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

3 Months Ended

Mar. 31, 2018

Table Text Block Supplement [Abstract]

Condensed Consolidating Balance Sheet at March 31, 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	$	—	$	186	$	101,919	$	—		$	102,105
Cash ⁽¹⁾	1		864		1,523		(400		)	1,988
Restricted cash	—		—		125		—			125
Insurance and reinsurance balances receivable	—		—		10,308		(738		)	9,570
Reinsurance recoverable on losses and loss expenses	—		—		26,093		(11,111		)	14,982
Reinsurance recoverable on policy benefits	—		—		1,181		(1,000		)	181
Value of business acquired	—		—		321		—			321
Goodwill and other intangible assets	—		—		22,123		—			22,123
Investments in subsidiaries	43,032		51,930		—		(94,962		)	—
Due from subsidiaries and affiliates, net	8,980		—		251		(9,231		)	—
Other assets	4		386		18,459		(1,463		)	17,386
Total assets	$	52,017	$	53,366	$	182,303	$	(118,905	)	$	168,781
Liabilities
Unpaid losses and loss expenses	$	—	$	—	$	74,299	$	(11,160	)	$	63,139
Unearned premiums	—		—		16,563		(1,068		)	15,495
Future policy benefits	—		—		6,412		(1,000		)	5,412
Due to subsidiaries and affiliates, net	—		9,231		—		(9,231		)	—
Affiliated notional cash pooling programs ⁽¹⁾	400		—		—		(400		)	—
Repurchase agreements	—		—		1,412		—			1,412
Short-term debt	—		1,669		—		—			1,669
Long-term debt	—		12,775		11		—			12,786
Trust preferred securities	—		308		—		—			308
Other liabilities	330		1,537		16,490		(1,084		)	17,273
Total liabilities	730		25,520		115,187		(23,943		)	117,494
Total shareholders’ equity	51,287		27,846		67,116		(94,962		)	51,287
Total liabilities and shareholders’ equity	$	52,017	$	53,366	$	182,303	$	(118,905	)	$	168,781

⁽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, 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 March 31, 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	$	—		$	—		$	7,104		$	—		$	7,104
Net premiums earned	—			—			7,027			—			7,027
Net investment income	2			4			800			—			806
Equity in earnings of subsidiaries	1,022			885			—			(1,907		)	—
Net realized gains (losses) including OTTI	(2		)	(24		)	24			—			(2		)
Losses and loss expenses	—			—			4,102			—			4,102
Policy benefits	—			—			151			—			151
Policy acquisition costs and administrative expenses	18			22			2,116			—			2,156
Interest (income) expense	(80		)	209			28			—			157
Other (income) expense	(5		)	8			(50		)	—			(47		)
Amortization of purchased intangibles	—			—			85			—			85
Chubb integration expenses	2			1			7			—			10
Income tax expense (benefit)	5			(59		)	189			—			135
Net income	$	1,082		$	684		$	1,223		$	(1,907	)	$	1,082
Comprehensive income	$	453		$	216		$	614		$	(830	)	$	453

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 Statement of Cash Flows



For the Three Months Ended March 31, 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	$	24		$	2,727		$	800		$	(3,000	)	$	551
Cash flows from investing activities
Purchases of fixed maturities available for sale	—			(8		)	(5,964		)	—			(5,972		)
Purchases of fixed maturities held to maturity	—			—			(162		)	—			(162		)
Purchases of equity securities	—			—			(55		)	—			(55		)
Sales of fixed maturities available for sale	—			—			2,562			—			2,562
Sales of equity securities	—			—			40			—			40
Maturities and redemptions of fixed maturities available for sale	—			3			1,862			—			1,865
Maturities and redemptions of fixed maturities held to maturity	—			—			255			—			255
Net change in short-term investments	—			(14		)	745			—			731
Net derivative instruments settlements	—			(7		)	46			—			39
Private equity contributions	—			—			(353		)	—			(353		)
Private equity distributions	—			—			201			—			201
Capital contribution	(750		)	(3,500		)	—			4,250			—
Other	—			(3		)	(29		)	—			(32		)
Net cash flows used for investing activities	(750		)	(3,529		)	(852		)	4,250			(881		)
Cash flows from financing activities
Dividends paid on Common Shares	(330		)	—			—			—			(330		)
Common Shares repurchased	—			—			(29		)	—			(29		)
Proceeds from issuance of long-term debt	—			2,175			—			—			2,175
Repayment of long-term debt	—			(300		)	—			—			(300		)
Proceeds from issuance of repurchase agreements	—			—			408			—			408
Repayment of repurchase agreements	—			—			(404		)	—			(404		)
Proceeds from share-based compensation plans	—			—			34			—			34
Dividend to parent company	—			—			(3,000		)	3,000			—
Advances (to) from affiliates	656			(95		)	(561		)	—			—
Capital contribution	—			—			4,250			(4,250		)	—
Net proceeds from (payments to) affiliated notional cash pooling programs⁽¹⁾	400			(115		)	—			(285		)	—
Policyholder contract deposits	—			—			118			—			118
Policyholder contract withdrawals	—			—			(105		)	—			(105		)
Net cash flows from financing activities	726			1,665			711			(1,535		)	1,567
Effect of foreign currency rate changes on cash and restricted cash	(2		)	—			27			—			25
Net increase (decrease) in cash and restricted cash	(2		)	863			686			(285		)	1,262
Cash and restricted cash – beginning of period⁽¹⁾	3			1			962			(115		)	851
Cash and restricted cash – end of period⁽¹⁾	$	1		$	864		$	1,648		$	(400	)	$	2,113

⁽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, 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 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		)
Private equity contributions	—			—			(198		)	—			(198		)
Private equity distributions	—			—			315			—			315
Other	—			—			(106		)	—			(106		)
Net cash flows from (used for) investing activities	—			174			(240		)	—			(66		)
Cash flows from financing activities
Dividends paid on Common Shares	(324		)	—			—			—			(324		)
Common Shares repurchased	—			—			(128		)	—			(128		)
Proceeds from issuance of repurchase agreements	—			—			753			—			753
Repayment of long-term debt	—			(500		)	—			—			(500		)
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 restricted cash	—			—			(17		)	—			(17		)
Net increase in cash and restricted cash	5			—			357			(290		)	72
Cash and restricted cash – beginning of period⁽¹⁾	1			1			2,068			(982		)	1,088
Cash and restricted cash – end of period⁽¹⁾	$	6		$	1		$	2,425		$	(1,272	)	$	1,160

⁽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.