2 unchanged sentences
Chubb Limited and Subsidiaries
−Removed: September 30 December 31
+Added: March 31 December 31
(in millions of U.S.
5 unchanged sentences
(fair value – $ 9,888 and $ 10,647 )
−Removed: 10,515 11,653
Equity securities, at fair value 3,596 4,782
15 unchanged sentences
Other intangible assets 5,399 5,455
+Added: Deferred tax assets 333 —
Prepaid reinsurance premiums 3,068 3,028
10 unchanged sentences
Repurchase agreements 1,406 1,406
+Added: Short-term debt 1,474 999
Long-term debt 14,585 15,169
11 unchanged sentences
Retained earnings 47,148 47,365
−Removed: Accumulated other comprehensive income (AOCI) 978 2,869
+Added: Accumulated other comprehensive income (loss) (AOCI) ( 3,404 ) 350
Total shareholders’ equity 56,698 59,714
3 unchanged sentences
Chubb Limited and Subsidiaries
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
5 unchanged sentences
Net realized gains (losses) (includes $( 136 ) and $ 24 reclassified from AOCI)
−Removed: ( 21 ) ( 141 ) 833 ( 1,069 )
Total revenues 9,669 9,971
9 unchanged sentences
Income tax expense (includes $( 22 ) and $ 4 on unrealized gains and losses reclassified from AOCI)
−Removed: 218 142 873 295
Net income $ 1,974 $ 2,300
−Removed: Other comprehensive income (loss)
−Removed: Unrealized appreciation (depreciation) $ ( 564 ) $ 687 $ ( 2,151 ) $ 1,456
+Added: Other comprehensive loss
+Added: Unrealized depreciation $ ( 4,788 ) $ ( 2,293 )
Reclassification adjustment for net realized (gains) losses included in net income
( 4,652 ) ( 2,317 )
−Removed: ( 554 ) 638 ( 2,177 ) 1,759
Cumulative foreign currency translation adjustment 67 22
Postretirement benefit liability adjustment 19 ( 28 )
−Removed: Other comprehensive income (loss), before income tax ( 964 ) 861 ( 2,294 ) 1,532
−Removed: Income tax (expense) benefit related to OCI items 120 ( 103 ) 403 ( 295 )
−Removed: Other comprehensive income (loss) ( 844 ) 758 ( 1,891 ) 1,237
−Removed: Comprehensive income $ 989 $ 1,952 $ 4,507 $ 2,352
+Added: Other comprehensive loss, before income tax ( 4,566 ) ( 2,323 )
+Added: Income tax benefit related to OCI items 812 412
+Added: Other comprehensive loss ( 3,754 ) ( 1,911 )
+Added: Comprehensive income (loss) $ ( 1,780 ) $ 389
Earnings per share
4 unchanged sentences
Chubb Limited and Subsidiaries
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
19 unchanged sentences
Balance – beginning of period 47,365 39,337
−Removed: Cumulative effect of adoption of accounting guidance — — — ( 72 )
−Removed: Balance – beginning of period, as adjusted 43,902 35,991 39,337 36,070
Net income 1,974 2,300
3 unchanged sentences
Balance – end of period 47,148 41,637
−Removed: Accumulated other comprehensive income
+Added: Accumulated other comprehensive income (loss) (AOCI)
Net unrealized appreciation (depreciation) on investments
1 unchanged sentence
Change in period, before reclassification from AOCI, net of income tax
−Removed: (expense) benefit of $ 101 , $( 102 ), $ 395 and $( 300 )
−Removed: ( 463 ) 585 ( 1,756 ) 1,156
−Removed: Amounts reclassified from AOCI, net of income tax (expense) benefit of
−Removed: $( 3 ), $ 7 , $( 5 ), $( 35 )
+Added: benefit of $ 834 and $ 401
( 3,954 ) ( 1,892 )
−Removed: Change in period, net of income tax (expense) benefit of $ 98 , $( 95 ),
−Removed: $ 390 and $( 335 )
+Added: Amounts reclassified from AOCI, net of income tax (expense) benefit of $( 22 ) and $ 4
+Added: Change in period, net of income tax benefit of $ 812 and $ 405
( 3,840 ) ( 1,912 )
2 unchanged sentences
Balance – beginning of period ( 2,146 ) ( 1,637 )
−Removed: Change in period, net of income tax (expense) benefit of $ 23 , $( 13 ), $ 7
−Removed: ( 391 ) 233 ( 77 ) ( 141 )
+Added: Change in period, net of income tax benefit of $ 4 and $ 2
Balance – end of period ( 2,075 ) ( 1,613 )
1 unchanged sentence
Balance – beginning of period 240 ( 167 )
−Removed: Change in period, net of income tax (expense) benefit of $( 1 ), $ 5 , $ 6
−Removed: 3 ( 18 ) ( 27 ) ( 46 )
+Added: Change in period, net of income tax (expense) benefit of $( 4 ) and $ 5
Balance – end of period 255 ( 190 )
−Removed: Accumulated other comprehensive income 978 1,856 978 1,856
+Added: Accumulated other comprehensive income (loss) ( 3,404 ) 958
Total shareholders’ equity $ 56,698 $ 59,076
2 unchanged sentences
Chubb Limited and Subsidiaries
−Removed: Nine Months Ended
+Added: Three Months Ended
(in millions of U.S.
6 unchanged sentences
Amortization of purchased intangibles 71 72
+Added: Equity in net income of partially-owned entities ( 361 ) ( 497 )
Deferred income taxes 93 —
8 unchanged sentences
Deferred policy acquisition costs ( 96 ) ( 81 )
−Removed: ( 2,437 ) ( 762 )
+Added: Other ( 82 ) 301
Net cash flows from operating activities 2,440 2,105
11 unchanged sentences
Private equity distributions 207 206
−Removed: Payment, including deposit, for Huatai Group interest ( 208 ) ( 1,557 )
+Added: Payment for Huatai Group interest ( 113 ) ( 65 )
Other ( 120 ) ( 44 )
3 unchanged sentences
Common Shares repurchased ( 1,001 ) ( 519 )
−Removed: Proceeds from issuance of long-term debt — 988
Proceeds from issuance of repurchase agreements 146 450
3 unchanged sentences
Policyholder contract withdrawals and other ( 111 ) ( 124 )
−Removed: Other ( 81 ) —
+Added: Tax withholding payments for share-based compensation plans ( 81 ) ( 65 )
Net cash flows used for financing activities ( 1,302 ) ( 812 )
Effect of foreign currency rate changes on cash and restricted cash ( 40 ) ( 36 )
−Removed: Net increase (decrease) in cash and restricted cash ( 40 ) 227
+Added: Net increase in cash and restricted cash 103 5
Cash and restricted cash – beginning of period 1,811 1,836
21 unchanged sentences
The following table provides a reconciliation of cash and restricted cash reported within the Consolidated balance sheets that total to the amounts shown in the Consolidated statements of cash flows:
−Removed: September 30 December 31
+Added: March 31 December 31
(in millions of U.S.
3 unchanged sentences
Total cash and restricted cash shown in the Consolidated statements of cash flows $ 1,914 $ 1,811
−Removed: During the nine months ended September 30, 2021, Goodwill decreased $ 13 million, reflecting the impact of foreign exchange.
+Added: During the three months ended March 31, 2022, Goodwill increased $ 31 million, primarily reflecting the impact of foreign exchange.
d) Accounting guidance not yet adopted
8 unchanged sentences
Cigna’s Life and Accident and Health (A&H) Insurance Business in Asia-Pacific Markets
−Removed: On October 7, 2021, we entered into a definitive agreement to acquire the life and non-life insurance companies that house the personal accident, supplemental health and life insurance business of Cigna in seven Asia-Pacific markets, including Korea, Taiwan, New Zealand, Thailand, Hong Kong and Indonesia and its interest in a joint venture in Turkey, for $ 5.75 billion in cash.
+Added: On October 7, 2021, we entered into a definitive agreeme nt to acquire the life and non-life insurance companies that house the personal accident, supplemental health and life insurance business of Cigna in six Asia-Pacific markets, for approximately $ 5.72 billion in cash, subject to certain post-closing purchase adjustments.
The transaction is expected to be completed in 2022.
−Removed: The timing of completion is subject to required regulatory approvals and customary closing conditions.
+Added: The timing of completion is subject to required regulatory approvals a nd customary closing conditions.
Chubb maintains a direct investment in Huatai Insurance Group Co., Ltd.
4 unchanged sentences
(collectively, Huatai).
−Removed: Huatai Group's insurance operations have more than 600 branches and 17 million customers in China.
−Removed: In November 2020, we completed the purchase of an incremental 0.9 percent ownership interest in Huatai Group for approximately $ 65 million, which was paid in January 2021.
−Removed: As of September 30, 2021, Chubb's aggregate ownership interest in Huatai Group was approximately 47.1 percent.
+Added: Huatai Group's insurance operations have more than 600 branches and approximately 19 million customers in China.
+Added: As of March 31, 2022, Chubb's aggregate ownership interest in Huatai Group was approximately 47.3 percent.
Chubb applies the equity method of accounting to its investment in Huatai Group by recording its share of net income or loss in Other (income) expense in the Consolidated statements of operations.
−Removed: In 2019, Chubb entered into an agreement to acquire an additional 7.1 percent ownership interest in Huatai Group.
−Removed: In July 2021, Chubb signed an agreement of intent to purchase an additional 6.4 percent ownership interest in Huatai Group.
−Removed: In connection with the agreement, Chubb paid a deposit of approximately $ 143 million.
+Added: During 2021, Chubb entered into agreements with several counterparties to purchase incremental ownership interests in Huatai Group totaling approximately 31.8 percent for approximately $ 2.2 billion.
+Added: In connection with these agreements, Chubb paid approximately $ 1.1 billion in deposits.
+Added: In January 2022, we paid $ 113 million relating to these agreements.
+Added: Chubb entered into an agreement to acquire an approximate 7.1 percent ownership interest in Huatai Group for approximately $ 0.5 billion, which was paid as a deposit in 2020.
The purchase of the additional ownership interests is contingent upon important conditions.
1 unchanged sentence
a) Fixed maturities
−Removed: September 30, 2021 Amortized
+Added: March 31, 2022 Amortized
Cost Valuation Allowance Gross
Appreciation Gross
−Removed: Depreciation Fair
+Added: Depreciation Fair Value
(in millions of U.S.
8 unchanged sentences
Appreciation Gross
−Removed: Depreciation Fair
+Added: Depreciation Fair Value
Held to maturity
10 unchanged sentences
Appreciation Gross
−Removed: Depreciation Fair
+Added: Depreciation Fair Value
(in millions of U.S.
8 unchanged sentences
Appreciation Gross
−Removed: Depreciation Fair
+Added: Depreciation Fair Value
Held to maturity
5 unchanged sentences
$ 10,153 $ ( 35 ) $ 10,118 $ 533 $ ( 4 ) $ 10,647
−Removed: The following table presents the amortized cost of our Held to Maturity (HTM) securities according to S&P rating:
−Removed: September 30, 2021 December 31, 2020
+Added: The following table presents the amortized cost of our HTM securities according to S&P rating:
+Added: March 31, 2022 December 31, 2021
(in millions of U.S.
10 unchanged sentences
The following table presents fixed maturities by contractual maturity:
−Removed: September 30 December 31
+Added: March 31, 2022 December 31, 2021
(in millions of U.S.
18 unchanged sentences
b) Gross unrealized loss
−Removed: Fixed maturities in an unrealized loss position at September 30, 2021 comprised both investment grade and below investment grade securities for which fair value declined primarily due to widening credit spreads since the date of purchase.
−Removed: The following tables present, for Available for Sale (AFS) fixed maturities in an unrealized loss position (including securities on loan) that are not deemed to have expected credit losses, the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position:
+Added: Fixed maturities in an unrealized loss position at March 31, 2022 and December 31, 2021 comprised both investment grade and below investment grade securities for which fair value declined, principally due to rising interest rates since the date of purchase.
+Added: Refer to Note 3 in the 2021 Form 10-K for further information on factors considered in the evaluation of expected credit losses.
+Added: The following tables present, for Available for Sale (AFS) fixed maturities in an unrealized loss position (including securities on loan) that are not deemed to have expected credit losses, the aggregate fair value and gross unrealized loss by length of time the security has been in an unrealized loss position:
0 – 12 Months Over 12 Months Total
−Removed: September 30, 2021 Fair Value Gross
+Added: March 31, 2022 Fair Value Gross
Loss Fair Value Gross
14 unchanged sentences
(in millions of U.S.
+Added: Treasury / Agency $ 363 $ ( 3 ) $ 70 $ ( 3 ) $ 433 $ ( 6 )
6,917 ( 196 ) 1,093 ( 62 ) 8,010 ( 258 )
5 unchanged sentences
The following table presents the components of Net realized gains (losses):
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
5 unchanged sentences
Impairment (1)
−Removed: ( 11 ) ( 11 ) ( 12 ) ( 163 )
Total fixed maturities ( 136 ) 24
6 unchanged sentences
Other derivative instruments 1 ( 1 )
−Removed: Other ( 4 ) ( 3 ) ( 5 ) ( 43 )
Net realized gains (losses) (pre-tax) $ 101 $ 887
(1) Relates to certain securities we intended to sell and securities written to market entering default.
+Added: (2) Other realized losses include impairment of assets related to Chubb's Russian entities.
Realized gains and losses from Equity securities and Other investments from the table above include sales of securities and unrealized gains and losses from fair value changes as follows:
2 unchanged sentences
dollars) Equity Securities Other Investments Total Equity Securities Other Investments Total
−Removed: Net gains (losses) recognized during the period $ ( 42 ) $ 11 $ ( 31 ) $ — $ 31 $ 31
+Added: Net gains recognized during the period $ 56 $ 55 $ 111 $ 367 $ 38 $ 405
Net gains recognized from sales of securities 255 — 255 45 — 45
2 unchanged sentences
Chubb Limited and Subsidiaries
−Removed: Nine Months Ended
−Removed: (in millions of U.S.
−Removed: dollars) Equity Securities Other Investments Total Equity Securities Other Investments Total
−Removed: Net gains (losses) recognized during the period $ 475 $ 111 $ 586 $ 119 $ ( 71 ) $ 48
−Removed: Net gains recognized from sales of securities 109 — 109 197 — 197
−Removed: Unrealized gains (losses) recognized for securities still held at reporting date $ 366 $ 111 $ 477 $ ( 78 ) $ ( 71 ) $ ( 149 )
The following table presents a roll-forward of valuation allowance for expected credit losses on fixed maturities:
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
2 unchanged sentences
Valuation allowance for expected credit losses - beginning of period $ 14 $ 20
−Removed: Impact of adoption of new accounting guidance — — — 25
Provision for expected credit loss 17 4
−Removed: Initial allowance for purchased securities with credit deterioration — — — 5
−Removed: Write-offs charged against the expected credit loss — — — ( 5 )
Recovery of expected credit loss ( 4 ) ( 9 )
2 unchanged sentences
Valuation allowance for expected credit losses - beginning of period $ 35 $ 44
−Removed: Impact of adoption of new accounting guidance — — — 44
−Removed: Provision for expected credit loss — 2 — 9
Recovery of expected credit loss ( 1 ) ( 1 )
Valuation allowance for expected credit losses - end of period $ 34 $ 43
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
d) Alternative investments
1 unchanged sentence
The following table presents, by investment category, the expected liquidation period, fair value, and maximum future funding commitments of alternative investments:
−Removed: September 30 December 31
−Removed: Period of Underlying Assets 2021 2020
+Added: Period of Underlying Assets March 31, 2022 December 31, 2021
(in millions of U.S.
28 unchanged sentences
Vintage funds where the initial fund term has expired
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
Investment funds employ various investment strategies, such as long/short equity and arbitrage/distressed.
13 unchanged sentences
We have investments in segregated portfolios primarily to provide collateral or guarantees for LOC and derivative transactions.
−Removed: Included in restricted assets at
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: September 30, 2021 and December 31, 2020 are investments, primarily fixed maturities, totaling $ 18.82 billion and $ 19.61 billion, respectively, and cash of $ 176 million and $ 89 million, respectively.
+Added: Included in restricted assets at March 31, 2022 and December 31, 2021 are investments, primarily fixed maturities, totaling $ 15,954 million and $ 17,092 million, respectively, and cash of $ 180 million and $ 152 million, respectively.
The following table presents the components of restricted assets:
−Removed: September 30 December 31
+Added: March 31 December 31
(in millions of U.S.
20 unchanged sentences
We categorize financial instruments within the valuation hierarchy at the balance sheet date based upon the lowest level of inputs that are significant to the fair value measurement.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
We use pricing services to obtain fair value measurements for the majority of our investment securities.
16 unchanged sentences
Additionally, fixed maturities valuation is more subjective when markets are less liquid due to the lack of market based inputs (i.e., stale pricing) and may require the use of models to be priced.
−Removed: The lack of market based inputs may increase the potential that an investment's
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: estimated fair value is not reflective of the price at which an actual transaction would occur.
+Added: The lack of market based inputs may increase the potential that an investment's estimated fair value is not reflective of the price at which an actual transaction would occur.
The overwhelming majority of fixed maturities are classified within Level 2 because the most significant inputs used in the pricing techniques are observable.
10 unchanged sentences
Other investments
−Removed: Fair values for the majority of Other investments including investments in partially-owned investment companies, investment funds, and limited partnerships are based on their respective net asset values or equivalent (NAV) and are excluded from the fair value hierarchy table below.
+Added: Fair values for the majority of Other investments including investments in partially-owned investment companies, investment funds, and limited partnerships are based on their respective NAV and are excluded from the fair value hierarchy table below.
Certain of our long-duration contracts are supported by assets that do not qualify for separate account reporting under GAAP.
4 unchanged sentences
Excluded from the valuation hierarchy is the corresponding liability related to Chubb’s obligation to return the collateral plus interest as it is reported at contract value and not fair value in the Consolidated balance sheets.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
Investment derivative instruments
15 unchanged sentences
Separate account assets are recorded in Other assets in the Consolidated balance sheets.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
Guaranteed living benefits
The GLB arises from life reinsurance programs covering living benefit guarantees whereby we assume the risk of guaranteed minimum income benefits (GMIB) associated with variable annuity contracts.
−Removed: GLB’s are recorded in Accounts payable, accrued expenses, and other liabilities in the Consolidated balance sheets.
+Added: GLBs are recorded in Accounts payable, accrued expenses, and other liabilities in the Consolidated balance sheets.
For GLB reinsurance, Chubb estimates fair value using an internal valuation model which includes current market information and estimates of policyholder behavior.
2 unchanged sentences
Because of the significant use of unobservable inputs including policyholder behavior, GLB reinsurance is classified within Level 3.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
Financial instruments measured at fair value on a recurring basis, by valuation hierarchy
−Removed: September 30, 2021 Level 1 Level 2 Level 3 Total
+Added: March 31, 2022 Level 1 Level 2 Level 3 Total
(in millions of U.S.
17 unchanged sentences
Investment derivative instruments $ 212 $ — $ — $ 212
+Added: Other derivative instruments 63 — — 63
Total liabilities measured at fair value $ 275 $ — $ 696 $ 971
−Removed: (1) Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $ 9,768 million, policy loans of $ 235 million and other investments of $ 80 million at September 30, 2021 measured using NAV as a practical expedient.
+Added: (1) Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $ 10,947 million, policy loans of $ 244 million and other investments of $ 51 million at March 31, 2022 measured using NAV as a practical expedient.
(2) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value.
21 unchanged sentences
Other derivative instruments 16 — — 16
−Removed: — — 1,089 1,089
Total liabilities measured at fair value $ 182 $ — $ 745 $ 927
9 unchanged sentences
Unobservable Inputs Ranges Weighted Average (1)
−Removed: September 30, 2021 December 31, 2020
+Added: March 31, 2022 December 31, 2021
$ 696 $ 745 Actuarial model Lapse rate 3 % – 31 %
10 unchanged sentences
The effect of changes in key market factors on assumed lapse and annuitization rates reflect emerging trends using data available from cedants.
−Removed: For treaties with limited experience, rates are established in line with data received from other ceding companies adjusted, as appropriate, with industry estimates.
+Added: For treaties with limited experience, rates are established by blending the experience with data received from other ceding companies.
The model and related assumptions are regularly re-evaluated by management and enhanced, as appropriate, based upon additional experience obtained related to policyholder behavior and availability of updated information such as market conditions, market participant assumptions, and demographics of in-force annuities.
−Removed: For the three and nine months ended September 30, 2021 and 2020, no material refinements were made to the model.
+Added: For the three months ended March 31, 2022 and 2021, no material refinements were made to the model.
For detailed information on our lapse and annuitization rate assumptions, refer to Note 4 to the Consolidated Financial Statements of our 2021 Form 10-K.
2 unchanged sentences
Three Months Ended
−Removed: September 30, 2021
+Added: March 31, 2022
(in millions of U.S.
dollars) Available-for-Sale Debt Securities Equity
−Removed: securities Short-term investments Other
−Removed: investments GLB (1)
+Added: securities Short-term investments GLB (1)
Corporate and asset-
17 unchanged sentences
Three Months Ended
−Removed: September 30, 2020
−Removed: (in millions of U.S.
−Removed: dollars) Available-for-Sale Debt Securities Equity
−Removed: securities Short-term investments Other
−Removed: investments GLB (1)
−Removed: Corporate and asset-
−Removed: backed securities Mortgage-backed securities
−Removed: Balance, beginning of period $ 469 $ 1,369 $ 60 $ 64 $ 2 $ 10 $ 1,372
−Removed: Transfers into Level 3 — 1 — — — — —
−Removed: Transfers out of Level 3 — ( 1 ) — — — — —
−Removed: Change in Net Unrealized Gains/Losses in OCI 21 13 — — ( 1 ) — —
−Removed: Net Realized Gains/Losses 1 3 — 2 — — ( 46 )
−Removed: Purchases 41 194 2 3 7 — —
−Removed: Sales ( 19 ) ( 80 ) — ( 3 ) — — —
−Removed: Settlements ( 19 ) ( 54 ) ( 1 ) — ( 1 ) — —
−Removed: Other — — — — — — ( 8 )
−Removed: Balance, end of period $ 494 $ 1,445 $ 61 $ 66 $ 7 $ 10 $ 1,318
−Removed: Net Realized Gains/Losses Attributable to Changes in Fair Value at the balance sheet date $ — $ 3 $ — $ 2 $ — $ — $ ( 46 )
−Removed: Change in Net Unrealized Gains/Losses included in OCI at the balance sheet date $ 20 $ 12 $ — $ — $ ( 1 ) $ — $ —
−Removed: (1) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: Assets Liabilities
−Removed: Nine Months Ended
−Removed: September 30, 2021
−Removed: (in millions of U.S.
−Removed: dollars) Available-for-Sale Debt Securities Equity
−Removed: securities Short-term investments Other
−Removed: investments GLB (1)
−Removed: Corporate and asset-
−Removed: backed securities Mortgage-backed securities
−Removed: Balance, beginning of period $ 546 $ 1,573 $ 60 $ 73 $ 5 $ 10 $ 1,089
−Removed: Transfers into Level 3 22 91 — — — — —
−Removed: Transfers out of Level 3 ( 10 ) ( 3 ) — — — ( 10 ) —
−Removed: Change in Net Unrealized Gains/Losses in OCI ( 2 ) 14 — — — — —
−Removed: Net Realized Gains/Losses — 3 — 8 — — ( 252 )
−Removed: Purchases 235 681 18 11 10 — —
−Removed: Sales ( 35 ) ( 88 ) ( 1 ) ( 13 ) — — —
−Removed: Settlements ( 96 ) ( 412 ) ( 24 ) — ( 5 ) — —
−Removed: Other — — — — — — ( 19 )
−Removed: Balance, end of period $ 660 $ 1,859 $ 53 $ 79 $ 10 $ — $ 818
−Removed: Net Realized Gains/Losses Attributable to Changes in Fair Value at the balance sheet date $ — $ 3 $ — $ 5 $ — $ — $ ( 252 )
−Removed: Change in Net Unrealized Gains/Losses included in OCI at the balance sheet date $ 2 $ 17 $ — $ — $ — $ — $ —
−Removed: (1) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: Assets Liabilities
−Removed: Nine Months Ended
−Removed: September 30, 2020
+Added: March 31, 2021
(in millions of U.S.
6 unchanged sentences
Transfers into Level 3 — 17 — — — — —
−Removed: Transfers out of Level 3 ( 16 ) ( 73 ) — — — — —
Change in Net Unrealized Gains/Losses in OCI 8 6 — — — — —
16 unchanged sentences
The following tables present fair value, by valuation hierarchy, and carrying value of the financial instruments not measured at fair value:
−Removed: September 30, 2021 Fair Value Net Carrying
+Added: March 31, 2022 Fair Value Net Carrying
(in millions of U.S.
5 unchanged sentences
Mortgage-backed securities — 1,684 — 1,684 1,689
−Removed: — 4,414 — 4,414 4,231
+Added: Municipal — 3,904 — 3,904 3,884
Total assets $ 1,126 $ 8,762 $ — $ 9,888 $ 9,818
Repurchase agreements $ — $ 1,406 $ — $ 1,406 $ 1,406
+Added: Short-term debt — 1,484 — 1,484 1,474
Long-term debt — 14,702 — 14,702 14,585
12 unchanged sentences
Repurchase agreements $ — $ 1,406 $ — $ 1,406 $ 1,406
+Added: Short-term debt — 1,019 — 1,019 999
Long-term debt — 16,848 — 16,848 15,169
2 unchanged sentences
Reinsurance recoverable on ceded reinsurance
−Removed: September 30, 2021 December 31, 2020
+Added: March 31, 2022 December 31, 2021
(in millions of U.S.
7 unchanged sentences
(1) Net of valuation allowance for uncollectible reinsurance.
−Removed: The increase in reinsurance recoverable on losses and loss expenses was primarily due to higher underlying ceded exposures due to premium growth, unfavorable prior period development in certain lines, crop activity, and catastrophe losses.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
Chubb Limited and Subsidiaries
+Added: The increase in reinsurance recoverable on losses and loss expenses was primarily due to unfavorable prior period development in certain lines and higher underlying ceded exposures due to premium growth.
The following table presents a roll-forward of valuation allowance for uncollectible reinsurance related to Reinsurance recoverable on loss and loss expenses:
−Removed: Nine Months Ended
+Added: Three Months Ended
(in millions of U.S.
8 unchanged sentences
The following table presents a reconciliation of beginning and ending Unpaid losses and loss expenses:
−Removed: Nine Months Ended
+Added: Three Months Ended
(in millions of U.S.
19 unchanged sentences
(1) Net of valuation allowance for uncollectible reinsurance.
−Removed: (2) Relates to prior period loss reserve development only and excludes prior period development related to reinstatement premiums, expense adjustments and earned premiums totaling $ 87 million and $ 23 million for the nine months ended September 30, 2021 and 2020, respectively.
−Removed: Gross and net unpaid losses and loss expenses increased $ 4,820 million and $ 3,917 million, respectively, for the nine months ended September 30, 2021, driven by an increase in underlying exposure due to premium growth, crop activity, and net catastrophe losses incurred, partially offset by favorable prior period development.
+Added: (2) Relates to prior period loss reserve development only and excludes prior period development related to reinstatement premiums, expense adjustments and earned premiums totaling $ 165 million and $ 4 million for the three months ended March 31, 2022 and 2021, respectively.
+Added: Gross and net unpaid losses and loss expenses increased $ 901 million and $ 439 million, respectively, for the three months ended March 31, 2022, driven by an increase in underlying exposure due to premium growth, partially offset by catastrophe loss payments, favorable prior period development, and crop activity.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
2 unchanged sentences
Prior period development (PPD) arises from changes to loss estimates recognized in the current year that relate to loss events that occurred in previous calendar years and excludes the effect of losses from the development of earned premium from previous accident years.
−Removed: Long-tail lines include lines such as workers' compensation, general liability, and professional liability;
+Added: Long-tail lines include lines such as workers' compensation, general liability, and financial lines;
while short-tail lines include lines such as most property lines, energy, personal accident, and agriculture.
The following table summarizes (favorable) and adverse PPD by segment.
−Removed: Three Months Ended September 30 Nine Months Ended September 30
+Added: Three Months Ended March 31
(in millions of U.S.
−Removed: dollars) Long-tail Short-tail Total Long-tail Short-tail Total
+Added: dollars) Long-tail Short-tail Total
North America Commercial P&C Insurance $ ( 20 ) $ ( 88 ) $ ( 108 )
15 unchanged sentences
North America Commercial P&C Insurance
−Removed: For the three months ended September 30, 2021, net favorable PPD was $ 157 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
+Added: For the three months ended March 31, 2022, net favorable PPD was $ 108 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
• Net favorable development of $ 20 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 97 million in our workers' compensation business mainly impacting accident years 2016 and prior, driven by lower than expected loss experience, and related improvements in loss development factors;
−Removed: • Net favorable development of $ 36 million on large multi-line prospective deals in the 2017 and prior accident years, due to lower than expected reported loss activity.
−Removed: These structured deals typically cover large clients for multiple product lines and with varying loss limitations;
−Removed: this development is net of premium returns of $ 46 million tied to the loss performance of the particular deals;
−Removed: • Net adverse development of $ 31 million in commercial excess and umbrella portfolios, mainly in accident years 2018 and 2019, driven by higher than expected reported loss activity.
+Added: • Net favorable development of $ 38 million in workers’ compensation, mainly in accident years 2017 and prior, which were impacted by lower than expected loss emergence and related updates to loss development patterns;
+Added: • Net favorable development of $ 38 million in personal casualty business, mainly in accident years 2020 and 2021, which had lower than expected reported loss emergence and lower than expected loss frequency;
+Added: • Net adverse development of $ 60 million in excess and umbrella portfolios, in accident years 2019 and prior, driven by higher than expected loss emergence.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
1 unchanged sentence
• Net favorable development of $ 88 million in short-tail business, primarily from:
−Removed: • Net favorable development of $ 54 million in our property and marine portfolios, mainly in accident years 2019 and 2020, which experienced lower than expected loss development on catastrophe and non-catastrophe losses.
−Removed: For the nine months ended September 30, 2021, net favorable PPD was $ 440 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
+Added: • Net favorable development of $ 76 million in A&H, in accident years 2020 and 2021, driven by lower than expected loss emergence;
+Added: • Net favorable development of $ 38 million in surety, mainly in accident year 2020, driven by lower than expected loss emergence;
+Added: • Net adverse development of $ 21 million in small commercial property lines, mainly in accident year 2021, driven by higher than expected loss emergence.
+Added: For the three months ended March 31, 2021, net favorable PPD was $ 127 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
• Net favorable development of $ 46 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 255 million in our workers’ compensation business.
−Removed: This included favorable development of $ 36 million related to our annual assessment of multi-claimant events including industrial accidents, in the 2020 accident year.
−Removed: Consistent with prior years, we reviewed these potential exposures after the close of the accident year to allow for late reporting or identification of significant losses.
−Removed: The remaining overall favorable development was mainly in accident years 2016 and prior, driven by lower than expected loss experience and related improvements to loss development factors;
−Removed: • Net favorable development of $ 51 million in professional liability (errors & omissions and cyber), driven by accident years 2016 and 2017, from lower than expected emergence, partly offset by higher than expected development in accident year 2019;
−Removed: • Net favorable development of $ 40 million in voluntary environmental lines, driven by accident years 2017 and prior, from lower than expected emergence, partly offset by higher than expected development in accident year 2019;
−Removed: • Net favorable development of $ 37 million in general liability portfolios, driven by lower than expected paid and reported case incurred activity in accident years 2017 and prior, partly offset by higher than expected reported case incurred activity in accident years 2018 and 2019;
−Removed: • Net favorable development of $ 36 million on large multi-line prospective deals due to the same factors experienced for the three months ended September 30, 2021, as described above;
−Removed: • Net adverse development of $ 26 million in high deductible general liability coverages, driven by higher than expected loss severities, mainly impacting accident years 2016 through 2020, partly offset by favorable loss development in older accident years;
−Removed: • Net adverse development of $ 74 million in commercial automobile liability, driven by adverse reported loss experience, mainly impacting accident years 2017 and 2019;
−Removed: • Net adverse development of $ 74 million in commercial excess and umbrella portfolios, with accident years 2016 through 2019 experiencing higher than expected reported loss activity, partly offset by lower than expected emergence in accident years 2015 and prior.
+Added: • Net favorable development of $ 51 million in financial lines (errors & omissions and third-party cyber risk), in accident years 2016 and 2017, from lower than expected loss emergence, partly offset by higher than expected development in accident year 2019;
+Added: • Net favorable development of $ 35 million in voluntary environmental lines, in accident years 2017 and prior, from lower than expected loss emergence, partly offset by higher than expected development in accident year 2019;
+Added: • Net adverse development of $ 57 million in excess and umbrella portfolios, with accident years 2015 through 2019 continuing to experience higher than expected loss development, partly offset by favorable development in accident years 2014 and prior.
• Net favorable development of $ 81 million in short-tail business, primarily from:
−Removed: • Net favorable development of $ 89 million in surety, mainly in accident years 2018 through 2020, driven by lower than expected loss emergence;
−Removed: • Net favorable development of $ 83 million in property and marine coverages mainly in accident years 2019 and 2020, driven by lower than expected loss development;
−Removed: • Net favorable development of $ 46 million in accident and health, mainly in accident years 2019 and 2020, where loss emergence was lower than expected;
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: • Net adverse development of $ 41 million in first-party cyber risk, driven by accident years 2019 and 2020, which experienced higher than expected loss development as well as heightened frequency and severity.
−Removed: For the three months ended September 30, 2020, net favorable PPD was $ 200 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
−Removed: • Net favorable development of $ 255 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 155 million in workers' compensation business mainly impacting accident years 2016 and prior, driven by lower than expected paid and reported loss activity, and related updates to loss development factors, partly offset by adverse development in accident year 2019;
−Removed: • Net favorable development of $ 47 million in commercial excess and umbrella portfolios, driven by accident years 2014 and prior, and accident year 2019.
−Removed: The 2014 and prior development was a function of lower than expected paid and reported loss activity.
−Removed: The development on the 2019 accident year relates to three large policies covering specific perils, which expired in the quarter, with no covered events occurring;
−Removed: • Net favorable development of $ 41 million on large multi-line prospective deals in the 2016 and prior accident years, due to lower than expected reported loss activity.
−Removed: These structured deals typically cover large clients for multiple product lines and with varying loss limitations;
−Removed: this development is net of premium returns of $ 26 million tied to the loss performance of the particular deals;
−Removed: • Net favorable development of $ 40 million in our foreign casualty business, mainly in accident year 2016, due to lower than expected reported loss activity, partly offset by a large loss in accident year 2017;
−Removed: • Net adverse development of $ 29 million in assumed general liability and excess lines mainly in accident years 2016 and prior due to higher than expected reported loss activity.
−Removed: • Net adverse development of $ 55 million in short-tail business, primarily from:
−Removed: • Net adverse development of $ 35 million in our property portfolios, due to adverse non-catastrophe loss development mainly in accident year 2019, partially offset by favorable catastrophe-driven loss experience;
−Removed: • Net adverse development of $ 21 million in our marine portfolios, mainly impacting the 2019 accident year, driven by higher than expected non-catastrophe loss development.
−Removed: For the nine months ended September 30, 2020, net favorable PPD was $ 451 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
−Removed: • Net favorable development of $ 439 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 337 million in workers’ compensation lines.
−Removed: This included favorable development of $ 62 million related to our annual assessment of multi-claimant events including industrial accidents, in the 2019 accident year.
−Removed: Consistent with prior years, we reviewed these potential exposures after the close of the accident year to allow for late reporting or identification of significant losses.
−Removed: This favorable development in accident year 2019 was partially offset by some higher than expected activity from other claims.
−Removed: The remaining overall favorable development was mainly in accident years 2016 and prior, driven by lower than expected loss experience and related updates to loss development factors;
−Removed: • Net favorable development of $ 66 million in professional liability (errors & omissions and cyber risk), driven by accident years 2016 and prior, which experienced lower than expected loss emergence;
−Removed: • Net favorable development of $ 43 million in voluntary environmental lines, in accident years 2016 and prior, due to lower than expected emergence and a related updates to loss development factors;
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: • Net favorable development of $ 41 million on large multi-line prospective deals due to the same factors experienced for the three months ended September 30, 2020, as described above;
−Removed: • Net favorable development of $ 40 million in our foreign casualty businesses due to the same factors experienced for the three months ended September 30, 2020, as described above;
−Removed: • Net adverse development of $ 75 million in commercial automobile liability, mainly in high deductible and excess portfolios, driven by adverse paid and reported loss experience and related updates to loss development factors, mainly in accident years 2015 through 2019;
−Removed: • Net adverse development of $ 5 million for U.S.
−Removed: child molestation claims, predominantly reviver statute-related.
−Removed: • Net favorable development of $ 12 million in short-tail business due to the same factors experienced for the three months ended September 30, 2020, as described above, which was offset by:
−Removed: • Net favorable development of $ 37 million, in accident and health, mainly in accident years 2018 and 2019, driven by lower than expected paid loss emergence;
−Removed: • Net favorable development of $ 31 million in surety, driven by accident year 2018, where loss emergence was lower than expected.
+Added: • Net favorable development of $ 49 million in surety, mainly in accident years 2018 and 2019, driven by lower than expected loss emergence;
+Added: • Net favorable development of $ 48 million in A&H, in accident years 2019 and 2020, where loss emergence was lower than expected;
+Added: • Net favorable development of $ 25 million in property and marine coverages in accident year 2020, driven by lower than expected non-catastrophe loss development;
+Added: • Net adverse development of $ 41 million in first-party cyber risk, in accident years 2019 and 2020, which experienced higher than expected loss development as well as heightened frequency and severity.
North America Personal P&C Insurance
−Removed: For the three months ended September 30, 2021, net favorable PPD was $ 182 million, driven by favorable development of $ 176 million in homeowners, including valuables, mainly in accident year 2020, which experienced better than expected non-catastrophe loss development.
−Removed: For the nine months ended September 30, 2021, net favorable PPD was $ 266 million, driven by favorable development of $ 216 million in homeowners, including valuables, due to the same factors experienced for the three months ended September 30, 2021 as described above and a favorable $ 43 million in automobile, predominantly from better than expected frequency results in accident year 2020 for physical damage coverages.
−Removed: For the three and nine months ended September 30, 2020, net adverse PPD was $ 48 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
−Removed: • Net adverse development of $ 69 million in our homeowners lines, including valuables, mainly in accident years 2017 through 2019 due to higher than expected non-catastrophe loss emergence and adverse development arising from natural catastrophes in accident years 2017 and 2018;
−Removed: • Net favorable development of $ 22 million in our personal excess lines, driven by favorable development mainly in the 2017 accident year, partly offset by adverse development in accident year 2019.
−Removed: Overseas General Insurance
−Removed: For the three months ended September 30, 2021, net favorable PPD was $ 28 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
−Removed: • Net favorable development of $ 15 million in short-tail business, primarily from favorable claim development in surety in accident years 2018 through 2020.
−Removed: • Net favorable development of $ 13 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 72 million in casualty lines, including favorable development of $ 97 million in accident years 2017 and prior, due to lower than expected loss emergence across primary and excess lines in Continental Europe and U.K., partially offset by adverse development of $ 25 million in accident years 2018 through 2020, primarily due to higher than expected loss development and corresponding changes in loss development patterns on business in Asia Pacific;
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: • Net favorable development of $ 24 million in other long tail lines including Environmental and Political Risks, primarily in accident years 2017 and prior;
−Removed: • Net adverse development of $ 84 million in financial lines, with adverse development primarily in accident years 2011 through 2020 in Directors and Officers (D&O) on specific claims in Australia, and U.K., and adverse professional indemnity development, including medical malpractice, in various regions.
−Removed: For the nine months ended September 30, 2021, net favorable PPD was $ 209 million, primarily from:
−Removed: • Net favorable development of $ 201 million in short-tail business, primarily from:
−Removed: • Net favorable development of $ 55 million in accident and health lines, mainly due to favorable loss development across all regions in accident years 2019 and 2020;
−Removed: • Net favorable development of $ 54 million in property lines, in accident years 2019 and 2020, including a $ 21 million favorable reduction in COVID-19 estimates in accident year 2020.
−Removed: The remaining favorable development was across most regions in accident years 2019 and 2020;
−Removed: • Net favorable development of $ 35 million in marine lines in accident years 2018 through 2020, driven by favorable loss development, specific claim reductions, and salvage and subrogation recoveries in Continental Europe and Asia Pacific.
−Removed: For the three months ended September 30, 2020, net favorable PPD was $ 60 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:
−Removed: • Net favorable development of $ 71 million in long-tail business, primarily from:
−Removed: • Net favorable development of $ 94 million in casualty lines, including favorable development of $ 143 million in accident years 2016 and prior, due to lower than expected loss emergence across primary and excess lines in Continental Europe, U.K., and Asia Pacific, partially offset by adverse development of $ 49 million in accident years 2017 through 2019, primarily due to adverse large loss experience in the U.K.
−Removed: and Asia Pacific;
−Removed: • Net favorable development of $ 22 million in political risks, driven by benign loss experience in 2018 and 2019;
−Removed: • Net adverse development of $ 57 million in financial lines, with adverse development of $ 125 million in accident years 2016 through 2019, primarily due to adverse large loss experience in D&O in the U.K.
−Removed: and Asia Pacific.
−Removed: This was partially offset by favorable development of $ 68 million in accident years 2015 and prior, primarily from favorable case-specific settlements within Continental Europe and Asia Pacific financial institutions.
−Removed: For the nine months ended September 30, 2020, net favorable PPD was $ 100 million, which was the net result of several underlying favorable and adverse movements and was driven by the following principal changes:
−Removed: • Net favorable development of $ 72 million in long-tail lines due to the same factors experienced for the three months ended September 30, 2020 described above;
−Removed: • Net favorable development of $ 28 million in short-tail business, including $ 22 million in marine lines across all regions mainly in accident years 2017 and 2018.
−Removed: Global Reinsurance
−Removed: For the three and nine months ended September 30, 2020, net favorable PPD was $ 6 million and $ 29 million, respectively, which was the net result of several underlying favorable and adverse movements, none of which is significant individually or in the aggregate.
+Added: For the three months ended March 31, 2022, net favorable PPD was $ 51 million, in accident year 2021, which experienced better than expected loss emergence in homeowners.
+Added: For the three months ended March 31, 2021, net favorable PPD was $ 40 million, in accident year 2020, which experienced better than expected non-catastrophe loss emergence in homeowners and valuables.
+Added: North America Agricultural Insurance
+Added: For the three months ended March 31, 2022, net favorable PPD was $ 26 million, mainly due to better than expected crop yield results related to the 2021 crop year.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
Chubb Limited and Subsidiaries
−Removed: For the three months ended September 30, 2021, net adverse development was $ 43 million, driven principally by development in environmental liabilities of $ 33 million due to certain case specific incurred activity.
−Removed: For the nine months ended September 30, 2021, net adverse development was $ 140 million, driven by adverse development of $ 68 million for molestation claims, as well as the adverse development noted above regarding environmental liabilities.
−Removed: The remainder of the adverse development was driven by increased claim costs on non-A&E run-off workers’ compensation exposures, and charges relating to unallocated loss adjustment expenses incurred.
−Removed: For the three months ended September 30, 2020, net adverse development was $ 54 million, driven principally by development in environmental liabilities of $ 35 million due to certain case specific incurred activity.
−Removed: For the nine months ended September 30, 2020 net adverse development was $ 339 million, driven by adverse development of $ 254 million for U.S.
−Removed: child molestation claims, predominantly reviver statute-related, as well as the adverse development noted above regarding environmental liabilities.
−Removed: The remainder of the adverse development was driven by increased claim costs on a limited number of non-A&E run-off casualty and workers’ compensation exposures, and charges relating to unallocated loss adjustment expenses due to run-off operating expenses.
+Added: Overseas General Insurance
+Added: For the three months ended March 31, 2022, net favorable PPD was $ 60 million, across short-tail lines, mainly in accident years 2020 and 2021, primarily from:
+Added: • Net favorable development of $ 24 million in property lines driven by favorable loss emergence in Continental Europe;
+Added: • Net favorable development of $ 22 million in A&H lines driven by favorable loss developments across all regions.
+Added: For the three months ended March 31, 2021, net favorable PPD was $ 25 million, which reflects favorable loss experience across several lines, mainly in accident year 2020, none of which were significant individually or in the aggregate.
Commitments, contingencies, and guarantees
9 unchanged sentences
Chubb also maintains positions in convertible securities that contain embedded derivatives.
−Removed: Investment derivative instruments are recorded in either Other assets (OA) or Accounts payable, accrued expenses, and other liabilities (AP), convertible bonds are recorded in Fixed maturities available for sale (FM AFS), and convertible equity securities are recorded in Equity securities (ES) in the Consolidated balance sheets.
+Added: Investment derivative instruments are recorded in either Other assets (OA) or Accounts payable, accrued expenses, and other liabilities (AP);
+Added: convertible bonds are recorded in Fixed maturities available for sale (FM AFS);
+Added: and convertible equity securities are recorded in Equity securities (ES) in the Consolidated balance sheets.
These are the most numerous and frequent derivative transactions.
−Removed: In addition, Chubb purchases to be announced mortgage-backed securities (TBAs) as part of its investing activities.
+Added: In addition, Chubb, from time to time, purchases to be announced mortgage-backed securities (TBAs) as part of its investing activities.
Under reinsurance programs covering GLBs, Chubb assumes the risk of GLBs, principally GMIB, associated with variable annuity contracts.
7 unchanged sentences
The following table presents the balance sheet locations, fair values of derivative instruments in an asset or (liability) position, and notional values/payment provisions of our derivative instruments:
−Removed: September 30, 2021 December 31, 2020
+Added: March 31, 2022 December 31, 2021
Balance Sheet
19 unchanged sentences
The concept of a notional value does not apply to the GLB reinsurance contracts.
−Removed: At September 30, 2021 and December 31, 2020, net derivative assets of $ 22 million and net derivative liabilities of $ 30 million, respectively, included in the table above were subject to a master netting agreement.
+Added: At March 31, 2022 and December 31, 2021, net derivative liabilities of $ 107 million and $ 123 million, respectively, included in the table above were subject to a master netting agreement.
The remaining derivatives included in the table above were not subject to a master netting agreement.
The following table presents net realized gains (losses) related to derivative instrument activity in the Consolidated statements of operations:
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
8 unchanged sentences
Futures contracts on equities (2)
−Removed: ( 4 ) ( 52 ) ( 112 ) ( 30 )
Other 1 ( 1 )
Total GLB and other derivative instruments $ 78 $ 274
−Removed: $ ( 82 ) $ 4 $ 141 $ ( 420 )
(1) Includes embedded derivatives.
16 unchanged sentences
Option contracts may also be used as an alternative to futures contracts in the synthetic strategy as described above.
−Removed: The price of an option is influenced by the underlying security, expected volatility, time to expiration, and supply and demand.
+Added: The price of an option is influenced by the underlying security, level of interest rates, expected volatility, time to expiration, and supply and demand.
The credit risk associated with the above derivative financial instruments relates to the potential for non-performance by counterparties.
2 unchanged sentences
For non-exchange-traded instruments, the counterparties are principally banks which must meet certain criteria according to our investment guidelines.
−Removed: Interest rate swaps
−Removed: An interest rate swap is a contract between two counterparties in which interest payments are made based on a notional principal amount, which itself is never paid or received.
−Removed: Under the terms of an interest rate swap, one counterparty makes interest payments based on a fixed interest rate and the other counterparty’s payments are based on a floating rate.
−Removed: Interest rate swap contracts are used occasionally in our investment portfolio as protection against unexpected shifts in interest rates, which would affect the fair value of the fixed maturity portfolio.
−Removed: By using interest rate swaps in the portfolio, the overall duration or interest rate sensitivity of the portfolio can be impacted.
−Removed: Cross-currency swaps
−Removed: Cross-currency swaps are agreements under which two counterparties exchange interest payments and principal denominated in different currencies at a future date.
−Removed: We use cross-currency swaps to reduce the foreign currency and interest rate risk by converting cash flows back into local currency.
−Removed: We invest in foreign currency denominated investments to improve credit diversification and also to obtain better duration matching to our liabilities that is limited in the local currency market.
Included within Other are derivatives intended to reduce potential losses which may arise from certain exposures in our insurance business.
5 unchanged sentences
Chubb purchases convertible securities for their total return and not specifically for the conversion feature.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
By acquiring TBAs, we make a commitment to purchase a future issuance of mortgage-backed securities.
For the period between purchase of the TBAs and issuance of the underlying security, we account for our position as a derivative in the Consolidated Financial Statements.
−Removed: Chubb purchases TBAs both for their total return and for the flexibility they provide related to our mortgage-backed security strategy.
+Added: Chubb purchases TBAs, from time to time, both for their total return and for the flexibility they provide related to our mortgage-backed security strategy.
Under the GLB program, as the assuming entity, Chubb is obligated to provide coverage until the expiration or maturity of the underlying deferred annuity contracts or the expiry of the reinsurance treaty.
4 unchanged sentences
To mitigate adverse changes in the capital markets, we maintain positions in exchange-traded equity futures contracts, as noted under section "(ii) Futures" above.
−Removed: These futures increase in fair value when the S&P 500 index decreases (and decrease in fair value when the S&P 500 index increases).
+Added: These futures increase in fair value when the S&P 500 index decreases (and decrease in fair
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
+Added: value when the S&P 500 index increases).
The net impact of gains or losses related to changes in fair value of the GLB liability and the exchange-traded equity futures are included in Net realized gains (losses).
6 unchanged sentences
Remaining contractual maturity
−Removed: September 30, 2021 December 31, 2020
+Added: March 31, 2022 December 31, 2021
(in millions of U.S.
5 unchanged sentences
Mortgage-backed securities — 1
−Removed: States, municipalities, and political subdivisions 1 —
Equity securities 8 7
1 unchanged sentence
Gross amount of recognized liability for securities lending payable $ 1,800 $ 1,831
−Removed: At September 30, 2021 and December 31, 2020, our repurchase agreement obligations of $ 1,406 million and $ 1,405 million, respectively, were fully collateralized.
+Added: At March 31, 2022 and December 31, 2021, our repurchase agreement obligations of $ 1,406 million were fully collateralized.
In contrast to securities lending programs, the use of cash received is not restricted for the repurchase obligations.
The fair value of the underlying securities sold remains in Fixed maturities available for sale, and the repurchase agreement obligation is recorded in Repurchase agreements in the Consolidated balance sheets.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
The following table presents the carrying value of collateral pledged under repurchase agreements by investment category and remaining contractual maturity of the underlying agreements:
Remaining contractual maturity
−Removed: September 30, 2021 December 31, 2020
−Removed: 30-90 Days Greater than
+Added: March 31, 2022 December 31, 2021
+Added: Up to 30 Days 30-90 Days Greater than
90 Days Total 30-90 Days Greater than
9 unchanged sentences
(1) Per the repurchase agreements, the amount of collateral posted is required to exceed the amount of gross liability.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
Potential risks exist in our secured borrowing transactions due to market conditions and counterparty exposure.
5 unchanged sentences
d) Fixed maturities
−Removed: At September 30, 2021, we have commitments to purchase fixed income securities of $ 825 million over the next several years.
+Added: At March 31, 2022, we have commitments to purchase fixed income securities of $ 622 million over the next several years.
e) Other investments
−Removed: At September 30, 2021, included in Other investments in the Consolidated balance sheet are investments in limited partnerships and partially-owned investment companies with a carrying value of $ 9.5 billion.
+Added: At March 31, 2022, included in Other investments in the Consolidated balance sheet are investments in limited partnerships and partially-owned investment companies with a carrying value of $ 10.7 billion.
In connection with these investments, we have commitments that may require funding of up to $ 7.2 billion over the next several years.
1 unchanged sentence
f) Income taxes
−Removed: At September 30, 2021, $ 62 million of unrecognized tax benefits remain out standing.
−Removed: It is reasonably possible that over the next twelve months, that the amount of unrecognized tax benefits may change resulting from the re-evaluation of unrecognized tax benefits arising from examinations by taxing authorities, settlements and the lapses of statutes of limitations.
+Added: At March 31, 2022, $ 64 million of unrecognized tax benefits remain out standing.
+Added: It is reasonably possible that, over the next twelve months, the amount of unrecognized tax benefits may change resulting from the re-evaluation of unrecognized tax benefits arising from examinations by taxing authorities, settlements and the lapses of statutes of limitations.
With few exceptions, Chubb is no longer subject to income tax examinations for years before 2012 .
5 unchanged sentences
In the opinion of management, our ultimate liability for these matters could be, but we believe is not likely to be, material to our consolidated financial condition and results of operations.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: At September 30, 2021 and December 31, 2020, the right-of-use asset was $ 434 million and $ 473 million, respectively, recorded within Other assets on the Consolidated balance sheets and the lease liability was $ 472 million and $ 517 million, respectively, which was recorded within Accounts payable, accrued expenses, and other liabilities on the Consolidated balance sheets.
+Added: h) Lease commitments
+Added: At March 31, 2022, and December 31, 2021, the right-of-use asset was $ 437 million and $ 445 million, respectively, recorded within Other assets and the lease liability was $ 470 million and $ 484 million, respectively, recorded within Accounts payable, accrued expenses, and other liabilities on the Consolidated balance sheets.
These leases consist principally of real estate operating leases that are amortized on a straight-line basis over the term of the lease, which expire at various dates.
4 unchanged sentences
Under Swiss corporate law, dividends, including distributions from legal reserves or through a reduction in par value (par value reduction), must be stated in Swiss francs though dividend payments are made by Chubb in U.S.
−Removed: At September 30, 2021, our Common Shares had a par value of CHF 24.15 per share.
−Removed: At our May 2021 annual general meeting, our shareholders approved an annual dividend for the following year of up to $ 3.20 per share, expected to be paid in four quarterly installments of $ 0.80 per share after the general meeting by way of distribution from capital contribution reserves, transferred to free reserves for payment.
−Removed: The Board of Directors (Board) will determine the record and payment dates at which the annual dividend may be paid until the date of the 2022 annual general meeting, and is authorized to abstain from distributing a dividend at its discretion.
−Removed: At our May 2020 and 2019 annual general meetings, our shareholders approved annual dividends for the following year of up to $ 3.12 per share and $ 3.00 per share, respectively, which were paid in four quarterly installments of $ 0.78 per share and $ 0.75 per share, respectively, at dates determined by the Board after the annual general meetings by way of a distribution from capital contribution reserves, transferred to free reserves for payment.
−Removed: The following table presents dividend distributions per Common Share in Swiss francs (CHF) and U.S.
−Removed: dollars (USD):
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
−Removed: 2021 2020 2021 2020
−Removed: CHF USD CHF USD CHF USD CHF USD
−Removed: Total dividend distributions per common share 0.73 $ 0.80 0.71 $ 0.78 2.14 $ 2.38 2.18 $ 2.31
+Added: At March 31, 2022, our Common Shares had a par value of CHF 24.15 per share.
+Added: At our May 2021 and 2020 annual general meeting, our shareholders approved annual dividends for the following year of up to $ 3.20 per share and $ 3.12 per share, respectively, which were paid in four quarterly installments of $ 0.80 per share and $ 0.78 per share, respectively, at dates determined by the Board of Directors (Board) after the annual general meetings by way of a distribution from capital contribution reserves, transferred to free reserves for payment.
+Added: Dividend distributions per Common Share for the three months ended March 31, 2022 and 2021 were $ 0.80 (CHF 0.74 ) and $ 0.78 (CHF 0.70 ), respectively.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
+Added: Chubb Limited and Subsidiaries
Increases in Common Shares in treasury are due to open market repurchases of Common Shares and the surrender of Common Shares to satisfy tax withholding obligations in connection with the vesting of restricted stock and the forfeiture of unvested restricted stock.
Decreases in Common Shares in treasury are principally due to grants of restricted stock, exercises of stock options, purchases under the Employee Stock Purchase Plan (ESPP), and share cancellations.
−Removed: At our May 2021 annual general meeting, our shareholders approved the cancellation of 3,584,150 shares purchased under our share repurchase program during 2020.
−Removed: The capital reduction by cancellation of shares was subject to publication requirements and a two-month waiting period in accordance with Swiss law and became effective August 4, 2021.
−Removed: During the nine months ended September 30, 2021, 22,877,400 shares were repurchased, 3,584,150 shares were canceled, and 3,021,027 net shares were issued under employee share-based compensation plans.
−Removed: At September 30, 2021, 43,144,862 Common Shares remain in treasury.
+Added: At the Chubb Limited Extraordinary General Meeting of Shareholders, held on November 3, 2021, shareholders approved the cancellation of 14,465,400 shares repurchased under our share repurchase program during the first six months of 2021.
+Added: The capital reduction by cancellation of shares was subject to publication requirements and a two-month waiting period in accordance with Swiss law and became effective on January 17, 2022.
+Added: During the three months ended March 31, 2022, 4,869,900 shares were repurchased, 14,465,400 shares were canceled, and 1,972,615 net shares were issued under employee share-based compensation plans.
+Added: At March 31, 2022, 35,880,387 Common Shares remain in treasury.
Chubb Limited securities repurchase authorizations
1 unchanged sentence
• $ 1.5 billion of Chubb Common Shares from November 19, 2020 through December 31, 2021;
−Removed: • $ 1.5 billion of Chubb Common Shares from November 19, 2020 through December 31, 2021
−Removed: In February 2021, the Board approved an increase to the November 2020 share repurchase program of $ 1.0 billion to a total of $ 2.5 billion, effective through December 31, 2021.
−Removed: On July 19, 2021, the Board authorized a one-time incremental share repurchase program of up to $ 5.0 billion through June 30, 2022.
−Removed: The $ 2.5 billion share repurchase authorization was used prior to the $ 5.0 billion share repurchase authorization.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
+Added: • $ 1.0 billion increase to the November 2020 share repurchase program to a total of $ 2.5 billion in February 2021, effective through December 31, 2021;
+Added: • One-time incremental share repurchase program of $ 5.0 billion of Chubb Common Shares from July 19, 2021 through June 30, 2022.
The following table presents repurchases of Chubb's Common Shares conducted in a series of open market transactions under the Board authorizations:
−Removed: Three Months Ended Nine Months Ended October 1, 2021 through October 27, 2021
−Removed: September 30 September 30
+Added: Three Months Ended April 1, 2022 through April 28, 2022
(in millions of U.S.
4 unchanged sentences
Share-based compensation
−Removed: The Chubb Limited 2016 Long-Term Incentive Plan (the 2016 LTIP) permits grants of both incentive and non-qualified stock options principally at an option price per share equal to the grant date fair value of Chubb's Common Shares.
+Added: The Chubb Limited 2016 Long-Term Incentive Plan, as amended and restated (the Amended 2016 LTIP), permits grants of both incentive and non-qualified stock options principally at an option price per share equal to the grant date fair value of Chubb's Common Shares.
Stock options are generally granted with a 3 -year vesting period and a 10 -year term.
2 unchanged sentences
The fair value of the options issued is estimated on the grant date using the Black-Scholes option pricing model.
−Removed: The 2016 LTIP also permits grants of service-based restricted stock and restricted stock units as well as performance-based restricted stock awards.
+Added: The Amended 2016 LTIP also permits grants of service-based restricted stock and restricted stock units as well as performance-based restricted stock awards.
Chubb generally grants service-based restricted stock and restricted stock units with a 4 -year vesting period, based on a graded vesting schedule.
−Removed: Beginning in 2017, the performance-based restricted stock awards granted comprise target awards and premium awards that cliff vest at the end of a 3 -year performance period based on both tangible book value (shareholders' equity less goodwill and intangible assets, net of tax) per share growth and P&C combined ratio compared to a defined group of peer companies.
+Added: The performance-based restricted stock awards granted comprise target awards and premium awards that cliff vest at the end of a 3 -year performance period based on both tangible book value (shareholders' equity less goodwill and intangible assets, net of tax) per share growth and P&C combined ratio compared to a defined group of peer companies.
Premium awards are subject to an additional vesting provision based on total shareholder return compared to our peer group.
−Removed: The restricted stock is granted at market close price on the grant date.
+Added: The restricted stock is principally granted at market close price on the grant date.
On February 24, 2022, Chubb granted 809,644 service-based restricted stock awards, 295,195 service-based restricted stock units, and 294,229 performance-based stock awards to employees and officers with a grant date fair value of $ 199.03 each.
Each restricted stock unit represents our obligation to deliver to the holder one Common Share upon vesting.
−Removed: In May 2021, our shareholders approved the Chubb Limited 2016 Long-Term Incentive Plan, as amended and restated (the Amended 2016 LTIP).
−Removed: Under the Amended 2016 LTIP, the number of Common Shares available for delivery increased by 13.4 million.
−Removed: This is in addition to any shares that remain available for delivery since the initial establishment of the 2016 LTIP, plus any shares covered by outstanding awards granted under the ACE Limited 2004 Long-Term Incentive Plan that are forfeited, expired or canceled after the effective date of the Amended 2016 LTIP.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
5 unchanged sentences
2022 2021 2022 2021
−Removed: Three Months Ended September 30 U.S.
−Removed: Plans Non-U.S.
−Removed: Plans Non-U.S.
−Removed: (in millions of U.S.
−Removed: Service cost $ — $ 1 $ — $ 1 $ 1 $ —
−Removed: Non-service cost (benefit):
−Removed: Interest cost 18 5 24 6 1 1
−Removed: Expected return on plan assets ( 64 ) ( 10 ) ( 56 ) ( 11 ) ( 1 ) ( 1 )
−Removed: Amortization of net actuarial loss — — — — — —
−Removed: Amortization of prior service cost (1)
−Removed: — — — 1 — ( 20 )
−Removed: Settlements 1 — 1 — — —
−Removed: Total non-service cost (benefit) ( 45 ) ( 5 ) ( 31 ) ( 4 ) — ( 20 )
−Removed: Net periodic benefit cost (benefit) $ ( 45 ) $ ( 4 ) $ ( 31 ) $ ( 3 ) $ 1 $ ( 20 )
−Removed: (1) At June 30, 2021, the remaining prior service cost amortization related to the 2016 harmonization of our U.S.
−Removed: retirement program was fully amortized.
−Removed: Refer to Note 13 to the Consolidated Financial Statements of our 2020 Form 10-K for additional information.
−Removed: Pension Benefit Plans Other Postretirement
−Removed: Benefit Plans
−Removed: 2021 2020 2021 2020
−Removed: Nine Months Ended September 30 U.S.
+Added: Three Months Ended March 31 U.S.
Plans Non-U.S.
10 unchanged sentences
Net periodic benefit cost (benefit) $ ( 50 ) $ ( 4 ) $ ( 46 ) $ ( 4 ) $ — $ ( 20 )
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
The line items in which the service cost and non-service cost (benefit) components of net periodic benefit cost (benefit) are included in the Consolidated statements of operations were as follows:
1 unchanged sentence
Benefit Plans
−Removed: Three Months Ended September 30 2021 2020 2021 2020
−Removed: (in millions of U.S.
−Removed: Service cost:
−Removed: Losses and loss expenses $ — $ — $ — $ —
−Removed: Administrative expenses 1 1 1 —
−Removed: Total service cost 1 1 1 —
−Removed: Non-service cost (benefit):
−Removed: Losses and loss expenses ( 5 ) ( 3 ) — ( 2 )
−Removed: Administrative expenses ( 45 ) ( 32 ) — ( 18 )
−Removed: Total non-service cost (benefit) ( 50 ) ( 35 ) — ( 20 )
−Removed: Net periodic benefit cost (benefit) $ ( 49 ) $ ( 34 ) $ 1 $ ( 20 )
−Removed: Pension Benefit Plans Other Postretirement
−Removed: Benefit Plans
−Removed: Nine Months Ended September 30 2021 2020 2021 2020
+Added: Three Months Ended March 31 2022 2021 2022 2021
(in millions of U.S.
11 unchanged sentences
Other income and expense
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
dollars) 2022 2021
−Removed: Equity in net income (loss) of partially-owned entities (1)
−Removed: $ 802 $ 479 $ 2,073 $ 435
+Added: Equity in net income of partially-owned entities (1)
Gains (losses) from fair value changes in separate account assets (2)
−Removed: ( 24 ) 24 ( 5 ) 8
Federal excise and capital taxes ( 4 ) ( 5 )
1 unchanged sentence
Total $ 310 $ 490
−Removed: (1) Principally comprises our share of operating income and mark-to-market movement on private equities where we hold more than three percent.
−Removed: Also includes net income from our investment in Huatai of $ 40 million and $ 144 million for the three and nine months ended September 30, 2021, respectively, compared to $ 37 million and $ 86 million, respectively, for the prior year periods.
+Added: (1) Equity in net income of partially-owned entities includes $ 40 million and $ 49 million attributable to our investments in Huatai (Huatai Group, Huatai P&C, and Huatai Life) for the three months ended March 31, 2022 and 2021, respectively.
(2) Related to gains (losses) from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP.
10 unchanged sentences
Chubb calculates underwriting income (loss) by subtracting Losses and loss expenses, Policy benefits, Policy acquisition costs, and Administrative expenses from Net premiums earned.
−Removed: Our main measure of segment performance is Segment income (loss), which also includes Net investment income (loss), Other (income) expense, and Amortization of purchased intangibles acquired by the segment.
+Added: Segment income (loss) includes underwriting income (loss), net investment income (loss), and other operating income and expense items such as each segment's share of the operating income (loss) related to partially-owned entities and miscellaneous income and expense items for which the segments are held accountable.
+Added: Our main measure of segment performance is Segment income (loss), which also includes amortization of purchased intangibles acquired by the segment.
We determined that this definition of segment income (loss) is appropriate and aligns with how the business is managed.
5 unchanged sentences
We view gains and losses on these derivatives as part of the results of our underwriting operations, and therefore realized gains (losses) from these derivatives are reclassified to losses and loss expenses.
−Removed: • Policy benefits include gains and losses from fair value changes in separate account assets, as well as the offsetting movement in separate account liabilities.
−Removed: The gains and losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP have been reclassified from Other (income) expense.
+Added: • Policy benefits include fair value changes on separate accounts that do not qualify for separate accounting under GAAP.
+Added: These gains and losses have been reclassified from Other (income) expense.
We view gains and losses from fair value changes in both separate account assets and liabilities as part of the results of our underwriting operations, and therefore these gains and losses are reclassified to policy benefits.
• Net investment income includes investment income reclassified from Other (income) expense related to partially-owned investment companies (private equity partnerships) where our ownership interest is in excess of three percent.
−Removed: We view investment income from these equity-method private equity partnerships as net investment income.
+Added: We view investment income from these equity-method private equity partnerships as net investment income for segment reporting purposes.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
2 unchanged sentences
For the Three Months Ended
−Removed: September 30, 2021
+Added: March 31, 2022
(in millions of U.S.
10 unchanged sentences
Other (income) expense 6 1 — 2 — ( 28 ) ( 259 ) ( 32 ) ( 310 )
−Removed: 8 1 — — — ( 19 ) ( 722 ) ( 31 ) ( 763 )
Amortization expense of
4 unchanged sentences
Income tax expense 355 — 355
−Removed: Net income $ 170 $ — $ 1,833
−Removed: (1) Principally includes our share of operating income and market-to-market gains on private equities where we hold more than three percent.
−Removed: Refer to Note 11 for additional information.
+Added: Net income (loss) $ ( 272 ) $ — $ 1,974
For the Three Months Ended
−Removed: September 30, 2020
+Added: March 31, 2021
(in millions of U.S.
16 unchanged sentences
Income tax expense 338 — 338
−Removed: Net income (loss) $ ( 196 ) $ — $ 1,194
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – continued (Unaudited)
−Removed: Chubb Limited and Subsidiaries
−Removed: For the Nine Months Ended
−Removed: September 30, 2021
−Removed: (in millions of U.S.
−Removed: dollars) North America Commercial P&C Insurance North America Personal P&C Insurance North America Agricultural Insurance Overseas General Insurance Global
−Removed: Reinsurance Life Insurance Corporate Segment Measure Reclass Chubb Consolidated
−Removed: Net premiums written $ 12,318 $ 3,761 $ 2,110 $ 7,983 $ 702 $ 1,844 $ — $ — $ 28,718
−Removed: Net premiums earned 11,431 3,652 1,858 7,721 583 1,789 — — 27,034
−Removed: Losses and loss expenses 7,740 2,341 1,554 3,936 422 562 141 ( 8 ) 16,688
−Removed: Policy benefits — — — — — 508 — ( 5 ) 503
−Removed: Policy acquisition costs 1,540 746 100 2,070 147 538 — — 5,141
−Removed: Administrative expenses 772 200 10 811 27 247 258 — 2,325
−Removed: Underwriting income (loss) 1,379 365 194 904 ( 13 ) ( 66 ) ( 399 ) 13 2,377
−Removed: Net investment income (loss) 1,582 189 21 447 250 301 ( 42 ) ( 135 ) 2,613
−Removed: Other (income) expense 24 ( 3 ) — 3 — ( 79 ) ( 1,845 ) ( 130 ) ( 2,030 )
−Removed: Amortization expense of
−Removed: purchased intangibles — 8 20 36 — 4 148 — 216
−Removed: Segment income $ 2,937 $ 549 $ 195 $ 1,312 $ 237 $ 310 $ 1,256 $ 8 $ 6,804
−Removed: Net realized gains (losses) 841 ( 8 ) 833
−Removed: Interest expense 366 — 366
−Removed: Income tax expense 873 — 873
Net income $ 697 $ — $ 2,300
−Removed: For the Nine Months Ended
−Removed: September 30, 2020
−Removed: (in millions of U.S.
−Removed: dollars) North America Commercial P&C Insurance North America Personal P&C Insurance North America Agricultural Insurance Overseas General Insurance Global
−Removed: Reinsurance Life Insurance Corporate Segment Measure Reclass Chubb
−Removed: Net premiums written $ 10,750 $ 3,719 $ 1,604 $ 6,857 $ 606 $ 1,874 $ — $ — $ 25,410
−Removed: Net premiums earned 10,427 3,623 1,441 6,838 520 1,838 — — 24,687
−Removed: Losses and loss expenses 8,123 2,406 1,223 3,935 314 556 342 ( 2 ) 16,897
−Removed: Policy benefits — — — — — 542 — 8 550
−Removed: Policy acquisition costs 1,452 724 96 1,903 127 551 — — 4,853
−Removed: Administrative expenses 751 199 12 759 28 238 214 — 2,201
−Removed: Underwriting income (loss) 101 294 110 241 51 ( 49 ) ( 556 ) ( 6 ) 186
−Removed: Net investment income (loss) 1,544 195 23 396 214 285 ( 65 ) ( 64 ) 2,528
−Removed: Other (income) expense 19 4 1 10 1 ( 52 ) ( 283 ) ( 72 ) ( 372 )
−Removed: Amortization expense of
−Removed: purchased intangibles — 8 20 33 — 3 153 — 217
−Removed: Segment income (loss) $ 1,626 $ 477 $ 112 $ 594 $ 264 $ 285 $ ( 491 ) $ 2 $ 2,869
−Removed: Net realized gains (losses) ( 1,067 ) ( 2 ) ( 1,069 )
−Removed: Interest expense 390 — 390
−Removed: Income tax expense 295 — 295
−Removed: Net income (loss) $ ( 2,243 ) $ — $ 1,115
Underwriting assets are reviewed in total by management for purposes of decision-making.
3 unchanged sentences
Earnings per share
−Removed: Three Months Ended Nine Months Ended
−Removed: September 30 September 30
+Added: Three Months Ended
(in millions of U.S.
11 unchanged sentences
Excluded from weighted-average shares outstanding and assumed conversions is the impact of securities that would have been anti-dilutive during the respective periods.
+Added: These securities consisted of stock options in which the underlying exercise prices were greater than the average market prices of our Common Shares.
+Added: Refer to Note 12 to the Consolidated Financial Statements of our 2021 Form 10-K for additional information on stock options.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.