12,184
Trust preferred securities	—		308		—		—			308
Other liabilities	234		2,248		18,722		(3,142		)	18,062
Total liabilities	637		25,109		116,781		(25,964		)	116,563
Total shareholders’ equity	50,971		27,425		67,200		(94,625		)	50,971
Total liabilities and shareholders’ equity	$	51,608	$	52,534	$	183,981	$	(120,589	)	$	167,534

⁽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 June 30, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Balance Sheet at December 31, 2017



(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)		Chubb INA Holdings Inc. (Subsidiary Issuer)		Other Chubb Limited Subsidiaries		Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Assets
Investments	$	—	$	168	$	102,276	$	—		$	102,444
Cash ⁽¹⁾	3		1		839		(115		)	728
Restricted cash	—		—		123		—			123
Insurance and reinsurance balances receivable	—		—		10,820		(1,486		)	9,334
Reinsurance recoverable on losses and loss expenses	—		—		27,514		(12,480		)	15,034
Reinsurance recoverable on policy benefits	—		—		1,194		(1,010		)	184
Value of business acquired	—		—		326		—			326
Goodwill and other intangible assets	—		—		22,054		—			22,054
Investments in subsidiaries	41,909		51,165		—		(93,074		)	—
Due from subsidiaries and affiliates, net	9,639		—		—		(9,639		)	—
Other assets	3		287		20,578		(4,073		)	16,795
Total assets	$	51,554	$	51,621	$	185,724	$	(121,877	)	$	167,022
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	74,767	$	(11,588	)	$	63,179
Unearned premiums	—		—		18,875		(3,659		)	15,216
Future policy benefits	—		—		6,331		(1,010		)	5,321
Due to subsidiaries and affiliates, net	—		9,432		207		(9,639		)	—
Affiliated notional cash pooling programs ⁽¹⁾	—		115		—		(115		)	—
Repurchase agreements	—		—		1,408		—			1,408
Short-term debt	—		1,013		—		—			1,013
Long-term debt	—		11,546		10		—			11,556
Trust preferred securities	—		308		—		—			308
Other liabilities	382		1,411		18,848		(2,792		)	17,849
Total liabilities	382		23,825		120,446		(28,803		)	115,850
Total shareholders’ equity	51,172		27,796		65,278		(93,074		)	51,172
Total liabilities and shareholders’ equity	$	51,554	$	51,621	$	185,724	$	(121,877	)	$	167,022

⁽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, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement Of Operations and Comprehensive Income

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended June 30, 2018	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Net premiums written	$	—		$	—		$	8,015		$	—		$	8,015
Net premiums earned	—			—			7,664			—			7,664
Net investment income	1			5			822			—			828
Equity in earnings of subsidiaries	1,241			454			—			(1,695		)	—
Net realized gains (losses) including OTTI	2			73			(57		)	—			18
Losses and loss expenses	—			—			4,487			—			4,487
Policy benefits	—			—			150			—			150
Policy acquisition costs and administrative expenses	23			19			2,169			—			2,211
Interest (income) expense	(76		)	204			39			—			167
Other (income) expense	(4		)	8			(119		)	—			(115		)
Amortization of purchased intangibles	—			—			85			—			85
Chubb integration expenses	2			—			11			—			13
Income tax expense (benefit)	5			(36		)	249			—			218
Net income	$	1,294		$	337		$	1,358		$	(1,695	)	$	1,294
Comprehensive income (loss)	$	277		$	(462	)	$	352		$	110		$	277

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended June 30, 2017	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Net premiums written	$	—		$	—		$	7,581		$	—		$	7,581
Net premiums earned	—			—			7,237			—			7,237
Net investment income	2			4			764			—			770
Equity in earnings of subsidiaries	1,253			665			—			(1,918		)	—
Net realized gains (losses) including OTTI	(2		)	(1		)	104			—			101
Losses and loss expenses	—			—			4,146			—			4,146
Policy benefits	—			—			163			—			163
Policy acquisition costs and administrative expenses	18			(2		)	2,139			—			2,155
Interest (income) expense	(84		)	212			19			—			147
Other (income) expense	4			10			(159		)	—			(145		)
Amortization of purchased intangibles	—			—			65			—			65
Chubb integration expenses	6			4			62			—			72
Income tax expense (benefit)	4			(87		)	283			—			200
Net income	$	1,305		$	531		$	1,387		$	(1,918	)	$	1,305
Comprehensive income	$	1,675		$	920		$	1,756		$	(2,676	)	$	1,675

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Six Months Ended June 30, 2018	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Net premiums written	$	—		$	—		$	15,119		$	—		$	15,119
Net premiums earned	—			—			14,691			—			14,691
Net investment income	3			9			1,622			—			1,634
Equity in earnings of subsidiaries	2,263			1,339			—			(3,602		)	—
Net realized gains (losses) including OTTI	—			49			(33		)	—			16
Losses and loss expenses	—			—			8,589			—			8,589
Policy benefits	—			—			301			—			301
Policy acquisition costs and administrative expenses	41			41			4,285			—			4,367
Interest (income) expense	(156		)	413			67			—			324
Other (income) expense	(9		)	16			(169		)	—			(162		)
Amortization of purchased intangibles	—			—			170			—			170
Chubb integration expenses	4			1			18			—			23
Income tax expense (benefit)	10			(95		)	438			—			353
Net income	$	2,376		$	1,021		$	2,581		$	(3,602	)	$	2,376
Comprehensive income (loss)	$	730		$	(246	)	$	966		$	(720	)	$	730

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Six Months Ended June 30, 2017	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
Net premiums written	$	—		$	—		$	14,291		$	—		$	14,291
Net premiums earned	—			—			14,009			—			14,009
Net investment income	2			7			1,506			—			1,515
Equity in earnings of subsidiaries	2,280			1,366			—			(3,646		)	—
Net realized gains (losses) including OTTI	(2		)	(14		)	110			—			94
Losses and loss expenses	—			—			7,935			—			7,935
Policy benefits	—			—			331			—			331
Policy acquisition costs and administrative expenses	36			12			4,180			—			4,228
Interest (income) expense	(168		)	433			36			—			301
Other (income) expense	(2		)	25			(238		)	—			(215		)
Amortization of purchased intangibles	—			—			129			—			129
Chubb integration expenses	6			53			124			—			183
Income tax expense (benefit)	10			(199		)	517			—			328
Net income	$	2,398		$	1,035		$	2,611		$	(3,646	)	$	2,398
Comprehensive income	$	3,082		$	1,711		$	3,294		$	(5,005	)	$	3,082

Condensed Consolidating Statement of Cash Flows



For the Six Months Ended June 30, 2018	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)
Net cash flows from operating activities	$	43		$	3,042		$	2,187		$	(3,075	)	$	2,197
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			(22		)	(12,275		)	—			(12,297		)
Purchases of fixed maturities held to maturity	—			—			(337		)	—			(337		)
Purchases of equity securities	—			—			(85		)	—			(85		)
Sales of fixed maturities available for sale	—			—			6,858			—			6,858
Sales of equity securities	—			—			83			—			83
Maturities and redemptions of fixed maturities available for sale	—			14			3,906			—			3,920
Maturities and redemptions of fixed maturities held to maturity	—			—			732			—			732
Net change in short-term investments	—			6			395			—			401
Net derivative instruments settlements	—			(8		)	13			—			5
Private equity contributions	—			—			(813		)	—			(813		)
Private equity distributions	—			—			413			—			413
Capital contribution	(750		)	(3,500		)	—			4,250			—
Other	—			(7		)	(133		)	—			(140		)
Net cash flows used for investing activities	(750		)	(3,517		)	(1,243		)	4,250			(1,260		)
Cash flows from financing activities
Dividends paid on Common Shares	(661		)	—			—			—			(661		)
Common Shares repurchased	—			—			(347		)	—			(347		)
Proceeds from issuance of long-term debt	—			2,171			—			—			2,171
Repayment of long-term debt	—			(1,900		)	—			—			(1,900		)
Proceeds from issuance of repurchase agreements	—			—			1,014			—			1,014
Repayment of repurchase agreements	—			—			(1,009		)	—			(1,009		)
Proceeds from share-based compensation plans	—			—			60			—			60
Dividend to parent company	—			—			(3,075		)	3,075			—
Advances (to) from affiliates	963			(518		)	(445		)	—			—
Capital contribution	—			—			4,250			(4,250		)	—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	403			722			—			(1,125		)	—
Policyholder contract deposits	—			—			192			—			192
Policyholder contract withdrawals	—			—			(169		)	—			(169		)
Net cash flows from (used for) financing activities	705			475			471			(2,300		)	(649		)
Effect of foreign currency rate changes on cash and restricted cash	—			—			(38		)	—			(38		)
Net increase (decrease) in cash and restricted cash	(2		)	—			1,377			(1,125		)	250
Cash and restricted cash – beginning of period⁽¹⁾	3			1			962			(115		)	851
Cash and restricted cash – end of period⁽¹⁾	$	1		$	1		$	2,339		$	(1,240	)	$	1,101

⁽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 June 30, 2018 and December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement of Cash Flows



For the Six Months Ended June 30, 2017	Chubb Limited (Parent Guarantor)			Chubb INA Holdings Inc. (Subsidiary Issuer)			Other Chubb Limited Subsidiaries			Consolidating Adjustments and Eliminations			Chubb Limited Consolidated
(in millions of U.S. dollars)
Net cash flows from (used for) operating activities	$	551		$	1,444		$	1,686		$	(2,041	)	$	1,640
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			(5		)	(12,255		)	—			(12,260		)
Purchases of fixed maturities held to maturity	—			—			(212		)	—			(212		)
Purchases of equity securities	—			—			(82		)	—			(82		)
Sales of fixed maturities available for sale	—			—			6,873			—			6,873
Sales of equity securities	—			—			104			—			104
Maturities and redemptions of fixed maturities available for sale	—			13			5,156			—			5,169
Maturities and redemptions of fixed maturities held to maturity	—			—			408			—			408
Net change in short-term investments	—			166			188			—			354
Net derivative instruments settlements	—			(7		)	(122		)	—			(129		)
Private equity contributions	—			—			(345		)	—			(345		)
Private equity distributions	—			—			487			—			487
Other	—			2			(246		)	—			(244		)
Net cash flows from (used for) investing activities	—			169			(46		)	—			123
Cash flows from financing activities
Dividends paid on Common Shares	(646		)	—			—			—			(646		)
Common Shares repurchased	—			—			(475		)	—			(475		)
Repayment of long-term debt	—			(500		)	—			—			(500		)
Proceeds from issuance of repurchase agreements	—			—			1,343			—			1,343
Repayment of repurchase agreements	—			—			(1,338		)	—			(1,338		)
Proceeds from share-based compensation plans	—			—			89			—			89
Dividend to parent company	—			—			(2,041		)	2,041			—
Advances (to) from affiliates	264			(328		)	64			—			—
Net proceeds from affiliated notional cash pooling programs⁽¹⁾	(170		)	(619		)	—			789			—
Policyholder contract deposits	—			—			209			—			209
Policyholder contract withdrawals	—			—			(125		)	—			(125		)
Net cash flows used for financing activities	(552		)	(1,447		)	(2,274		)	2,830			(1,443		)
Effect of foreign currency rate changes on cash and restricted cash	—			—			11			—			11
Net increase (decrease) in cash and restricted cash	(1		)	166			(623		)	789			331
Cash and restricted cash – beginning of period⁽¹⁾	1			1			2,068			(982		)	1,088
Cash and restricted cash – end of period⁽¹⁾	$	—		$	167		$	1,445		$	(193	)	$	1,419

⁽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 June 30, 2017 and December 31, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.