CHUBB LTD, 10-Q filed on 5/2/2018
Quarterly Report
v3.8.0.1
Document and Entity Information - SFr / shares
3 Months Ended
Mar. 31, 2018
Apr. 19, 2018
Dec. 31, 2017
Entity Information [Line Items]      
Common Shares, par value SFr 24.15   SFr 24.15
Document Type 10-Q    
Amendment Flag false    
Document Period End Date Mar. 31, 2018    
Document Fiscal Year Focus 2018    
Document Fiscal Period Focus Q1    
Trading Symbol CB    
Entity Registrant Name Chubb Ltd    
Entity Central Index Key 0000896159    
Current Fiscal Year End Date --12-31    
Entity Filer Category Large Accelerated Filer    
Common Shares Outstanding   465,802,115  
v3.8.0.1
Consolidated Balance Sheets - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
Assets      
Fixed maturities available for sale, at fair value (amortized cost – $XX,XXX and $77,835)(includes hybrid financial instruments of $X and $5) $ 79,111 $ 78,939  
Fixed maturities held to maturity, at amortized cost (fair value – $14,122 and $14,474) 14,253 14,335  
Equity securities, at fair value (cost – $948 and $737) 948 937  
Short-term investments, at fair value and amortized cost 2,874 3,561  
Other investments (cost – $4,919 and $4,417) 4,919 4,672  
Total investments 102,105 102,444  
Cash 1,988 [1] 728 [2]  
Restricted Cash [1] 125 123  
Securities lending collateral 2,039 1,737  
Accrued investment income 895 909  
Insurance and reinsurance balances receivable 9,570 9,334  
Reinsurance Recoverable Losses And Loss Expenses 14,982 15,034  
Reinsurance recoverable on policy benefits 181 184  
Deferred policy acquisition costs 4,843 4,723  
Value of business acquired 321 326  
Goodwill 15,686 15,541  
Other intangible assets 6,437 6,513  
Prepaid reinsurance premiums 2,600 2,529  
Investments in partially-owned insurance companies 664 662  
Other assets 6,345 6,235  
Total assets 168,781 167,022  
Liabilities      
Unpaid losses and loss expenses 63,139 63,179 $ 60,540
Unearned premiums 15,495 15,216  
Future policy benefits 5,412 5,321  
Insurance and reinsurance balances payable 6,148 5,868  
Securities lending payable 2,039 1,737  
Accounts payable, accrued expenses, and other liabilities 8,618 9,545  
Deferred tax liabilities 468 699  
Repurchase agreements 1,412 1,408  
Short-term debt 1,669 1,013  
Long-term debt 12,786 11,556  
Trust preferred securities 308 308  
Total liabilities 117,494 115,850  
Commitments and contingencies  
Shareholders’ equity      
Common Shares (CHF 24.15 par value; 479,783,864 shares issued; 465,831,486 and 463,833,179 shares outstanding) 11,121 11,121  
Common Shares in treasury (13,952,378 and 15,950,685 shares) (1,727) (1,944)  
Additional Paid in Capital, Common Stock 13,430 13,978  
Retained earnings 28,965 27,474  
Accumulated other comprehensive income (loss) (AOCI) (502) 543  
Total shareholders’ equity 51,287 51,172  
Total liabilities and shareholders’ equity $ 168,781 $ 167,022  
[1] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
Consolidated Balance Sheets (Parenthetical)
$ in Millions
Mar. 31, 2018
USD ($)
shares
Dec. 31, 2017
USD ($)
shares
Statement of Financial Position [Abstract]    
Available for sale, at amortized cost $ 79,208 $ 77,835
Fixed maturities available for sale, hybrid financial instruments 7 5
Held to maturity, at Fair Value 14,122 14,474
Equity securities, at cost 948 737
Other investments, cost $ 4,919 $ 4,417
Common Shares, shares issued | shares 479,783,864 479,783,864
Common Shares, shares outstanding | shares 465,831,486 463,833,179
Common Shares in treasury, shares | shares 13,952,378 15,950,685
v3.8.0.1
Consolidated Statements Of Operations and Comprehensive Income - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Revenues    
Net premiums written $ 7,104 $ 6,710
Change In Unearned Premium Net 77 (62)
Net premiums earned 7,027 6,772
Net investment income 806 745
Net Realized Gains Losses [Abstract]    
Other-than-temporary impairment (OTTI) losses gross (1) (19)
Portion of OTTI losses recognized in other comprehensive income (OCI) 0 0
Net OTTI losses recognized in income (1) (19)
Net realized gains (losses) excluding OTTI losses (1) 12
Total net realized gains (losses) (includes $(23) and $(8) reclassified from AOCI) (2) (7)
Total revenues 7,831 7,510
Expenses    
Losses and loss expenses 4,102 3,789
Policy benefits 151 168
Policy acquisition costs 1,464 1,397
Administrative expenses 692 676
Interest expense 157 154
Other (income) expense (47) (70)
Amortization of purchased intangibles 85 64
Chubb integration expenses 10 111
Total expenses 6,614 6,289
Income before income tax 1,217 1,221
Income tax expense (benefit) (includes $(3) and $(6) on reclassified unrealized losses) 135 128
Net income 1,082 1,093
Other comprehensive income (loss)    
Unrealized appreciation (depreciation) (1,234) 307
Reclassification adjustment for net realized losses included in net income 23 8
Unrealized appreciation (Depreciation) after reclassification adjustment (1,211) 315
Change in:    
Cumulative foreign currency translation adjustment 397 134
Postretirement benefit liability adjustment (23) (20)
Other comprehensive income (loss), before income tax (837) 429
Income tax (expense) benefit related to OCI items 208 (115)
Other comprehensive income (loss) (629) 314
Comprehensive income $ 453 $ 1,407
Earnings per share    
Basic earnings per share $ 2.32 $ 2.33
Diluted earnings per share $ 2.30 $ 2.31
v3.8.0.1
Consolidated Statements Of Operations and Comprehensive Income Consolidated Statements of Operations and Comprehensive Income (Parenthetical) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Total net realized gains (losses) reclassified from AOCI $ (23) $ (8)
Income tax expense on reclassified unrealized gains and loses $ (3) $ (6)
v3.8.0.1
Consolidated Statements Of Shareholders' Equity - USD ($)
$ in Millions
Total
Common Stock [Member]
Common shares in treasury [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]
Cumulative Foreign Currency Translation Adjustment [Member]
Postretirement Benefit Liability Adjustment [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance         $ 23,613 $ 1,058      
Balance - beginning of period at Dec. 31, 2016   $ 11,121 $ (1,480) $ 15,335 23,613 1,058 $ (1,663) $ 291  
Common Shares repurchased     (140)            
Net shares redeemed under employee share-based compensation plans     222 (260)          
Exercise of stock options       (21)          
Share-based compensation expense       65          
Net income $ 1,093       1,093        
Funding of dividends declared to Retained earnings       (324)          
Funding of dividends declared from Additional paid-in capital         324        
Dividends declared on Common Shares         (324)        
Change in period, before reclassification from AOCI, net of income tax benefit (expense) of $226 and $(102)           205      
Amounts reclassified from AOCI, net of income tax expense of $(3) and $(6)           2      
Change in period, net of income tax benefit (expense) of $223 and $(108)           207      
Change in period, net of income tax expense of $(19) and $(3)             131    
Change in period, net of income tax benefit (expense) of $4 and $(4)               (24)  
Balance - end of period at Mar. 31, 2017 49,224 11,121 (1,398) 14,795 24,706 1,265 (1,532) 267 $ 0
Balance - beginning of period at Dec. 31, 2017 51,172 11,121 (1,944) 13,978 27,474 1,450 (1,187) 280  
Common Shares repurchased     0            
Net shares redeemed under employee share-based compensation plans     217 (262)          
Exercise of stock options       (16)          
Share-based compensation expense       62          
Net income 1,082       1,082        
Funding of dividends declared to Retained earnings       (332)          
Funding of dividends declared from Additional paid-in capital         332        
Dividends declared on Common Shares         (332)        
Change in period, before reclassification from AOCI, net of income tax benefit (expense) of $226 and $(102)           (1,008)      
Amounts reclassified from AOCI, net of income tax expense of $(3) and $(6)           20      
Change in period, net of income tax benefit (expense) of $223 and $(108)           (988)      
Change in period, net of income tax expense of $(19) and $(3)             378    
Change in period, net of income tax benefit (expense) of $4 and $(4)               (19)  
Balance - end of period at Mar. 31, 2018 $ 51,287 $ 11,121 $ (1,727) $ 13,430 $ 28,965 $ 46 $ (809) $ 261 $ (502)
v3.8.0.1
Consolidated Statements Of Shareholders' Equity (Parenthetical) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Statement Consolidated Statements Of Shareholders Equity [Abstract]    
Change in year, before reclassification from AOCI, net of income tax benefit(expense) $ 226 $ (102)
Income tax benefit (expense) from reclassification of unrealized gains (3) (6)
Net unrealized appreciation on investments, Change in period, income tax (expense) benefit 223 (108)
Cumulative translation adjustment, Change in period, income tax(expense) benefit (19) (3)
Net income 1,082 1,093
Pension liability adjustment, Change in period, income tax (expense) benefit $ 4 $ (4)
v3.8.0.1
Consolidated Statements Of Cash Flows - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Cash flows from operating activities    
Net income $ 1,082 $ 1,093
Adjustments to reconcile net income to net cash flows from operating activities    
Net realized (gains) losses 2 7
Amortization of premiums/discounts on fixed maturities 155 184
Amortization of UPR related to the Chubb Corp acquisition and other intangibles 85 64
Deferred income taxes (2) (127)
Unpaid losses and loss expenses (420) (154)
Unearned premiums 111 17
Future policy benefits 58 40
Insurance and reinsurance balances payable 250 252
Accounts payable, accrued expenses, and other liabilities (724) (491)
Income taxes payable 88 191
Insurance and reinsurance balances receivable (174) 30
Reinsurance recoverable on losses and loss expenses 138 (122)
Reinsurance recoverable on policy benefits 3 (5)
Deferred policy acquisition costs (75) (59)
Prepaid reinsurance premiums (42) (81)
Other 16 174
Net cash flows from operating activities 551 1,013
Cash flows from investing activities    
Purchases of fixed maturities available for sale (5,972) (6,250)
Purchases of fixed maturities held to maturity (162) (157)
Purchases of equity securities (55) (37)
Sales of fixed maturities available for sale 2,562 3,395
Sales of equity securities 40 46
Maturities and redemptions of fixed maturities available for sale 1,865 2,543
Maturities and redemptions of fixed maturities held to maturity 255 240
Net change in short-term investments 731 232
Net derivative instruments settlements 39 (89)
Private equity contribution (353) (198)
Private equity distribution 201 315
Other (32) (106)
Net cash flows used for investing activities (881) (66)
Cash flows from financing activities    
Dividends paid on Common Shares (330) (324)
Common Shares repurchased (29) (128)
Proceeds from issuance of long-term debt (300) (500)
Proceeds from issuance of repurchase agreements 408 753
Proceeds from Issuance of Long-term Debt 2,175 0
Repayment of repurchase agreements (404) (752)
Proceeds from share-based compensation plans 34 42
Policyholder contract deposits 118 109
Policyholder contract withdrawals (105) (58)
Net cash flows from (used for) financing activities 1,567 (858)
Effect of foreign currency rate changes on cash and restricted cash 25 (17)
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Excluding Exchange Rate Effect 1,262 72
Cash and Restricted Cash - Beginning of year 851 1,088
Cash and Restricted Cash - end of Year 2,113 1,160
Supplemental cash flow information    
Taxes paid 93 54
Interest paid $ 82 $ 75
v3.8.0.1
General
3 Months Ended
Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
General
General

a) Basis of presentation
Chubb Limited is a holding company incorporated in Zurich, Switzerland. Chubb Limited, through its subsidiaries, provides a broad range of insurance and reinsurance products to insureds worldwide. Chubb operates through the following business segments: North America Commercial P&C Insurance, North America Personal P&C Insurance, North America Agricultural Insurance, Overseas General Insurance, Global Reinsurance, and Life Insurance. Refer to Note 10 for additional information.

The interim unaudited consolidated financial statements, which include the accounts of Chubb Limited and its subsidiaries (collectively, Chubb, we, us, or our), have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and, in the opinion of management, reflect all adjustments (consisting of normally recurring accruals) necessary for a fair statement of the results and financial position for such periods. All significant intercompany accounts and transactions, including internal reinsurance transactions, have been eliminated.

The results of operations and cash flows for any interim period are not necessarily indicative of the results for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in our 2017 Form 10-K.

b) Restricted cash
Effective January 1, 2018, we retrospectively adopted guidance on "Restricted Cash" that clarified the presentation of restricted cash on the consolidated statement of cash flows. As a result, we revised the statement of cash flows for the three months ended March 31, 2017 to include restricted cash in the beginning and ending cash balances. In addition, we reclassified $123 million of Restricted cash from Other assets to a separate line in the balance sheet as of December 31, 2017.

Restricted cash in the consolidated balance sheets represents amounts held for the benefit of third parties and is legally or contractually restricted as to withdrawal or usage. Amounts include deposits with U.S. and non-U.S. regulatory authorities, trust funds set up for the benefit of ceding companies, and amounts pledged as collateral to meet financing arrangements.

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:

 
March 31

 
December 31

(in millions of U.S. dollars)
2018

 
2017

Cash
$
1,988

 
$
728

Restricted cash
125

 
123

Total cash and restricted cash shown in the consolidated statements of cash flows
$
2,113

 
$
851



c) Goodwill
During the three months ended March 31, 2018, Goodwill increased $145 million, primarily reflecting the impact of foreign exchange.

d) Accounting guidance adopted in 2018
Revenue from Contracts with Customers
In May 2014, the FASB issued an accounting standard that supersedes most existing revenue recognition guidance. The standard excludes from its scope the accounting for insurance contracts, leases, financial instruments, and certain other agreements that are governed under other GAAP guidance, but could affect the revenue recognition for certain of our claims management and risk control services. The updated guidance requires an entity to recognize revenue as performance obligations are met, in order to reflect the transfer of promised goods or services to customers in an amount that reflects the consideration the entity is entitled to receive for those goods or services. This guidance was effective for us on January 1, 2018. The adoption of this guidance did not have a material impact on our financial condition or results of operations given that the majority of our business is outside the scope of this guidance.

Financial Instruments – Recognition and Measurement of Financial Assets and Financial Liabilities
Effective January 2018, we adopted new accounting guidance on "Recognition and Measurement of Financial Assets and Financial Liabilities" on a modified-retrospective basis. The guidance requires equity investments, other than those accounted for under the equity method of accounting, to be measured at fair value with changes in fair value recognized through net income. The guidance impacts our public equities and cost-method private equities. As a result, we recorded a cumulative-effect adjustment to increase beginning Retained earnings by $416 million after tax ($454 million pre-tax), representing the unrealized appreciation on our equity investments with an offsetting adjustment to decrease Accumulated other comprehensive income. All subsequent changes in fair value of our equity investments are recognized within realized gains (losses) on the consolidated statement of operations. Prior period amounts have not been adjusted and continue to be reported in accordance with the previous accounting guidance.
 
Income Taxes
Effective January 2018, we adopted new accounting guidance on “Intra-Entity Transfers of Assets Other Than Inventory” on a modified-retrospective basis. Under the new guidance, we will no longer defer taxes on intra-company asset transfers and will recognize income tax expense (benefit) immediately through the income statement. As a result, we recorded a cumulative-effect adjustment to decrease beginning Retained earnings by $7 million representing the removal of the deferred tax asset for previous intra-company asset transfer transactions not yet recognized through earnings.

Income Tax Accounting Implications of the Tax Cuts and Jobs Act
The Tax Cuts and Jobs Act (2017 Tax Act) was signed into legislation in December 2017. The Securities and Exchange Commission issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act, which provides guidance for the application of the 2017 Tax Act. The income tax guidance allows for the transition impact of the 2017 Tax Act to be recorded as 1) complete with all accounting implications identified, 2) provisional based on a reasonable estimate, or 3) not recorded as no reasonable estimate was determinable.

In December 2017, we recorded a $450 million income tax transition benefit on a provisional basis under SAB 118. There were no changes to this estimate for the current period as we continue to analyze the impact of the 2017 Tax Act.
 
Refer to the 2017 Form 10-K for information on other accounting guidance not yet adopted.
v3.8.0.1
Investments
3 Months Ended
Mar. 31, 2018
Investments, Debt and Equity Securities [Abstract]  
Investments
Investments

a) Fixed maturities
 
March 31, 2018
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,893

 
$
22

 
$
(77
)
 
$
3,838

 
$

Foreign
21,705

 
513

 
(187
)
 
22,031

 

Corporate securities
23,509

 
332

 
(274
)
 
23,567

 
(4
)
Mortgage-backed securities
16,116

 
53

 
(349
)
 
15,820

 
(1
)
States, municipalities, and political subdivisions
13,985

 
61

 
(191
)
 
13,855

 

 
$
79,208

 
$
981

 
$
(1,078
)
 
$
79,111

 
$
(5
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
1,037

 
$
9

 
$
(14
)
 
$
1,032

 
$

Foreign
1,754

 
17

 
(20
)
 
1,751

 

Corporate securities
3,026

 
26

 
(55
)
 
2,997

 

Mortgage-backed securities
2,681

 
11

 
(45
)
 
2,647

 

States, municipalities, and political subdivisions
5,755

 
18

 
(78
)
 
5,695

 

 
$
14,253

 
$
81

 
$
(212
)
 
$
14,122

 
$


December 31, 2017
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,701

 
$
32

 
$
(35
)
 
$
3,698

 
$

Foreign
20,514

 
622

 
(106
)
 
21,030

 
(1
)
Corporate securities
23,453

 
638

 
(95
)
 
23,996

 
(4
)
Mortgage-backed securities
15,279

 
111

 
(100
)
 
15,290

 
(1
)
States, municipalities, and political subdivisions
14,888

 
125

 
(88
)
 
14,925

 

 
$
77,835

 
$
1,528

 
$
(424
)
 
$
78,939

 
$
(6
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
908

 
$
12

 
$
(5
)
 
$
915

 
$

Foreign
1,738

 
27

 
(8
)
 
1,757

 

Corporate securities
3,159

 
67

 
(7
)
 
3,219

 

Mortgage-backed securities
2,724

 
23

 
(5
)
 
2,742

 

States, municipalities, and political subdivisions
5,806

 
50

 
(15
)
 
5,841

 

 
$
14,335

 
$
179

 
$
(40
)
 
$
14,474

 
$



As discussed in Note 2 b), if a credit loss is incurred on an impaired fixed maturity, an OTTI is considered to have occurred and the portion of the impairment not related to credit losses (non-credit OTTI) is recognized in OCI. Included in the “OTTI Recognized in AOCI” columns above are the cumulative amounts of non-credit OTTI recognized in OCI adjusted for subsequent sales, maturities, and redemptions. OTTI recognized in AOCI does not include the impact of subsequent changes in fair value of the related securities. In periods subsequent to a recognition of OTTI in OCI, changes in the fair value of the related fixed maturities are reflected in Net unrealized appreciation on investments in the Consolidated statements of shareholders’ equity. For the three months ended March 31, 2018 and 2017, $4 million and nil, respectively, of net unrealized depreciation related to such securities is included in OCI. At March 31, 2018 and December 31, 2017, AOCI included cumulative net unrealized appreciation of $3 million and $7 million, respectively, related to securities remaining in the investment portfolio for which a non-credit OTTI was recognized.

Mortgage-backed securities (MBS) issued by U.S. government agencies are combined with all other to be announced mortgage-backed securities (TBAs) held (refer to Note 6 c) (iv)) and are included in the category, “Mortgage-backed securities”. Approximately 82 percent and 83 percent of the total mortgage-backed securities at March 31, 2018 and December 31, 2017, respectively, are represented by investments in U.S. government agency bonds. The remainder of the mortgage exposure consists of collateralized mortgage obligations and non-government mortgage-backed securities, the majority of which provide a planned structure for principal and interest payments and carry a rating of AAA by the major credit rating agencies.

The following table presents fixed maturities by contractual maturity:
 
 
 
March 31

 
 
 
December 31

 
 
 
2018

 
 
 
2017

(in millions of U.S. dollars)
Amortized Cost

 
Fair Value

 
Amortized Cost

 
Fair Value

Available for sale
 
 
 
 
 
 
 
Due in 1 year or less
$
3,735

 
$
3,746

 
$
3,164

 
$
3,182

Due after 1 year through 5 years
25,140

 
25,251

 
24,749

 
25,068

Due after 5 years through 10 years
25,243

 
25,097

 
25,388

 
25,704

Due after 10 years
8,974

 
9,197

 
9,255

 
9,695

 
63,092

 
63,291

 
62,556

 
63,649

Mortgage-backed securities
16,116

 
15,820

 
15,279

 
15,290

 
$
79,208

 
$
79,111

 
$
77,835

 
$
78,939

Held to maturity
 
 
 
 
 
 
 
Due in 1 year or less
$
838

 
$
840

 
$
743

 
$
746

Due after 1 year through 5 years
2,684

 
2,678

 
2,669

 
2,688

Due after 5 years through 10 years
4,713

 
4,635

 
4,744

 
4,756

Due after 10 years
3,337

 
3,322

 
3,455

 
3,542

 
11,572

 
11,475

 
11,611

 
11,732

Mortgage-backed securities
2,681

 
2,647

 
2,724

 
2,742

 
$
14,253

 
$
14,122

 
$
14,335

 
$
14,474



Expected maturities could differ from contractual maturities because borrowers may have the right to call or prepay obligations, with or without call or prepayment penalties. 

b) Net realized gains (losses)
In accordance with guidance related to the recognition and presentation of OTTI, when an impairment related to a fixed maturity has occurred, OTTI is required to be recorded in Net income if management has the intent to sell the security or it is more likely than not that we will be required to sell the security before the recovery of its amortized cost. Further, in cases where we do not intend to sell the security and it is more likely than not that we will not be required to sell the security, we must evaluate the security to determine the portion of the impairment, if any, related to credit losses. If a credit loss is incurred, an OTTI is considered to have occurred and any portion of the OTTI related to credit losses must be reflected in Net income while the portion of OTTI related to all other factors is recognized in OCI. For fixed maturities held to maturity, OTTI recognized in OCI is accreted from AOCI to the amortized cost of the fixed maturity prospectively over the remaining term of the securities.

Each quarter, securities in an unrealized loss position (impaired securities), including fixed maturities and securities lending collateral are reviewed to identify impaired securities to be specifically evaluated for a potential OTTI. Refer to the 2017 Form 10-K for information on our evaluation of OTTI for all non-fixed maturities prior to our adoption of new accounting guidance on financial instruments, effective January 1, 2018.

Evaluation of potential credit losses related to fixed maturities
We review each fixed maturity in an unrealized loss position to assess whether the security is a candidate for credit loss. Specifically, we consider credit rating, market price, and issuer-specific financial information, among other factors, to assess the likelihood of collection of all principal and interest as contractually due. Securities for which we determine that credit loss is likely are subjected to further analysis to estimate the credit loss recognized in Net income, if any. In general, credit loss recognized in Net income equals the difference between the security’s amortized cost and the net present value of its projected future cash flows discounted at the effective interest rate implicit in the debt security. All significant assumptions used in determining credit losses are subject to change as market conditions evolve.

Corporate securities
Projected cash flows for corporate securities (principally senior unsecured bonds) are driven primarily by assumptions regarding probability of default and also the timing and amount of recoveries associated with defaults. Chubb developed projected cash flows for corporate securities using market observable data, issuer-specific information, and credit ratings. We use historical default data by Moody’s Investors Service (Moody’s) rating category to calculate a 1-in-100 year probability of default, which results in a default assumption in excess of the historical mean default rate. Consistent with management's approach, Chubb assumed a 32 percent recovery rate (the par value of a defaulted security that will be recovered) across all rating categories rather than using Moody's historical mean recovery rate of 42 percent. We believe that use of a default assumption in excess of the historical mean is conservative.

For the three months ended March 31, 2018 and 2017, credit losses recognized in Net income for corporate securities were nil and $1 million, respectively.

Mortgage-backed securities
For mortgage-backed securities, credit impairment is assessed using a cash flow model that estimates the cash flows on the underlying mortgages, using the security-specific collateral and transaction structure. The model estimates cash flows from the underlying mortgage loans and distributes those cash flows to various tranches of securities, considering the transaction structure and any subordination and credit enhancements that exist in that structure. The cash flow model incorporates actual cash flows on the mortgage-backed securities through the current period and then projects the remaining cash flows using a number of assumptions, including default rates, prepayment rates, and loss severity rates (the par value of a defaulted security that will not be recovered) on foreclosed properties.

For the three months ended March 31, 2018 and 2017, there were no credit losses recognized in Net income for mortgage-backed securities.
The following table presents the components of Net realized gains (losses):
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Fixed maturities:
 
 
 
OTTI on fixed maturities, gross
$
(1
)
 
$
(6
)
OTTI on fixed maturities recognized in OCI (pre-tax)

 

OTTI on fixed maturities, net
(1
)
 
(6
)
Gross realized gains excluding OTTI
66

 
34

Gross realized losses excluding OTTI
(88
)
 
(40
)
Total fixed maturities
(23
)
 
(12
)
Equity securities:
 
 
 
OTTI on equity securities

 
(5
)
Gross realized gains excluding OTTI
10

 
9

Gross realized losses excluding OTTI
(21
)
 

Total equity securities
(11
)
 
4

OTTI on other investments

 
(8
)
Other investments
29

 

Foreign exchange losses
(77
)
 
(19
)
Investment and embedded derivative instruments
17

 
6

Fair value adjustments on insurance derivative
38

 
93

S&P put options and futures
22

 
(74
)
Other derivative instruments
2

 
2

Other
1

 
1

Net realized gains (losses)
$
(2
)
 
$
(7
)



The following table presents a roll-forward of pre-tax credit losses related to fixed maturities for which a portion of OTTI was recognized in OCI: 
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Balance of credit losses related to securities still held – beginning of period
$
22

 
$
35

Additions where no OTTI was previously recorded

 

Additions where an OTTI was previously recorded

 
1

Reductions for securities sold during the period
(7
)
 
(4
)
Balance of credit losses related to securities still held – end of period
$
15

 
$
32



c) Equity securities and Other investments
Effective January 1, 2018, we adopted new accounting guidance that requires any changes in fair value of equity securities and other investments that are accounted for under the cost-method to be recognized immediately in realized gains and losses in net income. As a result, beginning on January 1, 2018, realized gains and losses from these investments include both sales of securities and unrealized gains and losses as follows:

 
Three Months Ended
 
 
March 31, 2018
 
(in millions of U.S. dollars)
Equity Securities

 
Other Investments

Net gains (losses) recognized during the period
$
(11
)
 
$
29

Less: Net gains (losses) recognized from sales of securities
10

 

Unrealized gains (losses) recognized for securities still held at reporting date
$
(21
)
 
$
29



At December 31, 2017, the cost, gross unrealized appreciation, gross unrealized depreciation, and fair value of equity securities was $737 million, $212 million, $12 million, and $937 million, respectively. At December 31, 2017, the net unrealized appreciation (depreciation) was recorded within accumulated other comprehensive income on the balance sheet.

d) Gross unrealized loss
At March 31, 2018, there were 15,699 fixed maturities out of a total of 31,179 fixed maturities in an unrealized loss position. The largest single unrealized loss in the fixed maturities was $10 million. Fixed maturities in an unrealized loss position at March 31, 2018, 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.

The following tables present, for all securities in an unrealized loss position (including securities on loan), the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position:
 
0 – 12 Months
 
 
Over 12 Months
 
 
Total
 
March 31, 2018
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

(in millions of U.S. dollars)
 
 
 
 
 
U.S. Treasury and agency
$
2,869

 
$
(55
)
 
$
1,314

 
$
(36
)
 
$
4,183

 
$
(91
)
Foreign
8,715

 
(155
)
 
1,643

 
(52
)
 
10,358

 
(207
)
Corporate securities
12,355

 
(260
)
 
1,501

 
(69
)
 
13,856

 
(329
)
Mortgage-backed securities
12,313

 
(257
)
 
3,033

 
(137
)
 
15,346

 
(394
)
States, municipalities, and political subdivisions
15,030

 
(218
)
 
1,343

 
(51
)
 
16,373

 
(269
)
Total fixed maturities
$
51,282

 
$
(945
)
 
$
8,834

 
$
(345
)
 
$
60,116

 
$
(1,290
)
 
0 – 12 Months
 
 
Over 12 Months
 
 
Total
 
December 31, 2017
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

(in millions of U.S. dollars)
 
 
 
 
 
U.S. Treasury and agency
$
2,172

 
$
(14
)
 
$
1,249

 
$
(26
)
 
$
3,421

 
$
(40
)
Foreign
5,657

 
(65
)
 
1,693

 
(49
)
 
7,350

 
(114
)
Corporate securities
5,210

 
(56
)
 
1,332

 
(46
)
 
6,542

 
(102
)
Mortgage-backed securities
6,194

 
(31
)
 
3,209

 
(74
)
 
9,403

 
(105
)
States, municipalities, and political subdivisions
9,259

 
(71
)
 
1,402

 
(32
)
 
10,661

 
(103
)
Total fixed maturities
28,492

 
(237
)
 
8,885

 
(227
)
 
37,377

 
(464
)
Equity securities
115

 
(12
)
 

 

 
115

 
(12
)
Other investments
78

 
(8
)
 

 

 
78

 
(8
)
Total
$
28,685

 
$
(257
)
 
$
8,885

 
$
(227
)
 
$
37,570

 
$
(484
)


e) Restricted assets
Chubb is required to maintain assets on deposit with various regulatory authorities to support its insurance and reinsurance operations. These requirements are generally promulgated in the statutory regulations of the individual jurisdictions. The assets on deposit are available to settle insurance and reinsurance liabilities. Chubb is also required to restrict assets pledged under repurchase agreements, which represent Chubb's agreement to sell securities and repurchase them at a future date for a predetermined price. We also use trust funds in certain large reinsurance transactions where the trust funds are set up for the benefit of the ceding companies and generally take the place of letter of credit (LOC) requirements. We also have investments in segregated portfolios primarily to provide collateral or guarantees for LOC and derivative transactions. Included in restricted assets at March 31, 2018 and December 31, 2017 are investments, primarily fixed maturities, totaling $23.6 billion and $23.3 billion, respectively, and cash of $125 million and $123 million, respectively.
The following table presents the components of restricted assets:
 
March 31

 
December 31

(in millions of U.S. dollars)
2018

 
2017

Trust funds
$
17,029

 
$
17,011

Deposits with U.S. regulatory authorities
2,463

 
2,345

Deposits with non-U.S. regulatory authorities
2,290

 
2,250

Assets pledged under repurchase agreements
1,460

 
1,434

Other pledged assets
433

 
414

 
$
23,675

 
$
23,454

v3.8.0.1
Fair value measurements
3 Months Ended
Mar. 31, 2018
Fair Value Disclosures [Abstract]  
Fair value measurements
Fair value measurements

a) Fair value hierarchy
Fair value of financial assets and financial liabilities is estimated based on the framework established in the fair value accounting guidance. The guidance defines fair value as the price to sell an asset or transfer a liability (an exit price) in an orderly transaction between market participants and establishes a three-level valuation hierarchy based on the reliability of the inputs. The fair value hierarchy gives the highest priority to quoted prices in active markets and the lowest priority to unobservable data.

The three levels of the hierarchy are as follows:

Level 1 – Unadjusted quoted prices for identical assets or liabilities in active markets;
Level 2 – Includes, among other items, inputs other than quoted prices that are observable for the asset or liability such as
interest rates and yield curves, quoted prices for similar assets and liabilities in active markets, and quoted prices for identical or similar assets and liabilities in markets that are not active; and
Level 3 – Inputs that are unobservable and reflect management’s judgments about assumptions that market participants
would use in pricing an asset or liability.

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. Accordingly, transfers between levels within the valuation hierarchy occur when there are significant changes to the inputs, such as increases or decreases in market activity, changes to the availability of current prices, changes to the transparency to underlying inputs, and whether there are significant variances in quoted prices. Transfers in and/or out of any level are assumed to occur at the end of the period.

We use pricing services to obtain fair value measurements for the majority of our investment securities. Based on management’s understanding of the methodologies used, these pricing services only produce an estimate of fair value if there is observable market information that would allow them to make a fair value estimate. Based on our understanding of the market inputs used by the pricing services, all applicable investments have been valued in accordance with GAAP. We do not adjust prices obtained from pricing services. The following is a description of the valuation techniques and inputs used to determine fair values for financial instruments carried at fair value, as well as the general classification of such financial instruments pursuant to the valuation hierarchy.

Fixed maturities
We use pricing services to estimate fair value measurements for the majority of our fixed maturities. The pricing services use market quotations for fixed maturities that have quoted prices in active markets; such securities are classified within Level 1. For fixed maturities other than U.S. Treasury securities that generally do not trade on a daily basis, the pricing services prepare estimates of fair value measurements using their pricing applications, which include available relevant market information, benchmark curves, benchmarking of like securities, sector groupings, and matrix pricing. Additional valuation factors that can be taken into account are nominal spreads, dollar basis, and liquidity adjustments. The pricing services evaluate each asset class based on relevant market and credit information, perceived market movements, and sector news. The market inputs used in the pricing evaluation, listed in the approximate order of priority include: benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, reference data, and industry and economic events. The extent of the use of each input is dependent on the asset class and the market conditions. Given the asset class, the priority of the use of inputs may change, or some market inputs may not be relevant. Additionally, fixed maturities valuation is more subjective when markets are less liquid due to the lack of market based inputs (i.e., stale pricing), which 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. For a small number of fixed maturities, we obtain a single broker quote (typically from a market maker). Due to the disclaimers on the quotes that indicate that the price is indicative only, we include these fair value estimates in Level 3. 

Equity securities
Equity securities with active markets are classified within Level 1 as fair values are based on quoted market prices. For equity securities in markets which are less active, fair values are based on market valuations and are classified within Level 2. Equity securities for which pricing is unobservable are classified within Level 3.

Short-term investments
Short-term investments, which comprise securities due to mature within one year of the date of purchase that are traded in active markets, are classified within Level 1 as fair values are based on quoted market prices. Securities such as commercial paper and discount notes are classified within Level 2 because these securities are typically not actively traded due to their approaching maturity and, as such, their cost approximates fair value. Short-term investments for which pricing is unobservable are classified within Level 3.

Other investments
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. Certain of our long-duration contracts are supported by assets that do not qualify for separate account reporting under GAAP. These assets comprise mutual funds classified within Level 1 in the valuation hierarchy on the same basis as other equity securities traded in active markets. Other investments also include equity securities classified within Level 1, and fixed maturities, classified within Level 2, held in rabbi trusts maintained by Chubb for deferred compensation plans and are classified within the valuation hierarchy on the same basis as other equity securities and fixed maturities. Other investments for which pricing is unobservable are classified within Level 3.

Securities lending collateral
The underlying assets included in Securities lending collateral in the Consolidated balance sheets are fixed maturities which are classified in the valuation hierarchy on the same basis as other fixed maturities. 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.

Investment derivative instruments
Actively traded investment derivative instruments, including futures, options, and forward contracts are classified within Level 1 as fair values are based on quoted market prices. The fair value of cross-currency swaps is based on market valuations and is classified within Level 2. Investment derivative instruments are recorded in either Other assets or Accounts payable, accrued expenses, and other liabilities in the Consolidated balance sheets.

Other derivative instruments
We generally maintain positions in other derivative instruments including exchange-traded equity futures contracts and option contracts designed to limit exposure to a severe equity market decline, which would cause an increase in expected claims and, therefore, an increase in reserves for our guaranteed minimum death benefits (GMDB) and guaranteed living benefits (GLB) reinsurance business. Our position in exchange-traded equity futures contracts is classified within Level 1. The fair value of the majority of the remaining positions in other derivative instruments is based on significant observable inputs including equity security and interest rate indices. Accordingly, these are classified within Level 2. Other derivative instruments based on unobservable inputs are classified within Level 3. Other derivative instruments are recorded in either Other assets or Accounts payable, accrued expenses, and other liabilities in the Consolidated balance sheets.

Separate account assets
Separate account assets represent segregated funds where investment risks are borne by the customers, except to the extent of certain guarantees made by Chubb. Separate account assets comprise mutual funds classified within Level 1 in the valuation hierarchy on the same basis as other equity securities traded in active markets. Separate account assets also include fixed maturities classified within Level 2 because the most significant inputs used in the pricing techniques are observable. Excluded from the valuation hierarchy are the corresponding liabilities as they are reported at contract value and not fair value in the Consolidated balance sheets. Separate account assets are recorded in Other assets in the Consolidated balance sheets.

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) and guaranteed minimum accumulation benefits (GMAB) associated with variable annuity contracts. GLB’s are recorded in Accounts payable, accrued expenses, and other liabilities and Future policy benefits 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. All of the treaties contain claim limits, which are factored into the valuation model. The fair value depends on a number of factors, including interest rates, equity markets, credit risk, current account value, market volatility, expected annuitization rates and other policyholder behavior, and changes in policyholder mortality.

The most significant policyholder behavior assumptions include lapse rates and the GMIB annuitization rates. Assumptions regarding lapse rates and GMIB annuitization rates differ by treaty, but the underlying methodologies to determine rates applied to each treaty are comparable.

A lapse rate is the percentage of in-force policies surrendered in a given calendar year. All else equal, as lapse rates increase, ultimate claim payments will decrease.

The GMIB annuitization rate is the percentage of policies for which the policyholder will elect to annuitize using the guaranteed benefit provided under the GMIB. All else equal, as GMIB annuitization rates increase, ultimate claim payments will increase, subject to treaty claim limits.

The effect of changes in key market factors on assumed lapse and annuitization rates reflect emerging trends using data available from cedants. For treaties with limited experience, rates are established in line with data received from other ceding companies adjusted, as appropriate, with industry estimates. 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. Because of the significant use of unobservable inputs including policyholder behavior, GLB reinsurance is classified within Level 3. For the three months ended March 31, 2018 and 2017, no material technical 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 2017 Form 10-K.


Financial instruments measured at fair value on a recurring basis, by valuation hierarchy
March 31, 2018
Level 1

 
Level 2

 
Level 3

 
Total

(in millions of U.S. dollars)
 
 
 
Assets:
 
 
 
 
 
 
 
Fixed maturities available for sale
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,094

 
$
744

 
$

 
$
3,838

Foreign

 
21,855

 
176

 
22,031

Corporate securities

 
22,494

 
1,073

 
23,567

Mortgage-backed securities

 
15,737

 
83

 
15,820

States, municipalities, and political subdivisions

 
13,855

 

 
13,855

 
3,094

 
74,685

 
1,332

 
79,111

Equity securities
884

 

 
64

 
948

Short-term investments
1,735

 
1,127

 
12

 
2,874

Other investments (1)
451

 
318

 
270

 
1,039

Securities lending collateral

 
2,039

 

 
2,039

Investment derivative instruments
25

 

 

 
25

Other derivative instruments
78

 

 

 
78

Separate account assets
2,774

 
100

 

 
2,874

Total assets measured at fair value (1)
$
9,041

 
$
78,269

 
$
1,678

 
$
88,988

Liabilities:
 
 
 
 
 
 
 
Investment derivative instruments
$
29

 
$

 
$

 
$
29

Other derivative instruments

 

 
2

 
2

GLB (2)

 

 
167

 
167

Total liabilities measured at fair value
$
29

 
$

 
$
169

 
$
198

(1) 
Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,866 million and other investments of $14 million at March 31, 2018 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. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
 
December 31, 2017
Level 1

 
Level 2

 
Level 3

 
Total

(in millions of U.S. dollars)
 
 
 
Assets:
 
 
 
 
 
 
 
Fixed maturities available for sale
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,129

 
$
569

 
$

 
$
3,698

Foreign

 
20,937

 
93

 
21,030

Corporate securities

 
22,959

 
1,037

 
23,996

Mortgage-backed securities

 
15,212

 
78

 
15,290

States, municipalities, and political subdivisions

 
14,925

 

 
14,925

 
3,129

 
74,602

 
1,208

 
78,939

Equity securities
893

 

 
44

 
937

Short-term investments
2,309

 
1,252

 

 
3,561

Other investments (1)
466

 
305

 
263

 
1,034

Securities lending collateral

 
1,737

 

 
1,737

Investment derivative instruments
18

 

 

 
18

Other derivative instruments
1

 

 

 
1

Separate account assets
2,635

 
99

 

 
2,734

Total assets measured at fair value (1)
$
9,451

 
$
77,995

 
$
1,515

 
$
88,961

Liabilities:
 
 
 
 
 
 
 
Investment derivative instruments
$
30

 
$

 
$

 
$
30

Other derivative instruments
21

 

 
2

 
23

GLB (2)

 

 
204

 
204

Total liabilities measured at fair value
$
51

 
$

 
$
206

 
$
257


(1) 
Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,623 million and other investments of $15 million at December 31, 2017 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. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.

There were no transfers of financial instruments between Level 1 and Level 2 for both the three months ended March 31, 2018 and 2017.

Fair value of alternative investments
Alternative investments include investment funds, limited partnerships, and partially-owned investment companies measured at fair value using NAV as a practical expedient. The following table presents, by investment category, the expected liquidation period, fair value, and maximum future funding commitments of alternative investments:
 
 
 
 
 
March 31

 
 
 
December 31

 
Expected
Liquidation
Period of Underlying Assets
 
 
 
2018

 
 
 
2017

(in millions of U.S. dollars)
Fair
Value

 
Maximum
Future Funding
Commitments

 
Fair
Value

 
Maximum
Future Funding
Commitments

Financial
5 to 9 Years
 
$
538

 
$
327

 
$
540

 
$
330

Real Assets
3 to 7 Years
 
656

 
210

 
651

 
114

Distressed
3 to 7 Years
 
295

 
131

 
289

 
141

Private Credit
3 to 7 Years
 
173

 
320

 
187

 
327

Traditional
3 to 15 Years
 
1,901

 
2,858

 
1,656

 
3,149

Vintage
1 to 2 Years
 
27

 

 
30

 

Investment funds
Not Applicable
 
276

 

 
270

 

 
 
 
$
3,866

 
$
3,846

 
$
3,623

 
$
4,061



Included in all categories in the above table, except for Investment funds, are investments for which Chubb will never have the contractual option to redeem but receives distributions based on the liquidation of the underlying assets. Further, for all categories except for Investment funds, Chubb does not have the ability to sell or transfer the investments without the consent from the general partner of individual funds.
Investment Category:
 
Consists of investments in private equity funds:
Financial
 
targeting financial services companies such as financial institutions and insurance services worldwide
Real Assets
 
targeting investments related to hard physical assets such as real estate, infrastructure and natural resources
Distressed
 
targeting distressed corporate debt/credit and equity opportunities in the U.S.
Private Credit
 
targeting privately originated corporate debt investments including senior secured loans and subordinated bonds
Traditional
 
employing traditional private equity investment strategies such as buyout and growth equity globally
Vintage
 
made before 2002 or where the funds’ commitment periods had already expired

Investment funds
Chubb’s investment funds employ various investment strategies such as long/short equity and arbitrage/distressed. Included in this category are investments for which Chubb has the option to redeem at agreed upon value as described in each investment fund’s subscription agreement. Depending on the terms of the various subscription agreements, investment fund investments may be redeemed monthly, quarterly, semi-annually, or annually. If Chubb wishes to redeem an investment fund investment, it must first determine if the investment fund is still in a lock-up period (a time when Chubb cannot redeem its investment so that the investment fund manager has time to build the portfolio). If the investment fund is no longer in its lock-up period, Chubb must then notify the investment fund manager of its intention to redeem by the notification date prescribed by the subscription agreement. Subsequent to notification, the investment fund can redeem Chubb’s investment within several months of the notification. Notice periods for redemption of the investment funds range between 5 and 120 days. Chubb can redeem its investment funds without consent from the investment fund managers.

Level 3 financial instruments
The fair values of assets and liabilities measured at fair value using significant unobservable inputs (Level 3) consist of various inputs and assumptions that management makes when determining fair value. Management analyzes changes in fair value measurements classified within Level 3 by comparing pricing and returns of our investments to benchmarks, including month-over-month movements, investment credit spreads, interest rate movements, and credit quality of securities.

The following table presents the significant unobservable inputs used in the Level 3 liability valuations. Excluded from the table below are inputs used to determine the fair value of Level 3 assets which are based on single broker quotes and contain no quantitative unobservable inputs developed by management.
(in millions of U.S. dollars, except for percentages)
Fair Value
 
 
Valuation
Technique
 
Significant
Unobservable Inputs
 
Ranges
March 31, 2018

 
December 31, 2017

 
 
 
GLB (1)
$
167

 
$
204

 
Actuarial model
 
Lapse rate
 
3% – 33%
 
 
 
 
 
 
 
Annuitization rate
 
0% – 100%
(1) 
Discussion of the most significant inputs used in the fair value measurement of GLB and the sensitivity of those assumptions is included within Note 3 a) Guaranteed living benefits.

The following tables present a reconciliation of the beginning and ending balances of financial instruments measured at fair value using significant unobservable inputs (Level 3):
 
Assets
 
 
Liabilities
 
Three Months Ended
Available-for-Sale Debt Securities
Equity
securities

 
Short-term investments

 
Other
investments

 
Other
derivative
instruments

 
GLB (2)

March 31, 2018
Foreign

 
Corporate
securities (1)

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
93

 
$
1,037

 
$
78

 
$
44

 
$

 
$
263

 
$
2

 
$
204

Transfers into Level 3
7

 

 
1

 

 
5

 

 

 

Transfers out of Level 3

 
(10
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI, including Foreign Exchange
9

 
(3
)
 

 
1

 

 
2

 

 

Net Realized Gains/Losses

 

 

 
2

 

 

 

 
(37
)
Purchases
87

 
139

 
4

 
17

 
8

 
14

 

 

Sales
(19
)
 
(51
)
 

 

 

 

 

 

Settlements
(1
)
 
(39
)
 

 

 
(1
)
 
(9
)
 

 

Balance – end of period
$
176

 
$
1,073

 
$
83

 
$
64

 
$
12

 
$
270

 
$
2

 
$
167

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$

 
$
(37
)
(1) 
Purchases in Level 3 primarily consist of privately-placed fixed income securities.
(2) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.

  
Assets
 
 
 
 
Liabilities

Three Months Ended
Available-for-Sale Debt Securities
 
 
Equity
securities

 
Short-term investments

 
Other
investments

 
Other derivative instruments

 
GLB (1)

March 31, 2017
Foreign

 
Corporate
securities

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
74

 
$
681

 
$
45

 
$
41

 
$
25

 
$
225

 
$
13

 
$
559

Transfers into Level 3

 
29

 

 

 

 

 

 

Transfers out of Level 3

 
(54
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI
(1
)
 
(8
)
 

 

 

 
4

 

 

Net Realized Gains/Losses
(1
)
 
(1
)
 

 

 

 

 
(2
)
 
(93
)
Purchases
14

 
156

 
1

 

 
7

 
8

 

 

Sales
(3
)
 
(27
)
 
(1
)
 

 

 

 

 

Settlements
(3
)
 
(39
)
 

 

 
(11
)
 
(4
)
 

 

Balance – end of period
$
80

 
$
737

 
$
45

 
$
41

 
$
21

 
$
233

 
$
11

 
$
466

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$
(2
)
 
$
(93
)
(1) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
b) Financial instruments disclosed, but not measured, at fair value
Chubb uses various financial instruments in the normal course of its business. Our insurance contracts are excluded from fair value of financial instruments accounting guidance, and therefore, are not included in the amounts discussed below.

The carrying values of cash, other assets, other liabilities, and other financial instruments not included below approximated their fair values.

Refer to the 2017 Form 10-K for information on the fair value methods and assumptions for investments in partially-owned insurance companies, short-term and long-term debt, repurchase agreements, and trust-preferred securities.

The following tables present fair value, by valuation hierarchy, and carrying value of the financial instruments not measured at fair value:
March 31, 2018
Fair Value
 
 
Carrying Value

(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

 
Assets:
 
 
 
 
 
 
 
 
 
Fixed maturities held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
977

 
$
55

 
$

 
$
1,032

 
$
1,037

Foreign

 
1,751

 

 
1,751

 
1,754

Corporate securities

 
2,964

 
33

 
2,997

 
3,026

Mortgage-backed securities

 
2,647

 

 
2,647

 
2,681

States, municipalities, and political subdivisions

 
5,695

 

 
5,695

 
5,755

Total assets
$
977

 
$
13,112

 
$
33

 
$
14,122

 
$
14,253

Liabilities:
 
 
 
 
 
 
 
 
 
Repurchase agreements
$

 
$
1,412

 
$

 
$
1,412

 
$
1,412

Short-term debt

 
1,704

 

 
1,704

 
1,669

Long-term debt

 
13,023

 

 
13,023

 
12,786

Trust preferred securities

 
466

 

 
466

 
308

Total liabilities
$

 
$
16,605

 
$

 
$
16,605

 
$
16,175

December 31, 2017
Fair Value
 
 
Carrying Value

(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

 
Assets:
 
 
 
 
 
 
 
 
 
Fixed maturities held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
857

 
$
58

 
$

 
$
915

 
$
908

Foreign

 
1,757

 

 
1,757

 
1,738

Corporate securities

 
3,184

 
35

 
3,219

 
3,159

Mortgage-backed securities

 
2,742

 

 
2,742

 
2,724

States, municipalities, and political subdivisions

 
5,841

 

 
5,841

 
5,806

Total assets
$
857


$
13,582


$
35


$
14,474


$
14,335

Liabilities:
 
 
 
 
 
 
 
 
 
Repurchase agreements
$

 
$
1,408

 
$

 
$
1,408

 
$
1,408

Short-term debt

 
1,013

 

 
1,013

 
1,013

Long-term debt

 
12,332

 

 
12,332

 
11,556

Trust preferred securities

 
468

 

 
468

 
308

Total liabilities
$

 
$
15,221

 
$

 
$
15,221

 
$
14,285

v3.8.0.1
Unpaid losses and loss expenses
3 Months Ended
Mar. 31, 2018
Liability for Claims and Claims Adjustment Expense [Abstract]  
Liability for Future Policy Benefits and Unpaid Claims Disclosure [Text Block]
4. Unpaid losses and loss expenses

The following table presents a reconciliation of beginning and ending Unpaid losses and loss expenses:
 
Three Months Ended March 31
 
(in millions of U.S. dollars)
2018

 
2017

Gross unpaid losses and loss expenses – beginning of period
$
63,179

 
$
60,540

Reinsurance recoverable on unpaid losses - beginning of period (1)
(14,014
)
 
(12,708
)
Net unpaid losses and loss expenses – beginning of period
49,165

 
47,832

Net losses and loss expenses incurred in respect of losses occurring in:
 
 
 
Current year
4,358

 
4,078

Prior years (2)
(256
)
 
(289
)
Total
4,102

 
3,789

Net losses and loss expenses paid in respect of losses occurring in:
 
 
 
Current year
809

 
798

Prior years
3,433

 
3,109

Total
4,242

 
3,907

Foreign currency revaluation and other
292

 
54

Net unpaid losses and loss expenses – end of period
49,317

 
47,768

Reinsurance recoverable on unpaid losses (3)
13,822

 
12,811

Gross unpaid losses and loss expenses – end of period
$
63,139

 
$
60,579

(1) 
Net of provision for uncollectible reinsurance of $321 million and $300 million at December 31, 2017 and 2016, respectively.
(2) 
Relates to prior period loss reserve development only and excludes prior period development related to reinstatement premiums, expense adjustments, and earned premiums totaling $47 million and $58 million for the three months ended March 31, 2018 and 2017, respectively.
(3) 
Net of provision for uncollectible reinsurance of $320 million and $334 million at March 31, 2018 and 2017, respectively.

The increase in net unpaid losses and loss expenses from December 31, 2017 reflects the impact of catastrophic events in the quarter and foreign exchange movement, offset by favorable prior period development and catastrophe payments related to the 2017 catastrophic events.

Prior Period Development
Prior period development 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. Significant prior period movements by segment, principally driven by reserve reviews completed during each respective period, are discussed in more detail below. The remaining net development for long-tail lines and short-tail business for each segment and Corporate comprises numerous favorable and adverse movements across a number of lines and accident years, none of which is significant individually or in the aggregate.

Long-tail lines include lines such as workers' compensation, general liability, and professional liability; while short-tail lines include lines such as most property lines, energy, personal accident, and agriculture. During the third quarter of 2017, we determined that the loss development classification for certain businesses, previously grouped within the short-tail column in the table below, would be more appropriately grouped within the long-tail column to better align with the classification of these businesses within our loss development triangles in our Form 10-K. We also determined that the loss development for certain other businesses should be reclassified from long-tail to short-tail. We updated the 2017 North America Commercial P&C Insurance segment amounts below to conform to the current period presentation and reclassified $5 million of net favorable development into short-tail from long-tail. These changes to the previously disclosed amounts have no impact to our financial condition and results of operations.
 
Three Months Ended March 31
 
(in millions of U.S. dollars)
Long-tail    

 
Short-tail

 
Total

2018
 
 
 
 
 
North America Commercial P&C Insurance
$
8

 
$
(109
)
 
$
(101
)
North America Personal P&C Insurance

 
(6
)
 
(6
)
North America Agricultural Insurance

 
(76
)
 
(76
)
Overseas General Insurance

 
(22
)
 
(22
)
Global Reinsurance

 
(14
)
 
(14
)
Corporate
10

 

 
10

Total
$
18

 
$
(227
)
 
$
(209
)
2017
 
 
 
 
 
North America Commercial P&C Insurance
$
(94
)
 
$
(85
)
 
$
(179
)
North America Personal P&C Insurance

 
(3
)
 
(3
)
North America Agricultural Insurance

 
(79
)
 
(79
)
Overseas General Insurance
32

 
(20
)
 
12

Global Reinsurance
8

 

 
8

Corporate
10

 

 
10

Total
$
(44
)
 
$
(187
)
 
$
(231
)



North America Commercial P&C Insurance
2018
For the three months ended March 31, 2018, net favorable PPD was $101 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:

Net adverse development of $8 million in long-tail business, primarily from:

Net favorable development of $29 million in commercial excess and umbrella portfolios, driven by the 2012 and prior accident years where the cumulative emergence over time has been less than expected overall and an increase in weighting towards experience-based methods, partly offset by several large settlements; additionally there was adverse claim activity in the 2014 and 2015 accident years which led to reserve strengthening in those years;

Net favorable development of $3 million on several lines of business due to favorable claim development on the 2017 natural catastrophes; and

Net adverse development of $40 million, mainly in 2015, 2016 and some older accident years, partially offset by favorable development in other periods, particularly in the 2014 accident year. This net adverse development consisted of several underlying favorable and adverse movements by portfolio, principally including $16 million of adverse development in wholesale general liability lines.

Net favorable development of $109 million in short-tail business, primarily from:

Net favorable development of $75 million in commercial property and marine businesses due to favorable claim development on the 2017 natural catastrophes; and

Net favorable development of $34 million, principally including $19 million in surety business. The remainder was due to several underlying favorable and adverse movements, none of which were significant individually or in the aggregate.

2017
For the three months ended March 31, 2017, net favorable PPD was $179 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 $94 million in long-tail business, primarily from:

Net favorable development of $74 million in our commercial excess and umbrella portfolios, primarily in accident years 2010 and prior, driven by lower than expected reported loss activity, and an increase in weighting towards experience-based methods; and

Net favorable development of $32 million in our professional Errors and Omissions (E&O) portfolios, primarily in the 2011 through 2013 accident years, arising from lower than expected reported loss activity, partially offset by claim-specific adverse development.

Net favorable development of $85 million in short-tail business, primarily from:

Net favorable development of $45 million in our surety business, primarily due to lower than expected claims severity in the 2015 accident year; and

Net favorable development of $24 million in accident & health (A&H) lines, primarily due to lower than expected loss emergence in the 2015 and 2016 accident years.

North America Personal P&C Insurance
2018
For the three months ended March 31, 2018, net favorable PPD was $6 million and was driven by claim development on the 2017 natural catastrophes.

2017
For the three months ended March 31, 2017, net favorable PPD was $3 million, which was the net result of several underlying favorable and adverse movements, none of which were significant individually or in the aggregate.

North America Agricultural Insurance
For the three months ended March 31, 2018 and 2017, net favorable PPD was $76 million and $79 million, respectively. Actual claim development relates to our Multiple Peril Crop Insurance (MPCI) business and is favorable due to better than expected crop yield results in certain states at the prior year-end period (i.e., 2018 results based on crop yield results at year-end 2017).

Overseas General Insurance
2018
For the three months ended March 31, 2018, net favorable PPD was $22 million, which was primarily driven by $12 million of claim development on the 2017 natural catastrophes.

2017
For the three months ended March 31, 2017, net adverse PPD was $12 million, which was the net result of several underlying favorable and adverse movements, and was driven by the following principal changes:

Adverse development of $32 million in long-tail business, in our casualty lines, driven by a change in the discount rate in the U.K. (Ogden rate) impacting the 2016 and prior accident years.

Net favorable development of $20 million in short-tail business, which was the net result of several underlying favorable and adverse movements, none of which were significant individually or in the aggregate.

Global Reinsurance
2018
For the three months ended March 31, 2018, net favorable PPD was $14 million, which was primarily driven by $10 million of claim development on the 2017 natural catastrophes.

2017
For the three months ended March 31, 2017, net adverse PPD was $8 million, which was primarily due to adverse development of $9 million in long-tail motor and excess liability lines, driven by a change in the discount rate in the U.K. (Ogden rate) impacting the 2015 and prior accident years.

Corporate
For the three months ended March 31, 2018 and 2017, adverse development was $10 million for both periods, related to unallocated loss adjustment expenses due to run-off operating expenses paid and incurred.
v3.8.0.1
Debt
3 Months Ended
Mar. 31, 2018
Debt Disclosure [Abstract]  
Debt Disclosure [Text Block]
Debt

In March 2018, Chubb INA Holdings Inc. (Chubb INA) issued €900 million ($1.1 billion based on the foreign exchange rate at the date of issuance) of 1.55 percent Euro denominated senior notes due March 2028 and €900 million ($1.1 billion based on the foreign exchange rate at the date of issuance) of 2.5 percent Euro denominated senior notes due March 2038. These senior notes are redeemable at any time at Chubb INA's option subject to a “make-whole” premium (the present value of the remaining principal and interest discounted at the applicable comparable government bond rate plus 0.15 percent for the senior notes due 2028 and 0.25 percent for the senior notes due 2038). The notes are also redeemable at par plus accrued and unpaid interest in the event of certain changes in tax law. These notes do not have the benefit of any sinking fund. These senior unsecured notes are guaranteed on a senior basis by Chubb and they rank equally with all of Chubb's other senior obligations. They also contain customary limitations on lien provisions as well as customary events of default provisions which, if breached, could result in the accelerated maturity of such senior debt.

Chubb INA's $300 million of 5.8 percent senior notes due March 2018 were paid upon maturity.

In March 2018, we reclassified $964 million of the 6.375 percent unsecured junior subordinated capital securities ($1.0 billion par value with the final maturity date of March 2067) from long-term to short-term debt in the Consolidated balance sheets given our intention to redeem these securities on April 6, 2018, prior to the maturity date. Subsequently, the $1.0 billion capital securities were redeemed on April 6, 2018.
v3.8.0.1
Commitments, contingencies, and guarantees
3 Months Ended
Mar. 31, 2018
Commitments and Contingencies Disclosure [Abstract]  
Commitments, contingencies, and guarantees
Commitments, contingencies, and guarantees

a) Derivative instruments
Foreign currency management
As a global company, Chubb entities transact business in multiple currencies. Our policy is to generally match assets, liabilities, and required capital for each individual jurisdiction in local currency, which would include the use of derivatives discussed below. We do not hedge our net asset non-U.S. dollar capital positions; however, we do consider economic hedging for planned cross border transactions.

Derivative instruments employed
Chubb maintains positions in derivative instruments such as futures, options, swaps, and foreign currency forward contracts for which the primary purposes are to manage duration and foreign currency exposure, yield enhancement, or to obtain an exposure to a particular financial market. Chubb also maintains positions in convertible securities that contain embedded derivatives. 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. These are the most numerous and frequent derivative transactions. 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, including GMIB and GMAB, associated with variable annuity contracts. The GMIB risk is triggered if, at the time the contract holder elects to convert the accumulated account value to a periodic payment stream (annuitize), the accumulated account value is not sufficient to provide a guaranteed minimum level of monthly income. The GMAB risk is triggered if, at contract maturity, the contract holder’s account value is less than a guaranteed minimum value. The GLB reinsurance product meets the definition of a derivative instrument. Benefit reserves in respect of GLBs are classified as Future policy benefits (FPB) while the fair value derivative adjustment is classified within AP. Chubb also generally maintains positions in exchange-traded equity futures contracts on equity market indices to limit equity exposure in the GMDB and GLB blocks of business.

All derivative instruments are carried at fair value with changes in fair value recorded in Net realized gains (losses) in the Consolidated statements of operations. None of the derivative instruments are designated as hedges for accounting purposes.

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:
 
 
 
 
 
March 31, 2018
 
 
 
 
December 31, 2017
 
 
Consolidated
Balance Sheet
Location
 
Fair Value
 
 
Notional
Value/
Payment
Provision

 
Fair Value
 
 
Notional
Value/
Payment
Provision

(in millions of U.S. dollars)
 
Derivative Asset

 
Derivative (Liability)

 
 
Derivative Asset

 
Derivative (Liability)

 
Investment and embedded derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency forward contracts
OA / (AP)
 
$
19

 
$
(17
)
 
$
2,125

 
$
14

 
$
(27
)
 
$
2,064

Cross-currency swaps
OA / (AP)
 

 

 
45

 

 

 
45

Options/Futures contracts on notes and bonds
OA / (AP)
 
6

 
(12
)
 
1,093

 
4

 
(3
)
 
1,007

Convertible securities (1)
FM AFS / ES
 
7

 

 
8

 
5

 

 
6

 
 
 
$
32

 
$
(29
)
 
$
3,271

 
$
23

 
$
(30
)
 
$
3,122

Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Futures contracts on equities (2)
OA / (AP)
 
$
71

 
$

 
$
1,625

 
$

 
$
(21
)
 
$
1,553

Other
OA / (AP)
 
7

 
(2
)
 
326

 
1

 
(2
)
 
75

 
 
 
$
78

 
$
(2
)
 
$
1,951

 
$
1

 
$
(23
)
 
$
1,628

GLB (3)
(AP) / (FPB)
 
$

 
$
(529
)
 
$
1,175

 
$

 
$
(550
)
 
$
1,083


(1) 
Includes fair value of embedded derivatives.
(2) 
Related to GMDB and GLB blocks of business.
(3) 
Includes both future policy benefits reserves and fair value derivative adjustment. Note that the payment provision related to GLB is the net amount at risk. The concept of a notional value does not apply to the GLB reinsurance contracts.

At March 31, 2018 and December 31, 2017, derivative assets of $79 million and derivative liabilities of $24 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. 

b) Secured borrowings
Chubb participates in a securities lending program operated by a third-party banking institution whereby certain assets are loaned to qualified borrowers and from which we earn an incremental return. The securities lending collateral can only be drawn down by Chubb in the event that the institution borrowing the securities is in default under the lending agreement. An indemnification agreement with the lending agent protects us in the event a borrower becomes insolvent or fails to return any of the securities on loan. The collateral is recorded in Securities lending collateral and the liability is recorded in Securities lending payable in the Consolidated balance sheets.

Potential risks exist in our secured borrowing transactions due to market conditions and counterparty exposure. With collateral that we pledge, there is a risk that the collateral may not be returned at the expiration of the agreement. If the counterparty fails to return the collateral, Chubb will have free use of the borrowed funds until our collateral is returned. In addition, we may encounter the risk that Chubb may not be able to renew outstanding borrowings with a new term or with an existing counterparty due to market conditions including a decrease in demand as well as more restrictive terms from banks due to increased regulatory and capital constraints. Should this condition occur, Chubb may seek alternative borrowing sources or reduce borrowings. Additionally, increased margins and collateral requirements due to market conditions would increase our restricted assets as we are required to provide additional collateral to support the transaction.

The following table presents the carrying value of collateral held under securities lending agreements by investment category and remaining contractual maturity of the underlying agreements:
 
 
Remaining contractual maturity
 
 
 
March 31

 
December 31

 
 
2018

 
2017

(in millions of U.S. dollars)
 
Overnight and Continuous
 
Collateral held under securities lending agreements:
 
 
 
 
Cash
 
$
826

 
$
828

U.S. Treasury and agency
 
40

 
36

Foreign
 
869

 
712

Corporate securities
 
8

 

Mortgage-backed securities
 
59

 
74

Equity securities
 
237

 
87

 
 
$
2,039

 
$
1,737

Gross amount of recognized liability for securities lending payable
 
$
2,039

 
$
1,737



At March 31, 2018 and December 31, 2017, our repurchase agreement obligations of $1,412 million and $1,408 million, respectively, 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.  

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
 
 
March 31, 2018
 
 
December 31, 2017
 
 
30-90 Days

 
Greater than
90 Days

 
Total

 
Up to
30 Days

 
Greater than
90 Days

 
Total

(in millions of U.S. dollars)
 
 
 
 
Collateral pledged under repurchase agreements:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$

 
$
243

 
$
243

 
$
9

 
$
230

 
$
239

Mortgage-backed securities
486

 
731

 
1,217

 
369

 
826

 
1,195

 
$
486

 
$
974

 
$
1,460

 
$
378

 
$
1,056

 
$
1,434

Gross amount of recognized liabilities for repurchase agreements
 
 
 
 
$
1,412

 
 
 
 
 
$
1,408

Difference (1)
 
 
 
 
$
48

 
 
 
 
 
$
26


(1) 
Per the repurchase agreements, the amount of collateral posted is required to exceed the amount of gross liability.


The following table presents net realized gains (losses) related to derivative instrument activity in the Consolidated statements of operations:
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Investment and embedded derivative instruments:
 
 
 
Foreign currency forward contracts
$
4

 
$
14

All other futures contracts and options
13

 
(8
)
Total investment and embedded derivative instruments
$
17

 
$
6

GLB and other derivative instruments:
 
 
 
GLB (1)
$
38

 
$
93

Futures contracts on equities (2)
22

 
(74
)
Other
2

 
2

Total GLB and other derivative instruments
$
62

 
$
21

 
$
79

 
$
27


(1) 
Excludes foreign exchange gains (losses) related to GLB.
(2) 
Related to GMDB and GLB blocks of business.

c) Derivative instrument objectives
(i) Foreign currency exposure management
A foreign currency forward contract (forward) is an agreement between participants to exchange specific foreign currencies at a future date. Chubb uses forwards to minimize the effect of fluctuating foreign currencies as discussed above.

(ii) Duration management and market exposure
Futures
Futures contracts give the holder the right and obligation to participate in market movements, determined by the index or underlying security on which the futures contract is based. Settlement is made daily in cash by an amount equal to the change in value of the futures contract times a multiplier that scales the size of the contract. Exchange-traded futures contracts on money market instruments, notes, and bonds are used in fixed maturity portfolios to more efficiently manage duration, as substitutes for ownership of the money market instruments, bonds, and notes without significantly increasing the risk in the portfolio. Investments in futures contracts may be made only to the extent that there are assets under management not otherwise committed.

Exchange-traded equity futures contracts are used to limit exposure to a severe equity market decline, which would cause an increase in expected claims and therefore, an increase in reserves for GMDB and GLB reinsurance business.

Options
An option contract conveys to the holder the right, but not the obligation, to purchase or sell a specified amount or value of an underlying security at a fixed price. Option contracts are used in the investment portfolio as protection against unexpected shifts in interest rates, which would affect the duration of the fixed maturity portfolio. By using options in the portfolio, the overall interest rate sensitivity of the portfolio can be reduced. Option contracts may also be used as an alternative to futures contracts in the synthetic strategy as described above.

The price of an option is influenced by the underlying security, 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. Although non-performance is not anticipated, in order to minimize the risk of loss, management monitors the creditworthiness of its counterparties and obtains collateral. The performance of exchange-traded instruments is guaranteed by the exchange on which they trade. For non-exchange-traded instruments, the counterparties are principally banks which must meet certain criteria according to our investment guidelines.

Cross-currency swaps
Cross-currency swaps are agreements under which two counterparties exchange interest payments and principal denominated in different currencies at a future date. We use cross-currency swaps to reduce the foreign currency and interest rate risk by converting cash flows back into local currency. 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.

Other
Included within Other are derivatives intended to reduce potential losses which may arise from certain exposures in our insurance business. The economic benefit provided by these derivatives is similar to purchased reinsurance. For example, Chubb may enter into crop derivative contracts to protect underwriting results in the event of a significant decline in commodity prices.

(iii) Convertible security investments
A convertible security is a debt instrument or preferred stock that can be converted into a predetermined amount of the issuer’s equity. The convertible option is an embedded derivative within the host instruments which are classified in the investment portfolio as either available for sale or as an equity security. Chubb purchases convertible securities for their total return and not specifically for the conversion feature.

(iv) TBA
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. Chubb purchases TBAs both for their total return and for the flexibility they provide related to our mortgage-backed security strategy.

(v) GLB
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. Premiums received under the reinsurance treaties are classified as premium. Expected losses allocated to premiums received are classified as Future policy benefits and valued similar to GMDB reinsurance. Other changes in fair value, principally arising from changes in expected losses allocated to expected future premiums, are classified as Net realized gains (losses). Fair value represents management’s estimate of an exit price and thus, includes a risk margin. We may recognize a realized loss for other changes in fair value due to adverse changes in the capital markets (e.g., declining interest rates and/or declining equity markets) and changes in actual or estimated future policyholder behavior (e.g., increased annuitization or decreased lapse rates) although we expect the business to be profitable. We believe this presentation provides the most meaningful disclosure of changes in the underlying risk within the GLB reinsurance programs for a given reporting period.

d) Fixed maturities
At March 31, 2018, we have commitments to purchase fixed income securities of $1,139 million over the next several years.

e) Other investments
At March 31, 2018, included in Other investments in the Consolidated balance sheets are investments in limited partnerships and partially-owned investment companies with a carrying value of $3.6 billion. In connection with these investments, we have commitments that may require funding of up to $3.8 billion over the next several years.

f) Taxation
At March 31, 2018, $14 million of unrecognized tax benefits remain outstanding. 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 of taxing authorities and the closing of tax statute limitations. With few exceptions, Chubb is no longer subject to state and local or non-U.S. income tax examinations for years before 2010.

g) Legal proceedings
Our insurance subsidiaries are subject to claims litigation involving disputed interpretations of policy coverages and, in some jurisdictions, direct actions by allegedly-injured persons seeking damages from policyholders. These lawsuits, involving claims on policies issued by our subsidiaries which are typical to the insurance industry in general and in the normal course of business, are considered in our loss and loss expense reserves. In addition to claims litigation, we are subject to lawsuits and regulatory actions in the normal course of business that do not arise from or directly relate to claims on insurance policies. This category of business litigation typically involves, among other things, allegations of underwriting errors or misconduct, employment claims, regulatory activity, or disputes arising from our business ventures. 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.
v3.8.0.1
Share-based compensation
3 Months Ended
Mar. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-based compensation
Share-based compensation

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. Stock options are generally granted with a 3-year vesting period and a 10-year term. Stock options typically vest in equal annual installments over the vesting period, which is also the requisite service period. On February 22, 2018, Chubb granted 1,841,329 stock options with a weighted-average grant date fair value of $29.71 each. The fair value of the options issued is estimated on the grant date using the Black-Scholes option pricing model.

The 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. Beginning in 2017, the performance-based stock awards granted comprise target awards which have 3-year cliff vesting provisions based on 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 performance-based stock awards are earned only if tangible book value per share growth and the P&C combined ratio over the cumulative 3-year period after the grant of the associated target awards exceed a higher threshold compared to our peer group, with an additional vesting provision based on total shareholder return compared to our peer group. The restricted stock is granted at market close price on the grant date. On February 22, 2018, Chubb granted 973,624 service-based restricted stock awards, 301,024 service-based restricted stock units, and 180,065 performance-based stock awards to employees and officers with a grant date fair value of $143.07 each. Each restricted stock unit represents our obligation to deliver to the holder one Common Share upon vesting.
v3.8.0.1
Shareholders' equity
3 Months Ended
Mar. 31, 2018
Stockholders' Equity Note [Abstract]  
Shareholders' equity
Shareholders’ equity

All of Chubb’s Common Shares are authorized under Swiss corporate law. Though the par value of Common Shares is stated in Swiss francs, Chubb continues to use U.S. dollars as its reporting currency for preparing consolidated financial statements. Under Swiss corporate law, dividends, including distributions through a reduction in par value (par value reduction) or from legal reserves, must be stated in Swiss francs though dividend payments are made by Chubb in U.S. dollars. At March 31, 2018, our Common Shares had a par value of CHF 24.15 per share.

At our May 2017 and 2016 annual general meetings, our shareholders approved an annual dividend for the following year of up to $2.84 per share and $2.76 per share, respectively, which was paid in four quarterly installments of $0.71 per share and$0.69 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.

Dividend distributions per Common Share for the three months ended March 31, 2018 and 2017 were $0.71 (CHF 0.66) and $0.69 (CHF 0.69), per Common Share, respectively.

Common Shares in treasury are used principally for issuance upon the exercise of employee stock options, grants of restricted stock, and purchases under the Employee Stock Purchase Plan (ESPP). At March 31, 2018, 13,952,378 Common Shares remain in treasury after net shares redeemed under employee share-based compensation plans.

Chubb Limited securities repurchase authorization
In November 2016, the Board authorized a share repurchase program of $1.0 billion of Chubb's Common Shares through December 31, 2017. In December 2017, the Board authorized a share repurchase program of $1.0 billion of Chubb's Common Shares from January 1, 2018 through December 31, 2018.

The following table presents repurchases of Chubb's Common Shares conducted in a series of open market transactions under the Board authorizations:
 
Three Months Ended
March 31

 
(in millions of U.S. dollars, except share data)
2018

 
2017

Number of shares repurchased

 
1,036,064

Cost of shares repurchased
$

 
$
140

Repurchase authorization remaining at end of period
$
1,000

 
$
860

v3.8.0.1
Postretirement benefits
3 Months Ended
Mar. 31, 2018
Retirement Benefits [Abstract]  
Compensation and Employee Benefit Plans [Text Block]
Postretirement benefits

The components of net pension and other postretirement benefit costs (benefits) reflected in Net income in the Consolidated statements of operations were as follows:
 
Pension Benefits
 
 
Other Postretirement Benefits
 
 
2018
 
 
2017
 
 
2018

 
2017

Three Months Ended March 31
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
Service cost
$
14

 
$
3

 
$
16

 
$
4

 
$

 
$

Interest cost
26

 
7

 
26

 
7

 
1

 
1

Expected return on plan assets
(53
)
 
(13
)
 
(47
)
 
(10
)
 
(1
)
 
(1
)
Amortization of prior service cost

 

 

 

 
(21
)
 
(23
)
Net periodic (benefit) cost
$
(13
)
 
$
(3
)
 
$
(5
)
 
$
1

 
$
(21
)
 
$
(23
)
v3.8.0.1
Segment information
3 Months Ended
Mar. 31, 2018
Segment Reporting [Abstract]  
Segment information
Segment information

Chubb operates through six business segments: North America Commercial P&C Insurance, North America Personal P&C Insurance, North America Agricultural Insurance, Overseas General Insurance, Global Reinsurance, and Life Insurance.

Corporate results primarily include income and expenses not attributable to reportable segments and loss and loss expenses of asbestos and environmental (A&E) liabilities.

For segment reporting purposes, certain items are presented in a different manner below than in the consolidated financial statements. Management uses underwriting income (loss) as the main measures of segment performance. Chubb calculates underwriting income (loss) by subtracting Losses and loss expenses, Policy benefits, Policy acquisition costs, and Administrative expenses from Net premiums earned. To calculate Segment income, include Net investment income, Other (income) expense, and Amortization of purchased intangibles. For the North America Agricultural Insurance segment, management includes gains and losses on crop derivatives as a component of underwriting income (loss). For example, for the three months ended March 31, 2018, underwriting income in our North America Agricultural Insurance segment was $102 million. This amount includes $2 million of realized gains related to crop derivatives which are reported in Net realized gains (losses) in the Corporate column below.

For the Life Insurance segment, management includes Net investment income and (Gains) losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP as components of Life Insurance underwriting income. For example, for the three months ended March 31, 2018, Life Insurance underwriting income of $67 million includes Net investment income of $83 million and gains from fair value changes in separate account assets of $6 million. The gains from fair value changes in separate account assets are reported in Other (income) expense in the table below.

The following tables present the Statement of Operations by segment:
 
North America Commercial P&C Insurance

 
North America Personal P&C Insurance

 
North America Agricultural Insurance

 
Overseas General Insurance

 
Global
Reinsurance

 
Life Insurance

 
Corporate

 
Chubb
Consolidated

For the Three Months Ended
 
 
 
 
 
 
March 31, 2018
 
 
 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
 
 
Net premiums written
$
2,812

 
$
1,048

 
$
108

 
$
2,384

 
$
193

 
$
559

 
$

 
$
7,104

Net premiums earned
3,029

 
1,140

 
43

 
2,107

 
168

 
540

 

 
7,027

Losses and loss expenses
1,908

 
886

 
(53
)
 
1,078

 
67

 
205

 
11

 
4,102

Policy benefits

 

 

 

 

 
151

 

 
151

Policy acquisition costs
472

 
237

 
(1
)
 
588

 
40

 
128

 

 
1,464

Administrative expenses
231

 
65

 
(3
)
 
239

 
10

 
78

 
72

 
692

Underwriting income (loss)
418

 
(48
)
 
100

 
202

 
51

 
(22
)
 
(83
)
 
618

Net investment income (loss)
503

 
59

 
7

 
151

 
64

 
83

 
(61
)
 
806

Other (income) expense
(6
)
 

 

 
7

 
(7
)
 
(4
)
 
(37
)
 
(47
)
Amortization expense of purchased intangibles

 
3

 
7

 
10

 

 
1

 
64

 
85

Segment income (loss)
$
927


$
8


$
100


$
336


$
122


$
64


$
(171
)

$
1,386

Net realized gains (losses) including OTTI
 
 
 
 
 
 
 
 
 
 
 
 
(2
)
 
(2
)
Interest expense
 
 
 
 
 
 
 
 
 
 
 
 
157

 
157

Chubb integration expenses
 
 
 
 
 
 
 
 
 
 
 
 
10

 
10

Income tax expense
 
 
 
 
 
 
 
 
 
 
 
 
135

 
135

Net income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
$
(475
)
 
$
1,082

 
North America Commercial P&C Insurance (1)

 
North America Personal P&C Insurance

 
North America Agricultural Insurance

 
Overseas General Insurance (1)

 
Global
Reinsurance

 
Life Insurance

 
Corporate

 
Chubb
Consolidated

For the Three Months Ended
 
 
 
 
 
March 31, 2017
 
 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
 
Net premiums written
$
2,730

 
$
984

 
$
61

 
$
2,212

 
$
199

 
$
524

 
$

 
$
6,710

Net premiums earned
3,041

 
1,086

 
14

 
1,936

 
189

 
506

 

 
6,772

Losses and loss expenses
1,860

 
633

 
(73
)
 
1,071

 
94

 
193

 
11

 
3,789

Policy benefits

 

 

 

 

 
168

 

 
168

Policy acquisition costs
487

 
217

 
(1
)
 
529

 
51

 
114

 

 
1,397

Administrative expenses
231

 
65

 
(5
)
 
245

 
10

 
72

 
58

 
676

Underwriting income (loss)
463

 
171

 
93

 
91

 
34

 
(41
)
 
(69
)
 
742

Net investment income (loss)
478

 
55

 
6

 
148

 
62

 
75

 
(79
)
 
745

Other (income) expense
4

 
1

 

 
(1
)
 

 
(29
)
 
(45
)
 
(70
)
Amortization expense of purchased intangibles

 
3

 
7

 
11

 

 
1

 
42

 
64

Segment income (loss)
$
937

 
$
222

 
$
92

 
$
229

 
$
96

 
$
62

 
$
(145
)
 
$
1,493

Net realized gains (losses) including OTTI
 
 
 
 
 
 
 
 
 
 
 
 
(7
)
 
(7
)
Interest expense
 
 
 
 
 
 
 
 
 
 
 
 
154

 
154

Chubb integration expenses
 
 
 
 
 
 
 
 
 
 
 
 
111

 
111

Income tax expense
 
 
 
 
 
 
 
 
 
 
 
 
128

 
128

Net income (loss)


 
 
 
 
 
 
 
 
 
 
 
$
(545
)
 
$
1,093


(1) The 2017 net premiums written amount was revised to reflect the transfer of certain multinational accounts ($12 million) from the North America Commercial P&C Insurance segment to the Overseas General Insurance segment to better align the reporting with the management of these businesses in 2018. There is no impact on a consolidated basis.

Underwriting assets are reviewed in total by management for purposes of decision-making. Other than Unpaid losses and loss expenses, Reinsurance recoverables, Goodwill and Other intangible assets, Chubb does not allocate assets to its segments.
v3.8.0.1
Earnings per share
3 Months Ended
Mar. 31, 2018
Earnings Per Share [Abstract]  
Earnings per share
Earnings per share
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars, except share and per share data)
2018

 
2017

Numerator:
 
 
 
Net income
$
1,082

 
$
1,093

Denominator:
 
 
 
Denominator for basic earnings per share:
 
 
 
Weighted-average shares outstanding
465,703,240

 
468,903,086

Denominator for diluted earnings per share:
 
 
 
Share-based compensation plans
3,770,351

 
3,828,604

Weighted-average shares outstanding and assumed conversions
469,473,591

 
472,731,690

Basic earnings per share
$
2.32

 
$
2.33

Diluted earnings per share
$
2.30

 
$
2.31

Potential anti-dilutive share conversions
2,116,188

 
969,654



Excluded from weighted-average shares outstanding and assumed conversions is the impact of securities that would have been anti-dilutive during the respective periods.
v3.8.0.1
Information provided in connection with outstanding debt of subsidiaries
3 Months Ended
Mar. 31, 2018
Disclosure Text Block Supplement [Abstract]  
Information provided in connection with outstanding debt of subsidiaries
Information provided in connection with outstanding debt of subsidiaries

The following tables present condensed consolidating financial information at March 31, 2018 and December 31, 2017, and for the three months ended March 31, 2018 and 2017 for Chubb Limited (Parent Guarantor) and Chubb INA Holdings Inc. (Subsidiary Issuer). The Subsidiary Issuer is an indirect 100 percent-owned subsidiary of the Parent Guarantor. The Parent Guarantor fully and unconditionally guarantees certain of the debt of the Subsidiary Issuer. Condensed consolidating financial information of the Parent Guarantor and Subsidiary Issuer are presented on the equity method of accounting. The revenues and expenses and cash flows of the subsidiaries of the Subsidiary Issuer are presented in the Other Chubb Limited Subsidiaries column on a combined basis.

Condensed Consolidating Balance Sheet at March 31, 2018
(in millions of U.S. dollars)
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$

 
$
186

 
$
101,919

 
$

 
$
102,105

Cash (1)
1

 
864

 
1,523

 
(400
)
 
1,988

Restricted cash

 

 
125

 

 
125

Insurance and reinsurance balances receivable

 

 
10,308

 
(738
)
 
9,570

Reinsurance recoverable on losses and loss expenses

 

 
26,093

 
(11,111
)
 
14,982

Reinsurance recoverable on policy benefits

 

 
1,181

 
(1,000
)
 
181

Value of business acquired

 

 
321

 

 
321

Goodwill and other intangible assets

 

 
22,123

 

 
22,123

Investments in subsidiaries
43,032

 
51,930

 

 
(94,962
)
 

Due from subsidiaries and affiliates, net
8,980

 

 
251

 
(9,231
)
 

Other assets
4

 
386

 
18,459

 
(1,463
)
 
17,386

Total assets
$
52,017

 
$
53,366

 
$
182,303

 
$
(118,905
)
 
$
168,781

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$

 
$

 
$
74,299

 
$
(11,160
)
 
$
63,139

Unearned premiums

 

 
16,563

 
(1,068
)
 
15,495

Future policy benefits

 

 
6,412

 
(1,000
)
 
5,412

Due to subsidiaries and affiliates, net

 
9,231

 

 
(9,231
)
 

Affiliated notional cash pooling programs (1)
400

 

 

 
(400
)
 

Repurchase agreements

 

 
1,412

 

 
1,412

Short-term debt

 
1,669

 

 

 
1,669

Long-term debt

 
12,775

 
11

 

 
12,786

Trust preferred securities

 
308

 

 

 
308

Other liabilities
330

 
1,537

 
16,490

 
(1,084
)
 
17,273

Total liabilities
730

 
25,520

 
115,187

 
(23,943
)
 
117,494

Total shareholders’ equity
51,287

 
27,846

 
67,116

 
(94,962
)
 
51,287

Total liabilities and shareholders’ equity
$
52,017

 
$
53,366

 
$
182,303

 
$
(118,905
)
 
$
168,781


(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
 

Condensed Consolidating Balance Sheet at December 31, 2017

(in millions of U.S. dollars)
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$

 
$
168

 
$
102,276

 
$

 
$
102,444

Cash (1)
3

 
1

 
839

 
(115
)
 
728

Restricted cash

 

 
123

 

 
123

Insurance and reinsurance balances receivable

 

 
10,820

 
(1,486
)
 
9,334

Reinsurance recoverable on losses and loss expenses

 

 
27,514

 
(12,480
)
 
15,034

Reinsurance recoverable on policy benefits

 

 
1,194

 
(1,010
)
 
184

Value of business acquired

 

 
326

 

 
326

Goodwill and other intangible assets

 

 
22,054

 

 
22,054

Investments in subsidiaries
41,909

 
51,165

 

 
(93,074
)
 

Due from subsidiaries and affiliates, net
9,639

 

 

 
(9,639
)
 

Other assets
3

 
287

 
20,578

 
(4,073
)
 
16,795

Total assets
$
51,554

 
$
51,621

 
$
185,724

 
$
(121,877
)
 
$
167,022

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$

 
$

 
$
74,767

 
$
(11,588
)
 
$
63,179

Unearned premiums

 

 
18,875

 
(3,659
)
 
15,216

Future policy benefits

 

 
6,331

 
(1,010
)
 
5,321

Due to subsidiaries and affiliates, net

 
9,432

 
207

 
(9,639
)
 

Affiliated notional cash pooling programs (1)

 
115

 

 
(115
)
 

Repurchase agreements

 

 
1,408

 

 
1,408

Short-term debt

 
1,013

 

 

 
1,013

Long-term debt

 
11,546

 
10

 

 
11,556

Trust preferred securities

 
308

 

 

 
308

Other liabilities
382

 
1,411

 
18,848

 
(2,792
)
 
17,849

Total liabilities
382

 
23,825

 
120,446

 
(28,803
)
 
115,850

Total shareholders’ equity
51,172

 
27,796

 
65,278

 
(93,074
)
 
51,172

Total liabilities and shareholders’ equity
$
51,554

 
$
51,621

 
$
185,724

 
$
(121,877
)
 
$
167,022

(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
Condensed Consolidating Statements of Operations and Comprehensive Income
For the Three Months Ended March 31, 2018
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$

 
$

 
$
7,104

 
$

 
$
7,104

Net premiums earned

 

 
7,027

 

 
7,027

Net investment income
2

 
4

 
800

 

 
806

Equity in earnings of subsidiaries
1,022

 
885

 

 
(1,907
)
 

Net realized gains (losses) including OTTI
(2
)
 
(24
)
 
24

 

 
(2
)
Losses and loss expenses

 

 
4,102

 

 
4,102

Policy benefits

 

 
151

 

 
151

Policy acquisition costs and administrative expenses
18

 
22

 
2,116

 

 
2,156

Interest (income) expense
(80
)
 
209

 
28

 

 
157

Other (income) expense
(5
)
 
8

 
(50
)
 

 
(47
)
Amortization of purchased intangibles

 

 
85

 

 
85

Chubb integration expenses
2

 
1

 
7

 

 
10

Income tax expense (benefit)
5

 
(59
)
 
189

 

 
135

Net income
$
1,082

 
$
684

 
$
1,223

 
$
(1,907
)
 
$
1,082

Comprehensive income
$
453

 
$
216

 
$
614

 
$
(830
)
 
$
453



Condensed Consolidating Statements of Operations and Comprehensive Income
For the Three Months Ended March 31, 2017
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$

 
$

 
$
6,710

 
$

 
$
6,710

Net premiums earned

 

 
6,772

 

 
6,772

Net investment income

 
3

 
742

 

 
745

Equity in earnings of subsidiaries
1,027

 
701

 

 
(1,728
)
 

Net realized gains (losses) including OTTI

 
(13
)
 
6

 

 
(7
)
Losses and loss expenses

 

 
3,789

 

 
3,789

Policy benefits

 

 
168

 

 
168

Policy acquisition costs and administrative expenses
18

 
14

 
2,041

 

 
2,073

Interest (income) expense
(84
)
 
221

 
17

 

 
154

Other (income) expense
(6
)
 
15

 
(79
)
 

 
(70
)
Amortization of purchased intangibles

 

 
64

 

 
64

Chubb integration expenses

 
49

 
62

 

 
111

Income tax expense (benefit)
6

 
(112
)
 
234

 

 
128

Net income
$
1,093

 
$
504

 
$
1,224

 
$
(1,728
)
 
$
1,093

Comprehensive income
$
1,407

 
$
791

 
$
1,538

 
$
(2,329
)
 
$
1,407





Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2018
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from operating activities
$
24

 
$
2,727

 
$
800

 
$
(3,000
)
 
$
551

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale

 
(8
)
 
(5,964
)
 

 
(5,972
)
Purchases of fixed maturities held to maturity

 

 
(162
)
 

 
(162
)
Purchases of equity securities

 

 
(55
)
 

 
(55
)
Sales of fixed maturities available for sale

 

 
2,562

 

 
2,562

Sales of equity securities

 

 
40

 

 
40

Maturities and redemptions of fixed maturities available for sale

 
3

 
1,862

 

 
1,865

Maturities and redemptions of fixed maturities held to maturity

 

 
255

 

 
255

Net change in short-term investments

 
(14
)
 
745

 

 
731

Net derivative instruments settlements

 
(7
)
 
46

 

 
39

Private equity contributions

 

 
(353
)
 

 
(353
)
Private equity distributions

 

 
201

 

 
201

Capital contribution
(750
)
 
(3,500
)
 

 
4,250

 

Other

 
(3
)
 
(29
)
 

 
(32
)
Net cash flows used for investing activities
(750
)
 
(3,529
)
 
(852
)
 
4,250

 
(881
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(330
)
 

 

 

 
(330
)
Common Shares repurchased

 

 
(29
)
 

 
(29
)
Proceeds from issuance of long-term debt

 
2,175

 

 

 
2,175

Repayment of long-term debt

 
(300
)
 

 

 
(300
)
Proceeds from issuance of repurchase agreements

 

 
408

 

 
408

Repayment of repurchase agreements

 

 
(404
)
 

 
(404
)
Proceeds from share-based compensation plans

 

 
34

 

 
34

Dividend to parent company

 

 
(3,000
)
 
3,000

 

Advances (to) from affiliates
656

 
(95
)
 
(561
)
 

 

Capital contribution

 

 
4,250

 
(4,250
)
 

Net proceeds from (payments to) affiliated notional cash pooling programs(1)
400

 
(115
)
 

 
(285
)
 

Policyholder contract deposits

 

 
118

 

 
118

Policyholder contract withdrawals

 

 
(105
)
 

 
(105
)
Net cash flows from financing activities
726

 
1,665

 
711

 
(1,535
)
 
1,567

Effect of foreign currency rate changes on cash and restricted cash
(2
)
 

 
27

 

 
25

Net increase (decrease) in cash and restricted cash
(2
)
 
863

 
686

 
(285
)
 
1,262

Cash and restricted cash – beginning of period(1)
3

 
1

 
962

 
(115
)
 
851

Cash and restricted cash – end of period(1)
$
1

 
$
864

 
$
1,648

 
$
(400
)
 
$
2,113

(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018 and December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2017
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from (used for) operating activities
$
584

 
$
(156
)
 
$
1,081

 
$
(496
)
 
$
1,013

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale

 
(4
)
 
(6,246
)
 

 
(6,250
)
Purchases of fixed maturities held to maturity

 

 
(157
)
 

 
(157
)
Purchases of equity securities

 

 
(37
)
 

 
(37
)
Sales of fixed maturities available for sale

 

 
3,395

 

 
3,395

Sales of equity securities

 

 
46

 

 
46

Maturities and redemptions of fixed maturities
   available for sale

 
7

 
2,536

 

 
2,543

Maturities and redemptions of fixed maturities held to maturity

 

 
240

 

 
240

Net change in short-term investments

 
173

 
59

 

 
232

Net derivative instruments settlements

 
(2
)
 
(87
)
 

 
(89
)
Private equity contributions

 

 
(198
)
 

 
(198
)
Private equity distributions

 

 
315

 

 
315

Other

 

 
(106
)
 

 
(106
)
Net cash flows from (used for) investing activities

 
174

 
(240
)
 

 
(66
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(324
)
 

 

 

 
(324
)
Common Shares repurchased

 

 
(128
)
 

 
(128
)
Proceeds from issuance of repurchase agreements

 

 
753

 

 
753

Repayment of long-term debt

 
(500
)
 

 

 
(500
)
Repayment of repurchase agreements

 

 
(752
)
 

 
(752
)
Proceeds from share-based compensation plans

 

 
42

 

 
42

Dividend to parent company

 

 
(496
)
 
496

 

Advances (to) from affiliates
108

 
(171
)
 
63

 

 

Net proceeds from (payments to) affiliated notional cash pooling programs(1)
(363
)
 
653

 

 
(290
)
 

Policyholder contract deposits

 

 
109

 

 
109

Policyholder contract withdrawals

 

 
(58
)
 

 
(58
)
Net cash flows used for financing activities
(579
)
 
(18
)
 
(467
)
 
206

 
(858
)
Effect of foreign currency rate changes on cash and restricted cash

 

 
(17
)
 

 
(17
)
Net increase in cash and restricted cash
5

 

 
357

 
(290
)
 
72

Cash and restricted cash – beginning of period(1)
1

 
1

 
2,068

 
(982
)
 
1,088

Cash and restricted cash – end of period(1)
$
6

 
$
1

 
$
2,425

 
$
(1,272
)
 
$
1,160


(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2017 and December 31, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
General (Policies)
3 Months Ended
Mar. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of presentation
a) Basis of presentation
Chubb Limited is a holding company incorporated in Zurich, Switzerland. Chubb Limited, through its subsidiaries, provides a broad range of insurance and reinsurance products to insureds worldwide. Chubb operates through the following business segments: North America Commercial P&C Insurance, North America Personal P&C Insurance, North America Agricultural Insurance, Overseas General Insurance, Global Reinsurance, and Life Insurance. Refer to Note 10 for additional information.

The interim unaudited consolidated financial statements, which include the accounts of Chubb Limited and its subsidiaries (collectively, Chubb, we, us, or our), have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and, in the opinion of management, reflect all adjustments (consisting of normally recurring accruals) necessary for a fair statement of the results and financial position for such periods. All significant intercompany accounts and transactions, including internal reinsurance transactions, have been eliminated.

The results of operations and cash flows for any interim period are not necessarily indicative of the results for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in our 2017 Form 10-K.
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block]
b) Restricted cash
Effective January 1, 2018, we retrospectively adopted guidance on "Restricted Cash" that clarified the presentation of restricted cash on the consolidated statement of cash flows. As a result, we revised the statement of cash flows for the three months ended March 31, 2017 to include restricted cash in the beginning and ending cash balances. In addition, we reclassified $123 million of Restricted cash from Other assets to a separate line in the balance sheet as of December 31, 2017.

Restricted cash in the consolidated balance sheets represents amounts held for the benefit of third parties and is legally or contractually restricted as to withdrawal or usage. Amounts include deposits with U.S. and non-U.S. regulatory authorities, trust funds set up for the benefit of ceding companies, and amounts pledged as collateral to meet financing arrangements.

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:

 
March 31

 
December 31

(in millions of U.S. dollars)
2018

 
2017

Cash
$
1,988

 
$
728

Restricted cash
125

 
123

Total cash and restricted cash shown in the consolidated statements of cash flows
$
2,113

 
$
851

Goodwill, Policy [Policy Text Block]
c) Goodwill
During the three months ended March 31, 2018, Goodwill increased $145 million, primarily reflecting the impact of foreign exchange.

Accounting guidance adopted in 2018
d) Accounting guidance adopted in 2018
Revenue from Contracts with Customers
In May 2014, the FASB issued an accounting standard that supersedes most existing revenue recognition guidance. The standard excludes from its scope the accounting for insurance contracts, leases, financial instruments, and certain other agreements that are governed under other GAAP guidance, but could affect the revenue recognition for certain of our claims management and risk control services. The updated guidance requires an entity to recognize revenue as performance obligations are met, in order to reflect the transfer of promised goods or services to customers in an amount that reflects the consideration the entity is entitled to receive for those goods or services. This guidance was effective for us on January 1, 2018. The adoption of this guidance did not have a material impact on our financial condition or results of operations given that the majority of our business is outside the scope of this guidance.

Financial Instruments – Recognition and Measurement of Financial Assets and Financial Liabilities
Effective January 2018, we adopted new accounting guidance on "Recognition and Measurement of Financial Assets and Financial Liabilities" on a modified-retrospective basis. The guidance requires equity investments, other than those accounted for under the equity method of accounting, to be measured at fair value with changes in fair value recognized through net income. The guidance impacts our public equities and cost-method private equities. As a result, we recorded a cumulative-effect adjustment to increase beginning Retained earnings by $416 million after tax ($454 million pre-tax), representing the unrealized appreciation on our equity investments with an offsetting adjustment to decrease Accumulated other comprehensive income. All subsequent changes in fair value of our equity investments are recognized within realized gains (losses) on the consolidated statement of operations. Prior period amounts have not been adjusted and continue to be reported in accordance with the previous accounting guidance.
 
Income Taxes
Effective January 2018, we adopted new accounting guidance on “Intra-Entity Transfers of Assets Other Than Inventory” on a modified-retrospective basis. Under the new guidance, we will no longer defer taxes on intra-company asset transfers and will recognize income tax expense (benefit) immediately through the income statement. As a result, we recorded a cumulative-effect adjustment to decrease beginning Retained earnings by $7 million representing the removal of the deferred tax asset for previous intra-company asset transfer transactions not yet recognized through earnings.

Income Tax Accounting Implications of the Tax Cuts and Jobs Act
The Tax Cuts and Jobs Act (2017 Tax Act) was signed into legislation in December 2017. The Securities and Exchange Commission issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act, which provides guidance for the application of the 2017 Tax Act. The income tax guidance allows for the transition impact of the 2017 Tax Act to be recorded as 1) complete with all accounting implications identified, 2) provisional based on a reasonable estimate, or 3) not recorded as no reasonable estimate was determinable.

In December 2017, we recorded a $450 million income tax transition benefit on a provisional basis under SAB 118. There were no changes to this estimate for the current period as we continue to analyze the impact of the 2017 Tax Act.
 
Accounting guidance not yet adopted
Refer to the 2017 Form 10-K for information on other accounting guidance not yet adopted.
v3.8.0.1
General General (Tables)
3 Months Ended
Mar. 31, 2018
Cash and Cash Equivalents [Abstract]  
Schedule of Cash and Cash Equivalents [Table Text Block]

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:

 
March 31

 
December 31

(in millions of U.S. dollars)
2018

 
2017

Cash
$
1,988

 
$
728

Restricted cash
125

 
123

Total cash and restricted cash shown in the consolidated statements of cash flows
$
2,113

 
$
851

v3.8.0.1
Investments (Tables)
3 Months Ended
Mar. 31, 2018
Investments, Debt and Equity Securities [Abstract]  
Schedule Of Amortized Cost And Fair Value Of HTM Fixed Maturities And Related OTTI Recognized In AOCI
March 31, 2018
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,893

 
$
22

 
$
(77
)
 
$
3,838

 
$

Foreign
21,705

 
513

 
(187
)
 
22,031

 

Corporate securities
23,509

 
332

 
(274
)
 
23,567

 
(4
)
Mortgage-backed securities
16,116

 
53

 
(349
)
 
15,820

 
(1
)
States, municipalities, and political subdivisions
13,985

 
61

 
(191
)
 
13,855

 

 
$
79,208

 
$
981

 
$
(1,078
)
 
$
79,111

 
$
(5
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
1,037

 
$
9

 
$
(14
)
 
$
1,032

 
$

Foreign
1,754

 
17

 
(20
)
 
1,751

 

Corporate securities
3,026

 
26

 
(55
)
 
2,997

 

Mortgage-backed securities
2,681

 
11

 
(45
)
 
2,647

 

States, municipalities, and political subdivisions
5,755

 
18

 
(78
)
 
5,695

 

 
$
14,253

 
$
81

 
$
(212
)
 
$
14,122

 
$


December 31, 2017
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,701

 
$
32

 
$
(35
)
 
$
3,698

 
$

Foreign
20,514

 
622

 
(106
)
 
21,030

 
(1
)
Corporate securities
23,453

 
638

 
(95
)
 
23,996

 
(4
)
Mortgage-backed securities
15,279

 
111

 
(100
)
 
15,290

 
(1
)
States, municipalities, and political subdivisions
14,888

 
125

 
(88
)
 
14,925

 

 
$
77,835

 
$
1,528

 
$
(424
)
 
$
78,939

 
$
(6
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
908

 
$
12

 
$
(5
)
 
$
915

 
$

Foreign
1,738

 
27

 
(8
)
 
1,757

 

Corporate securities
3,159

 
67

 
(7
)
 
3,219

 

Mortgage-backed securities
2,724

 
23

 
(5
)
 
2,742

 

States, municipalities, and political subdivisions
5,806

 
50

 
(15
)
 
5,841

 

 
$
14,335

 
$
179

 
$
(40
)
 
$
14,474

 
$

Schedule Of Amortized Cost and Fair Value of Available-for-sale Securities and Related OTTI Recognized in AOCI
 
March 31, 2018
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,893

 
$
22

 
$
(77
)
 
$
3,838

 
$

Foreign
21,705

 
513

 
(187
)
 
22,031

 

Corporate securities
23,509

 
332

 
(274
)
 
23,567

 
(4
)
Mortgage-backed securities
16,116

 
53

 
(349
)
 
15,820

 
(1
)
States, municipalities, and political subdivisions
13,985

 
61

 
(191
)
 
13,855

 

 
$
79,208

 
$
981

 
$
(1,078
)
 
$
79,111

 
$
(5
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
1,037

 
$
9

 
$
(14
)
 
$
1,032

 
$

Foreign
1,754

 
17

 
(20
)
 
1,751

 

Corporate securities
3,026

 
26

 
(55
)
 
2,997

 

Mortgage-backed securities
2,681

 
11

 
(45
)
 
2,647

 

States, municipalities, and political subdivisions
5,755

 
18

 
(78
)
 
5,695

 

 
$
14,253

 
$
81

 
$
(212
)
 
$
14,122

 
$


December 31, 2017
Amortized
Cost

 
Gross
Unrealized
Appreciation

 
Gross
Unrealized
Depreciation

 
Fair
Value

 
OTTI Recognized
in AOCI

(in millions of U.S. dollars)
 
 
 
 
Available for sale
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,701

 
$
32

 
$
(35
)
 
$
3,698

 
$

Foreign
20,514

 
622

 
(106
)
 
21,030

 
(1
)
Corporate securities
23,453

 
638

 
(95
)
 
23,996

 
(4
)
Mortgage-backed securities
15,279

 
111

 
(100
)
 
15,290

 
(1
)
States, municipalities, and political subdivisions
14,888

 
125

 
(88
)
 
14,925

 

 
$
77,835

 
$
1,528

 
$
(424
)
 
$
78,939

 
$
(6
)
Held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
908

 
$
12

 
$
(5
)
 
$
915

 
$

Foreign
1,738

 
27

 
(8
)
 
1,757

 

Corporate securities
3,159

 
67

 
(7
)
 
3,219

 

Mortgage-backed securities
2,724

 
23

 
(5
)
 
2,742

 

States, municipalities, and political subdivisions
5,806

 
50

 
(15
)
 
5,841

 

 
$
14,335

 
$
179

 
$
(40
)
 
$
14,474

 
$

Schedule Of Fixed Maturities By Contractual Maturity
The following table presents fixed maturities by contractual maturity:
 
 
 
March 31

 
 
 
December 31

 
 
 
2018

 
 
 
2017

(in millions of U.S. dollars)
Amortized Cost

 
Fair Value

 
Amortized Cost

 
Fair Value

Available for sale
 
 
 
 
 
 
 
Due in 1 year or less
$
3,735

 
$
3,746

 
$
3,164

 
$
3,182

Due after 1 year through 5 years
25,140

 
25,251

 
24,749

 
25,068

Due after 5 years through 10 years
25,243

 
25,097

 
25,388

 
25,704

Due after 10 years
8,974

 
9,197

 
9,255

 
9,695

 
63,092

 
63,291

 
62,556

 
63,649

Mortgage-backed securities
16,116

 
15,820

 
15,279

 
15,290

 
$
79,208

 
$
79,111

 
$
77,835

 
$
78,939

Held to maturity
 
 
 
 
 
 
 
Due in 1 year or less
$
838

 
$
840

 
$
743

 
$
746

Due after 1 year through 5 years
2,684

 
2,678

 
2,669

 
2,688

Due after 5 years through 10 years
4,713

 
4,635

 
4,744

 
4,756

Due after 10 years
3,337

 
3,322

 
3,455

 
3,542

 
11,572

 
11,475

 
11,611

 
11,732

Mortgage-backed securities
2,681

 
2,647

 
2,724

 
2,742

 
$
14,253

 
$
14,122

 
$
14,335

 
$
14,474

Schedule of Realized Gain (Loss)
The following table presents the components of Net realized gains (losses):
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Fixed maturities:
 
 
 
OTTI on fixed maturities, gross
$
(1
)
 
$
(6
)
OTTI on fixed maturities recognized in OCI (pre-tax)

 

OTTI on fixed maturities, net
(1
)
 
(6
)
Gross realized gains excluding OTTI
66

 
34

Gross realized losses excluding OTTI
(88
)
 
(40
)
Total fixed maturities
(23
)
 
(12
)
Equity securities:
 
 
 
OTTI on equity securities

 
(5
)
Gross realized gains excluding OTTI
10

 
9

Gross realized losses excluding OTTI
(21
)
 

Total equity securities
(11
)
 
4

OTTI on other investments

 
(8
)
Other investments
29

 

Foreign exchange losses
(77
)
 
(19
)
Investment and embedded derivative instruments
17

 
6

Fair value adjustments on insurance derivative
38

 
93

S&P put options and futures
22

 
(74
)
Other derivative instruments
2

 
2

Other
1

 
1

Net realized gains (losses)
$
(2
)
 
$
(7
)
Schedule Of Roll-Forward Of Pre-Tax Credit Losses Related To Fixed Maturities For Which A Portion Of OTTI Was Recognized In OCI
The following table presents a roll-forward of pre-tax credit losses related to fixed maturities for which a portion of OTTI was recognized in OCI: 
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Balance of credit losses related to securities still held – beginning of period
$
22

 
$
35

Additions where no OTTI was previously recorded

 

Additions where an OTTI was previously recorded

 
1

Reductions for securities sold during the period
(7
)
 
(4
)
Balance of credit losses related to securities still held – end of period
$
15

 
$
32

Gain (Loss) on Investments [Table Text Block]
Effective January 1, 2018, we adopted new accounting guidance that requires any changes in fair value of equity securities and other investments that are accounted for under the cost-method to be recognized immediately in realized gains and losses in net income. As a result, beginning on January 1, 2018, realized gains and losses from these investments include both sales of securities and unrealized gains and losses as follows:

 
Three Months Ended
 
 
March 31, 2018
 
(in millions of U.S. dollars)
Equity Securities

 
Other Investments

Net gains (losses) recognized during the period
$
(11
)
 
$
29

Less: Net gains (losses) recognized from sales of securities
10

 

Unrealized gains (losses) recognized for securities still held at reporting date
$
(21
)
 
$
29

Schedule Of Aggregate Fair Value And Gross Unrealized Loss By Length Of Time The Security Has Continuously Been In An Unrealized Loss Position
The following tables present, for all securities in an unrealized loss position (including securities on loan), the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position:
 
0 – 12 Months
 
 
Over 12 Months
 
 
Total
 
March 31, 2018
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

(in millions of U.S. dollars)
 
 
 
 
 
U.S. Treasury and agency
$
2,869

 
$
(55
)
 
$
1,314

 
$
(36
)
 
$
4,183

 
$
(91
)
Foreign
8,715

 
(155
)
 
1,643

 
(52
)
 
10,358

 
(207
)
Corporate securities
12,355

 
(260
)
 
1,501

 
(69
)
 
13,856

 
(329
)
Mortgage-backed securities
12,313

 
(257
)
 
3,033

 
(137
)
 
15,346

 
(394
)
States, municipalities, and political subdivisions
15,030

 
(218
)
 
1,343

 
(51
)
 
16,373

 
(269
)
Total fixed maturities
$
51,282

 
$
(945
)
 
$
8,834

 
$
(345
)
 
$
60,116

 
$
(1,290
)
 
0 – 12 Months
 
 
Over 12 Months
 
 
Total
 
December 31, 2017
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

 
Fair Value

 
Gross
Unrealized
Loss

(in millions of U.S. dollars)
 
 
 
 
 
U.S. Treasury and agency
$
2,172

 
$
(14
)
 
$
1,249

 
$
(26
)
 
$
3,421

 
$
(40
)
Foreign
5,657

 
(65
)
 
1,693

 
(49
)
 
7,350

 
(114
)
Corporate securities
5,210

 
(56
)
 
1,332

 
(46
)
 
6,542

 
(102
)
Mortgage-backed securities
6,194

 
(31
)
 
3,209

 
(74
)
 
9,403

 
(105
)
States, municipalities, and political subdivisions
9,259

 
(71
)
 
1,402

 
(32
)
 
10,661

 
(103
)
Total fixed maturities
28,492

 
(237
)
 
8,885

 
(227
)
 
37,377

 
(464
)
Equity securities
115

 
(12
)
 

 

 
115

 
(12
)
Other investments
78

 
(8
)
 

 

 
78

 
(8
)
Total
$
28,685

 
$
(257
)
 
$
8,885

 
$
(227
)
 
$
37,570

 
$
(484
)
Schedule Of Components Of Restricted Assets
The following table presents the components of restricted assets:
 
March 31

 
December 31

(in millions of U.S. dollars)
2018

 
2017

Trust funds
$
17,029

 
$
17,011

Deposits with U.S. regulatory authorities
2,463

 
2,345

Deposits with non-U.S. regulatory authorities
2,290

 
2,250

Assets pledged under repurchase agreements
1,460

 
1,434

Other pledged assets
433

 
414

 
$
23,675

 
$
23,454

v3.8.0.1
Fair value measurements (Tables)
3 Months Ended
Mar. 31, 2018
Fair Value Disclosures [Abstract]  
Financial Instruments Measured At Fair Value On A Recurring Basis
Financial instruments measured at fair value on a recurring basis, by valuation hierarchy
March 31, 2018
Level 1

 
Level 2

 
Level 3

 
Total

(in millions of U.S. dollars)
 
 
 
Assets:
 
 
 
 
 
 
 
Fixed maturities available for sale
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,094

 
$
744

 
$

 
$
3,838

Foreign

 
21,855

 
176

 
22,031

Corporate securities

 
22,494

 
1,073

 
23,567

Mortgage-backed securities

 
15,737

 
83

 
15,820

States, municipalities, and political subdivisions

 
13,855

 

 
13,855

 
3,094

 
74,685

 
1,332

 
79,111

Equity securities
884

 

 
64

 
948

Short-term investments
1,735

 
1,127

 
12

 
2,874

Other investments (1)
451

 
318

 
270

 
1,039

Securities lending collateral

 
2,039

 

 
2,039

Investment derivative instruments
25

 

 

 
25

Other derivative instruments
78

 

 

 
78

Separate account assets
2,774

 
100

 

 
2,874

Total assets measured at fair value (1)
$
9,041

 
$
78,269

 
$
1,678

 
$
88,988

Liabilities:
 
 
 
 
 
 
 
Investment derivative instruments
$
29

 
$

 
$

 
$
29

Other derivative instruments

 

 
2

 
2

GLB (2)

 

 
167

 
167

Total liabilities measured at fair value
$
29

 
$

 
$
169

 
$
198

(1) 
Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,866 million and other investments of $14 million at March 31, 2018 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. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
 
December 31, 2017
Level 1

 
Level 2

 
Level 3

 
Total

(in millions of U.S. dollars)
 
 
 
Assets:
 
 
 
 
 
 
 
Fixed maturities available for sale
 
 
 
 
 
 
 
U.S. Treasury and agency
$
3,129

 
$
569

 
$

 
$
3,698

Foreign

 
20,937

 
93

 
21,030

Corporate securities

 
22,959

 
1,037

 
23,996

Mortgage-backed securities

 
15,212

 
78

 
15,290

States, municipalities, and political subdivisions

 
14,925

 

 
14,925

 
3,129

 
74,602

 
1,208

 
78,939

Equity securities
893

 

 
44

 
937

Short-term investments
2,309

 
1,252

 

 
3,561

Other investments (1)
466

 
305

 
263

 
1,034

Securities lending collateral

 
1,737

 

 
1,737

Investment derivative instruments
18

 

 

 
18

Other derivative instruments
1

 

 

 
1

Separate account assets
2,635

 
99

 

 
2,734

Total assets measured at fair value (1)
$
9,451

 
$
77,995

 
$
1,515

 
$
88,961

Liabilities:
 
 
 
 
 
 
 
Investment derivative instruments
$
30

 
$

 
$

 
$
30

Other derivative instruments
21

 

 
2

 
23

GLB (2)

 

 
204

 
204

Total liabilities measured at fair value
$
51

 
$

 
$
206

 
$
257


(1) 
Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,623 million and other investments of $15 million at December 31, 2017 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. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
Fair Value And Maximum Future Funding Commitments Related To Investments
The following table presents, by investment category, the expected liquidation period, fair value, and maximum future funding commitments of alternative investments:
 
 
 
 
 
March 31

 
 
 
December 31

 
Expected
Liquidation
Period of Underlying Assets
 
 
 
2018

 
 
 
2017

(in millions of U.S. dollars)
Fair
Value

 
Maximum
Future Funding
Commitments

 
Fair
Value

 
Maximum
Future Funding
Commitments

Financial
5 to 9 Years
 
$
538

 
$
327

 
$
540

 
$
330

Real Assets
3 to 7 Years
 
656

 
210

 
651

 
114

Distressed
3 to 7 Years
 
295

 
131

 
289

 
141

Private Credit
3 to 7 Years
 
173

 
320

 
187

 
327

Traditional
3 to 15 Years
 
1,901

 
2,858

 
1,656

 
3,149

Vintage
1 to 2 Years
 
27

 

 
30

 

Investment funds
Not Applicable
 
276

 

 
270

 

 
 
 
$
3,866

 
$
3,846

 
$
3,623

 
$
4,061

Schedule Of Significant Unobservable Inputs Used In Level 3 Liability Valuations
The following table presents the significant unobservable inputs used in the Level 3 liability valuations. Excluded from the table below are inputs used to determine the fair value of Level 3 assets which are based on single broker quotes and contain no quantitative unobservable inputs developed by management.
(in millions of U.S. dollars, except for percentages)
Fair Value
 
 
Valuation
Technique
 
Significant
Unobservable Inputs
 
Ranges
March 31, 2018

 
December 31, 2017

 
 
 
GLB (1)
$
167

 
$
204

 
Actuarial model
 
Lapse rate
 
3% – 33%
 
 
 
 
 
 
 
Annuitization rate
 
0% – 100%
(1) 
Discussion of the most significant inputs used in the fair value measurement of GLB and the sensitivity of those assumptions is included within Note 3 a) Guaranteed living benefits.
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]
The following tables present a reconciliation of the beginning and ending balances of financial instruments measured at fair value using significant unobservable inputs (Level 3):
 
Assets
 
 
Liabilities
 
Three Months Ended
Available-for-Sale Debt Securities
Equity
securities

 
Short-term investments

 
Other
investments

 
Other
derivative
instruments

 
GLB (2)

March 31, 2018
Foreign

 
Corporate
securities (1)

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
93

 
$
1,037

 
$
78

 
$
44

 
$

 
$
263

 
$
2

 
$
204

Transfers into Level 3
7

 

 
1

 

 
5

 

 

 

Transfers out of Level 3

 
(10
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI, including Foreign Exchange
9

 
(3
)
 

 
1

 

 
2

 

 

Net Realized Gains/Losses

 

 

 
2

 

 

 

 
(37
)
Purchases
87

 
139

 
4

 
17

 
8

 
14

 

 

Sales
(19
)
 
(51
)
 

 

 

 

 

 

Settlements
(1
)
 
(39
)
 

 

 
(1
)
 
(9
)
 

 

Balance – end of period
$
176

 
$
1,073

 
$
83

 
$
64

 
$
12

 
$
270

 
$
2

 
$
167

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$

 
$
(37
)
(1) 
Purchases in Level 3 primarily consist of privately-placed fixed income securities.
(2) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.

  
Assets
 
 
 
 
Liabilities

Three Months Ended
Available-for-Sale Debt Securities
 
 
Equity
securities

 
Short-term investments

 
Other
investments

 
Other derivative instruments

 
GLB (1)

March 31, 2017
Foreign

 
Corporate
securities

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
74

 
$
681

 
$
45

 
$
41

 
$
25

 
$
225

 
$
13

 
$
559

Transfers into Level 3

 
29

 

 

 

 

 

 

Transfers out of Level 3

 
(54
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI
(1
)
 
(8
)
 

 

 

 
4

 

 

Net Realized Gains/Losses
(1
)
 
(1
)
 

 

 

 

 
(2
)
 
(93
)
Purchases
14

 
156

 
1

 

 
7

 
8

 

 

Sales
(3
)
 
(27
)
 
(1
)
 

 

 

 

 

Settlements
(3
)
 
(39
)
 

 

 
(11
)
 
(4
)
 

 

Balance – end of period
$
80

 
$
737

 
$
45

 
$
41

 
$
21

 
$
233

 
$
11

 
$
466

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$
(2
)
 
$
(93
)
(1) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]
The following tables present a reconciliation of the beginning and ending balances of financial instruments measured at fair value using significant unobservable inputs (Level 3):
 
Assets
 
 
Liabilities
 
Three Months Ended
Available-for-Sale Debt Securities
Equity
securities

 
Short-term investments

 
Other
investments

 
Other
derivative
instruments

 
GLB (2)

March 31, 2018
Foreign

 
Corporate
securities (1)

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
93

 
$
1,037

 
$
78

 
$
44

 
$

 
$
263

 
$
2

 
$
204

Transfers into Level 3
7

 

 
1

 

 
5

 

 

 

Transfers out of Level 3

 
(10
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI, including Foreign Exchange
9

 
(3
)
 

 
1

 

 
2

 

 

Net Realized Gains/Losses

 

 

 
2

 

 

 

 
(37
)
Purchases
87

 
139

 
4

 
17

 
8

 
14

 

 

Sales
(19
)
 
(51
)
 

 

 

 

 

 

Settlements
(1
)
 
(39
)
 

 

 
(1
)
 
(9
)
 

 

Balance – end of period
$
176

 
$
1,073

 
$
83

 
$
64

 
$
12

 
$
270

 
$
2

 
$
167

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$

 
$
(37
)
(1) 
Purchases in Level 3 primarily consist of privately-placed fixed income securities.
(2) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.

  
Assets
 
 
 
 
Liabilities

Three Months Ended
Available-for-Sale Debt Securities
 
 
Equity
securities

 
Short-term investments

 
Other
investments

 
Other derivative instruments

 
GLB (1)

March 31, 2017
Foreign

 
Corporate
securities

 
MBS

 
 
(in millions of U.S. dollars)
 
 
 
 
Balance – beginning of period
$
74

 
$
681

 
$
45

 
$
41

 
$
25

 
$
225

 
$
13

 
$
559

Transfers into Level 3

 
29

 

 

 

 

 

 

Transfers out of Level 3

 
(54
)
 

 

 

 

 

 

Change in Net Unrealized Gains (Losses) included in OCI
(1
)
 
(8
)
 

 

 

 
4

 

 

Net Realized Gains/Losses
(1
)
 
(1
)
 

 

 

 

 
(2
)
 
(93
)
Purchases
14

 
156

 
1

 

 
7

 
8

 

 

Sales
(3
)
 
(27
)
 
(1
)
 

 

 

 

 

Settlements
(3
)
 
(39
)
 

 

 
(11
)
 
(4
)
 

 

Balance – end of period
$
80

 
$
737

 
$
45

 
$
41

 
$
21

 
$
233

 
$
11

 
$
466

Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date
$

 
$

 
$

 
$

 
$

 
$

 
$
(2
)
 
$
(93
)
(1) 
Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
Carrying Values And Fair Values Of Financial Instruments Not Measured At Fair Value
The following tables present fair value, by valuation hierarchy, and carrying value of the financial instruments not measured at fair value:
March 31, 2018
Fair Value
 
 
Carrying Value

(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

 
Assets:
 
 
 
 
 
 
 
 
 
Fixed maturities held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
977

 
$
55

 
$

 
$
1,032

 
$
1,037

Foreign

 
1,751

 

 
1,751

 
1,754

Corporate securities

 
2,964

 
33

 
2,997

 
3,026

Mortgage-backed securities

 
2,647

 

 
2,647

 
2,681

States, municipalities, and political subdivisions

 
5,695

 

 
5,695

 
5,755

Total assets
$
977

 
$
13,112

 
$
33

 
$
14,122

 
$
14,253

Liabilities:
 
 
 
 
 
 
 
 
 
Repurchase agreements
$

 
$
1,412

 
$

 
$
1,412

 
$
1,412

Short-term debt

 
1,704

 

 
1,704

 
1,669

Long-term debt

 
13,023

 

 
13,023

 
12,786

Trust preferred securities

 
466

 

 
466

 
308

Total liabilities
$

 
$
16,605

 
$

 
$
16,605

 
$
16,175

December 31, 2017
Fair Value
 
 
Carrying Value

(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

 
Assets:
 
 
 
 
 
 
 
 
 
Fixed maturities held to maturity
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$
857

 
$
58

 
$

 
$
915

 
$
908

Foreign

 
1,757

 

 
1,757

 
1,738

Corporate securities

 
3,184

 
35

 
3,219

 
3,159

Mortgage-backed securities

 
2,742

 

 
2,742

 
2,724

States, municipalities, and political subdivisions

 
5,841

 

 
5,841

 
5,806

Total assets
$
857


$
13,582


$
35


$
14,474


$
14,335

Liabilities:
 
 
 
 
 
 
 
 
 
Repurchase agreements
$

 
$
1,408

 
$

 
$
1,408

 
$
1,408

Short-term debt

 
1,013

 

 
1,013

 
1,013

Long-term debt

 
12,332

 

 
12,332

 
11,556

Trust preferred securities

 
468

 

 
468

 
308

Total liabilities
$

 
$
15,221

 
$

 
$
15,221

 
$
14,285

v3.8.0.1
Unpaid losses and loss expenses Unpaid losses and loss expenses (Tables)
3 Months Ended
Mar. 31, 2018
Liability for Claims and Claims Adjustment Expense [Abstract]  
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]
The following table presents a reconciliation of beginning and ending Unpaid losses and loss expenses:
 
Three Months Ended March 31
 
(in millions of U.S. dollars)
2018

 
2017

Gross unpaid losses and loss expenses – beginning of period
$
63,179

 
$
60,540

Reinsurance recoverable on unpaid losses - beginning of period (1)
(14,014
)
 
(12,708
)
Net unpaid losses and loss expenses – beginning of period
49,165

 
47,832

Net losses and loss expenses incurred in respect of losses occurring in:
 
 
 
Current year
4,358

 
4,078

Prior years (2)
(256
)
 
(289
)
Total
4,102

 
3,789

Net losses and loss expenses paid in respect of losses occurring in:
 
 
 
Current year
809

 
798

Prior years
3,433

 
3,109

Total
4,242

 
3,907

Foreign currency revaluation and other
292

 
54

Net unpaid losses and loss expenses – end of period
49,317

 
47,768

Reinsurance recoverable on unpaid losses (3)
13,822

 
12,811

Gross unpaid losses and loss expenses – end of period
$
63,139

 
$
60,579

(1) 
Net of provision for uncollectible reinsurance of $321 million and $300 million at December 31, 2017 and 2016, respectively.
(2) 
Relates to prior period loss reserve development only and excludes prior period development related to reinstatement premiums, expense adjustments, and earned premiums totaling $47 million and $58 million for the three months ended March 31, 2018 and 2017, respectively.
(3) 
Net of provision for uncollectible reinsurance of $320 million and $334 million at March 31, 2018 and 2017, respectively.

Prior Period Development, by Segment [Table Text Block]
 
Three Months Ended March 31
 
(in millions of U.S. dollars)
Long-tail    

 
Short-tail

 
Total

2018
 
 
 
 
 
North America Commercial P&C Insurance
$
8

 
$
(109
)
 
$
(101
)
North America Personal P&C Insurance

 
(6
)
 
(6
)
North America Agricultural Insurance

 
(76
)
 
(76
)
Overseas General Insurance

 
(22
)
 
(22
)
Global Reinsurance

 
(14
)
 
(14
)
Corporate
10

 

 
10

Total
$
18

 
$
(227
)
 
$
(209
)
2017
 
 
 
 
 
North America Commercial P&C Insurance
$
(94
)
 
$
(85
)
 
$
(179
)
North America Personal P&C Insurance

 
(3
)
 
(3
)
North America Agricultural Insurance

 
(79
)
 
(79
)
Overseas General Insurance
32

 
(20
)
 
12

Global Reinsurance
8

 

 
8

Corporate
10

 

 
10

Total
$
(44
)
 
$
(187
)
 
$
(231
)
v3.8.0.1
Commitments, contingencies, and guarantees (Tables)
3 Months Ended
Mar. 31, 2018
Commitments and Contingencies Disclosure [Abstract]  
Balance Sheet Locations, Fair Values In An Asset Or (Liability) Position, And Notional Values/Payment Provisions Of Derivative Instruments
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:
 
 
 
 
 
March 31, 2018
 
 
 
 
December 31, 2017
 
 
Consolidated
Balance Sheet
Location
 
Fair Value
 
 
Notional
Value/
Payment
Provision

 
Fair Value
 
 
Notional
Value/
Payment
Provision

(in millions of U.S. dollars)
 
Derivative Asset

 
Derivative (Liability)

 
 
Derivative Asset

 
Derivative (Liability)

 
Investment and embedded derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency forward contracts
OA / (AP)
 
$
19

 
$
(17
)
 
$
2,125

 
$
14

 
$
(27
)
 
$
2,064

Cross-currency swaps
OA / (AP)
 

 

 
45

 

 

 
45

Options/Futures contracts on notes and bonds
OA / (AP)
 
6

 
(12
)
 
1,093

 
4

 
(3
)
 
1,007

Convertible securities (1)
FM AFS / ES
 
7

 

 
8

 
5

 

 
6

 
 
 
$
32

 
$
(29
)
 
$
3,271

 
$
23

 
$
(30
)
 
$
3,122

Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
Futures contracts on equities (2)
OA / (AP)
 
$
71

 
$

 
$
1,625

 
$

 
$
(21
)
 
$
1,553

Other
OA / (AP)
 
7

 
(2
)
 
326

 
1

 
(2
)
 
75

 
 
 
$
78

 
$
(2
)
 
$
1,951

 
$
1

 
$
(23
)
 
$
1,628

GLB (3)
(AP) / (FPB)
 
$

 
$
(529
)
 
$
1,175

 
$

 
$
(550
)
 
$
1,083


(1) 
Includes fair value of embedded derivatives.
(2) 
Related to GMDB and GLB blocks of business.
(3) 
Includes both future policy benefits reserves and fair value derivative adjustment. Note that the payment provision related to GLB is the net amount at risk. The concept of a notional value does not apply to the GLB reinsurance contracts.
Transfer of Certain Financial Assets Accounted for as Secured Borrowings
The following table presents the carrying value of collateral held under securities lending agreements by investment category and remaining contractual maturity of the underlying agreements:
 
 
Remaining contractual maturity
 
 
 
March 31

 
December 31

 
 
2018

 
2017

(in millions of U.S. dollars)
 
Overnight and Continuous
 
Collateral held under securities lending agreements:
 
 
 
 
Cash
 
$
826

 
$
828

U.S. Treasury and agency
 
40

 
36

Foreign
 
869

 
712

Corporate securities
 
8

 

Mortgage-backed securities
 
59

 
74

Equity securities
 
237

 
87

 
 
$
2,039

 
$
1,737

Gross amount of recognized liability for securities lending payable
 
$
2,039

 
$
1,737



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
 
 
March 31, 2018
 
 
December 31, 2017
 
 
30-90 Days

 
Greater than
90 Days

 
Total

 
Up to
30 Days

 
Greater than
90 Days

 
Total

(in millions of U.S. dollars)
 
 
 
 
Collateral pledged under repurchase agreements:
 
 
 
 
 
 
 
 
 
 
 
U.S. Treasury and agency
$

 
$
243

 
$
243

 
$
9

 
$
230

 
$
239

Mortgage-backed securities
486

 
731

 
1,217

 
369

 
826

 
1,195

 
$
486

 
$
974

 
$
1,460

 
$
378

 
$
1,056

 
$
1,434

Gross amount of recognized liabilities for repurchase agreements
 
 
 
 
$
1,412

 
 
 
 
 
$
1,408

Difference (1)
 
 
 
 
$
48

 
 
 
 
 
$
26


Net Realized Gains (Losses) Of Derivative Instrument Activity In Consolidated Statement Of Operations
The following table presents net realized gains (losses) related to derivative instrument activity in the Consolidated statements of operations:
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars)
2018

 
2017

Investment and embedded derivative instruments:
 
 
 
Foreign currency forward contracts
$
4

 
$
14

All other futures contracts and options
13

 
(8
)
Total investment and embedded derivative instruments
$
17

 
$
6

GLB and other derivative instruments:
 
 
 
GLB (1)
$
38

 
$
93

Futures contracts on equities (2)
22

 
(74
)
Other
2

 
2

Total GLB and other derivative instruments
$
62

 
$
21

 
$
79

 
$
27


(1) 
Excludes foreign exchange gains (losses) related to GLB.
(2) 
Related to GMDB and GLB blocks of business.

v3.8.0.1
Shareholders' Equity (Tables)
3 Months Ended
Mar. 31, 2018
Stockholders' Equity Note [Abstract]  
Dividends Declared [Table Text Block]

Share Repurchase Program [Table Text Block]
The following table presents repurchases of Chubb's Common Shares conducted in a series of open market transactions under the Board authorizations:
 
Three Months Ended
March 31

 
(in millions of U.S. dollars, except share data)
2018

 
2017

Number of shares repurchased

 
1,036,064

Cost of shares repurchased
$

 
$
140

Repurchase authorization remaining at end of period
$
1,000

 
$
860

v3.8.0.1
Postretirement benefits (Tables)
3 Months Ended
Mar. 31, 2018
Retirement Benefits [Abstract]  
Schedule of Net Benefit Costs [Table Text Block]
9. Postretirement benefits

The components of net pension and other postretirement benefit costs (benefits) reflected in Net income in the Consolidated statements of operations were as follows:
 
Pension Benefits
 
 
Other Postretirement Benefits
 
 
2018
 
 
2017
 
 
2018

 
2017

Three Months Ended March 31
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
Service cost
$
14

 
$
3

 
$
16

 
$
4

 
$

 
$

Interest cost
26

 
7

 
26

 
7

 
1

 
1

Expected return on plan assets
(53
)
 
(13
)
 
(47
)
 
(10
)
 
(1
)
 
(1
)
Amortization of prior service cost

 

 

 

 
(21
)
 
(23
)
Net periodic (benefit) cost
$
(13
)
 
$
(3
)
 
$
(5
)
 
$
1

 
$
(21
)
 
$
(23
)
v3.8.0.1
Segment information (Tables)
3 Months Ended
Mar. 31, 2018
Segment Reporting [Abstract]  
Operations By Segment
The following tables present the Statement of Operations by segment:
 
North America Commercial P&C Insurance

 
North America Personal P&C Insurance

 
North America Agricultural Insurance

 
Overseas General Insurance

 
Global
Reinsurance

 
Life Insurance

 
Corporate

 
Chubb
Consolidated

For the Three Months Ended
 
 
 
 
 
 
March 31, 2018
 
 
 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
 
 
Net premiums written
$
2,812

 
$
1,048

 
$
108

 
$
2,384

 
$
193

 
$
559

 
$

 
$
7,104

Net premiums earned
3,029

 
1,140

 
43

 
2,107

 
168

 
540

 

 
7,027

Losses and loss expenses
1,908

 
886

 
(53
)
 
1,078

 
67

 
205

 
11

 
4,102

Policy benefits

 

 

 

 

 
151

 

 
151

Policy acquisition costs
472

 
237

 
(1
)
 
588

 
40

 
128

 

 
1,464

Administrative expenses
231

 
65

 
(3
)
 
239

 
10

 
78

 
72

 
692

Underwriting income (loss)
418

 
(48
)
 
100

 
202

 
51

 
(22
)
 
(83
)
 
618

Net investment income (loss)
503

 
59

 
7

 
151

 
64

 
83

 
(61
)
 
806

Other (income) expense
(6
)
 

 

 
7

 
(7
)
 
(4
)
 
(37
)
 
(47
)
Amortization expense of purchased intangibles

 
3

 
7

 
10

 

 
1

 
64

 
85

Segment income (loss)
$
927


$
8


$
100


$
336


$
122


$
64


$
(171
)

$
1,386

Net realized gains (losses) including OTTI
 
 
 
 
 
 
 
 
 
 
 
 
(2
)
 
(2
)
Interest expense
 
 
 
 
 
 
 
 
 
 
 
 
157

 
157

Chubb integration expenses
 
 
 
 
 
 
 
 
 
 
 
 
10

 
10

Income tax expense
 
 
 
 
 
 
 
 
 
 
 
 
135

 
135

Net income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
$
(475
)
 
$
1,082

 
North America Commercial P&C Insurance (1)

 
North America Personal P&C Insurance

 
North America Agricultural Insurance

 
Overseas General Insurance (1)

 
Global
Reinsurance

 
Life Insurance

 
Corporate

 
Chubb
Consolidated

For the Three Months Ended
 
 
 
 
 
March 31, 2017
 
 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
 
Net premiums written
$
2,730

 
$
984

 
$
61

 
$
2,212

 
$
199

 
$
524

 
$

 
$
6,710

Net premiums earned
3,041

 
1,086

 
14

 
1,936

 
189

 
506

 

 
6,772

Losses and loss expenses
1,860

 
633

 
(73
)
 
1,071

 
94

 
193

 
11

 
3,789

Policy benefits

 

 

 

 

 
168

 

 
168

Policy acquisition costs
487

 
217

 
(1
)
 
529

 
51

 
114

 

 
1,397

Administrative expenses
231

 
65

 
(5
)
 
245

 
10

 
72

 
58

 
676

Underwriting income (loss)
463

 
171

 
93

 
91

 
34

 
(41
)
 
(69
)
 
742

Net investment income (loss)
478

 
55

 
6

 
148

 
62

 
75

 
(79
)
 
745

Other (income) expense
4

 
1

 

 
(1
)
 

 
(29
)
 
(45
)
 
(70
)
Amortization expense of purchased intangibles

 
3

 
7

 
11

 

 
1

 
42

 
64

Segment income (loss)
$
937

 
$
222

 
$
92

 
$
229

 
$
96

 
$
62

 
$
(145
)
 
$
1,493

Net realized gains (losses) including OTTI
 
 
 
 
 
 
 
 
 
 
 
 
(7
)
 
(7
)
Interest expense
 
 
 
 
 
 
 
 
 
 
 
 
154

 
154

Chubb integration expenses
 
 
 
 
 
 
 
 
 
 
 
 
111

 
111

Income tax expense
 
 
 
 
 
 
 
 
 
 
 
 
128

 
128

Net income (loss)


 
 
 
 
 
 
 
 
 
 
 
$
(545
)
 
$
1,093

v3.8.0.1
Earnings per share (Tables)
3 Months Ended
Mar. 31, 2018
Earnings Per Share [Abstract]  
Schedule Of Earnings Per Share, Basic And Diluted
 
Three Months Ended
 
 
March 31
 
(in millions of U.S. dollars, except share and per share data)
2018

 
2017

Numerator:
 
 
 
Net income
$
1,082

 
$
1,093

Denominator:
 
 
 
Denominator for basic earnings per share:
 
 
 
Weighted-average shares outstanding
465,703,240

 
468,903,086

Denominator for diluted earnings per share:
 
 
 
Share-based compensation plans
3,770,351

 
3,828,604

Weighted-average shares outstanding and assumed conversions
469,473,591

 
472,731,690

Basic earnings per share
$
2.32

 
$
2.33

Diluted earnings per share
$
2.30

 
$
2.31

Potential anti-dilutive share conversions
2,116,188

 
969,654

v3.8.0.1
Information provided in connection with outstanding debt of subsidiaries (Tables)
3 Months Ended
Mar. 31, 2018
Table Text Block Supplement [Abstract]  
Condensed Consolidating Balance Sheet
Condensed Consolidating Balance Sheet at March 31, 2018
(in millions of U.S. dollars)
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$

 
$
186

 
$
101,919

 
$

 
$
102,105

Cash (1)
1

 
864

 
1,523

 
(400
)
 
1,988

Restricted cash

 

 
125

 

 
125

Insurance and reinsurance balances receivable

 

 
10,308

 
(738
)
 
9,570

Reinsurance recoverable on losses and loss expenses

 

 
26,093

 
(11,111
)
 
14,982

Reinsurance recoverable on policy benefits

 

 
1,181

 
(1,000
)
 
181

Value of business acquired

 

 
321

 

 
321

Goodwill and other intangible assets

 

 
22,123

 

 
22,123

Investments in subsidiaries
43,032

 
51,930

 

 
(94,962
)
 

Due from subsidiaries and affiliates, net
8,980

 

 
251

 
(9,231
)
 

Other assets
4

 
386

 
18,459

 
(1,463
)
 
17,386

Total assets
$
52,017

 
$
53,366

 
$
182,303

 
$
(118,905
)
 
$
168,781

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$

 
$

 
$
74,299

 
$
(11,160
)
 
$
63,139

Unearned premiums

 

 
16,563

 
(1,068
)
 
15,495

Future policy benefits

 

 
6,412

 
(1,000
)
 
5,412

Due to subsidiaries and affiliates, net

 
9,231

 

 
(9,231
)
 

Affiliated notional cash pooling programs (1)
400

 

 

 
(400
)
 

Repurchase agreements

 

 
1,412

 

 
1,412

Short-term debt

 
1,669

 

 

 
1,669

Long-term debt

 
12,775

 
11

 

 
12,786

Trust preferred securities

 
308

 

 

 
308

Other liabilities
330

 
1,537

 
16,490

 
(1,084
)
 
17,273

Total liabilities
730

 
25,520

 
115,187

 
(23,943
)
 
117,494

Total shareholders’ equity
51,287

 
27,846

 
67,116

 
(94,962
)
 
51,287

Total liabilities and shareholders’ equity
$
52,017

 
$
53,366

 
$
182,303

 
$
(118,905
)
 
$
168,781


(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
 

Condensed Consolidating Balance Sheet at December 31, 2017

(in millions of U.S. dollars)
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb Limited
Consolidated

Assets
 
 
 
 
 
 
 
 
 
Investments
$

 
$
168

 
$
102,276

 
$

 
$
102,444

Cash (1)
3

 
1

 
839

 
(115
)
 
728

Restricted cash

 

 
123

 

 
123

Insurance and reinsurance balances receivable

 

 
10,820

 
(1,486
)
 
9,334

Reinsurance recoverable on losses and loss expenses

 

 
27,514

 
(12,480
)
 
15,034

Reinsurance recoverable on policy benefits

 

 
1,194

 
(1,010
)
 
184

Value of business acquired

 

 
326

 

 
326

Goodwill and other intangible assets

 

 
22,054

 

 
22,054

Investments in subsidiaries
41,909

 
51,165

 

 
(93,074
)
 

Due from subsidiaries and affiliates, net
9,639

 

 

 
(9,639
)
 

Other assets
3

 
287

 
20,578

 
(4,073
)
 
16,795

Total assets
$
51,554

 
$
51,621

 
$
185,724

 
$
(121,877
)
 
$
167,022

Liabilities
 
 
 
 
 
 
 
 
 
Unpaid losses and loss expenses
$

 
$

 
$
74,767

 
$
(11,588
)
 
$
63,179

Unearned premiums

 

 
18,875

 
(3,659
)
 
15,216

Future policy benefits

 

 
6,331

 
(1,010
)
 
5,321

Due to subsidiaries and affiliates, net

 
9,432

 
207

 
(9,639
)
 

Affiliated notional cash pooling programs (1)

 
115

 

 
(115
)
 

Repurchase agreements

 

 
1,408

 

 
1,408

Short-term debt

 
1,013

 

 

 
1,013

Long-term debt

 
11,546

 
10

 

 
11,556

Trust preferred securities

 
308

 

 

 
308

Other liabilities
382

 
1,411

 
18,848

 
(2,792
)
 
17,849

Total liabilities
382

 
23,825

 
120,446

 
(28,803
)
 
115,850

Total shareholders’ equity
51,172

 
27,796

 
65,278

 
(93,074
)
 
51,172

Total liabilities and shareholders’ equity
$
51,554

 
$
51,621

 
$
185,724

 
$
(121,877
)
 
$
167,022

(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
Condensed Consolidating Statement Of Operations and Comprehensive Income
Condensed Consolidating Statements of Operations and Comprehensive Income
For the Three Months Ended March 31, 2018
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$

 
$

 
$
7,104

 
$

 
$
7,104

Net premiums earned

 

 
7,027

 

 
7,027

Net investment income
2

 
4

 
800

 

 
806

Equity in earnings of subsidiaries
1,022

 
885

 

 
(1,907
)
 

Net realized gains (losses) including OTTI
(2
)
 
(24
)
 
24

 

 
(2
)
Losses and loss expenses

 

 
4,102

 

 
4,102

Policy benefits

 

 
151

 

 
151

Policy acquisition costs and administrative expenses
18

 
22

 
2,116

 

 
2,156

Interest (income) expense
(80
)
 
209

 
28

 

 
157

Other (income) expense
(5
)
 
8

 
(50
)
 

 
(47
)
Amortization of purchased intangibles

 

 
85

 

 
85

Chubb integration expenses
2

 
1

 
7

 

 
10

Income tax expense (benefit)
5

 
(59
)
 
189

 

 
135

Net income
$
1,082

 
$
684

 
$
1,223

 
$
(1,907
)
 
$
1,082

Comprehensive income
$
453

 
$
216

 
$
614

 
$
(830
)
 
$
453



Condensed Consolidating Statements of Operations and Comprehensive Income
For the Three Months Ended March 31, 2017
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net premiums written
$

 
$

 
$
6,710

 
$

 
$
6,710

Net premiums earned

 

 
6,772

 

 
6,772

Net investment income

 
3

 
742

 

 
745

Equity in earnings of subsidiaries
1,027

 
701

 

 
(1,728
)
 

Net realized gains (losses) including OTTI

 
(13
)
 
6

 

 
(7
)
Losses and loss expenses

 

 
3,789

 

 
3,789

Policy benefits

 

 
168

 

 
168

Policy acquisition costs and administrative expenses
18

 
14

 
2,041

 

 
2,073

Interest (income) expense
(84
)
 
221

 
17

 

 
154

Other (income) expense
(6
)
 
15

 
(79
)
 

 
(70
)
Amortization of purchased intangibles

 

 
64

 

 
64

Chubb integration expenses

 
49

 
62

 

 
111

Income tax expense (benefit)
6

 
(112
)
 
234

 

 
128

Net income
$
1,093

 
$
504

 
$
1,224

 
$
(1,728
)
 
$
1,093

Comprehensive income
$
1,407

 
$
791

 
$
1,538

 
$
(2,329
)
 
$
1,407





Condensed Consolidating Statement of Cash Flows
Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2018
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from operating activities
$
24

 
$
2,727

 
$
800

 
$
(3,000
)
 
$
551

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale

 
(8
)
 
(5,964
)
 

 
(5,972
)
Purchases of fixed maturities held to maturity

 

 
(162
)
 

 
(162
)
Purchases of equity securities

 

 
(55
)
 

 
(55
)
Sales of fixed maturities available for sale

 

 
2,562

 

 
2,562

Sales of equity securities

 

 
40

 

 
40

Maturities and redemptions of fixed maturities available for sale

 
3

 
1,862

 

 
1,865

Maturities and redemptions of fixed maturities held to maturity

 

 
255

 

 
255

Net change in short-term investments

 
(14
)
 
745

 

 
731

Net derivative instruments settlements

 
(7
)
 
46

 

 
39

Private equity contributions

 

 
(353
)
 

 
(353
)
Private equity distributions

 

 
201

 

 
201

Capital contribution
(750
)
 
(3,500
)
 

 
4,250

 

Other

 
(3
)
 
(29
)
 

 
(32
)
Net cash flows used for investing activities
(750
)
 
(3,529
)
 
(852
)
 
4,250

 
(881
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(330
)
 

 

 

 
(330
)
Common Shares repurchased

 

 
(29
)
 

 
(29
)
Proceeds from issuance of long-term debt

 
2,175

 

 

 
2,175

Repayment of long-term debt

 
(300
)
 

 

 
(300
)
Proceeds from issuance of repurchase agreements

 

 
408

 

 
408

Repayment of repurchase agreements

 

 
(404
)
 

 
(404
)
Proceeds from share-based compensation plans

 

 
34

 

 
34

Dividend to parent company

 

 
(3,000
)
 
3,000

 

Advances (to) from affiliates
656

 
(95
)
 
(561
)
 

 

Capital contribution

 

 
4,250

 
(4,250
)
 

Net proceeds from (payments to) affiliated notional cash pooling programs(1)
400

 
(115
)
 

 
(285
)
 

Policyholder contract deposits

 

 
118

 

 
118

Policyholder contract withdrawals

 

 
(105
)
 

 
(105
)
Net cash flows from financing activities
726

 
1,665

 
711

 
(1,535
)
 
1,567

Effect of foreign currency rate changes on cash and restricted cash
(2
)
 

 
27

 

 
25

Net increase (decrease) in cash and restricted cash
(2
)
 
863

 
686

 
(285
)
 
1,262

Cash and restricted cash – beginning of period(1)
3

 
1

 
962

 
(115
)
 
851

Cash and restricted cash – end of period(1)
$
1

 
$
864

 
$
1,648

 
$
(400
)
 
$
2,113

(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018 and December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.

Condensed Consolidating Statement of Cash Flows
For the Three Months Ended March 31, 2017
Chubb
Limited
(Parent
Guarantor)

 
Chubb INA
Holdings Inc.
(Subsidiary
Issuer)

 
Other Chubb
Limited
Subsidiaries

 
Consolidating
Adjustments and Eliminations

 
Chubb
Limited
Consolidated

(in millions of U.S. dollars)
 
 
 
 
Net cash flows from (used for) operating activities
$
584

 
$
(156
)
 
$
1,081

 
$
(496
)
 
$
1,013

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
Purchases of fixed maturities available for sale

 
(4
)
 
(6,246
)
 

 
(6,250
)
Purchases of fixed maturities held to maturity

 

 
(157
)
 

 
(157
)
Purchases of equity securities

 

 
(37
)
 

 
(37
)
Sales of fixed maturities available for sale

 

 
3,395

 

 
3,395

Sales of equity securities

 

 
46

 

 
46

Maturities and redemptions of fixed maturities
   available for sale

 
7

 
2,536

 

 
2,543

Maturities and redemptions of fixed maturities held to maturity

 

 
240

 

 
240

Net change in short-term investments

 
173

 
59

 

 
232

Net derivative instruments settlements

 
(2
)
 
(87
)
 

 
(89
)
Private equity contributions

 

 
(198
)
 

 
(198
)
Private equity distributions

 

 
315

 

 
315

Other

 

 
(106
)
 

 
(106
)
Net cash flows from (used for) investing activities

 
174

 
(240
)
 

 
(66
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
Dividends paid on Common Shares
(324
)
 

 

 

 
(324
)
Common Shares repurchased

 

 
(128
)
 

 
(128
)
Proceeds from issuance of repurchase agreements

 

 
753

 

 
753

Repayment of long-term debt

 
(500
)
 

 

 
(500
)
Repayment of repurchase agreements

 

 
(752
)
 

 
(752
)
Proceeds from share-based compensation plans

 

 
42

 

 
42

Dividend to parent company

 

 
(496
)
 
496

 

Advances (to) from affiliates
108

 
(171
)
 
63

 

 

Net proceeds from (payments to) affiliated notional cash pooling programs(1)
(363
)
 
653

 

 
(290
)
 

Policyholder contract deposits

 

 
109

 

 
109

Policyholder contract withdrawals

 

 
(58
)
 

 
(58
)
Net cash flows used for financing activities
(579
)
 
(18
)
 
(467
)
 
206

 
(858
)
Effect of foreign currency rate changes on cash and restricted cash

 

 
(17
)
 

 
(17
)
Net increase in cash and restricted cash
5

 

 
357

 
(290
)
 
72

Cash and restricted cash – beginning of period(1)
1

 
1

 
2,068

 
(982
)
 
1,088

Cash and restricted cash – end of period(1)
$
6

 
$
1

 
$
2,425

 
$
(1,272
)
 
$
1,160


(1) 
Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2017 and December 31, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
General Schedule of Cash and Cash Equivalent (Details) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Mar. 31, 2017
Dec. 31, 2016
Cash and Cash Equivalents [Line Items]        
Cash $ 1,988 [1] $ 728 [2]    
Restricted Cash [1] 125 123    
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents $ 2,113 $ 851 $ 1,160 $ 1,088
[1] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
General Goodwill (Details)
$ in Millions
3 Months Ended
Mar. 31, 2018
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill, Period Increase (Decrease) $ 145
v3.8.0.1
General Adoption of New Accounting Pronouncements (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Mar. 31, 2018
Dec. 31, 2017
Jan. 01, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Amount   $ 450  
Adjustments for New Accounting Pronouncement [Member]      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Cumulative Effect on Retained Earnings, Tax $ 7    
Reclassification from AOCI, Current Period, before Tax, Attributable to Parent $ 454    
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | Adjustments for New Accounting Pronouncement [Member]      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent     $ 416
v3.8.0.1
Investments (Narrative) (Detail)
$ in Millions
3 Months Ended
Mar. 31, 2018
USD ($)
Security
Mar. 31, 2017
USD ($)
Dec. 31, 2017
USD ($)
Investment [Line Items]      
Available-for-sale Equity Securities, Amortized Cost Basis $ 948   $ 737
Net unrealized appreciation (depreciation) included in OCI 4 $ 0  
Unrealized appreciation(depreciation) portion of AOCI with OTTI included in AOCI $ 3   $ 7
Percentage of mortgage-backed securities represented by investments in US government agency bonds 82.00%   83.00%
Total number of fixed maturities | Security 31,179    
Restricted assets in fixed maturities and short-term investments $ 23,600   $ 23,300
Restricted assets in cash $ 125   123
Moodys Historical Mean Recovery Rate 42.00%    
Company Assumed Recovery Rate 32.00%    
Number of fixed maturities in an unrealized loss position | Security 15,699    
Largest single unrealized loss in the fixed maturities $ 10    
Available-for-sale Equity Securities, Accumulated Gross Unrealized Gain, before Tax     212
Available-for-sale Equity Securities, Accumulated Gross Unrealized Loss, before Tax     12
Equity securities, at fair value (cost – $948 and $737) 948   $ 937
Corporate [Member]      
Investment [Line Items]      
Credit losses recognized in net income 0 1  
Collateralized Mortgage Backed Securities [Member]      
Investment [Line Items]      
Credit losses recognized in net income $ 0 $ 0  
v3.8.0.1
Investments Investments (Schedule Of Amortized Cost and Fair Value of Available-for-sale Securities and Related OTTI Recognized in AOCI) (Details) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost $ 79,208 $ 77,835
Available-for-sale,Gross Unrealized Gain 981 1,528
Available-for-sale, Gross Unrealized Depreciation (1,078) (424)
Available for sale, Fair Value 79,111 78,939
Available for sale, OTTI recognized in AOCI (5) (6)
US Treasury and Government [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost 3,893 3,701
Available-for-sale,Gross Unrealized Gain 22 32
Available-for-sale, Gross Unrealized Depreciation (77) (35)
Available for sale, Fair Value 3,838 3,698
Available for sale, OTTI recognized in AOCI 0 0
Foreign Government Debt Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost 21,705 20,514
Available-for-sale,Gross Unrealized Gain 513 622
Available-for-sale, Gross Unrealized Depreciation (187) (106)
Available for sale, Fair Value 22,031 21,030
Available for sale, OTTI recognized in AOCI 0 (1)
Corporate Debt Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost 23,509 23,453
Available-for-sale,Gross Unrealized Gain 332 638
Available-for-sale, Gross Unrealized Depreciation (274) (95)
Available for sale, Fair Value 23,567 23,996
Available for sale, OTTI recognized in AOCI (4) (4)
Collateralized Mortgage Backed Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost 16,116 15,279
Available-for-sale,Gross Unrealized Gain 53 111
Available-for-sale, Gross Unrealized Depreciation (349) (100)
Available for sale, Fair Value 15,820 15,290
Available for sale, OTTI recognized in AOCI (1) (1)
US States and Political Subdivisions Debt Securities [Member]    
Schedule of Available-for-sale Securities [Line Items]    
Available for sale, at amortized cost 13,985 14,888
Available-for-sale,Gross Unrealized Gain 61 125
Available-for-sale, Gross Unrealized Depreciation (191) (88)
Available for sale, Fair Value 13,855 14,925
Available for sale, OTTI recognized in AOCI $ 0 $ 0
v3.8.0.1
Investments (Schedule Of Amortized Cost And Fair Value Of HTM Fixed Maturities And Related OTTI Recognized In Accumulated Other Comprehensive Income) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Investment [Line Items]    
Held to maturity, Amortized Cost $ 14,253 $ 14,335
Held to maturity, Gross Unrealized Appreciation 81 179
Held to maturity, Gross Unrealized Depreciation (212) (40)
Held to maturity, at Fair Value 14,122 14,474
Held to maturity, OTTI recognized in AOCI   0
U.S. Treasury And Agency [Member]    
Investment [Line Items]    
Held to maturity, Amortized Cost 1,037 908
Held to maturity, Gross Unrealized Appreciation 9 12
Held to maturity, Gross Unrealized Depreciation (14) (5)
Held to maturity, at Fair Value 1,032 915
Held to maturity, OTTI recognized in AOCI 0 0
Foreign [Member]    
Investment [Line Items]    
Held to maturity, Amortized Cost 1,754 1,738
Held to maturity, Gross Unrealized Appreciation 17 27
Held to maturity, Gross Unrealized Depreciation (20) (8)
Held to maturity, at Fair Value 1,751 1,757
Held to maturity, OTTI recognized in AOCI 0 0
Corporate [Member]    
Investment [Line Items]    
Held to maturity, Amortized Cost 3,026 3,159
Held to maturity, Gross Unrealized Appreciation 26 67
Held to maturity, Gross Unrealized Depreciation (55) (7)
Held to maturity, at Fair Value 2,997 3,219
Held to maturity, OTTI recognized in AOCI 0 0
Collateralized Mortgage Backed Securities [Member]    
Investment [Line Items]    
Held to maturity, Amortized Cost 2,681 2,724
Held to maturity, Gross Unrealized Appreciation 11 23
Held to maturity, Gross Unrealized Depreciation (45) (5)
Held to maturity, at Fair Value 2,647 2,742
Held to maturity, OTTI recognized in AOCI 0 0
States, Municipalities, And Political Subdivisions [Member]    
Investment [Line Items]    
Held to maturity, Amortized Cost 5,755 5,806
Held to maturity, Gross Unrealized Appreciation 18 50
Held to maturity, Gross Unrealized Depreciation (78) (15)
Held to maturity, at Fair Value 5,695 5,841
Held to maturity, OTTI recognized in AOCI $ 0 $ 0
v3.8.0.1
Investments (Schedule Of Fixed Maturities By Contractual Maturity) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]    
Available for sale, Due in 1 year or less, Amortized Cost $ 3,735 $ 3,164
Available for sale, Due after 1 year through 5 years, Amortized Cost 25,140 24,749
Available for sale, Due after 5 years though 10 years, Amortized Cost 25,243 25,388
Available for sale, Due after 10 years, Amortized Cost 8,974 9,255
Available for sale, Subtotal, Amortized Cost 63,092 62,556
Available for sale, Mortgage-backed securities, Amortized Cost 16,116 15,279
Available for sale, at amortized cost 79,208 77,835
Available for sale, Due in 1 year or less, Fair Value 3,746 3,182
Available for sale, Due after 1 year through 5 years, Fair Value 25,251 25,068
Available for sale, Due after 5 years through 10 years, Fair Value 25,097 25,704
Available for sale, Due after 10 years, Fair Value 9,197 9,695
Available for sale, Subtotal, Fair Value 63,291 63,649
Available for sale, Mortgage backed securities, Fair Value 15,820 15,290
Available for sale, Fair Value 79,111 78,939
Held to maturity, Due in 1 year or less, Amortized Cost 838 743
Held to maturity, Due after 1 year through 5 years, Amortized Cost 2,684 2,669
Held to maturity, Due after 5 years through 10 years, Amortized Cost 4,713 4,744
Held to maturity, Due after 10 years, Amortized Cost 3,337 3,455
Held to maturity, Subtotal, Amortized Cost 11,572 11,611
Held to maturity, Mortgage backed securities, Amortized Cost 2,681 2,724
Held to maturity, Amortized Cost 14,253 14,335
Held to maturity, Due in 1 year or less, Fair Value 840 746
Held to maturity, Due after 1 year through 5, Fair Value 2,678 2,688
Held to maturity, Due after 5 years through 10 years, Fair Value 4,635 4,756
Held to maturity, Due after 10 years, Fair Value 3,322 3,542
Held to maturity, Subtotal, Fair Value 11,475 11,732
Held to maturity, Mortgage backed securities, Fair Value 2,647 2,742
Held to maturity, Fair Value $ 14,122 $ 14,474
v3.8.0.1
Investments (Net Realized Gains (Losses) And Losses Included In Net Realized Gains (Losses) And Other Comprehensive Income) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Gain (Loss) on Investments [Line Items]    
Other-than-temporary impairment (OTTI) losses gross $ (1) $ (19)
OTTI on fixed maturities recognized in OCI (pre-tax) 0 0
Foreign exchange gains (77) (19)
Derivative instrument 79 27
Fair Value Adjustments On Insurance Derivative Gains Losses 38 93
Net realized gains (losses) (2) (7)
Investment and embedded derivative instruments    
Gain (Loss) on Investments [Line Items]    
Derivative instrument 17 6
S&P put options and futures    
Gain (Loss) on Investments [Line Items]    
Derivative instrument 22 (74)
Other derivative instruments    
Gain (Loss) on Investments [Line Items]    
Derivative instrument 2 2
Fixed Maturities [Member]    
Gain (Loss) on Investments [Line Items]    
Other-than-temporary impairment (OTTI) losses gross (1) (6)
OTTI on fixed maturities recognized in OCI (pre-tax) 0 0
OTTI on fixed maturities, net (1) (6)
Fixed maturities, Gross realized gains excluding OTTI 66 34
Fixed maturities, Gross realized losses excluding OTTI (88) (40)
Total fixed maturities (23) (12)
Equity Securities [Member]    
Gain (Loss) on Investments [Line Items]    
OTTI on equity securities 0 (5)
Realized Investment Gains (Losses) (11)  
Equity Securities, Gross realized gains excluding OTTI 10 9
Equity Securities, Gross realized losses excluding OTTI (21) 0
Total equity securities (11) 4
Other Investments [Member]    
Gain (Loss) on Investments [Line Items]    
OTTI on equity securities 0 (8)
Realized Investment Gains (Losses) 29 0
Other $ 1 $ 1
v3.8.0.1
Investments (Roll-Forward Of Pre-Tax Credit Losses Related To Fixed Maturities For Which Portion Of Other-Than-Temporary Impairment Was Recognized In Other Comprehensive Income) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Roll-Forward Of Pre-Tax Credit Losses Related To Fixed Maturities For Which Portion Of Other-Than-Temporary Impairment Was Recognized In Other Comprehensive Income [Roll Forward]    
Balance of credit losses related to securities still held – beginning of period $ 22 $ 35
Additions where no OTTI was previously recorded 0 0
Additions where an OTTI was previously recorded 0 1
Reductions for securities sold during the period (7) (4)
Balance of credit losses related to securities still held – end of period $ 15 $ 32
v3.8.0.1
Investments Schedule of Gains and Losses on Equity and Other Investments (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Equity Securities [Member]    
Gain (Loss) on Investments [Line Items]    
Gain (Loss) on Sale of Investments $ 10  
Realized Investment Gains (Losses) (11)  
Unrealized Gain (Loss) on Investments (21)  
Other Investments [Member]    
Gain (Loss) on Investments [Line Items]    
Gain (Loss) on Sale of Investments 0  
Realized Investment Gains (Losses) 29 $ 0
Unrealized Gain (Loss) on Investments $ 29  
v3.8.0.1
Investments (Aggregate Fair Value And Gross Unrealized Loss By Length Of Time Security Has Continuously Been In Unrealized Loss Position) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Investment [Line Items]    
Fair Value, 0-12 Months   $ 28,685
Gross Unrealized Loss, 0-12 Months   (257)
Fair Value, Over 12 Months   8,885
Gross Unrealized Loss, Over 12 Months   (227)
Total Fair Value   37,570
Total Gross Unrealized Loss   (484)
U.S. Treasury And Agency [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months $ 2,869 2,172
Gross Unrealized Loss, 0-12 Months (55) (14)
Fair Value, Over 12 Months 1,314 1,249
Gross Unrealized Loss, Over 12 Months (36) (26)
Total Fair Value 4,183 3,421
Total Gross Unrealized Loss (91) (40)
Foreign [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months 8,715 5,657
Gross Unrealized Loss, 0-12 Months (155) (65)
Fair Value, Over 12 Months 1,643 1,693
Gross Unrealized Loss, Over 12 Months (52) (49)
Total Fair Value 10,358 7,350
Total Gross Unrealized Loss (207) (114)
Corporate [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months 12,355 5,210
Gross Unrealized Loss, 0-12 Months (260) (56)
Fair Value, Over 12 Months 1,501 1,332
Gross Unrealized Loss, Over 12 Months (69) (46)
Total Fair Value 13,856 6,542
Total Gross Unrealized Loss (329) (102)
Collateralized Mortgage Backed Securities [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months 12,313 6,194
Gross Unrealized Loss, 0-12 Months (257) (31)
Fair Value, Over 12 Months 3,033 3,209
Gross Unrealized Loss, Over 12 Months (137) (74)
Total Fair Value 15,346 9,403
Total Gross Unrealized Loss (394) (105)
States, Municipalities, And Political Subdivisions [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months 15,030 9,259
Gross Unrealized Loss, 0-12 Months (218) (71)
Fair Value, Over 12 Months 1,343 1,402
Gross Unrealized Loss, Over 12 Months (51) (32)
Total Fair Value 16,373 10,661
Total Gross Unrealized Loss (269) (103)
Fixed Maturities [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months 51,282 28,492
Gross Unrealized Loss, 0-12 Months (945) (237)
Fair Value, Over 12 Months 8,834 8,885
Gross Unrealized Loss, Over 12 Months (345) (227)
Total Fair Value 60,116 37,377
Total Gross Unrealized Loss $ (1,290) (464)
Equity Securities [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months   115
Gross Unrealized Loss, 0-12 Months   (12)
Fair Value, Over 12 Months   0
Gross Unrealized Loss, Over 12 Months   0
Total Fair Value   115
Total Gross Unrealized Loss   (12)
Other Long-term Investments [Member]    
Investment [Line Items]    
Fair Value, 0-12 Months   78
Gross Unrealized Loss, 0-12 Months   (8)
Fair Value, Over 12 Months   0
Gross Unrealized Loss, Over 12 Months   0
Total Fair Value   78
Total Gross Unrealized Loss   $ (8)
v3.8.0.1
Investments (Schedule Of Components Of Restricted Assets) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Investments, Debt and Equity Securities [Abstract]    
Trust funds $ 17,029 $ 17,011
Deposits with U.S. regulatory authorities 2,463 2,345
Deposits with non-U.S. regulatory authorities 2,290 2,250
Assets pledged under repurchase agreements 1,460 1,434
Other pledged assets 433 414
Total restricted assets $ 23,675 $ 23,454
v3.8.0.1
Fair value measurements Fair Value Measurements (narrative) (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Level 1 to Level 2 transfers, Amount $ 0 $ 0
Fair Value, Level 2 to Level 1 Transfers, Amount   $ 0
Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Notice Period For Redemption For Alternative Investments Investment Funds 5 days  
Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Notice Period For Redemption For Alternative Investments Investment Funds 120 days  
v3.8.0.1
Fair Value Measurements (Financial Instruments Measured At Fair Value On Recurring Basis) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Mar. 31, 2017
[4]
Dec. 31, 2016
[4]
Mar. 31, 2016
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value $ 79,111 $ 78,939      
Equity securities, at fair value 948 937      
Other Investments 4,919 4,672      
Securities lending collateral 2,039 1,737      
Investment Funds Limited Partnerships Partially Owned Investment Companies Fair Value [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Other Investments 3,866 3,623      
Other Investments [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Other Investments 14 15      
Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 79,111 78,939      
Equity securities, at fair value 948 937      
Short-term investments 2,874 3,561      
Other Investments 1,039 1,034      
Securities lending collateral 2,039 1,737      
Investment derivative instruments, assets 25 18      
Other Derivative Instruments Fair Value 78 1      
Separate Account Assets 2,874 2,734      
Total assets measured at fair value 88,988 [1] 88,961 [2]      
Investment derivative instruments, liabilities 29 30      
Other derivative instruments, liability 2 23      
Liabilities, Fair Value Disclosure, Recurring 198 257      
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 3,094 3,129      
Equity securities, at fair value 884 893      
Short-term investments 1,735 2,309      
Other Investments 451 466      
Investment derivative instruments, assets 25 18      
Other Derivative Instruments Fair Value 78 1      
Separate Account Assets 2,774 2,635      
Total assets measured at fair value 9,041 [1] 9,451 [2]      
Investment derivative instruments, liabilities 29 30      
Other derivative instruments, liability   21      
Liabilities, Fair Value Disclosure, Recurring 29 51      
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 74,685 74,602      
Short-term investments 1,127 1,252      
Other Investments 318 305      
Securities lending collateral 2,039 1,737      
Separate Account Assets 100 99      
Total assets measured at fair value 78,269 [1] 77,995 [2]      
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 1,332 1,208      
Equity securities, at fair value 64 44      
Short-term investments 12        
Other Investments 270 263      
Total assets measured at fair value 1,678 [1] 1,515 [2]      
Other derivative instruments, liability 2 2      
Liabilities, Fair Value Disclosure, Recurring 169 206      
Fair Value, Measurements, Recurring [Member] | U.S. Treasury And Agency [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 3,838 3,698      
Fair Value, Measurements, Recurring [Member] | U.S. Treasury And Agency [Member] | Fair Value, Inputs, Level 1 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 3,094 3,129      
Fair Value, Measurements, Recurring [Member] | U.S. Treasury And Agency [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 744 569      
Fair Value, Measurements, Recurring [Member] | Foreign [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 22,031 21,030      
Fair Value, Measurements, Recurring [Member] | Foreign [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 21,855 20,937      
Fair Value, Measurements, Recurring [Member] | Foreign [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 176 93      
Fair Value, Measurements, Recurring [Member] | Corporate [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 23,567 23,996      
Fair Value, Measurements, Recurring [Member] | Corporate [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 22,494 22,959      
Fair Value, Measurements, Recurring [Member] | Corporate [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 1,073 1,037      
Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 15,820 15,290      
Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 15,737 15,212      
Fair Value, Measurements, Recurring [Member] | Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 83 78      
Fair Value, Measurements, Recurring [Member] | States, Municipalities, And Political Subdivisions [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 13,855 14,925      
Fair Value, Measurements, Recurring [Member] | States, Municipalities, And Political Subdivisions [Member] | Fair Value, Inputs, Level 2 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Available for sale, Fair Value 13,855 14,925      
Guaranteed Minimum Income Benefit [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value 167 [3] 204 [3] $ 466 $ 559 $ 559
Guaranteed Minimum Income Benefit [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value 167 [5] 204      
Guaranteed Minimum Income Benefit [Member] | Fair Value, Measurements, Recurring [Member] | Estimate of Fair Value Measurement [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value $ 167 [5] 204 [6]      
Guaranteed Minimum Income Benefit [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value [6]   $ 204      
[1] (1) Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,866 million and other investments of $14 million at March 31, 2018 measured using NAV as a practical expedient.
[2] (1) Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,623 million and other investments of $15 million at December 31, 2017 measured using NAV as a practical expedient.
[3] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.
[4] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
[5] (2) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
[6] (2) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
v3.8.0.1
Fair Value Measurements (Fair Value And Maximum Future Funding Commitments Related To Investments) (Detail) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Mar. 31, 2018
Dec. 31, 2017
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments $ 3,846 $ 4,061
Fair Value 3,866 3,623
Financial [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments 327 330
Fair Value $ 538 $ 540
Financial [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 5 years 5 years
Financial [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 9 years 9 years
Real Assets [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments $ 210 $ 114
Fair Value $ 656 $ 651
Real Assets [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 3 years 3 years
Real Assets [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 7 years 7 years
Distressed [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments $ 131 $ 141
Fair Value $ 295 $ 289
Distressed [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 3 years 3 years
Distressed [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 7 years 7 years
Private Credit [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments $ 320 $ 327
Fair Value $ 173 $ 187
Private Credit [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 3 years 3 years
Private Credit [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 7 years 7 years
Traditional [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Maximum future funding commitments $ 2,858 $ 3,149
Fair Value $ 1,901 $ 1,656
Traditional [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 3 years 3 years
Traditional [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 15 years 15 years
Vintage [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value $ 27 $ 30
Vintage [Member] | Minimum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 1 year 1 year
Vintage [Member] | Maximum [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share, Liquidating Investment, Remaining Period 2 years 2 years
Investment Funds [Member]    
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]    
Fair Value $ 276 $ 270
v3.8.0.1
Fair Value Measurements (Schedule Of Significant Unobservable Inputs Used In Level 3 Liability Valuations) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Dec. 31, 2017
Mar. 31, 2017
[3]
Dec. 31, 2016
[3]
Mar. 31, 2016
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Fair Value Measurements, Valuation Techniques [1] Actuarial model        
Minimum [Member]          
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Long-Duration Contracts, Assumptions by Product and Guarantee, Lapse Rate [1] 3.00%        
Significant Unobservable Inputs Annuitization Rate [1] 0.00%        
Maximum [Member]          
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Long-Duration Contracts, Assumptions by Product and Guarantee, Lapse Rate [1] 33.00%        
Significant Unobservable Inputs Annuitization Rate [1] 100.00%        
Guaranteed Minimum Income Benefit [Member]          
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value $ 167 [2] $ 204 [2] $ 466 $ 559 $ 559
Guaranteed Minimum Income Benefit [Member] | Fair Value, Inputs, Level 3 [Member]          
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value $ 167 [4] 204      
Guaranteed Minimum Income Benefit [Member] | Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member]          
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]          
Fair Value, Measurement with Unobservable Inputs Reconciliations, Recurring Basis, Liability Value [5]   $ 204      
[1] Discussion of the most significant inputs used in the fair value measurement of GLB and the sensitivity of those assumptions is included within Note 3 a) Guaranteed living benefits.
[2] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.
[3] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
[4] (2) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
[5] (2) Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets.
v3.8.0.1
Fair Value Measurements (Assets Measured At Fair Value Using Significant Unobservable Inputs) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Equity Securities [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets $ 44 $ 41
Transfers Into Level 3, Asset 0 0
Transfers out of Level 3, Assets 0 0
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) 1 0
Net Realized Gains/ (Losses), Assets 2 0
Purchases, Assets 17 0
Sales, Assets 0 0
Settlements, Assets 0 0
Balance-End of Period, Assets 64 41
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss) 0 0
Short-term Investments [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets 0 25
Transfers Into Level 3, Asset 5 0
Transfers out of Level 3, Assets 0 0
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) 0 0
Net Realized Gains/ (Losses), Assets 0 0
Purchases, Assets 8 7
Sales, Assets 0 0
Settlements, Assets (1) (11)
Balance-End of Period, Assets 12 21
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss)   0
Other Long-term Investments [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets 263 225
Transfers Into Level 3, Asset 0 0
Transfers out of Level 3, Assets 0 0
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) 2 4
Net Realized Gains/ (Losses), Assets 0 0
Purchases, Assets 14 8
Sales, Assets 0 0
Settlements, Assets (9) (4)
Balance-End of Period, Assets 270 233
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss) 0 0
Available-for-sale Securities [Member] | Foreign Government Debt Securities [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets 93 74
Transfers Into Level 3, Asset 7 0
Transfers out of Level 3, Assets 0 0
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) 9 (1)
Net Realized Gains/ (Losses), Assets 0 (1)
Purchases, Assets 87 14
Sales, Assets (19) (3)
Settlements, Assets (1) (3)
Balance-End of Period, Assets 176 80
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss) 0 0
Available-for-sale Securities [Member] | Corporate [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets 1,037 681
Transfers Into Level 3, Asset 0 29
Transfers out of Level 3, Assets (10) (54)
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) (3) (8)
Net Realized Gains/ (Losses), Assets 0 (1)
Purchases, Assets 139 156
Sales, Assets (51) (27)
Settlements, Assets (39) (39)
Balance-End of Period, Assets 1,073 737
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss) 0 0
Available-for-sale Securities [Member] | Collateralized Mortgage Backed Securities [Member]    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]    
Balance- Beginning of Period, Assets 78 45
Transfers Into Level 3, Asset 1 0
Transfers out of Level 3, Assets 0 0
Asset, Net realized Gain (Loss) Included in Other Comprehensive Income (Loss) 0 0
Net Realized Gains/ (Losses), Assets 0 0
Purchases, Assets 4 1
Sales, Assets 0 (1)
Settlements, Assets 0 0
Balance-End of Period, Assets 83 45
Fair Value, Assets Measured on Recurring Basis, Change in Unrealized Gain (Loss) $ 0 $ 0
v3.8.0.1
Fair value measurements Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Dec. 31, 2017
Mar. 31, 2016
Guaranteed Minimum Income Benefit [Member]        
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]        
Reported liabilities $ 529 $ 774 $ 550 $ 853
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]        
Balance - Beginning of Period, Liabilities 204 [1] 559 [2]    
Transfers into level 3, liability 0 0    
Transfers out of Level 3, Liabilities 0 0    
Change in Net Unrealized Gains (Losses) included in OCI, Liabilities 0 0    
Net Realized Gains/Losses, Liabilities (37) (93)    
Purchases, Liabilities 0 0    
Sales, Liabilities 0 0    
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements 0 0    
Balance - End of Period, Liabilities 167 [1] 466 [2]    
Fair Value, Liabilities Measured on Recurring Basis, Change in Unrealized Gain (Loss) (37) (93)    
Other Derivative Instruments Fair Value [Member]        
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]        
Balance - Beginning of Period, Liabilities 2 13    
Transfers into level 3, liability 0 0    
Transfers out of Level 3, Liabilities 0 0    
Change in Net Unrealized Gains (Losses) included in OCI, Liabilities 0 0    
Net Realized Gains/Losses, Liabilities 0 (2)    
Purchases, Liabilities 0 0    
Sales, Liabilities 0 0    
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Settlements 0 0    
Balance - End of Period, Liabilities 2 11    
Fair Value, Liabilities Measured on Recurring Basis, Change in Unrealized Gain (Loss) $ 0 $ (2)    
[1] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $529 million at March 31, 2018, and $550 million at December 31, 2017, which includes a fair value derivative adjustment of $167 million and $204 million, respectively.
[2] Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $774 million at March 31, 2017, and $853 million at December 31, 2016, which includes a fair value derivative adjustment of $466 million and $559 million, respectively.
v3.8.0.1
Fair Value Measurements (Carrying Values And Fair Values Of Financial Instruments Not Measured At Fair Value) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value $ 14,122 $ 14,474
Held-to-maturity Securities 14,253 14,335
Repurchase agreements 1,412 1,408
Short-term debt 1,669 1,013
Long-term debt 12,786 11,556
Trust preferred securities 308 308
Total liabilities 117,494 115,850
Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 977 857
Repurchase agreements 0 0
Short-term Debt, Fair Value 0 0
Long-term Debt, Fair Value 0 0
Trust preferred securities 0 0
Total liabilities 0 0
Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 13,112 13,582
Repurchase agreements 1,412 1,408
Short-term Debt, Fair Value 1,704 1,013
Long-term Debt, Fair Value 13,023 12,332
Trust preferred securities 466 468
Total liabilities 16,605 15,221
Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 33 35
Repurchase agreements 0 0
Short-term Debt, Fair Value 0 0
Long-term Debt, Fair Value 0 0
Trust preferred securities 0 0
Total liabilities 0 0
U.S. Treasury And Agency [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 977 857
U.S. Treasury And Agency [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 55 58
U.S. Treasury And Agency [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Foreign [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Foreign [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 1,751 1,757
Foreign [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Corporate [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Corporate [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 2,964 3,184
Corporate [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 33 35
Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 2,647 2,742
Collateralized Mortgage Backed Securities [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
States, Municipalities, And Political Subdivisions [Member] | Fair Value, Inputs, Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
States, Municipalities, And Political Subdivisions [Member] | Fair Value, Inputs, Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 5,695 5,841
States, Municipalities, And Political Subdivisions [Member] | Fair Value, Inputs, Level 3 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 0 0
Estimate of Fair Value Measurement [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 14,122 14,474
Repurchase agreements 1,412 1,408
Short-term Debt, Fair Value 1,704 1,013
Long-term Debt, Fair Value 13,023 12,332
Trust preferred securities 466 468
Total liabilities 16,605 15,221
Estimate of Fair Value Measurement [Member] | U.S. Treasury And Agency [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 1,032 915
Estimate of Fair Value Measurement [Member] | Foreign [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 1,751 1,757
Estimate of Fair Value Measurement [Member] | Corporate [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 2,997 3,219
Estimate of Fair Value Measurement [Member] | Collateralized Mortgage Backed Securities [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 2,647 2,742
Estimate of Fair Value Measurement [Member] | States, Municipalities, And Political Subdivisions [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities, Fair Value 5,695 5,841
Reported Value Measurement [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities 14,253 14,335
Repurchase agreements 1,412 1,408
Short-term debt 1,669 1,013
Long-term debt 12,786 11,556
Trust preferred securities 308 308
Total liabilities 16,175 14,285
Reported Value Measurement [Member] | U.S. Treasury And Agency [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities 1,037 908
Reported Value Measurement [Member] | Foreign [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities 1,754 1,738
Reported Value Measurement [Member] | Corporate [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities 3,026 3,159
Reported Value Measurement [Member] | Collateralized Mortgage Backed Securities [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities 2,681 2,724
Reported Value Measurement [Member] | States, Municipalities, And Political Subdivisions [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Held-to-maturity Securities $ 5,755 $ 5,806
v3.8.0.1
Unpaid losses and loss expenses (RF) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Dec. 31, 2017
Dec. 31, 2016
Unpaid Losses and Loss Expenses [Roll Forward]        
Gross unpaid losses and loss expenses, beginning of period $ 63,179 $ 60,540    
Reinsurance Recoverable on unpaid losses, beginning of period [1] (14,014) (12,708)    
Net unpaid loss, beginning of period 49,165 47,832    
Current Year Claims and Claims Adjustment Expense 4,358 4,078    
PPD, Gross [2] (256) (289)    
Total, Incurred 4,102 3,789    
Net loss and loss expenses paid, Current Year 809 798    
Net losses and loss expenses Paid, Prior Years 3,433 3,109    
Total, Paid 4,242 3,907    
Liability For Unpaid Claims And Claims Adjustment Expense Foreign Currency Revaluation And Other 292 54    
Net unpaid Loss, end of period 49,317 47,768    
Reinsurance Recoverables on unpaid losses, end of period [3] 13,822 12,811    
Gross unpaid losses and loss expenses, end of period 63,139 60,579    
prior period development, net adjustments 47 58    
Reinsurance Recoverables, Allowance $ 320 $ 334 $ 321 $ 300
[1] (1) Net of provision for uncollectible reinsurance of $321 million and $300 million at December 31, 2017 and 2016, respectively.
[2] Relates to prior period loss reserve development only and excludes prior period development related to reinstatement premiums, expense adjustments, and earned premiums totaling $47 million and $58 million for the three months ended March 31, 2018 and 2017, respectively.
[3] 3) Net of provision for uncollectible reinsurance of $320 million and $334 million at March 31, 2018 and 2017, respectively.
v3.8.0.1
Unpaid losses and loss expenses Unpaid losses and loss expenses (PPD table) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense $ (209) $ (231)
North America Commercial P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (101) (179)
North America Personal P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (6) (3)
North American Agriculture Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (76) (79)
Overseas General Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (22) 12
Global Reinsurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (14) 8
Corporate Segment [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 10 10
Long Tail [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 18 (44)
Long Tail [Member] | North America Commercial P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 8 (94)
Long Tail [Member] | North America Personal P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 0 0
Long Tail [Member] | North American Agriculture Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 0 0
Long Tail [Member] | Overseas General Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 0 32
Long Tail [Member] | Global Reinsurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 0 8
Long Tail [Member] | Corporate Segment [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense 10 10
Short Tail [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (227) (187)
Short Tail [Member] | North America Commercial P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (109) (85)
Short Tail [Member] | North America Personal P&C Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (6) (3)
Short Tail [Member] | North American Agriculture Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (76) (79)
Short Tail [Member] | Overseas General Insurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (22) (20)
Short Tail [Member] | Global Reinsurance [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense (14) 0
Short Tail [Member] | Corporate Segment [Member]    
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items]    
Prior Year Claims and Claims Adjustment Expense $ 0 $ 0
v3.8.0.1
Unpaid losses and loss expenses Unpaid losses and loss expenses (narrative)(Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse $ (209) $ (231)
Prior period reclassification adjustments [1]   (12)
Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 18 (44)
Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (227) (187)
Prior period reclassification adjustments   5
North America Commercial P&C Insurance [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (101) (179)
North America Commercial P&C Insurance [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 8 (94)
North America Commercial P&C Insurance [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (109) (85)
North America Commercial P&C Insurance [Member] | Surety [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (19)  
North America Commercial P&C Insurance [Member] | Commercial Excess and Umbrella [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (29)  
North America Commercial P&C Insurance [Member] | Other [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 40  
North America Commercial P&C Insurance [Member] | Other [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (34)  
North America Commercial P&C Insurance [Member] | Wholesale General Liability Lines [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 16  
North America Commercial P&C Insurance [Member] | Catastrophe [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (3)  
North America Commercial P&C Insurance [Member] | Accident year 2017 [Member] | Property and Inland Marine [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (75)  
North America Commercial P&C Insurance [Member] | Accident year 2015 [Member] | Surety [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   (45)
North America Commercial P&C Insurance [Member] | Accident Year 2010 and Prior [Member] | Commercial Excess and Umbrella [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   (74)
North America Commercial P&C Insurance [Member] | Accident year 2015 and 2016 [Member] | Accident and Health Insurance Product Line [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   (24)
North America Commercial P&C Insurance [Member] | Accident years 2011 - 2013 [Member] | Professional Liability Insurance [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   (32)
North America Personal [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (6) (3)
North America Agricultural Insurance [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (76) (79)
North America Agricultural Insurance [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 0 0
North America Agricultural Insurance [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (76) (79)
Overseas General Insurance [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (22) 12
Overseas General Insurance [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 0 32
Overseas General Insurance [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (22) (20)
Overseas General Insurance [Member] | Catastrophe [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (12)  
Overseas General Insurance [Member] | Accident years 2016 and prior [Member] | Casualty [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   32
Global Reinsurance [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (14) 8
Global Reinsurance [Member] | Catastrophe [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (10)  
Global Reinsurance [Member] | Accident year 2015 and prior [Member] | Auto Liability Excess Lines [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse   9
Global Reinsurance [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (14) 8
Global Reinsurance [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 0 8
Global Reinsurance [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse (14) 0
Corporate Segment [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 10 10
Corporate Segment [Member] | Long Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse 10 10
Corporate Segment [Member] | Short Tail [Member]    
Liability for Claims and Claims Adjustment Expense [Line Items]    
PPD (Favorable) / Adverse $ 0 $ 0
[1] (1) The 2017 net premiums written amount was revised to reflect the transfer of certain multinational accounts ($12 million) from the North America Commercial P&C Insurance segment to the Overseas General Insurance segment to better align the reporting with the management of these businesses in 2018. There is no impact on a consolidated basis.
v3.8.0.1
Debt (Detail)
€ in Millions, $ in Millions
Apr. 06, 2018
USD ($)
Mar. 31, 2018
USD ($)
Mar. 31, 2018
EUR (€)
Chubb INA Capital Securities Due 2067 [Member] | Senior Notes [Member]      
Debt Instrument [Line Items]      
Debt Instrument, Face Amount $ 1,000    
Chubb INA Capital Securities Due 2067 [Member] | Junior Subordinated Debt [Member]      
Debt Instrument [Line Items]      
Debt Instrument, Face Amount   $ 1,000  
Debt Instrument, Interest Rate, Stated Percentage   6.375% 6.375%
Debt, Current   $ 964  
Senior Notes [Member] | INA Senior Notes Due March 2018 [Member]      
Debt Instrument [Line Items]      
Debt Instrument, Face Amount   $ 300  
Debt Instrument, Interest Rate, Stated Percentage   5.80% 5.80%
Senior Notes [Member] | INA Senior Note Due March 2028 [Member]      
Debt Instrument [Line Items]      
Debt Instrument, Face Amount   $ 1,100 € 900
Debt Instrument, Interest Rate, Stated Percentage   1.55% 1.55%
Make Whole Premium Additional Percent   0.15% 0.15%
Senior Notes [Member] | INA Senior Note Due March 2038 [Member]      
Debt Instrument [Line Items]      
Debt Instrument, Face Amount   $ 1,100 € 900
Debt Instrument, Interest Rate, Stated Percentage   2.50% 2.50%
Make Whole Premium Additional Percent   0.25% 0.25%
v3.8.0.1
Commitments, Contingencies, And Guarantees (Narrative) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Financial Instruments Owned and Pledged as Collateral [Line Items]    
Derivative asset subject to a master netting agreement $ 79  
Derivative liability subject to a master netting agreement   $ 24
Repurchase agreements 1,412 $ 1,408
Purchase Commitment, Remaining Minimum Amount Committed 1,139  
Carrying value of limited partnerships and partially-owned investment companies included in other investments 3,600  
Funding commitments relating to limited partnerships and partially-owned investment companies 3,800  
Unrecognized tax benefits $ 14  
v3.8.0.1
Commitments, Contingencies, And Guarantees (Balance Sheet Locations, Fair Values In Asset Or (Liability) Position, And Notional Values/Payment Provisions Of Derivative Instruments) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Foreign currency forward contracts    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision $ 2,125 $ 2,064
Cross Currency Swap [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 45 45
Fair Value, Asset 0 0
Options/Futures contracts on notes and bonds    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 1,093 1,007
Convertible securities [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 8 6 [1]
Investment And Embedded Derivative Instruments [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 3,271 3,122
Fair Value, Asset 32 23
Future contracts on equities [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision [2] 1,625 1,553
Other Derivatives [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 326 75
Other Derivative Instruments [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision 1,951 1,628
Guaranteed Minimum Income Benefit [Member]    
Derivatives, Fair Value [Line Items]    
Notional Value/Payment Provision [3] 1,175 1,083
Fair Value, Asset [3] 0 0
Fixed Maturities [Member] | Convertible securities [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset 7 5
Equity [Member] | Convertible securities [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability 0 0
Other Assets [Member] | Foreign currency forward contracts    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset 19 14
Other Assets [Member] | Options/Futures contracts on notes and bonds    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset 6 4
Other Assets [Member] | Future contracts on equities [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset [2] 71 0
Other Assets [Member] | Other Derivatives [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset 7 1
Other Assets [Member] | Other Derivative Instruments [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Asset 78 1
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Foreign currency forward contracts    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability (17) (27)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Cross Currency Swap [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability 0 0
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Options/Futures contracts on notes and bonds    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability (12) (3)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Investment And Embedded Derivative Instruments [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability (29) (30)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Future contracts on equities [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability [2] 0 (21)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Other Derivatives [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability (2) (2)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Other Derivative Instruments [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability (2) (23)
Accounts Payable, Accrued Expenses, And Other Liabilities [Member] | Guaranteed Minimum Income Benefit [Member]    
Derivatives, Fair Value [Line Items]    
Fair Value, Liability [3] $ (529) $ (550)
[1] Includes fair value of embedded derivatives.
[2] Related to GMDB and GLB blocks of business.
[3] Includes both future policy benefits reserves and fair value derivative adjustment. Note that the payment provision related to GLB is the net amount at risk. The concept of a notional value does not apply to the GLB reinsurance contracts.
v3.8.0.1
Commitments, contingencies, and guarantees Commitments, Contingencies, And Guarantees (Transactions accounted for as secured borrowings) (Details) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral $ 2,039 $ 1,737
Securities lending payable 2,039 1,737
Cash and Cash Equivalents [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral 826 828
U.S. Treasury And Agency [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral 40 36
Foreign Government Debt [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral 869 712
Corporate [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral 8 0
Collateralized Mortgage Backed Securities [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral 59 74
Equity Securities [Member] | Overnight and Continuous [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Securities lending collateral $ 237 $ 87
v3.8.0.1
Commitments, contingencies, and guarantees Commitments, Contingencies, And Guarantees (Collateral pledged under repurchase agreements) (Details) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements $ 1,460 $ 1,434
Repurchase agreements 1,412 1,408
U.S. Treasury And Agency [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 243 239
Collateralized Mortgage Backed Securities [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 1,217 1,195
Repurchase Agreements [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Secured Borrowings, Gross, Difference, Amount [1] 48 26
Maturity Less than 30 Days [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 486 378
Maturity Less than 30 Days [Member] | U.S. Treasury And Agency [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 0 9
Maturity Less than 30 Days [Member] | Collateralized Mortgage Backed Securities [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 486 369
Maturity Greater than 90 Days [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 974 1,056
Maturity Greater than 90 Days [Member] | U.S. Treasury And Agency [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements 243 230
Maturity Greater than 90 Days [Member] | Collateralized Mortgage Backed Securities [Member]    
Transfer of Certain Financial Assets Accounted for as Secured Borrowings [Line Items]    
Assets pledged under repurchase agreements $ 731 $ 826
[1] (1) Per the repurchase agreements, the amount of collateral posted is required to exceed the amount of gross liability.
v3.8.0.1
Commitments, Contingencies, And Guarantees (Net Realized Gains (Losses) Of Derivative Instrument Activity In Consolidated Statement Of Operations) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative $ 79 $ 27
Foreign currency forward contracts    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 4 14
All Other Futures Contracts And Options [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 13 (8)
Investment And Embedded Derivative Instruments [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 17 6
Guaranteed Minimum Income Benefit [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 38 93
Future contracts on equities [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 22 (74)
Other Derivatives [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative 2 2
Guaranteed Living Benefit And Other Derivative Instruments [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Gain (Loss) on Derivative $ 62 $ 21
v3.8.0.1
Share-Based Compensation (Detail) - $ / shares
3 Months Ended
Feb. 22, 2018
Mar. 31, 2018
Stock Options [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period in years   3 years
Award term period in years   10 years
Stock options granted 1,841,329  
Weighted-average grant date fair value for stock options granted $ 29.71  
Restricted Stock [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period in years   4 years
Restricted stock awards granted to employees and officers of the company 973,624  
Grant date fair value of awards except for options granted to employees and officers of the company $ 143.07  
Performance Shares [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Award vesting period in years   4 years
Restricted stock awards granted to employees and officers of the company 180,065  
Restricted Stock Units (RSUs) [Member]    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Restricted stock awards granted to employees and officers of the company 301,024  
v3.8.0.1
Shareholders' equity (Details)
$ / shares in Units, $ in Millions
3 Months Ended
Mar. 31, 2018
USD ($)
$ / shares
shares
Mar. 31, 2018
USD ($)
SFr / shares
shares
Mar. 31, 2017
USD ($)
$ / shares
Mar. 31, 2017
USD ($)
SFr / shares
Mar. 31, 2018
SFr / shares
Dec. 31, 2017
SFr / shares
shares
Dec. 21, 2017
USD ($)
May 31, 2017
$ / shares
Nov. 30, 2016
USD ($)
May 31, 2016
$ / shares
Equity, Class of Treasury Stock [Line Items]                    
Common Shares, par value | SFr / shares         SFr 24.15 SFr 24.15        
Annual dividend per share approved by shareholders | $ / shares               $ 2.84   $ 2.76
Common Shares in treasury, shares | shares 13,952,378 13,952,378       15,950,685        
Common Stock, Dividend Rate Approved | $ / shares               $ 0.71   $ 0.69
Common Stock, Dividend Rate Declared | (per share) $ 0.71 SFr 0.66 $ 0.69 SFr 0.69            
Dec 2017 Stock Repurchase Plan [Member]                    
Equity, Class of Treasury Stock [Line Items]                    
Authorized amount of share repurchase program             $ 1,000      
Stock Repurchase Program, Remaining Authorized Repurchase Amount $ 1,000 SFr 1,000                
Nov 2016 Stock Repurchase Plan [Member]                    
Equity, Class of Treasury Stock [Line Items]                    
Authorized amount of share repurchase program                 $ 1,000  
Stock Repurchase Program, Remaining Authorized Repurchase Amount     $ 860 SFr 860            
v3.8.0.1
Shareholders' equity Share Repurchases (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Nov 2016 Stock Repurchase Plan [Member]    
Class of Stock [Line Items]    
Treasury Stock, Shares, Acquired   1,036,064
Treasury Stock, Value, Acquired, Cost Method   $ 140
Stock Repurchase Program, Remaining Authorized Repurchase Amount   $ 860
2017 Stock Repurchase Plan [Member] [Domain]    
Class of Stock [Line Items]    
Treasury Stock, Shares, Acquired 0  
Treasury Stock, Value, Acquired, Cost Method $ 0  
v3.8.0.1
Postretirement benefits Components of net periodic benefit costs (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Pension Plan [Member] | UNITED STATES    
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]    
Service cost $ 14 $ 16
Interest cost 26 26
Expected return on plan assets (53) (47)
Amortization of prior service cost 0 0
Net periodic (benefit) cost (13) (5)
Pension Plan [Member] | Non-US [Member]    
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]    
Service cost 3 4
Interest cost 7 7
Expected return on plan assets (13) (10)
Amortization of prior service cost 0 0
Net periodic (benefit) cost (3) 1
Other Postretirement Benefits Plan [Member]    
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]    
Service cost 0 0
Interest cost 1 1
Expected return on plan assets (1) (1)
Amortization of prior service cost (21) (23)
Net periodic (benefit) cost $ (21) $ (23)
v3.8.0.1
Segment information Segment Information (narrative Detail (Details) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Segment Reporting Information [Line Items]    
Gain (Loss) on Derivative $ 79 $ 27
Net investment income 806 745
North America Agricultural Insurance [Member]    
Segment Reporting Information [Line Items]    
Segment Income Loss Including Gains Losses On Crop Derivatives 102  
Gain (Loss) on Derivative 2  
Net investment income 7 6
Segment Life [Member]    
Segment Reporting Information [Line Items]    
Net investment income 83 $ 75
Management Underwriting Income (Loss) 67  
Gains Losses On Fair Value Changes In Separate Account Assets $ 6  
v3.8.0.1
Segment Information (Operations By Segment) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Segment Reporting Information [Line Items]    
Net premiums written $ 7,104 $ 6,710
Net premiums earned 7,027 6,772
Losses and loss expenses 4,102 3,789
Policy benefits 151 168
Policy acquisition costs 1,464 1,397
Administrative expenses 692 676
Underwriting income (loss) 618 742
Net investment income 806 745
Other (income) expense (47) (70)
Amortization of purchased intangibles 85 64
Segment Income (loss) 1,386 1,493
Net realized gains (losses) including OTTI (2) (7)
Interest expense 157 154
Chubb integration expenses 10 111
Income tax expense 135 128
Net income 1,082 1,093
Prior Period Reclassification Adjustment [1]   12
North America Commercial P&C Insurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 2,812 2,730 [1]
Net premiums earned 3,029 3,041
Losses and loss expenses 1,908 1,860
Policy benefits 0 0
Policy acquisition costs 472 487
Administrative expenses 231 231
Underwriting income (loss) 418 463
Net investment income 503 478
Other (income) expense (6) 4
Amortization of purchased intangibles 0 0
Segment Income (loss) 927 937
North America Personal P&C Insurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 1,048 984
Net premiums earned 1,140 1,086
Losses and loss expenses 886 633
Policy benefits 0 0
Policy acquisition costs 237 217
Administrative expenses 65 65
Underwriting income (loss) (48) 171
Net investment income 59 55
Other (income) expense 0 1
Amortization of purchased intangibles 3 3
Segment Income (loss) 8 222
North America Agricultural Insurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 108 61
Net premiums earned 43 14
Losses and loss expenses (53) (73)
Policy benefits 0 0
Policy acquisition costs (1) (1)
Administrative expenses (3) (5)
Underwriting income (loss) 100 93
Net investment income 7 6
Other (income) expense 0 0
Amortization of purchased intangibles 7 7
Segment Income (loss) 100 92
Overseas General Insurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 2,384 2,212 [1]
Net premiums earned 2,107 1,936
Losses and loss expenses 1,078 1,071
Policy benefits 0 0
Policy acquisition costs 588 529
Administrative expenses 239 245
Underwriting income (loss) 202 91
Net investment income 151 148
Other (income) expense 7 (1)
Amortization of purchased intangibles 10 11
Segment Income (loss) 336 229
Global Reinsurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 193 199
Net premiums earned 168 189
Losses and loss expenses 67 94
Policy benefits 0 0
Policy acquisition costs 40 51
Administrative expenses 10 10
Underwriting income (loss) 51 34
Net investment income 64 62
Other (income) expense (7) 0
Amortization of purchased intangibles 0 0
Segment Income (loss) 122 96
Life Insurance [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 559 524
Net premiums earned 540 506
Losses and loss expenses 205 193
Policy benefits 151 168
Policy acquisition costs 128 114
Administrative expenses 78 72
Underwriting income (loss) (22) (41)
Net investment income 83 75
Other (income) expense (4) (29)
Amortization of purchased intangibles 1 1
Segment Income (loss) 64 62
Corporate Segment [Member]    
Segment Reporting Information [Line Items]    
Net premiums written 0 0
Net premiums earned 0 0
Losses and loss expenses 11 11
Policy benefits 0 0
Policy acquisition costs 0 0
Administrative expenses 72 58
Underwriting income (loss) (83) (69)
Net investment income (61) (79)
Other (income) expense (37) (45)
Amortization of purchased intangibles 64 42
Segment Income (loss) (171) (145)
Net realized gains (losses) including OTTI (2) (7)
Interest expense 157 154
Chubb integration expenses 10 111
Income tax expense 135 128
Net income $ (475) $ (545)
[1] (1) The 2017 net premiums written amount was revised to reflect the transfer of certain multinational accounts ($12 million) from the North America Commercial P&C Insurance segment to the Overseas General Insurance segment to better align the reporting with the management of these businesses in 2018. There is no impact on a consolidated basis.
v3.8.0.1
Earnings Per Share (Detail) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Earnings Per Share [Abstract]    
Net income $ 1,082 $ 1,093
Weighted-average shares outstanding 465,703,240 468,903,086
Share-based compensation plans 3,770,351 3,828,604
Weighted-average shares outstanding and assumed conversions 469,473,591 472,731,690
Basic earnings per share (US$ per share) $ 2.32 $ 2.33
Diluted earnings per share (US$ per share) $ 2.30 $ 2.31
Potential anti-dilutive share conversions 2,116,188 969,654
v3.8.0.1
Information provided in connection with outstanding debt of subsidiaries Information provided in connection with outstanding debt of subsidiaries (Narrative) (Details)
Mar. 31, 2018
Debt Instrument [Line Items]  
Equity Method Investment, Ownership Percentage 100.00%
v3.8.0.1
Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Balance Sheet) (Detail) - USD ($)
$ in Millions
Mar. 31, 2018
Dec. 31, 2017
Mar. 31, 2017
Dec. 31, 2016
Condensed Balance Sheet Statements, Captions [Line Items]        
Investments $ 102,105 $ 102,444    
Cash 1,988 [1] 728 [2]    
Restricted Cash [1] 125 123    
Insurance and reinsurance balances receivable 9,570 9,334    
Reinsurance Recoverable Losses And Loss Expenses 14,982 15,034    
Reinsurance recoverable on policy benefits 181 184    
Value of business acquired 321 326    
Goodwill and other intangible assets 22,123 22,054    
Investments in subsidiaries 0 0    
Due from subsidiaries and affiliates, net 0 0    
Other assets 17,386 16,795    
Total assets 168,781 167,022    
Unpaid losses and loss expenses 63,139 63,179 $ 60,579 $ 60,540
Unearned premiums 15,495 15,216    
Future policy benefits 5,412 5,321    
Due to subsidiaries and affiliates, net 0 0    
Affiliated notional cash pooling programs 0 0    
Repurchase agreements 1,412 1,408    
Short-term debt 1,669 1,013    
Long-term debt 12,786 11,556    
Trust preferred securities 308 308    
Other liabilities 17,273 17,849    
Total liabilities 117,494 115,850    
Total shareholders' equity 51,287 51,172 $ 49,224  
Total liabilities and shareholders’ equity 168,781 167,022    
Chubb Limited (Parent Guarantor)        
Condensed Balance Sheet Statements, Captions [Line Items]        
Investments 0 0    
Cash 1 [1] 3 [2]    
Restricted Cash [1] 0 0    
Insurance and reinsurance balances receivable 0 0    
Reinsurance Recoverable Losses And Loss Expenses 0 0    
Reinsurance recoverable on policy benefits 0 0    
Value of business acquired 0 0    
Goodwill and other intangible assets 0 0    
Investments in subsidiaries 43,032 41,909    
Due from subsidiaries and affiliates, net 8,980 9,639    
Other assets 4 3    
Total assets 52,017 51,554    
Unpaid losses and loss expenses 0 0    
Unearned premiums 0 0    
Future policy benefits 0 0    
Due to subsidiaries and affiliates, net 0 0    
Affiliated notional cash pooling programs 400 [1] 0 [2]    
Repurchase agreements 0 0    
Short-term debt 0 0    
Long-term debt 0 0    
Trust preferred securities 0 0    
Other liabilities 330 382    
Total liabilities 730 382    
Total shareholders' equity 51,287 51,172    
Total liabilities and shareholders’ equity 52,017 51,554    
Chubb INA Holdings Inc (Subsidiary Issuer)        
Condensed Balance Sheet Statements, Captions [Line Items]        
Investments 186 168    
Cash 864 [1] 1 [2]    
Restricted Cash [1] 0 0    
Insurance and reinsurance balances receivable 0 0    
Reinsurance Recoverable Losses And Loss Expenses 0 0    
Reinsurance recoverable on policy benefits 0 0    
Value of business acquired 0 0    
Goodwill and other intangible assets 0 0    
Investments in subsidiaries 51,930 51,165    
Due from subsidiaries and affiliates, net 0 0    
Other assets 386 287    
Total assets 53,366 51,621    
Unpaid losses and loss expenses 0 0    
Unearned premiums 0 0    
Future policy benefits 0 0    
Due to subsidiaries and affiliates, net 9,231 9,432    
Affiliated notional cash pooling programs 0 [1] 115 [2]    
Repurchase agreements 0 0    
Short-term debt 1,669 1,013    
Long-term debt 12,775 11,546    
Trust preferred securities 308 308    
Other liabilities 1,537 1,411    
Total liabilities 25,520 23,825    
Total shareholders' equity 27,846 27,796    
Total liabilities and shareholders’ equity 53,366 51,621    
Other Chubb Limited Subsidiaries        
Condensed Balance Sheet Statements, Captions [Line Items]        
Investments 101,919 102,276    
Cash 1,523 [1] 839 [2]    
Restricted Cash [1] 125 123    
Insurance and reinsurance balances receivable 10,308 10,820    
Reinsurance Recoverable Losses And Loss Expenses 26,093 27,514    
Reinsurance recoverable on policy benefits 1,181 1,194    
Value of business acquired 321 326    
Goodwill and other intangible assets 22,123 22,054    
Investments in subsidiaries 0 0    
Due from subsidiaries and affiliates, net 251 0    
Other assets 18,459 20,578    
Total assets 182,303 185,724    
Unpaid losses and loss expenses 74,299 74,767    
Unearned premiums 16,563 18,875    
Future policy benefits 6,412 6,331    
Due to subsidiaries and affiliates, net 0 207    
Affiliated notional cash pooling programs 0 [1] 0 [2]    
Repurchase agreements 1,412 1,408    
Short-term debt 0 0    
Long-term debt 11 10    
Trust preferred securities 0 0    
Other liabilities 16,490 18,848    
Total liabilities 115,187 120,446    
Total shareholders' equity 67,116 65,278    
Total liabilities and shareholders’ equity 182,303 185,724    
Consolidating Adjustments and Eliminations        
Condensed Balance Sheet Statements, Captions [Line Items]        
Investments 0 0    
Cash (400) [1] (115) [2]    
Restricted Cash [1] 0 0    
Insurance and reinsurance balances receivable (738) (1,486)    
Reinsurance Recoverable Losses And Loss Expenses (11,111) (12,480)    
Reinsurance recoverable on policy benefits (1,000) (1,010)    
Value of business acquired 0 0    
Goodwill and other intangible assets 0 0    
Investments in subsidiaries (94,962) (93,074)    
Due from subsidiaries and affiliates, net (9,231) (9,639)    
Other assets (1,463) (4,073)    
Total assets (118,905) (121,877)    
Unpaid losses and loss expenses (11,160) (11,588)    
Unearned premiums (1,068) (3,659)    
Future policy benefits (1,000) (1,010)    
Due to subsidiaries and affiliates, net (9,231) (9,639)    
Affiliated notional cash pooling programs (400) [1] (115) [2]    
Repurchase agreements 0 0    
Short-term debt 0 0    
Long-term debt 0 0    
Trust preferred securities 0 0    
Other liabilities (1,084) (2,792)    
Total liabilities (23,943) (28,803)    
Total shareholders' equity (94,962) (93,074)    
Total liabilities and shareholders’ equity $ (118,905) $ (121,877)    
[1] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Statement Of Operations) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Condensed Statement of Income Captions [Line Items]    
Net premiums written $ 7,104 $ 6,710
Net premiums earned 7,027 6,772
Net investment income 806 745
Income (Loss) from Subsidiaries, Net of Tax 0 0
Net realized gains (losses) including OTTI (2) (7)
Losses and loss expenses 4,102 3,789
Policy benefits 151 168
Policy acquisition costs and administrative expenses 2,156 2,073
Interest (income) expense 157 154
Other (income) expense (47) (70)
Amortization of purchased intangibles 85 64
Chubb integration expenses 10 111
Income tax expense 135 128
Net income 1,082 1,093
Comprehensive income (loss) 453 1,407
Consolidating Adjustments and Eliminations    
Condensed Statement of Income Captions [Line Items]    
Net premiums written 0 0
Net premiums earned 0 0
Net investment income 0 0
Income (Loss) from Subsidiaries, Net of Tax (1,907) (1,728)
Net realized gains (losses) including OTTI 0 0
Losses and loss expenses 0 0
Policy benefits 0 0
Policy acquisition costs and administrative expenses 0 0
Interest (income) expense 0 0
Other (income) expense 0 0
Amortization of purchased intangibles 0 0
Chubb integration expenses 0 0
Income tax expense 0 0
Net income (1,907) (1,728)
Comprehensive income (loss) (830) (2,329)
Chubb Limited (Parent Guarantor)    
Condensed Statement of Income Captions [Line Items]    
Net premiums written 0 0
Net premiums earned 0 0
Net investment income 2 0
Income (Loss) from Subsidiaries, Net of Tax 1,022 1,027
Net realized gains (losses) including OTTI (2) 0
Losses and loss expenses 0 0
Policy benefits 0 0
Policy acquisition costs and administrative expenses 18 18
Interest (income) expense (80) (84)
Other (income) expense (5) (6)
Amortization of purchased intangibles 0 0
Chubb integration expenses 2 0
Income tax expense 5 6
Net income 1,082 1,093
Comprehensive income (loss) 453 1,407
Chubb INA Holdings Inc (Subsidiary Issuer)    
Condensed Statement of Income Captions [Line Items]    
Net premiums written 0 0
Net premiums earned 0 0
Net investment income 4 3
Income (Loss) from Subsidiaries, Net of Tax 885 701
Net realized gains (losses) including OTTI (24) (13)
Losses and loss expenses 0 0
Policy benefits 0 0
Policy acquisition costs and administrative expenses 22 14
Interest (income) expense 209 221
Other (income) expense 8 15
Amortization of purchased intangibles 0 0
Chubb integration expenses 1 49
Income tax expense (59) (112)
Net income 684 504
Comprehensive income (loss) 216 791
Other Chubb Limited Subsidiaries    
Condensed Statement of Income Captions [Line Items]    
Net premiums written 7,104 6,710
Net premiums earned 7,027 6,772
Net investment income 800 742
Income (Loss) from Subsidiaries, Net of Tax 0 0
Net realized gains (losses) including OTTI 24 6
Losses and loss expenses 4,102 3,789
Policy benefits 151 168
Policy acquisition costs and administrative expenses 2,116 2,041
Interest (income) expense 28 17
Other (income) expense (50) (79)
Amortization of purchased intangibles 85 64
Chubb integration expenses 7 62
Income tax expense 189 234
Net income 1,223 1,224
Comprehensive income (loss) $ 614 $ 1,538
v3.8.0.1
Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Statement Of Cash Flows) (Detail) - USD ($)
$ in Millions
3 Months Ended
Mar. 31, 2018
Mar. 31, 2017
Condensed Cash Flow Statements, Captions [Line Items]    
Net cash flows from operating activities $ 551 $ 1,013
Purchases of fixed maturities available for sale (5,972) (6,250)
Purchases of fixed maturities held to maturity (162) (157)
Purchases of equity securities (55) (37)
Sales of fixed maturities available for sale 2,562 3,395
Sales of equity securities 40 46
Maturities and redemptions of fixed maturities available for sale 1,865 2,543
Maturities and redemptions of fixed maturities held to maturity 255 240
Net change in short-term investments 731 232
Net derivative instruments settlements 39 (89)
Private equity contribution (353) (198)
Private equity distribution 201 315
Payment Of Contributions To Subsidiary 0  
Other (32) (106)
Net cash flows used for investing activities (881) (66)
Dividends paid on Common Shares (330) (324)
Common Shares repurchased (29) (128)
Proceeds from Issuance of Long-term Debt 2,175 0
Proceeds from issuance of long-term debt (300) (500)
Proceeds from issuance of repurchase agreements 408 753
Repayments of repurchase agreements (404) (752)
Proceeds from share-based compensation plans 34 42
Dividend to Parent Company 0 0
Advances (to) from affiliates 0 0
Capital contribution 0 0
Net proceeds from (payments to) affiliated notional cash pooling program 0 0
Policyholder contract deposits 118 109
Policyholder contract withdrawals (105) (58)
Net cash flows from (used for) financing activities 1,567 (858)
Effect of foreign currency rate changes on cash and restricted cash 25 (17)
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect 1,262 72
Cash and Restricted Cash - Beginning of year 851 1,088
Cash and Restricted Cash - end of Year 2,113 1,160
Chubb Limited (Parent Guarantor)    
Condensed Cash Flow Statements, Captions [Line Items]    
Net cash flows from operating activities 24 584
Purchases of fixed maturities available for sale 0 0
Purchases of fixed maturities held to maturity 0 0
Purchases of equity securities 0 0
Sales of fixed maturities available for sale 0 0
Sales of equity securities 0 0
Maturities and redemptions of fixed maturities available for sale 0 0
Maturities and redemptions of fixed maturities held to maturity 0 0
Net change in short-term investments 0 0
Net derivative instruments settlements 0 0
Private equity contribution 0 0
Private equity distribution 0 0
Payment Of Contributions To Subsidiary 750  
Other 0 0
Net cash flows used for investing activities (750) 0
Dividends paid on Common Shares (330) (324)
Common Shares repurchased 0 0
Proceeds from Issuance of Long-term Debt 0 0
Proceeds from issuance of long-term debt 0 0
Proceeds from issuance of repurchase agreements 0 0
Repayments of repurchase agreements 0 0
Proceeds from share-based compensation plans 0 0
Dividend to Parent Company 0 0
Advances (to) from affiliates 656 108
Capital contribution 0 0
Net proceeds from (payments to) affiliated notional cash pooling program 400 [1] (363) [2]
Policyholder contract deposits 0 0
Policyholder contract withdrawals 0 0
Net cash flows from (used for) financing activities 726 (579)
Effect of foreign currency rate changes on cash and restricted cash (2) 0
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect (2) 5
Cash and Restricted Cash - Beginning of year 3 1
Cash and Restricted Cash - end of Year 1 6
Chubb INA Holdings Inc (Subsidiary Issuer)    
Condensed Cash Flow Statements, Captions [Line Items]    
Net cash flows from operating activities 2,727 (156)
Purchases of fixed maturities available for sale (8) (4)
Purchases of fixed maturities held to maturity 0 0
Purchases of equity securities 0 0
Sales of fixed maturities available for sale 0 0
Sales of equity securities 0 0
Maturities and redemptions of fixed maturities available for sale 3 7
Maturities and redemptions of fixed maturities held to maturity 0 0
Net change in short-term investments (14) 173
Net derivative instruments settlements (7) (2)
Private equity contribution 0 0
Private equity distribution 0 0
Payment Of Contributions To Subsidiary 3,500  
Other (3) 0
Net cash flows used for investing activities (3,529) 174
Dividends paid on Common Shares 0 0
Common Shares repurchased 0 0
Proceeds from Issuance of Long-term Debt 2,175 0
Proceeds from issuance of long-term debt (300) (500)
Proceeds from issuance of repurchase agreements 0 0
Repayments of repurchase agreements 0 0
Proceeds from share-based compensation plans 0 0
Dividend to Parent Company 0 0
Advances (to) from affiliates (95) (171)
Capital contribution 0 0
Net proceeds from (payments to) affiliated notional cash pooling program (115) [1] 653 [2]
Policyholder contract deposits 0 0
Policyholder contract withdrawals 0 0
Net cash flows from (used for) financing activities 1,665 (18)
Effect of foreign currency rate changes on cash and restricted cash 0 0
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect 863 0
Cash and Restricted Cash - Beginning of year 1 1
Cash and Restricted Cash - end of Year 864 1
Other Chubb Limited Subsidiaries    
Condensed Cash Flow Statements, Captions [Line Items]    
Net cash flows from operating activities 800 1,081
Purchases of fixed maturities available for sale (5,964) (6,246)
Purchases of fixed maturities held to maturity (162) (157)
Purchases of equity securities (55) (37)
Sales of fixed maturities available for sale 2,562 3,395
Sales of equity securities 40 46
Maturities and redemptions of fixed maturities available for sale 1,862 2,536
Maturities and redemptions of fixed maturities held to maturity 255 240
Net change in short-term investments 745 59
Net derivative instruments settlements 46 (87)
Private equity contribution (353) (198)
Private equity distribution 201 315
Payment Of Contributions To Subsidiary 0  
Other (29) (106)
Net cash flows used for investing activities (852) (240)
Dividends paid on Common Shares 0 0
Common Shares repurchased (29) (128)
Proceeds from Issuance of Long-term Debt 0 0
Proceeds from issuance of long-term debt 0 0
Proceeds from issuance of repurchase agreements 408 753
Repayments of repurchase agreements (404) (752)
Proceeds from share-based compensation plans 34 42
Dividend to Parent Company (3,000) (496)
Advances (to) from affiliates (561) 63
Capital contribution 4,250 0
Net proceeds from (payments to) affiliated notional cash pooling program 0 [1] 0 [2]
Policyholder contract deposits 118 109
Policyholder contract withdrawals (105) (58)
Net cash flows from (used for) financing activities 711 (467)
Effect of foreign currency rate changes on cash and restricted cash 27 (17)
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect 686 357
Cash and Restricted Cash - Beginning of year 962 2,068
Cash and Restricted Cash - end of Year 1,648 2,425
Consolidation, Eliminations [Member]    
Condensed Cash Flow Statements, Captions [Line Items]    
Net cash flows from operating activities (3,000) (496)
Purchases of fixed maturities available for sale 0 0
Purchases of fixed maturities held to maturity 0 0
Purchases of equity securities 0 0
Sales of fixed maturities available for sale 0 0
Sales of equity securities 0 0
Maturities and redemptions of fixed maturities available for sale 0 0
Maturities and redemptions of fixed maturities held to maturity 0 0
Net change in short-term investments 0 0
Net derivative instruments settlements 0 0
Private equity contribution 0 0
Private equity distribution 0 0
Payment Of Contributions To Subsidiary (4,250)  
Other 0 0
Net cash flows used for investing activities 4,250 0
Dividends paid on Common Shares 0 0
Common Shares repurchased 0 0
Proceeds from Issuance of Long-term Debt 0 0
Proceeds from issuance of long-term debt 0 0
Proceeds from issuance of repurchase agreements 0 0
Repayments of repurchase agreements 0 0
Proceeds from share-based compensation plans 0 0
Dividend to Parent Company 3,000 496
Advances (to) from affiliates 0 0
Capital contribution (4,250) 0
Net proceeds from (payments to) affiliated notional cash pooling program (285) [1] (290)
Policyholder contract deposits 0 0
Policyholder contract withdrawals 0 0
Net cash flows from (used for) financing activities (1,535) 206
Effect of foreign currency rate changes on cash and restricted cash 0 0
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect (285) (290)
Cash and Restricted Cash - Beginning of year (115) (982)
Cash and Restricted Cash - end of Year $ (400) $ (1,272)
[1] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2018 and December 31, 2017, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] Chubb maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various Chubb entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual Chubb accounts are translated daily into a single currency and pooled on a notional basis. Individual Chubb entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At March 31, 2017 and December 31, 2016, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
v3.8.0.1
Label Element Value
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]  
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1 $ 1,034,000,000
Retained Earnings [Member]  
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1 27,883,000,000
Adjustments for New Accounting Pronouncement [Member] | Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]  
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets us-gaap_NewAccountingPronouncementOrChangeInAccountingPrincipleCumulativeEffectOfChangeOnEquityOrNetAssets1 (416,000,000)
Adjustments for New Accounting Pronouncement [Member] | Retained Earnings [Member]  
Cumulative Effect of New Accounting Principle in Period of Adoption us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption $ 409,000,000