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Segment Information
 3 Months Ended
Mar. 31, 2014
Disclosure - Segment Reporting [Abstract]  
Segment Information

9. Segment Information

The Company monitors the performance of its operations in three segments, Non-life, Life and Health and Corporate and Other as described in Note 21 to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. The Non-life segment is further divided into four sub-segments: North America, Global (Non-U.S.) P&C, Global Specialty and Catastrophe.

The North America sub-segment includes agriculture, casualty, credit/surety, motor, multiline, property and other risks generally originating in the United States. The Global (Non-U.S.) P&C sub-segment includes casualty, motor and property business generally originating outside of the United States. The Global Specialty sub-segment is comprised of business that is generally considered to be specialized due to the sophisticated technical underwriting required to analyze risks, and is global in nature. This sub-segment consists of several lines of business for which the Company believes it has developed specialized knowledge and underwriting capabilities. These lines of business include agriculture, aviation/space, credit/surety, energy, engineering, marine, specialty casualty, specialty property and other lines. The Catastrophe sub-segment is comprised of the Company's catastrophe line of business. The Life and Health segment includes mortality, longevity and accident and health lines of business. Corporate and Other is comprised of the capital markets and investment related activities of the Company, including principal finance transactions, insurance-linked securities and strategic investments, and its corporate activities, including other operating expenses.

Since the Company does not manage its assets by segment, net investment income is not allocated to the Non-life segment. However, because of the interest-sensitive nature of some of the Company's Life and Health products, net investment income is considered in Management's assessment of the profitability of the Life and Health segment. The following items are not considered in evaluating the results of the Non-life and Life and Health segments: net realized and unrealized investment gains and losses, interest expense, amortization of intangible assets, net foreign exchange gains and losses, income tax expense or benefit and interest in earnings and losses of equity method investments. Segment results are shown before consideration of intercompany transactions.

Management measures results for the Non-life segment on the basis of the loss ratio, acquisition ratio, technical ratio, other operating expense ratio and combined ratio (all defined below). Management measures results for the Non-life sub-segments on the basis of the loss ratio, acquisition ratio and technical ratio. Management measures results for the Life and Health segment on the basis of the allocated underwriting result, which includes revenues from net premiums earned, other income or loss and allocated net investment income for Life and Health, and expenses from life policy benefits, acquisition costs and other operating expenses.

The following tables provide a summary of the segment results for the three months ended March 31, 2014 and 2013 (in millions of U.S. dollars, except ratios):

Segment Information
For the three months ended March 31, 2014
                                   
       Global       Total Life     
     North  (Non-U.S.)  Global    Non-life and Health Corporate  
     America P&C  Specialty Catastrophe  segment  segment  and Other Total
                               
Gross premiums written $530  $364  $479  $210  $1,583  $289  $0  $1,872
Net premiums written $527  $361  $389  $179  $1,456  $282  $0  $1,738
Increase in unearned premiums  (148)   (182)   (34)   (100)   (464)   (20)   0   (484)
Net premiums earned $379  $179  $355  $79  $992  $262  $0  $1,254
Losses and loss expenses and                              
life policy benefits  (260)   (94)   (201)   21   (534)   (215)   0   (749)
Acquisition costs  (92)   (54)   (79)   (8)   (233)   (32)   0   (265)
Technical result $27  $31  $75  $92  $225  $15  $0  $240
Other income                  1   1   (2)   0
Other operating expenses                  (65)   (17)   (29)   (111)
Underwriting result                 $161  $(1)   n/a  $129
Net investment income                      15   102   117
Allocated underwriting result (1)                     $14   n/a   n/a
Net realized and unrealized investment gains                          142   142
Interest expense                          (12)   (12)
Amortization of intangible assets                          (7)   (7)
Net foreign exchange gains                         0   0
Income tax expense                          (62)   (62)
Interest in earnings of equity method investments                          6   6
Net income                          n/a  $313
                                   
Loss ratio (2) 68.6%52.4%56.6%(26.5)%53.8%         
Acquisition ratio (3) 24.3   30.1   22.4   10.1   23.6            
                                   
Technical ratio (4) 92.9%82.5%79.0%(16.4)%77.4%         
Other operating expense ratio (5)                 6.5            
                                   
Combined ratio (6)                 83.9%         

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(1)       Allocated underwriting result is defined as net premiums earned, other income or loss and allocated net investment income less life policy benefits, acquisition costs and other operating expenses.

(2)       Loss ratio is obtained by dividing losses and loss expenses by net premiums earned.

(3)       Acquisition ratio is obtained by dividing acquisition costs by net premiums earned.

(4)       Technical ratio is defined as the sum of the loss ratio and the acquisition ratio.

(5)       Other operating expense ratio is obtained by dividing other operating expenses by net premiums earned.

(6)       Combined ratio is defined as the sum of the technical ratio and the other operating expense ratio.

 

Segment Information
For the three months ended March 31, 2013
                                   
         Global       Total Life    
     North  (Non-U.S.)  Global    Non-life and Health Corporate  
     America P&C  Specialty Catastrophe  segment  segment  and Other Total
                               
Gross premiums written $447  $372  $445  $238  $1,502  $254  $1  $1,757
Net premiums written $446  $368  $361  $211  $1,386  $249  $1  $1,636
Increase in unearned premiums (113)   (202)   (24)   (124)   (463)   (25)   (1)   (489)
Net premiums earned $333  $166  $337  $87  $923  $224  $0  $1,147
Losses and loss expenses and                              
life policy benefits (240)   (67)   (184)   11   (480)   (182)   1   (661)
Acquisition costs (72)   (50)   (75)   (11)   (208)   (27)   0   (235)
Technical result $21  $49  $78  $87  $235  $15  $1  $251
Other income                 0   3   1   4
Other operating expenses                 (66)   (18)   (32)   (116)
Underwriting result                 $169  $0   n/a  $139
Net investment income                     16   108   124
Allocated underwriting result                     $16   n/a   n/a
Net realized and unrealized investment gains                         23   23
Interest expense                         (12)   (12)
Amortization of intangible assets                         (7)   (7)
Net foreign exchange gains                         2   2
Income tax expense                         (42)   (42)
Interest in earnings of equity method investments                         7   7
Net income                          n/a  $234
                                   
Loss ratio 72.0%40.4%54.6%(12.8)%52.0%         
Acquisition ratio 21.6   30.1   22.4   12.3   22.6            
                                   
Technical ratio 93.6%70.5%77.0%(0.5)%74.6%         
Other operating expense ratio                 7.1            
                                   
Combined ratio                 81.7%