Statutory financial information

Our subsidiaries file financial statements prepared in accordance with statutory accounting practices prescribed or permitted by insurance regulators. Statutory accounting differs from GAAP in the reporting of certain reinsurance contracts, investments, subsidiaries, acquisition expenses, fixed assets, deferred income taxes, and certain other items. Some jurisdictions impose complex regulatory requirements on insurance companies while other jurisdictions impose fewer requirements. In some jurisdictions, we must obtain licenses issued by governmental authorities to conduct local insurance business. These licenses may be subject to reserves and minimum capital and solvency tests. Jurisdictions may impose fines, censure, and/or criminal sanctions for violation of regulatory requirements. The 2015 amounts below are based on estimates.

Chubb's insurance and reinsurance subsidiaries are subject to insurance laws and regulations in the jurisdictions in which they operate. These regulations include restrictions that limit the amount of dividends or other distributions, such as loans or cash advances, available to shareholders without prior approval of the local insurance regulatory authorities. The amount of dividends available to be paid in 2016 without prior approval totals $4.1 billion.

The statutory capital and surplus of our insurance subsidiaries met regulatory requirements for 2015, 2014, and 2013. The minimum amounts of statutory capital and surplus necessary to satisfy regulatory requirements was $14.5 billion and $14.8 billion for December 31, 2015 and 2014, respectively. These minimum regulatory capital requirements were significantly lower than the corresponding amounts required by the rating agencies which review Chubb’s insurance and reinsurance subsidiaries.

The following tables present the combined statutory capital and surplus and statutory net income (loss) of our Property and casualty and Life subsidiaries:



	December 31
(in millions of U.S. dollars)	2015		2014
Statutory capital and surplus
Property and casualty	$	20,072	$	25,805
Life	$	1,216	$	1,463



	Year Ended December 31
(in millions of U.S. dollars)	2015			2014			2013
Statutory net income (loss)
Property and casualty	$	2,770		$	3,378		$	3,333
Life	$	(148	)	$	(248	)	$	409

The decrease in statutory capital and surplus in 2015 was primarily due to intercompany dividends declared to holding companies in anticipation of the Chubb acquisition.

Several insurance subsidiaries follow accounting practices prescribed or permitted by the jurisdiction of domicile that differ from the applicable local statutory practice. The application of prescribed or permitted accounting practices does not have a material impact on Chubb's statutory surplus and income. As prescribed by the Restructuring discussed previously in Note 7, certain of our U.S. subsidiaries discount certain A&E liabilities, which increased statutory capital and surplus by approximately $144 million and $158 million at December 31, 2015 and 2014, respectively.