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

9 Months Ended

Sep. 30, 2016

Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract]

Condensed Consolidating Balance Sheet at September 30, 2016



(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	$	25	$	812	$	100,199	$	—		$	101,036
Cash ⁽¹⁾	6		2		2,158		(1,296		)	870
Insurance and reinsurance balances receivable	—		—		11,392		(2,899		)	8,493
Reinsurance recoverable on losses and loss expenses	—		—		23,642		(10,194		)	13,448
Reinsurance recoverable on policy benefits	—		—		1,167		(972		)	195
Value of business acquired	—		—		368		—			368
Goodwill and other intangible assets	—		—		22,472		—			22,472
Investments in subsidiaries	38,403		50,316		—		(88,719		)	—
Due from subsidiaries and affiliates, net	11,186		—		—		(11,186		)	—
Other assets	5		366		18,856		(4,299		)	14,928
Total assets	$	49,625	$	51,496	$	180,254	$	(119,565	)	$	161,810
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	70,882	$	(9,535	)	$	61,347
Unearned premiums	—		—		18,773		(3,719		)	15,054
Future policy benefits	—		—		5,982		(972		)	5,010
Due to subsidiaries and affiliates, net	—		10,996		190		(11,186		)	—
Affiliated notional cash pooling programs ⁽¹⁾	927		369		—		(1,296		)	—
Repurchase agreements	—		—		1,406		—			1,406
Short-term debt	—		500		—		—			500
Long-term debt	—		12,610		11		—			12,621
Trust preferred securities	—		308		—		—			308
Other liabilities	326		1,588		19,416		(4,138		)	17,192
Total liabilities	1,253		26,371		116,660		(30,846		)	113,438
Total shareholders’ equity	48,372		25,125		63,594		(88,719		)	48,372
Total liabilities and shareholders’ equity	$	49,625	$	51,496	$	180,254	$	(119,565	)	$	161,810

⁽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 September 30, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Balance Sheet at December 31, 2015



(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	$	28	$	7,839	$	58,384	$	—		$	66,251
Cash ⁽¹⁾	1		2		2,743		(971		)	1,775
Insurance and reinsurance balances receivable	—		—		6,075		(752		)	5,323
Reinsurance recoverable on losses and loss expenses	—		—		20,124		(8,738		)	11,386
Reinsurance recoverable on policy benefits	—		—		1,129		(942		)	187
Value of business acquired	—		—		395		—			395
Goodwill and other intangible assets	—		—		5,683		—			5,683
Investments in subsidiaries	29,612		18,386		—		(47,998		)	—
Due from subsidiaries and affiliates, net	644		1,800		—		(2,444		)	—
Other assets	8		457		14,434		(3,593		)	11,306
Total assets	$	30,293	$	28,484	$	108,967	$	(65,438	)	$	102,306
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	45,490	$	(8,187	)	$	37,303
Unearned premiums	—		—		10,243		(1,804		)	8,439
Future policy benefits	—		—		5,749		(942		)	4,807
Due to subsidiaries and affiliates, net	—		—		2,444		(2,444		)	—
Affiliated notional cash pooling programs ⁽¹⁾	882		89		—		(971		)	—
Repurchase agreements	—		—		1,404		—			1,404
Long-term debt	—		9,378		11		—			9,389
Trust preferred securities	—		307		—		—			307
Other liabilities	276		1,422		12,916		(3,092		)	11,522
Total liabilities	1,158		11,196		78,257		(17,440		)	73,171
Total shareholders’ equity	29,135		17,288		30,710		(47,998		)	29,135
Total liabilities and shareholders’ equity	$	30,293	$	28,484	$	108,967	$	(65,438	)	$	102,306

⁽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.

Condensed Consolidating Statement Of Operations and Comprehensive Income

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended September 30, 2016	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	$	—		$	—		$	7,573		$	—		$	7,573
Net premiums earned	—			—			7,688			—			7,688
Net investment income	1			2			736			—			739
Equity in earnings of subsidiaries	1,292			748			—			(2,040		)	—
Net realized gains (losses) including OTTI	—			(2		)	102			—			100
Losses and loss expenses	—			—			4,269			—			4,269
Policy benefits	—			—			155			—			155
Policy acquisition costs and administrative expenses	15			12			2,259			—			2,286
Interest (income) expense	(93		)	233			12			—			152
Other (income) expense	(7		)	6			(90		)	—			(91		)
Amortization of purchased intangibles	—			—			4			—			4
Chubb integration expenses	12			16			87			—			115
Income tax expense (benefit)	6			(136		)	407			—			277
Net income	$	1,360		$	617		$	1,423		$	(2,040	)	$	1,360
Comprehensive income	$	1,376		$	627		$	1,439		$	(2,066	)	$	1,376

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended September 30, 2015	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	$	—		$	—		$	4,709		$	—		$	4,709
Net premiums earned	—			—			4,719			—			4,719
Net investment income	1			1			547			—			549
Equity in earnings of subsidiaries	488			255			—			(743		)	—
Net realized gains (losses) including OTTI	—			(4		)	(393		)	—			(397		)
Losses and loss expenses	—			—			2,643			—			2,643
Policy benefits	—			—			89			—			89
Policy acquisition costs and administrative expenses	15			7			1,317			—			1,339
Interest (income) expense	(8		)	68			8			—			68
Other (income) expense	(51		)	(5		)	68			—			12
Amortization of purchased intangibles	—			—			51			—			51
Chubb integration expenses	1			8			—			—			9
Income tax expense (benefit)	4			(31		)	159			—			132
Net income	$	528		$	205		$	538		$	(743	)	$	528
Comprehensive income (loss)	$	(271	)	$	(265	)	$	(262	)	$	527		$	(271	)

Condensed Consolidating Statements of Operations and Comprehensive Income



Nine Months Ended September 30, 2016	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	$	—		$	—		$	21,207		$	—		$	21,207
Net premiums earned	—			—			21,690			—			21,690
Net investment income	3			9			2,109			—			2,121
Equity in earnings of subsidiaries	2,331			1,803			—			(4,134		)	—
Net realized gains (losses) including OTTI	(1		)	(3		)	(506		)	—			(510		)
Losses and loss expenses	—			—			12,197			—			12,197
Policy benefits	—			—			427			—			427
Policy acquisition costs and administrative expenses	48			144			6,668			—			6,860
Interest (income) expense	(266		)	681			36			—			451
Other (income) expense	(20		)	26			(98		)	—			(92		)
Amortization of purchased intangibles	—			—			16			—			16
Chubb integration expenses	29			56			276			—			361
Income tax expense (benefit)	17			(323		)	862			—			556
Net income	$	2,525		$	1,225		$	2,909		$	(4,134	)	$	2,525
Comprehensive income	$	4,457		$	2,687		$	4,841		$	(7,528	)	$	4,457

Condensed Consolidating Statements of Operations and Comprehensive Income



Nine Months Ended September 30, 2015	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	$	—		$	—		$	13,569		$	—		$	13,569
Net premiums earned	—			—			13,006			—			13,006
Net investment income	2			2			1,658			—			1,662
Equity in earnings of subsidiaries	2,037			755			—			(2,792		)	—
Net realized gains (losses) including OTTI	—			(6		)	(354		)	—			(360		)
Losses and loss expenses	—			—			7,182			—			7,182
Policy benefits	—			—			384			—			384
Policy acquisition costs and administrative expenses	47			20			3,838			—			3,905
Interest (income) expense	(23		)	206			24			—			207
Other (income) expense	(149		)	(12		)	100			—			(61		)
Amortization of purchased intangibles	—			—			136			—			136
Chubb integration expenses	1			8			—			—			9
Income tax expense (benefit)	12			(84		)	467			—			395
Net income	$	2,151		$	613		$	2,179		$	(2,792	)	$	2,151
Comprehensive income (loss)	$	768		$	(332	)	$	795		$	(463	)	$	768

Condensed Consolidating Statement of Cash Flows



Nine Months Ended September 30, 2016	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	$	3,399		$	3,892		$	3,918		$	(7,372	)	$	3,837
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			(154		)	(23,683		)	—			(23,837		)
Purchases of fixed maturities held to maturity	—			—			(189		)	—			(189		)
Purchases of equity securities	—			—			(100		)	—			(100		)
Sales of fixed maturities available for sale	—			66			13,797			—			13,863
Sales of equity securities	—			—			963			—			963
Maturities and redemptions of fixed maturities available for sale	—			59			6,877			—			6,936
Maturities and redemptions of fixed maturities held to maturity	—			—			627			—			627
Net change in short-term investments	—			7,627			4,239			—			11,866
Net derivative instruments settlements	—			(10		)	(171		)	—			(181		)
Acquisition of subsidiaries (net of cash acquired of $71)	—			(14,282		)	34			—			(14,248		)
Capital contribution	(2,330		)	(20		)	(2,330		)	4,680			—
Other	—			(3		)	29			—			26
Net cash flows (used for) from investing activities	(2,330		)	(6,717		)	93			4,680			(4,274		)
Cash flows from financing activities
Dividends paid on Common Shares	(851		)	—			—			—			(851		)
Proceeds from issuance of repurchase agreements	—			—			1,457			—			1,457
Repayment of repurchase agreements	—			—			(1,455		)	—			(1,455		)
Proceeds from share-based compensation plans, including windfall tax benefits	—			—			117			—			117
Dividend to parent company	—			—			(7,372		)	7,372			—
Advances (to) from affiliates	(258		)	219			39			—			—
Capital contribution	—			2,330			2,350			(4,680		)	—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	45			280			—			(325		)	—
Policyholder contract deposits	—			—			473			—			473
Policyholder contract withdrawals	—			—			(247		)	—			(247		)
Other	—			(4		)	—			—			(4		)
Net cash flows (used for) from financing activities	(1,064		)	2,825			(4,638		)	2,367			(510		)
Effect of foreign currency rate changes on cash and cash equivalents	—			—			42			—			42
Net increase (decrease) in cash	5			—			(585		)	(325		)	(905		)
Cash – beginning of period⁽¹⁾	1			2			2,743			(971		)	1,775
Cash – end of period⁽¹⁾	$	6		$	2		$	2,158		$	(1,296	)	$	870

⁽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 September 30, 2016 and December 31, 2015, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement of Cash Flows



Nine Months Ended September 30, 2015	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	$	350		$	(46	)	$	2,671		$	(276	)	$	2,699
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			—			(13,052		)	(8		)	(13,060		)
Purchases of fixed maturities held to maturity	—			—			(39		)	—			(39		)
Purchases of equity securities	—			—			(122		)	—			(122		)
Sales of fixed maturities available for sale	—			—			5,233			—			5,233
Sales of equity securities	—			—			150			—			150
Maturities and redemptions of fixed maturities available for sale	—			—			5,257			—			5,257
Maturities and redemptions of fixed maturities held to maturity	—			—			552			—			552
Net change in short-term investments	—			215			206			—			421
Net derivative instruments settlements	—			(10		)	72			—			62
Acquisition of subsidiaries (net of cash acquired of $620)	—			—			259			—			259
Capital contribution	—			(625		)	—			625			—
Other	—			(25		)	(121		)	8			(138		)
Net cash flows from (used for) investing activities	—			(445		)	(1,605		)	625			(1,425		)
Cash flows from financing activities
Dividends paid on Common Shares	(644		)	—			—			—			(644		)
Common Shares repurchased	—			—			(758		)	—			(758		)
Proceeds from issuance of long-term debt	—			800			—			—			800
Proceeds from issuance of repurchase agreements	—			—			1,478			—			1,478
Repayment of long-term debt	—			(450		)	(1		)	—			(451		)
Repayment of repurchase agreements	—			—			(1,477		)	—			(1,477		)
Proceeds from share-based compensation plans, including windfall tax benefits	—			—			89			—			89
Dividend to parent company	—			—			(276		)	276			—
Advances (to) from affiliates	(416		)	272			144			—			—
Capital contribution	—			—			625			(625		)	—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	727			(121		)	—			(606		)	—
Policyholder contract deposits	—			—			351			—			351
Policyholder contract withdrawals	—			—			(159		)	—			(159		)
Other	—			(6		)	—			—			(6		)
Net cash flows used for financing activities	(333		)	495			16			(955		)	(777		)
Effect of foreign currency rate changes on cash and cash equivalents	—			—			(114		)	—			(114		)
Net increase in cash	17			4			968			(606		)	383
Cash – beginning of period⁽¹⁾	—			1			1,209			(555		)	655
Cash – end of period⁽¹⁾	$	17		$	5		$	2,177		$	(1,161	)	$	1,038

⁽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 September 30, 2015 and December 31, 2014, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.