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

3 Months Ended

Mar. 31, 2017

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

Condensed Consolidating Balance Sheet at March 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	$	25	$	304	$	99,162	$	—		$	99,491
Cash ⁽¹⁾	6		1		2,328		(1,272		)	1,063
Insurance and reinsurance balances receivable	—		—		10,956		(2,076		)	8,880
Reinsurance recoverable on losses and loss expenses	—		—		24,015		(10,246		)	13,769
Reinsurance recoverable on policy benefits	—		—		1,145		(958		)	187
Value of business acquired	—		—		345		—			345
Goodwill and other intangible assets	—		—		22,061		—			22,061
Investments in subsidiaries	39,156		50,242		—		(89,398		)	—
Due from subsidiaries and affiliates, net	10,396		—		—		(10,396		)	—
Other assets	4		519		18,642		(3,994		)	15,171
Total assets	$	49,587	$	51,066	$	178,654	$	(118,340	)	$	160,967
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	70,269	$	(9,690	)	$	60,579
Unearned premiums	—		—		18,343		(3,486		)	14,857
Future policy benefits	—		—		6,044		(958		)	5,086
Due to subsidiaries and affiliates, net	—		10,028		368		(10,396		)	—
Affiliated notional cash pooling programs ⁽¹⁾	—		1,272		—		(1,272		)	—
Repurchase agreements	—		—		1,404		—			1,404
Short-term debt	—		300		—		—			300
Long-term debt	—		12,289		11		—			12,300
Trust preferred securities	—		308		—		—			308
Other liabilities	363		1,699		17,987		(3,140		)	16,909
Total liabilities	363		25,896		114,426		(28,942		)	111,743
Total shareholders’ equity	49,224		25,170		64,228		(89,398		)	49,224
Total liabilities and shareholders’ equity	$	49,587	$	51,066	$	178,654	$	(118,340	)	$	160,967

⁽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 March 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Balance Sheet at December 31, 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	$	27	$	485	$	98,582	$	—		$	99,094
Cash ⁽¹⁾	1		1		1,965		(982		)	985
Insurance and reinsurance balances receivable	—		—		10,498		(1,528		)	8,970
Reinsurance recoverable on losses and loss expenses	—		—		24,496		(10,919		)	13,577
Reinsurance recoverable on policy benefits	—		—		1,153		(971		)	182
Value of business acquired	—		—		355		—			355
Goodwill and other intangible assets	—		—		22,095		—			22,095
Investments in subsidiaries	38,408		49,509		—		(87,917		)	—
Due from subsidiaries and affiliates, net	10,482		—		—		(10,482		)	—
Other assets	3		436		18,442		(4,353		)	14,528
Total assets	$	48,921	$	50,431	$	177,586	$	(117,152	)	$	159,786
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	70,683	$	(10,143	)	$	60,540
Unearned premiums	—		—		18,538		(3,759		)	14,779
Future policy benefits	—		—		6,007		(971		)	5,036
Due to subsidiaries and affiliates, net	—		10,209		273		(10,482		)	—
Affiliated notional cash pooling programs ⁽¹⁾	363		619		—		(982		)	—
Repurchase agreements	—		—		1,403		—			1,403
Short-term debt	—		500		—		—			500
Long-term debt	—		12,599		11		—			12,610
Trust preferred securities	—		308		—		—			308
Other liabilities	283		1,582		17,368		(2,898		)	16,335
Total liabilities	646		25,817		114,283		(29,235		)	111,511
Total shareholders’ equity	48,275		24,614		63,303		(87,917		)	48,275
Total liabilities and shareholders’ equity	$	48,921	$	50,431	$	177,586	$	(117,152	)	$	159,786

⁽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.

Condensed Consolidating Statement Of Operations and Comprehensive Income

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended March 31, 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	$	—		$	—		$	6,710		$	—		$	6,710
Net premiums earned	—			—			6,772			—			6,772
Net investment income	—			3			742			—			745
Equity in earnings of subsidiaries	1,027			701			—			(1,728		)	—
Net realized gains (losses) including OTTI	—			(13		)	6			—			(7		)
Losses and loss expenses	—			—			3,789			—			3,789
Policy benefits	—			—			168			—			168
Policy acquisition costs and administrative expenses	18			14			2,041			—			2,073
Interest (income) expense	(84		)	221			17			—			154
Other (income) expense	(6		)	15			(79		)	—			(70		)
Amortization of purchased intangibles	—			—			64			—			64
Chubb integration expenses	—			49			62			—			111
Income tax expense (benefit)	6			(112		)	234			—			128
Net income	$	1,093		$	504		$	1,224		$	(1,728	)	$	1,093
Comprehensive income	$	1,407		$	791		$	1,538		$	(2,329	)	$	1,407

Condensed Consolidating Statements of Operations and Comprehensive Income



For the Three Months Ended March 31, 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	$	—		$	—		$	5,995		$	—		$	5,995
Net premiums earned	—			—			6,597			—			6,597
Net investment income	1			4			669			—			674
Equity in earnings of subsidiaries	375			506			—			(881		)	—
Net realized gains (losses) including OTTI	—			—			(394		)	—			(394		)
Losses and loss expenses	—			—			3,674			—			3,674
Policy benefits	—			—			126			—			126
Policy acquisition costs and administrative expenses	17			36			2,132			—			2,185
Interest (income) expense	(80		)	215			11			—			146
Other (income) expense	(9		)	10			27			—			28
Amortization of purchased intangibles	—			—			7			—			7
Chubb integration expenses	3			137			8			—			148
Income tax expense (benefit)	6			(150		)	268			—			124
Net income	$	439		$	262		$	619		$	(881	)	$	439
Comprehensive income (loss)	$	1,541		$	1,056		$	1,721		$	(2,777	)	$	1,541

Condensed Consolidating Statement of Cash Flows



Three Months Ended March 31, 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	$	584		$	(156	)	$	1,081		$	(496	)	$	1,013
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			(4		)	(6,246		)	—			(6,250		)
Purchases of fixed maturities held to maturity	—			—			(157		)	—			(157		)
Purchases of equity securities	—			—			(37		)	—			(37		)
Sales of fixed maturities available for sale	—			—			3,395			—			3,395
Sales of equity securities	—			—			46			—			46
Maturities and redemptions of fixed maturities available for sale	—			7			2,536			—			2,543
Maturities and redemptions of fixed maturities held to maturity	—			—			240			—			240
Net change in short-term investments	—			173			59			—			232
Net derivative instruments settlements	—			(2		)	(87		)	—			(89		)
Other	—			—			17			—			17
Net cash flows from (used for) investing activities	—			174			(234		)	—			(60		)
Cash flows from financing activities
Dividends paid on Common Shares	(324		)	—			—			—			(324		)
Common Shares repurchased	—			—			(128		)	—			(128		)
Repayment of long-term debt	—			(500		)	—			—			(500		)
Proceeds from issuance of repurchase agreements	—			—			753			—			753
Repayment of repurchase agreements	—			—			(752		)	—			(752		)
Proceeds from share-based compensation plans	—			—			42			—			42
Dividend to parent company	—			—			(496		)	496			—
Advances (to) from affiliates	108			(171		)	63			—			—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	(363		)	653			—			(290		)	—
Policyholder contract deposits	—			—			109			—			109
Policyholder contract withdrawals	—			—			(58		)	—			(58		)
Net cash flows used for financing activities	(579		)	(18		)	(467		)	206			(858		)
Effect of foreign currency rate changes on cash and cash equivalents	—			—			(17		)	—			(17		)
Net increase in cash	5			—			363			(290		)	78
Cash – beginning of period⁽¹⁾	1			1			1,965			(982		)	985
Cash – end of period⁽¹⁾	$	6		$	1		$	2,328		$	(1,272	)	$	1,063

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

Condensed Consolidating Statement of Cash Flows



Three Months Ended March 31, 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	$	3,272		$	3,109		$	1,011		$	(6,372	)	$	1,020
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			—			(8,104		)	—			(8,104		)
Purchases of fixed maturities held to maturity	—			—			(77		)	—			(77		)
Purchases of equity securities	—			—			(33		)	—			(33		)
Sales of fixed maturities available for sale	—			—			6,329			—			6,329
Sales of equity securities	—			—			761			—			761
Maturities and redemptions of fixed maturities available for sale	—			—			1,553			—			1,553
Maturities and redemptions of fixed maturities held to maturity	—			—			249			—			249
Net change in short-term investments	—			7,788			4,144			—			11,932
Net derivative instruments settlements	—			—			(22		)	—			(22		)
Acquisition of subsidiaries (net of cash acquired of $57)	—			(14,282		)	20			—			(14,262		)
Capital contribution	(2,330		)	—			(2,330		)	4,660			—
Other	—			—			59			—			59
Net cash flows from (used for) investing activities	(2,330		)	(6,494		)	2,549			4,660			(1,615		)
Cash flows from financing activities
Dividends paid on Common Shares	(218		)	—			—			—			(218		)
Proceeds from issuance of repurchase agreements	—			—			853			—			853
Repayment of repurchase agreements	—			—			(853		)	—			(853		)
Proceeds from share-based compensation plans, including windfall tax benefits	—			—			51			—			51
Dividend to parent company	—			—			(6,372		)	6,372			—
Advances (to) from affiliates	(362		)	350			12			—			—
Capital contribution	—			2,330			2,330			(4,660		)	—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	(361		)	710			—			(349		)	—
Policyholder contract deposits	—			—			118			—			118
Policyholder contract withdrawals	—			—			(49		)	—			(49		)
Other	—			(4		)	—			—			(4		)
Net cash flows from (used for) financing activities	(941		)	3,386			(3,910		)	1,363			(102		)
Effect of foreign currency rate changes on cash and cash equivalents	—			—			13			—			13
Net increase (decrease) in cash	1			1			(337		)	(349		)	(684		)
Cash – beginning of period⁽¹⁾	1			2			2,743			(971		)	1,775
Cash – end of period⁽¹⁾	$	2		$	3		$	2,406		$	(1,320	)	$	1,091

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