Form 8-K

Exhibit 99.2

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Chubb Limited

Financial Supplement

for the Quarter and Year Ended December 31, 2019

Investor Contact

Karen Beyer: (212) 827-4445

This report is for informational purposes only. It should be read in conjunction with documents filed by Chubb Limited with the Securities and Exchange Commission, including the most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.

Cautionary Statement Regarding Forward-Looking Statements

Any forward-looking statements made in this financial supplement reflect Chubb Limited’s current views with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties which may cause actual results to differ materially from as indicated by such statements. For example, forward-looking statements related to financial performance, including exposures, reserves and recoverables, could be affected by the frequency and severity of unpredictable catastrophic events, actual loss experience, uncertainties in the reserving or settlement process, currency exchange fluctuations, new theories of liability, judicial, legislative, regulatory and other governmental developments, litigation tactics and developments, investigation developments and actual settlement terms, the amount and timing of reinsurance receivable and credit developments among reinsurers.

Our forward-looking statements could also be affected by, among other things, competition, pricing and policy term trends, market acceptance, changes in demand, actual market developments, rating agency action, possible terrorism or the outbreak and effects of war, and such other factors identified in our filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Chubb Limited

Financial Supplement Table of Contents


		Page

I.	Financial Highlights
	- Consolidated Financial Highlights		1

II.	Consolidated Results
	- Consolidated Statement of Operations		2
	- P&C Results—Consecutive Quarters		3
	- Global P&C Results—Consecutive Quarters		4
	- Catastrophe Losses		5
	- Summary Consolidated Balance Sheets		6
	- Line of Business		7
	- Consolidated Results by Segment		8 - 11

III.	Segment Results
	- North America Commercial P&C Insurance		12
	- North America Personal P&C Insurance		13
	- North America Agricultural Insurance		14
	- Overseas General Insurance		15
	- Global Reinsurance		16
	- Life Insurance		17
	- Corporate		18

IV.	Balance Sheet Details
	- Loss Reserve Rollforward		19
	- Reinsurance Recoverable Analysis		20
	- Investment Portfolio		21 - 24
	- Net Realized and Unrealized Gains (Losses)		25 - 26
	- Debt and Capital		27
	- Computation of Basic and Diluted Earnings Per Share		28
	- Book Value and Book Value per Common Share		29

V.	Other Disclosures
	- Non-GAAP Financial Measures		30 - 36
	- Glossary		37

Chubb Limited

Consolidated Financial Highlights

(in millions of U.S. dollars, except share, per share data, and ratios)

(Unaudited)

Note: All dollar amounts in the Financial Supplement are rounded. However, percent changes and ratios are calculated using whole dollars. Accordingly, calculations using rounded dollars may differ.


	Three months ended December 31									Constant $		Constant $			Year ended December 31									Constant $		Constant $
	2019			2018			% Change			2018		% Change			2019			2018			% Change			2018		% Change

Gross premiums written	$	9,934		$	9,252			7.4	%	$	9,196		8.0	%	$	40,124		$	37,968			5.7	%	$	37,506		7.0	%
Net premiums written	$	7,997		$	7,350			8.8	%	$	7,296		9.6	%	$	32,275		$	30,579			5.5	%	$	30,165		7.0	%
P&C net premiums written	$	7,375		$	6,768			9.0	%	$	6,714		9.8	%	$	29,883		$	28,309			5.6	%	$	27,917		7.0	%
Net premiums earned	$	7,935		$	7,465			6.3	%	$	7,414		7.0	%	$	31,290		$	30,064			4.1	%	$	29,654		5.5	%
Net investment income ⁽¹⁾	$	858		$	848			1.1	%	$	848		1.1	%	$	3,426		$	3,305			3.6	%	$	3,287		4.2	%
Adjusted net investment income ⁽¹⁾	$	893		$	903			-1.2	%	$	903		-1.2	%	$	3,587		$	3,553			1.0	%	$	3,535		1.5	%
P&C underwriting income	$	533		$	476			12.0	%	$	472		12.8	%	$	2,726		$	2,611			4.4	%	$	2,553		6.8	%
Agriculture underwriting income (loss)	$	(23	)	$	161			NM		$	161		NM		$	89		$	385			-77.0	%	$	385		-77.0	%
Global P&C (excludes Agriculture) underwriting income	$	556		$	315			76.3	%	$	311		78.4	%	$	2,637		$	2,226			18.5	%	$	2,168		21.6	%
Core operating income	$	1,040		$	935			11.2	%	$	932		11.6	%	$	4,641		$	4,407			5.3	%	$	4,344		6.8	%
Net income	$	1,173		$	355			231.0	%						$	4,454		$	3,962			12.4	%
Operating cash flow	$	1,429		$	1,583										$	6,342		$	5,480
P&C combined ratio
Loss and loss expense ratio		64.0	%		64.3	%										62.1	%		62.1	%
Policy acquisition cost and administrative expense ratio		28.7	%		28.8	%										28.5	%		28.5	%

Combined ratio		92.7	%		93.1	%										90.6	%		90.6	%
P&C Current Accident Year (CAY) combined ratio ex Catastrophe losses (Cats)
CAY loss and loss expense ratio ex Cats		61.3	%		59.5	%										60.8	%		59.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats		28.7	%		28.8	%										28.4	%		28.4	%

CAY combined ratio ex Cats		90.0	%		88.3	%										89.2	%		88.0	%
Global P&C CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		58.1	%		59.7	%										58.6	%		58.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats		30.5	%		30.1	%										30.0	%		29.8	%

CAY combined ratio ex Cats		88.6	%		89.8	%										88.6	%		88.4	%
ROE		8.5	%		2.8	%										8.4	%		7.8	%
Core operating return on equity (ROE)		7.9	%		7.3	%										9.0	%		8.7	%
Core operating return on tangible equity (ROTE)		12.8	%		12.1	%										14.6	%		14.6	%
Effective tax rate		12.6	%		31.1	%										15.1	%		14.9	%
Core operating effective tax rate		14.2	%		17.1	%										14.9	%		14.4	%
Diluted earnings per share
Net income	$	2.57		$	0.76			238.2	%						$	9.71		$	8.49			14.4	%
Core operating income	$	2.28		$	2.02			12.9	%						$	10.11		$	9.44			7.1	%
Weighted average basic common shares outstanding		452.7			460.6											455.9			463.6
Weighted average diluted common shares outstanding		455.9			463.4											458.9			466.8

							% Change					% Change
	December 31			September 30			4Q-19 vs.			December 31		4Q-19 vs.
	2019			2019			3Q-19			2018		4Q-18
Book value per common share	$	122.42		$	120.33			1.7	%	$	109.56		11.7	%
Tangible book value per common share	$	78.14		$	76.21			2.5	%	$	65.89		18.6	%

(1)	Q4 2019 and full year 2019 include $4 million and $13 million, respectively, of interest income on notional pool programs, compared with $17 million and $104 million, respectively, prior year.


Financial Highlights		Page 1

Chubb Limited

Statement of Operations—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

Consolidated Statements of Operations


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	9,934		$	10,724		$	10,355		$	9,111		$	9,252		$	40,124		$	37,968
Net premiums written		7,997			8,622			8,343			7,313			7,350			32,275			30,579
Net premiums earned		7,935			8,327			7,891			7,137			7,465			31,290			30,064
Adjusted losses and loss expenses ⁽¹⁾		4,865			5,066			4,708			4,099			4,615			18,738			18,070
Realized (gains) losses on crop derivatives		—			14			(7	)		1			5			8			3

Losses and loss expenses		4,865			5,052			4,715			4,098			4,610			18,730			18,067
Adjusted policy benefits ⁽²⁾		201			165			164			166			182			696			628
Gains (losses) from fair value changes in separate account liabilities		(24	)		7			3			(30	)		20			(44	)		38

Policy benefits		225			158			161			196			162			740			590
Policy acquisition costs		1,542			1,603			1,544			1,464			1,480			6,153			5,912
Administrative expenses		810			752			758			710			728			3,030			2,886
Adjusted net investment income ⁽³⁾		893			910			902			882			903			3,587			3,553
Amortization expense of fair value adjustment on acquired invested assets		(35	)		(37	)		(43	)		(46	)		(55	)		(161	)		(248	)

Net investment income		858			873			859			836			848			3,426			3,305
Adjusted realized gains (losses) ⁽⁴⁾		(55	)		(141	)		(230	)		(96	)		(682	)		(522	)		(649	)
Realized gains (losses) on crop derivatives		—			(14	)		7			(1	)		(5	)		(8	)		(3	)

Net realized gains (losses)		(55	)		(155	)		(223	)		(97	)		(687	)		(530	)		(652	)
Adjusted interest expense ⁽⁵⁾		140			143			145			145			158			573			674
Amortization benefit of fair value adjustment on acquired long term debt		(6	)		(5	)		(5	)		(5	)		(5	)		(21	)		(33	)

Interest expense		134			138			140			140			153			552			641
Gains (losses) from fair value changes in separate account assets		24			(7	)		(3	)		30			(20	)		44			(38	)
Net realized gains (losses) related to unconsolidated entities		227			41			219			(4	)		139			483			431
Other income (expense) - operating		19			23			14			13			8			69			41

Other income (expense)		270			57			230			39			127			596			434
Amortization expense of purchased intangibles		76			76			77			76			86			305			339
Chubb integration expenses		14			2			4			3			20			23			59
Income tax expense		169			230			208			188			159			795			695

Net income	$	1,173		$	1,091		$	1,150		$	1,040		$	355		$	4,454		$	3,962

(1)	Adjusted losses and loss expenses used throughout this report includes realized gains and losses on crop derivatives.

(2)	Adjusted policy benefits used throughout this report excludes gains and losses from fair value changes in separate account liabilities.

(3)	Adjusted net investment income used throughout this report excludes Amortization expense of fair value adjustment on acquired invested assets.

(4)	Adjusted realized gains (losses) used throughout this report excludes realized gains and losses on crop derivatives.

(5)	Adjusted interest expense used throughout this report excludes Amortization benefit of fair value adjustment on acquired long term debt. 2019 includes nil of interest expense on notional pool programs, compared with $15 million in Q4 2018 and $94 million for full year 2018.


Statement of Operations		Page 2

Chubb Limited

P&C Underwriting Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

Chubb Limited P&C Underwriting Results


	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			Full Year 2019			Full Year 2018
P&C underwriting income (Including Corporate and excluding Life Insurance)
Gross premiums written	$	9,282		$	10,082		$	9,743		$	8,500		$	8,638		$	37,607		$	35,564
Net premiums written		7,375			8,010			7,764			6,734			6,768			29,883			28,309
Net premiums earned		7,322			7,729			7,320			6,576			6,890			28,947			27,846
Adjusted losses and loss expenses		4,689			4,876			4,519			3,897			4,433			17,981			17,304
Policy acquisition costs		1,376			1,427			1,394			1,336			1,328			5,533			5,355
Administrative expenses		724			672			680			631			653			2,707			2,576

P&C underwriting income	$	533		$	754		$	727		$	712		$	476		$	2,726		$	2,611

P&C CAY underwriting income ex Cats	$	730		$	819		$	814		$	758		$	808		$	3,121		$	3,341
% Change versus prior year period
Net premiums written		9.0	%		6.2	%		4.2	%		2.9	%		4.2	%		5.6	%		4.4	%
Net premiums earned		6.3	%		5.0	%		2.9	%		1.4	%		3.4	%		4.0	%		3.4	%
Net premiums written constant $		9.8	%		7.2	%		6.0	%		5.1	%		5.8	%		7.0	%		4.0	%
Net premiums earned constant $		7.1	%		6.1	%		4.9	%		3.5	%		4.9	%		5.4	%		3.0	%
P&C combined ratio
Loss and loss expense ratio		64.0	%		63.1	%		61.7	%		59.3	%		64.3	%		62.1	%		62.1	%
Policy acquisition cost ratio		18.8	%		18.4	%		19.1	%		20.3	%		19.3	%		19.1	%		19.2	%
Administrative expense ratio		9.9	%		8.7	%		9.3	%		9.6	%		9.5	%		9.4	%		9.3	%

Combined ratio		92.7	%		90.2	%		90.1	%		89.2	%		93.1	%		90.6	%		90.6	%

CAY P&C combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		61.3	%		62.4	%		60.5	%		58.6	%		59.5	%		60.8	%		59.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats		28.7	%		27.1	%		28.4	%		29.9	%		28.8	%		28.4	%		28.4	%

CAY combined ratio ex Cats		90.0	%		89.5	%		88.9	%		88.5	%		88.3	%		89.2	%		88.0	%

Other ratios
Net premiums written/gross premiums written		79	%		79	%		80	%		79	%		78	%		79	%		80	%
Expense ratio		28.7	%		27.1	%		28.4	%		29.9	%		28.8	%		28.5	%		28.5	%
Expense ratio excluding A&H		26.6	%		25.1	%		26.3	%		28.0	%		26.6	%		26.4	%		26.4	%
Catastrophe reinstatement premiums (expensed) collected—pre-tax	$	(14	)	$	2		$	—		$	—		$	(8	)	$	(12	)	$	(4	)
Catastrophe losses—pre-tax	$	416		$	234		$	275		$	250		$	577		$	1,175		$	1,622
Favorable prior period development (PPD)—pre-tax	$	(233	)	$	(167	)	$	(188	)	$	(204	)	$	(253	)	$	(792	)	$	(896	)
Impact of catastrophe losses on P&C combined ratio—Unfavorable		5.9	%		3.0	%		3.8	%		3.8	%		8.5	%		4.1	%		5.9	%
Impact of PPD on P&C combined ratio—Favorable		-3.2	%		-2.3	%		-2.6	%		-3.1	%		-3.7	%		-2.7	%		-3.3	%
Impact of Cats and PPD on P&C combined ratio—Unfavorable		2.7	%		0.7	%		1.2	%		0.7	%		4.8	%		1.4	%		2.6	%


P&C Results		Page 3

Chubb Limited

Global P&C Underwriting Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

Global P&C includes the company’s North America Commercial P&C Insurance segment (refer to page 12), North America Personal P&C Insurance segment (refer to page 13), Overseas General Insurance segment (refer to page 15), Global Reinsurance segment (refer to page 16), and Corporate (refer to page 18). Global P&C excludes the North America Agricultural Insurance and Life Insurance segments.

Global P&C (Including Corporate and excluding Agriculture)


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Global P&C underwriting income
Gross premiums written	$	9,000		$	8,810		$	9,101		$	8,281		$	8,365		$	35,192		$	33,273
Net premiums written		7,099			7,072			7,298			6,604			6,571			28,073			26,732
Net premiums earned		6,901			6,788			6,942			6,521			6,572			27,152			26,277
Adjusted losses and loss expenses		4,236			3,996			4,210			3,923			4,272			16,365			16,190
Policy acquisition costs		1,382			1,371			1,367			1,329			1,323			5,449			5,276
Administrative expenses		727			668			676			630			662			2,701			2,585

Global P&C underwriting income	$	556		$	753		$	689		$	639		$	315		$	2,637		$	2,226

Global P&C CAY underwriting income ex Cats	$	789		$	797		$	774		$	744		$	670		$	3,104		$	3,045
% Change versus prior year period
Net premiums written		8.0	%		6.2	%		3.3	%		2.6	%		3.2	%		5.0	%		4.5	%
Net premiums earned		5.0	%		4.4	%		2.7	%		1.2	%		2.5	%		3.3	%		3.3	%
Net premiums written constant $		8.9	%		7.3	%		5.3	%		4.8	%		4.8	%		6.6	%		4.0	%
Net premiums earned constant $		5.8	%		5.6	%		4.7	%		3.3	%		4.0	%		4.9	%		2.9	%
Combined ratio
Loss and loss expense ratio		61.4	%		58.9	%		60.6	%		60.2	%		65.0	%		60.3	%		61.6	%
Policy acquisition cost ratio		20.0	%		20.2	%		19.7	%		20.4	%		20.1	%		20.1	%		20.1	%
Administrative expense ratio		10.5	%		9.8	%		9.8	%		9.6	%		10.1	%		9.9	%		9.8	%

Combined ratio		91.9	%		88.9	%		90.1	%		90.2	%		95.2	%		90.3	%		91.5	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		58.1	%		58.5	%		59.4	%		58.5	%		59.7	%		58.6	%		58.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats		30.5	%		29.8	%		29.4	%		30.1	%		30.1	%		30.0	%		29.8	%

CAY combined ratio ex Cats		88.6	%		88.3	%		88.8	%		88.6	%		89.8	%		88.6	%		88.4	%

Other ratios
Net premiums written/gross premiums written		79	%		80	%		80	%		80	%		79	%		80	%		80	%
Expense ratio		30.5	%		30.0	%		29.5	%		30.0	%		30.2	%		30.0	%		29.9	%
Expense ratio excluding A&H		28.6	%		28.0	%		27.4	%		28.1	%		28.2	%		28.0	%		27.8	%
Catastrophe reinstatement premiums (expensed) collected—pre-tax	$	(14	)	$	2		$	—		$	—		$	(8	)	$	(12	)	$	(4	)
Catastrophe losses—pre-tax	$	415		$	231		$	273		$	248		$	567		$	1,167		$	1,601
Favorable prior period development (PPD)—pre-tax	$	(196	)	$	(185	)	$	(188	)	$	(143	)	$	(220	)	$	(712	)	$	(786	)


Global P&C		Page 4

Chubb Limited

Segments Results—Catastrophe Loss Charges

(in millions of U.S. dollars)

(Unaudited)

Chubb Limited Catastrophe Loss Charges—Q4 2019


	North America Commercial P&C Insurance		North America Personal P&C Insurance			North America Agricultural Insurance		Overseas General Insurance			Global Reinsurance			Total Consolidated excluding Reinstatement premiums		Reinstatement premiums collected (expensed)			Total Consolidated including Reinstatement premiums
Catastrophe Loss Charges by Event—Net
Tornado in Dallas, Texas	$	55	$	145		$	—	$	—		$	2		$	202	$	(11	)	$	213
California wildfires		11		45			—		—			—			56		—			56
Other U.S. flooding, hail, tornadoes, and wind events		21		19			—		—			1			41		—			41
Civil unrest in Hong Kong and Chile		—		—			—		33			—			33		(4	)		37
Typhoon Hagibis		—		—			—		20			17			37		1			36
International weather-related events		1		1			—		23			—			25		—			25
Australia wildfires		—		—			—		5			—			5		—			5
Other (includes Cats development from Q1 through Q3)		14		4			1		2			(4	)		17		—			17

Total	$	102	$	214		$	1	$	83		$	16		$	416

Reinstatement premiums collected (expensed)		—		(11	)		—		(4	)		1				$	(14	)

Total before income tax	$	102	$	225		$	1	$	87		$	15							$	430

Income tax benefit																				77

Total after income tax																			$	353

Note: The above table represents catastrophe loss estimates for events that occurred in the current calendar year only (i.e., loss events occurring during the fourth quarter of 2019 and changes to catastrophe loss estimates that occurred in the previous quarters of 2019). Changes in catastrophe loss estimates in the current calendar year that relate to loss events that occurred in previous calendar years are considered prior period development and are excluded from the table above.


Catastrophe Losses		Page 5

Chubb Limited

Summary Consolidated Balance Sheets

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

(Unaudited)


	December 31			September 30			June 30			March 31			December 31
	2019			2019			2019			2019			2018
Assets
Fixed maturities available for sale, at fair value	$	85,488		$	85,044		$	82,410		$	80,663		$	78,470
Fixed maturities held to maturity, at amortized cost		12,581			12,622			12,838			13,136			13,435
Equity securities, at fair value		812			722			715			821			770
Short-term investments, at fair value		4,291			2,835			3,808			3,078			3,016
Other investments		6,062			5,955			5,968			5,562			5,277

Total investments		109,234			107,178			105,739			103,260			100,968
Cash		1,537			1,478			1,270			1,271			1,247
Securities lending collateral		994			962			1,727			1,861			1,926
Insurance and reinsurance balances receivable		10,357			10,403			10,935			9,826			10,075
Reinsurance recoverable on losses and loss expenses		15,181			15,527			15,445			16,137			15,993
Deferred policy acquisition costs		5,242			5,148			5,113			5,008			4,922
Value of business acquired		306			274			280			289			295
Prepaid reinsurance premiums		2,647			2,691			2,765			2,698			2,544
Goodwill and other intangible assets		21,359			21,378			21,566			21,419			21,414
Investments in partially-owned insurance companies		1,332			1,064			1,050			708			678
Other assets		8,754			9,045			8,626			8,870			7,709

Total assets	$	176,943		$	175,148		$	174,516		$	171,347		$	167,771

Liabilities
Unpaid losses and loss expenses	$	62,690		$	63,012		$	63,205		$	63,143		$	62,960
Unearned premiums		16,771			16,571			16,403			15,909			15,532
Future policy benefits		5,814			5,738			5,568			5,552			5,506
Insurance and reinsurance balances payable		6,184			6,341			6,371			6,469			6,437
Securities lending payable		994			962			1,727			1,861			1,926
Accounts payable, accrued expenses, and other liabilities		13,189			13,583			13,055			12,629			11,890
Deferred tax liabilities		804			766			697			541			304
Short-term and long-term debt		14,858			13,295			13,380			12,580			12,596
Trust preferred securities		308			308			308			308			308

Total liabilities		121,612			120,576			120,714			118,992			117,459
Shareholders’ equity
Total shareholders’ equity, excl. AOCI		54,712			54,051			53,663			53,125			52,760
Accumulated other comprehensive income (loss) (AOCI)		619			521			139			(770	)		(2,448	)

Total shareholders’ equity		55,331			54,572			53,802			52,355			50,312

Total liabilities and shareholders’ equity	$	176,943		$	175,148		$	174,516		$	171,347		$	167,771

Book value per common share	$	122.42		$	120.33		$	117.97		$	114.27		$	109.56
% change over prior quarter		1.7	%		2.0	%		3.2	%		4.3	%		-0.8	%
Tangible book value per common share	$	78.14		$	76.21		$	73.74		$	70.46		$	65.89
% change over prior quarter		2.5	%		3.3	%		4.7	%		6.9	%		-1.4	%


Consol Bal Sheet		Page 6

Chubb Limited

Consolidated Net Premiums Written by Line of Business

(in millions of U.S. dollars)

(Unaudited)


								Constant $			Full Year		Full Year					Constant $
	4Q-19		4Q-18		% Change			% Change			2019		2018		% Change			% Change
Net premiums written
Commercial multiple peril⁽¹⁾	$	258	$	231		11.6	%		11.6	%	$	983	$	910		8.0	%		8.0	%
Commercial casualty		1,474		1,293		14.2	%		14.9	%		5,654		5,204		8.7	%		9.7	%
Workers’ compensation		561		579		-3.4	%		-3.4	%		2,098		2,094		0.1	%		0.1	%
Professional liability		1,021		944		8.2	%		9.3	%		3,697		3,527		4.8	%		6.3	%
Surety		163		154		5.0	%		6.8	%		639		635		0.6	%		2.7	%
Property and other short-tail lines		1,058		946		11.8	%		13.5	%		4,468		4,016		11.3	%		13.7	%

Total Commercial P&C ⁽²⁾		4,535		4,147		9.4	%		10.2	%		17,539		16,386		7.0	%		8.3	%
Agriculture		276		197		40.4	%		40.4	%		1,810		1,577		14.8	%		14.8	%
Personal automobile		448		422		6.0	%		5.3	%		1,786		1,695		5.4	%		6.0	%
Personal homeowners		867		776		11.7	%		11.7	%		3,513		3,391		3.6	%		3.9	%
Personal other		391		370		5.4	%		8.6	%		1,514		1,508		0.3	%		4.0	%

Total Personal lines		1,706		1,568		8.7	%		9.2	%		6,813		6,594		3.3	%		4.4	%
Total Property and Casualty lines		6,517		5,912		10.2	%		11.0	%		26,162		24,557		6.5	%		7.7	%
Global A&H lines ⁽³⁾		1,060		1,041		1.8	%		3.0	%		4,315		4,277		0.9	%		3.8	%
Reinsurance lines		109		117		-6.0	%		-4.8	%		649		671		-3.2	%		-1.7	%
Life		311		280		11.5	%		11.2	%		1,149		1,074		7.0	%		8.5	%

Total consolidated	$	7,997	$	7,350		8.8	%		9.6	%	$	32,275	$	30,579		5.5	%		7.0	%

(1)	Commercial multiple peril represents retail package business (property and general liability).

(2)

Full year 2018 included a reclassification of $56 million from Workers’ compensation and $1 million from Commercial multiple peril to Commercial casualty ($48 million) and Property and other short-tail lines ($9 million) to better align the reporting with current year. There is no impact to total Commercial P&C.

(3)

For purposes of this schedule only, A&H results from our Combined North America and International businesses, normally included in the Life Insurance and Overseas General Insurance segments, respectively, as well as the A&H results of our North America Commercial P&C segment, are included within the Global A&H lines above.


Line of Business		Page 7

Chubb Limited

Consolidated Results—Three months ended December 31, 2019

(in millions of U.S. dollars, except ratios)

(Unaudited)


Q4 2019	North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C			Life Insurance			Total Consolidated
Net premiums written	$	3,438		$	1,171		$	276		$	2,381		$	109		$	—		$	7,375		$	622		$	7,997
Net premiums earned		3,262			1,185			421			2,287			167			—			7,322			613			7,935
Adjusted losses and loss expenses		1,968			865			453			1,221			107			75			4,689			176			4,865
Adjusted policy benefits		—			—			—			—			—			—			—			201			201
Policy acquisition costs		454			240			(6	)		646			42			—			1,376			166			1,542
Administrative expenses		273			75			(3	)		262			9			108			724			86			810

Underwriting income (loss)		567			5			(23	)		158			9			(183	)		533			(16	)		517
Adjusted net investment income		519			64			8			145			54			8			798			95			893
Other income (expense)—operating		(1	)		(1	)		—			(2	)		18			(6	)		8			11			19
Amortization expense of purchased intangibles		—			(3	)		(7	)		(11	)		—			(55	)		(76	)		—			(76	)

Segment income (loss)	$	1,085		$	65		$	(22	)	$	290		$	81		$	(236	)	$	1,263		$	90		$	1,353

Adjusted interest expense																	(140	)								(140	)
Income tax expense																	(173	)								(173	)

Core operating income (loss)																	(549	)								1,040
Chubb integration expenses, net of $2 million tax benefit																	(12	)								(12	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $4 million tax benefit																	(25	)								(25	)
Adjusted net realized gains (losses), net of $2 million tax⁽¹⁾																	170									170

Net income (loss)																$	(416	)							$	1,173

Combined ratio		82.6	%		99.6	%		105.4	%		93.1	%		94.6	%					92.7	%
CAY combined ratio ex Cats		86.4	%		81.4	%		113.9	%		91.2	%		83.3	%					90.0	%

(1)	Includes Net realized gains (losses) related to unconsolidated entities.


Consol Results—QTD 2019		Page 8

Chubb Limited

Consolidated Results—Full Year 2019

(in millions of U.S. dollars, except ratios)

(Unaudited)


Full Year 2019	North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C			Life Insurance			Total Consolidated
Net premiums written	$	13,375		$	4,787		$	1,810		$	9,262		$	649		$	—		$	29,883		$	2,392		$	32,275
Net premiums earned		12,922			4,694			1,795			8,882			654			—			28,947			2,343			31,290
Adjusted losses and loss expenses		8,206			3,043			1,616			4,606			352			158			17,981			757			18,738
Adjusted policy benefits		—			—			—			—			—			—			—			696			696
Policy acquisition costs		1,831			948			84			2,501			169			—			5,533			620			6,153
Administrative expenses		1,028			286			6			1,033			35			319			2,707			323			3,030

Underwriting income (loss)		1,857			417			89			742			98			(477	)		2,726			(53	)		2,673
Adjusted net investment income		2,082			258			30			588			220			36			3,214			373			3,587
Other income (expense)—operating		3			(3	)		(1	)		(12	)		58			(24	)		21			48			69
Amortization expense of purchased intangibles		—			(12	)		(28	)		(45	)		—			(218	)		(303	)		(2	)		(305	)

Segment income (loss)	$	3,942		$	660		$	90		$	1,273		$	376		$	(683	)	$	5,658		$	366		$	6,024

Adjusted interest expense																	(573	)								(573	)
Income tax expense																	(810	)								(810	)

Core operating income (loss)																	(2,066	)								4,641
Chubb integration expenses, net of $4 million tax benefit																	(19	)								(19	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $26 million tax benefit																	(114	)								(114	)
Adjusted net realized gains (losses), net of $15 million tax⁽¹⁾																	(54	)								(54	)

Net income (loss)																$	(2,253	)							$	4,454

Combined ratio		85.6	%		91.1	%		95.1	%		91.6	%		85.0	%					90.6	%
CAY combined ratio ex Cats		87.4	%		81.4	%		99.1	%		90.9	%		82.1	%					89.2	%

(1)	Includes Net realized gains (losses) related to unconsolidated entities.


Consol Results—FY 2019		Page 9

Chubb Limited

Consolidated Results—Three months ended December 31, 2018

(in millions of U.S. dollars, except ratios)

(Unaudited)


Q4 2018	North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C			Life Insurance			Total Consolidated
Net premiums written	$	3,143		$	1,073		$	197		$	2,238		$	117		$	—		$	6,768		$	582		$	7,350
Net premiums earned		3,077			1,130			318			2,187			178			—			6,890			575			7,465
Adjusted losses and loss expenses		2,127			755			161			1,166			243			(19	)		4,433			182			4,615
Adjusted policy benefits		—			—			—			—			—			—			—			182			182
Policy acquisition costs		451			238			5			592			42			—			1,328			152			1,480
Administrative expenses		231			67			(9	)		257			12			95			653			75			728

Underwriting income (loss)		268			70			161			172			(119	)		(76	)		476			(16	)		460
Adjusted net investment income		517			59			8			158			65			8			815			88			903
Other income (expense)—operating		5			—			(1	)		(12	)		6			(8	)		(10	)		18			8
Amortization expense of purchased intangibles		—			(3	)		(7	)		(12	)		—			(63	)		(85	)		(1	)		(86	)

Segment income (loss)	$	790		$	126		$	161		$	306		$	(48	)	$	(139	)	$	1,196		$	89		$	1,285

Adjusted interest expense																	(158	)								(158	)
Income tax expense																	(192	)								(192	)

Core operating income (loss)																	(489	)								935
Chubb integration expenses, net of $5 million tax benefit																	(15	)								(15	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $8 million tax benefit																	(42	)								(42	)
Adjusted net realized gains (losses), net of $20 million tax benefit ⁽¹⁾																	(523	)								(523	)

Net income (loss)																$	(1,069	)							$	355

Combined ratio		91.3	%		93.8	%		49.5	%		92.1	%		166.9	%					93.1	%
CAY combined ratio ex Cats		88.2	%		85.5	%		56.8	%		90.4	%		83.2	%					88.3	%

(1)	Includes Net realized gains (losses) related to unconsolidated entities.


Consol Results—QTD 2018		Page 10

Chubb Limited

Consolidated Results—Full Year 2018

(in millions of U.S. dollars, except ratios)

(Unaudited)


Full Year 2018	North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C			Life Insurance			Total Consolidated
Net premiums written	$	12,485		$	4,674		$	1,577		$	8,902		$	671		$	—		$	28,309		$	2,270		$	30,579
Net premiums earned		12,402			4,593			1,569			8,612			670			—			27,846			2,218			30,064
Adjusted losses and loss expenses		8,000			3,229			1,114			4,429			479			53			17,304			766			18,070
Adjusted policy benefits		—			—			—			—			—			—			—			628			628
Policy acquisition costs		1,829			939			79			2,346			162			—			5,355			557			5,912
Administrative expenses		966			269			(9	)		1,014			41			295			2,576			310			2,886

Underwriting income (loss)		1,607			156			385			823			(12	)		(348	)		2,611			(43	)		2,568
Adjusted net investment income		2,033			236			28			619			257			39			3,212			341			3,553
Other income (expense)—operating		25			(1	)		(2	)		—			32			(25	)		29			12			41
Amortization expense of purchased intangibles		—			(13	)		(28	)		(41	)		—			(255	)		(337	)		(2	)		(339	)

Segment income (loss)	$	3,665		$	378		$	383		$	1,401		$	277		$	(589	)	$	5,515		$	308		$	5,823

Adjusted interest expense																	(674	)								(674	)
Income tax expense																	(742	)								(742	)

Core operating income (loss)																	(2,005	)								4,407
Chubb integration expenses, net of $12 million tax benefit																	(47	)								(47	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $40 million tax benefit																	(175	)								(175	)
Adjusted net realized gains (losses), net of $5 million tax ⁽¹⁾																	(223	)								(223	)

Net income (loss)																$	(2,450	)							$	3,962

Combined ratio		87.0	%		96.6	%		75.5	%		90.4	%		101.8	%					90.6	%
CAY combined ratio ex Cats		87.3	%		81.9	%		81.6	%		90.5	%		81.6	%					88.0	%

(1)	Includes Net realized gains (losses) related to unconsolidated entities.


Consol Results—FY 2018		Page 11

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

North America Commercial P&C Insurance


	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			Full Year 2019			Full Year 2018
Gross premiums written	$	4,576		$	4,533		$	4,518		$	3,977		$	4,228		$	17,604		$	16,336
Net premiums written		3,438			3,452			3,534			2,951			3,143			13,375			12,485
Net premiums earned		3,262			3,185			3,390			3,085			3,077			12,922			12,402
Losses and loss expenses		1,968			2,051			2,214			1,973			2,127			8,206			8,000
Policy acquisition costs		454			459			459			459			451			1,831			1,829
Administrative expenses		273			256			259			240			231			1,028			966

Underwriting income		567			419			458			413			268			1,857			1,607
Net investment income		519			532			521			510			517			2,082			2,033
Other income (expense)—operating		(1	)		1			(2	)		5			5			3			25

Segment income	$	1,085		$	952		$	977		$	928		$	790		$	3,942		$	3,665

CAY underwriting income ex Cats	$	445		$	398		$	410		$	376		$	362		$	1,629		$	1,576
Combined ratio
Loss and loss expense ratio		60.3	%		64.4	%		65.3	%		63.9	%		69.1	%		63.5	%		64.5	%
Policy acquisition cost ratio		13.9	%		14.4	%		13.6	%		14.9	%		14.7	%		14.2	%		14.7	%
Administrative expense ratio		8.4	%		8.1	%		7.6	%		7.8	%		7.5	%		7.9	%		7.8	%

Combined ratio		82.6	%		86.9	%		86.5	%		86.6	%		91.3	%		85.6	%		87.0	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		64.0	%		65.5	%		66.7	%		65.0	%		66.1	%		65.3	%		64.9	%
CAY policy acquisition cost and administrative expense ratio ex Cats		22.4	%		22.1	%		21.2	%		22.8	%		22.1	%		22.1	%		22.4	%

CAY combined ratio ex Cats		86.4	%		87.6	%		87.9	%		87.8	%		88.2	%		87.4	%		87.3	%

Catastrophe losses—pre-tax	$	102		$	88		$	137		$	94		$	232		$	421		$	579
Favorable prior period development (PPD)—pre-tax	$	(224	)	$	(109	)	$	(185	)	$	(131	)	$	(138	)	$	(649	)	$	(610	)
% Change versus prior year period
Net premiums written		9.4	%		7.9	%		6.0	%		5.0	%		4.8	%		7.1	%		3.9	%
Net premiums earned		6.0	%		5.5	%		3.4	%		1.9	%		1.4	%		4.2	%		1.7	%
Other ratios
Net premiums written/gross premiums written		75	%		76	%		78	%		74	%		74	%		76	%		76	%
Production by Size—Net premiums written ⁽¹⁾
Major Accounts & Specialty⁽²⁾	$	2,036		$	2,029		$	2,182		$	1,703		$	1,841		$	7,950		$	7,370
Commercial ⁽²⁾		1,402			1,423			1,352			1,248			1,302			5,425			5,115

Total	$	3,438		$	3,452		$	3,534		$	2,951		$	3,143		$	13,375		$	12,485

(1)

The 2018 net premiums written amounts for Major Accounts & Specialty and Commercial have been revised to better align the reporting with the current year. The Commercial transfers to (from) Major Accounts & Specialty in 2018 were: $8 million for Q1, ($1) million for Q3, and $2 million for Q4. There is no impact to total North America Commercial P&C Insurance.

(2)	Major Accounts & Specialty: large corporate accounts and wholesale business. Commercial: principally middle market and small commercial accounts.


NA Commercial		Page 12

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

North America Personal P&C Insurance


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	1,349		$	1,422		$	1,483		$	1,207		$	1,291		$	5,461		$	5,330
Net premiums written		1,171			1,251			1,309			1,056			1,073			4,787			4,674
Net premiums earned		1,185			1,187			1,168			1,154			1,130			4,694			4,593
Losses and loss expenses		865			674			747			757			755			3,043			3,229
Policy acquisition costs		240			240			237			231			238			948			939
Administrative expenses		75			72			71			68			67			286			269

Underwriting income		5			201			113			98			70			417			156
Net investment income		64			66			64			64			59			258			236
Other income (expense)—operating		(1	)		(1	)		(1	)		—			—			(3	)		(1	)
Amortization expense of purchased intangibles		(3	)		(3	)		(3	)		(3	)		(3	)		(12	)		(13	)

Segment income	$	65		$	263		$	173		$	159		$	126		$	660		$	378

CAY underwriting income ex Cats	$	223		$	222		$	214		$	217		$	168		$	876		$	834
Combined ratio
Loss and loss expense ratio		73.0	%		56.9	%		64.0	%		65.5	%		66.8	%		64.8	%		70.3	%
Policy acquisition cost ratio		20.3	%		20.2	%		20.2	%		20.1	%		21.1	%		20.2	%		20.4	%
Administrative expense ratio		6.3	%		6.0	%		6.1	%		5.9	%		5.9	%		6.1	%		5.9	%

Combined ratio		99.6	%		83.1	%		90.3	%		91.5	%		93.8	%		91.1	%		96.6	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		55.1	%		55.1	%		55.3	%		55.1	%		59.1	%		55.1	%		55.8	%
CAY policy acquisition cost and administrative expense ratio ex Cats		26.3	%		26.2	%		26.4	%		26.0	%		26.4	%		26.3	%		26.1	%

CAY combined ratio ex Cats		81.4	%		81.3	%		81.7	%		81.1	%		85.5	%		81.4	%		81.9	%

Catastrophe reinstatement premiums expensed—pre-tax	$	(11	)	$	—		$	—		$	—		$	(26	)	$	(11	)	$	(26	)
Catastrophe losses—pre-tax	$	214		$	83		$	117		$	129		$	90		$	543		$	611
Unfavorable (favorable) prior period development (PPD)—pre-tax	$	(7	)	$	(62	)	$	(16	)	$	(10	)	$	(18	)	$	(95	)	$	41
% Change versus prior year period
Net premiums written		9.2	%		2.7	%		-2.0	%		0.8	%		-2.5	%		2.4	%		3.1	%
Net premiums written adjusted primarily for additional reinsurance		4.6	%		3.9	%		2.4	%		2.6	%		2.3	%		3.3	%		2.7	%
Net premiums earned		4.8	%		1.7	%		1.1	%		1.2	%		2.5	%		2.2	%		4.4	%
Other ratios
Net premiums written/gross premiums written		87	%		88	%		88	%		88	%		83	%		88	%		88	%


NA Personal		Page 13

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

North America Agricultural Insurance


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	282		$	1,272		$	642		$	219		$	273		$	2,415		$	2,291
Net premiums written		276			938			466			130			197			1,810			1,577
Net premiums earned		421			941			378			55			318			1,795			1,569
Adjusted losses and loss expenses ⁽¹⁾		453			880			309			(26	)		161			1,616			1,114
Policy acquisition costs		(6	)		56			27			7			5			84			79
Administrative expenses		(3	)		4			4			1			(9	)		6			(9	)

Underwriting income (loss)		(23	)		1			38			73			161			89			385
Net investment income		8			8			4			10			8			30			28
Other income (expense)—operating		—			—			(1	)		—			(1	)		(1	)		(2	)
Amortization expense of purchased intangibles		(7	)		(7	)		(7	)		(7	)		(7	)		(28	)		(28	)

Segment income (loss)	$	(22	)	$	2		$	34		$	76		$	161		$	90		$	383

CAY underwriting income (loss) ex Cats	$	(59	)	$	22		$	40		$	14		$	138		$	17		$	296
Combined ratio
Loss and loss expense ratio		107.6	%		93.5	%		81.9	%		NM			50.7	%		90.1	%		71.0	%
Policy acquisition cost ratio		-1.5	%		6.0	%		7.3	%		NM			1.5	%		4.7	%		5.0	%
Administrative expense ratio		-0.7	%		0.4	%		0.9	%		NM			-2.7	%		0.3	%		-0.5	%

Combined ratio		105.4	%		99.9	%		90.1	%		NM			49.5	%		95.1	%		75.5	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		113.6	%		91.3	%		81.4	%		71.1	%		56.0	%		93.5	%		76.7	%
CAY policy acquisition cost and administrative expense ratio ex Cats		0.3	%		6.4	%		8.2	%		12.8	%		0.8	%		5.6	%		4.9	%

CAY combined ratio ex Cats		113.9	%		97.7	%		89.6	%		83.9	%		56.8	%		99.1	%		81.6	%

Catastrophe losses—pre-tax	$	1		$	3		$	2		$	2		$	10		$	8		$	21
Unfavorable (favorable) prior period development (PPD)—pre-tax	$	(37	)	$	18		$	—		$	(61	)	$	(33	)	$	(80	)	$	(110	)
% Change versus prior year period
Net premiums written		40.4	%		6.2	%		20.1	%		19.9	%		55.8	%		14.8	%		4.0	%
Net premiums earned		32.4	%		9.8	%		7.7	%		27.4	%		26.0	%		14.4	%		4.1	%
Other ratios
Net premiums written/gross premiums written		98	%		74	%		73	%		59	%		72	%		75	%		69	%

(1)	Includes Realized gains (losses) on crop derivatives.


NA Agriculture		Page 14

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

Overseas General Insurance


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	2,964		$	2,705		$	2,863		$	2,876		$	2,729		$	11,408		$	10,885
Net premiums written		2,381			2,228			2,258			2,395			2,238			9,262			8,902
Net premiums earned		2,287			2,256			2,225			2,114			2,187			8,882			8,612
Losses and loss expenses		1,221			1,154			1,125			1,106			1,166			4,606			4,429
Policy acquisition costs		646			630			629			596			592			2,501			2,346
Administrative expenses		262			257			265			249			257			1,033			1,014

Underwriting income		158			215			206			163			172			742			823
Net investment income		145			148			151			144			158			588			619
Other income (expense)—operating		(2	)		(3	)		(3	)		(4	)		(12	)		(12	)		—
Amortization expense of purchased intangibles		(11	)		(11	)		(12	)		(11	)		(12	)		(45	)		(41	)

Segment income	$	290		$	349		$	342		$	292		$	306		$	1,273		$	1,401

CAY underwriting income ex Cats	$	202		$	225		$	195		$	184		$	211		$	806		$	817
Combined ratio
Loss and loss expense ratio		53.3	%		51.1	%		50.6	%		52.3	%		53.3	%		51.9	%		51.4	%
Policy acquisition cost ratio		28.3	%		28.0	%		28.3	%		28.2	%		27.1	%		28.1	%		27.2	%
Administrative expense ratio		11.5	%		11.4	%		11.9	%		11.8	%		11.7	%		11.6	%		11.8	%

Combined ratio		93.1	%		90.5	%		90.8	%		92.3	%		92.1	%		91.6	%		90.4	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		51.5	%		50.7	%		51.1	%		51.3	%		51.6	%		51.2	%		51.5	%
CAY policy acquisition cost and administrative expense ratio ex Cats		39.7	%		39.3	%		40.1	%		40.0	%		38.8	%		39.7	%		39.0	%

CAY combined ratio ex Cats		91.2	%		90.0	%		91.2	%		91.3	%		90.4	%		90.9	%		90.5	%

Catastrophe reinstatement premiums expensed—pre-tax	$	(4	)	$	—		$	—		$	—		$	—		$	(4	)	$	—
Catastrophe losses—pre-tax	$	83		$	35		$	9		$	25		$	85		$	152		$	206
Favorable prior period development (PPD)—pre-tax	$	(43	)	$	(25	)	$	(20	)	$	(4	)	$	(46	)	$	(92	)	$	(212	)
% Change versus prior year period
Net premiums written		6.3	%		7.1	%		2.7	%		0.4	%		3.4	%		4.0	%		6.6	%
Net premiums earned		4.6	%		4.6	%		3.0	%		0.3	%		3.5	%		3.1	%		5.9	%
Net premiums written constant $		8.8	%		10.7	%		8.5	%		6.0	%		7.9	%		8.4	%		5.3	%
Net premiums earned constant $		6.9	%		8.0	%		9.2	%		6.3	%		7.9	%		7.6	%		4.7	%
Other ratios
Net premiums written/gross premiums written		80	%		82	%		79	%		83	%		82	%		81	%		82	%

										Constant $			Full Year			Full Year						Constant $
Production by Region—Net premiums written	4Q-19			4Q-18			% Change			% Change			2019			2018			% Change			% Change
Europe	$	933		$	867			7.6	%		11.4	%	$	3,631		$	3,508			3.5	%		8.2	%
Latin America		620			584			6.2	%		9.1	%		2,277			2,181			4.4	%		10.6	%
Asia		762			708			7.5	%		8.2	%		3,021			2,884			4.7	%		7.6	%
Other⁽¹⁾		66			79			-16.9	%		-15.8	%		333			329			1.1	%		4.8	%

Total	$	2,381		$	2,238			6.3	%		8.8	%	$	9,262		$	8,902			4.0	%		8.4	%

(1)	Primarily includes Eurasia and Africa, and the company’s international supplemental A&H business of Combined Insurance.


Overseas General Insurance		Page 15

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars, except ratios)

(Unaudited)

Global Reinsurance


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	111		$	150		$	237		$	221		$	117		$	719		$	722
Net premiums written		109			141			197			202			117			649			671
Net premiums earned		167			160			159			168			178			654			670
Losses and loss expenses		107			79			90			76			243			352			479
Policy acquisition costs		42			42			42			43			42			169			162
Administrative expenses		9			9			7			10			12			35			41

Underwriting income (loss)		9			30			20			39			(119	)		98			(12	)
Net investment income		54			55			55			56			65			220			257
Other income (expense)—operating		18			16			15			9			6			58			32

Segment income (loss)	$	81		$	101		$	90		$	104		$	(48	)	$	376		$	277

CAY underwriting income ex Cats	$	28		$	28		$	30		$	31		$	27		$	117		$	121
Combined ratio
Loss and loss expense ratio		64.2	%		49.6	%		55.9	%		45.7	%		137.1	%		53.9	%		71.6	%
Policy acquisition cost ratio		24.7	%		26.2	%		26.9	%		25.4	%		23.7	%		25.7	%		24.2	%
Administrative expense ratio		5.7	%		5.3	%		4.9	%		5.7	%		6.1	%		5.4	%		6.0	%

Combined ratio		94.6	%		81.1	%		87.7	%		76.8	%		166.9	%		85.0	%		101.8	%

CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats		52.5	%		49.9	%		49.7	%		50.5	%		50.1	%		50.6	%		50.5	%
CAY policy acquisition cost and administrative expense ratio ex Cats		30.8	%		32.2	%		32.0	%		31.0	%		33.1	%		31.5	%		31.1	%

CAY combined ratio ex Cats		83.3	%		82.1	%		81.7	%		81.5	%		83.2	%		82.1	%		81.6	%

Catastrophe reinstatement premiums collected—pre-tax	$	1		$	2		$	—		$	—		$	18		$	3		$	22
Catastrophe losses—pre-tax	$	16		$	25		$	10		$	—		$	160		$	51		$	205
Unfavorable (favorable) prior period development (PPD)—pre-tax	$	4		$	(25	)	$	—		$	(8	)	$	4		$	(29	)	$	(50	)
% Change versus prior year period
Net premiums written as reported		-6.0	%		-14.0	%		0.2	%		4.4	%		11.0	%		-3.2	%		-2.1	%
Net premiums earned as reported		-5.8	%		1.9	%		-5.0	%		0.1	%		10.2	%		-2.3	%		-4.9	%
Net premiums written constant $		-4.8	%		-12.8	%		1.3	%		6.4	%		11.7	%		-1.7	%		-3.3	%
Net premiums earned constant $		-5.0	%		3.1	%		-3.5	%		2.6	%		10.6	%		-0.8	%		-6.0	%
Other ratios
Net premiums written/gross premiums written		99	%		94	%		83	%		91	%		99	%		90	%		93	%


Global Reinsurance		Page 16

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

Life Insurance


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	652		$	642		$	612		$	611		$	614		$	2,517		$	2,404
Net premiums written		622			612			579			579			582			2,392			2,270
Net premiums earned		613			598			571			561			575			2,343			2,218
Losses and loss expenses		176			190			189			202			182			757			766
Adjusted policy benefits		201			165			164			166			182			696			628
Policy acquisition costs		166			176			150			128			152			620			557
Administrative expenses		86			80			78			79			75			323			310
Net investment income		95			92			97			89			88			373			341

Life Insurance underwriting income⁽¹⁾		79			79			87			75			72			320			298
Other income (expense)—operating		11			17			10			10			18			48			12
Amortization expense of purchased intangibles		—			(1	)		(1	)		—			(1	)		(2	)		(2	)

Segment income	$	90		$	95		$	96		$	85		$	89		$	366		$	308

% Change versus prior year period
Net premiums written		6.9	%		8.5	%		2.5	%		3.5	%		4.8	%		5.3	%		6.1	%
Net premiums earned		6.6	%		8.7	%		3.4	%		3.9	%		3.9	%		5.6	%		5.6	%
Net premiums written constant $		6.8	%		9.1	%		4.3	%		5.2	%		6.3	%		6.4	%		5.7	%
Net premiums earned constant $		6.5	%		9.3	%		5.2	%		5.5	%		5.4	%		6.6	%		5.3	%

(1)	We assess the performance of our Life Insurance business based on Life Insurance underwriting income which includes Net investment income and (Gains) losses from fair value changes in separate account assets.

International life insurance net premiums written and deposits breakdown (excludes Combined North America and Life reinsurance businesses):


								Constant $			Full Year		Full Year					Constant $
	4Q-19		4Q-18		% Change			% Change			2019		2018		% Change			% Change
International life insurance net premiums written	$	266	$	233		14.6	%		14.1	%	$	981	$	887		10.6	%		12.6	%
International life insurance deposits ⁽²⁾		404		375		7.9	%		8.1	%		1,463		1,538		-4.9	%		-2.3	%

Total international life insurance net premiums written and deposits	$	670	$	608		10.5	%		10.4	%	$	2,444	$	2,425		0.8	%		3.2	%

International life insurance segment income	$	36	$	32		12.2	%		11.2	%	$	152	$	103		48.0	%		51.0	%

(2)	Includes deposits collected on universal life and investment contracts. Consistent with GAAP, premiums collected on universal life and investment contracts are considered deposits and excluded from revenues.


Life Insurance		Page 17

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

Corporate


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Gross premiums written	$	—		$	—		$	—		$	—		$	—		$	—		$	—
Net premiums written		—			—			—			—			—			—			—
Net premiums earned		—			—			—			—			—			—			—
Losses and loss expenses		75			38			34			11			(19	)		158			53
Policy acquisition costs		—			—			—			—			—			—			—
Administrative expenses		108			74			74			63			95			319			295

Underwriting loss		(183	)		(112	)		(108	)		(74	)		(76	)		(477	)		(348	)
Adjusted net investment income		8			9			10			9			8			36			39
Other income (expense)—operating		(6	)		(7	)		(4	)		(7	)		(8	)		(24	)		(25	)
Adjusted interest expense		(140	)		(143	)		(145	)		(145	)		(158	)		(573	)		(674	)
Amortization expense of purchased intangibles		(55	)		(54	)		(54	)		(55	)		(63	)		(218	)		(255	)
Income tax expense		(173	)		(219	)		(216	)		(202	)		(192	)		(810	)		(742	)

Core operating loss		(549	)		(526	)		(517	)		(474	)		(489	)		(2,066	)		(2,005	)
Chubb integration expenses, net of tax		(12	)		(2	)		(3	)		(2	)		(15	)		(19	)		(47	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax		(25	)		(24	)		(32	)		(33	)		(42	)		(114	)		(175	)
Adjusted net realized gains (losses), net of tax⁽¹⁾		170			(119	)		(10	)		(95	)		(523	)		(54	)		(223	)

Net loss	$	(416	)	$	(671	)	$	(562	)	$	(604	)	$	(1,069	)	$	(2,253	)	$	(2,450	)

Unfavorable (favorable) prior period development (PPD)—pre-tax	$	74		$	36		$	33		$	10		$	(22	)	$	153		$	45

(1)	Includes Net realized gains (losses) related to unconsolidated entities.


Corporate		Page 18

Chubb Limited

Loss Reserve Rollforward

(in millions of U.S. dollars, except ratios)

(Unaudited)


	Unpaid Losses									Net Paid to
	Gross			Ceded			Net			Incurred Ratio
Balance at June 30, 2017	$	60,394		$	12,485		$	47,909
Losses and loss expenses incurred		8,410			2,163			6,247
Losses and loss expenses paid		(5,207	)		(909	)		(4,298	)		69	%
Other (incl. foreign exch. revaluation)		556			131			425

Balance at September 30, 2017	$	64,153		$	13,870		$	50,283
Losses and loss expenses incurred		5,755			1,483			4,272
Losses and loss expenses paid		(6,419	)		(1,298	)		(5,121	)		120	%
Other (incl. foreign exch. revaluation)		(310	)		(41	)		(269	)

Balance at December 31, 2017	$	63,179		$	14,014		$	49,165
Losses and loss expenses incurred		5,028			926			4,102
Losses and loss expenses paid		(5,448	)		(1,206	)		(4,242	)		103	%
Other (incl. foreign exch. revaluation)		380			88			292

Balance at March 31, 2018	$	63,139		$	13,822		$	49,317
Losses and loss expenses incurred		5,458			971			4,487
Losses and loss expenses paid		(5,304	)		(931	)		(4,373	)		97	%
Other (incl. foreign exch. revaluation)		(515	)		(127	)		(388	)

Balance at June 30, 2018	$	62,778		$	13,735		$	49,043
Losses and loss expenses incurred		6,472			1,604			4,868
Losses and loss expenses paid		(5,771	)		(1,268	)		(4,503	)		93	%
Other (incl. foreign exch. revaluation)		(450	)		(106	)		(344	)

Balance at September 30, 2018	$	63,029		$	13,965		$	49,064
Losses and loss expenses incurred		6,687			2,077			4,610
Losses and loss expenses paid		(6,556	)		(1,334	)		(5,222	)		113	%
Other (incl. foreign exch. revaluation)		(200	)		(19	)		(181	)

Balance at December 31, 2018	$	62,960		$	14,689		$	48,271
Losses and loss expenses incurred		5,261			1,163			4,098
Losses and loss expenses paid		(5,197	)		(1,178	)		(4,019	)		98	%
Other (incl. foreign exch. revaluation)		119			33			86

Balance at March 31, 2019	$	63,143		$	14,707		$	48,436
Losses and loss expenses incurred		5,758			1,043			4,715
Losses and loss expenses paid		(5,581	)		(1,489	)		(4,092	)		87	%
Other (incl. foreign exch. revaluation)		(115	)		(28	)		(87	)

Balance at June 30, 2019	$	63,205		$	14,233		$	48,972
Losses and loss expenses incurred		6,783			1,731			5,052
Losses and loss expenses paid		(6,751	)		(1,568	)		(5,183	)		103	%
Other (incl. foreign exch. revaluation)		(225	)		(64	)		(161	)

Balance at September 30, 2019	$	63,012		$	14,332		$	48,680
Losses and loss expenses incurred		5,855			990			4,865
Losses and loss expenses paid		(6,382	)		(1,203	)		(5,179	)		106	%
Other (incl. foreign exch. revaluation)		205			62			143

Balance at December 31, 2019	$	62,690		$	14,181		$	48,509
Add net recoverable on paid losses		—			1,000			(1,000	)

Balance including net recoverable on paid losses	$	62,690		$	15,181		$	47,509


Loss Reserve Rollforward		Page 19

Chubb Limited

Reinsurance Recoverable Analysis

(in millions of U.S. dollars)

(Unaudited)

Net Reinsurance Recoverable by Division


	December 31 2019			September 30 2019			June 30 2019			March 31 2019			December 31 2018
Reinsurance recoverable on paid losses and loss expenses
Active operations	$	887		$	1,072		$	1,079		$	1,124		$	980
Brandywine and Other Run-off		189			193			209			381			396

Total	$	1,076		$	1,265		$	1,288		$	1,505		$	1,376

Reinsurance recoverable on unpaid losses and loss expenses
Active operations	$	13,223		$	13,427		$	13,315		$	13,720		$	13,705
Brandywine and Other Run-off		1,198			1,155			1,166			1,235			1,235

Total	$	14,421		$	14,582		$	14,481		$	14,955		$	14,940

Gross reinsurance recoverable
Active operations	$	14,110		$	14,499		$	14,394		$	14,844		$	14,685
Brandywine and Other Run-off		1,387			1,348			1,375			1,616			1,631

Total	$	15,497		$	15,847		$	15,769		$	16,460		$	16,316

Provision for uncollectible reinsurance ⁽¹⁾
Active operations	$	(180	)	$	(187	)	$	(187	)	$	(187	)	$	(185	)
Brandywine and Other Run-off		(136	)		(133	)		(137	)		(136	)		(138	)

Total	$	(316	)	$	(320	)	$	(324	)	$	(323	)	$	(323	)

Net reinsurance recoverable
Active operations	$	13,930		$	14,312		$	14,207		$	14,657		$	14,500
Brandywine and Other Run-off		1,251			1,215			1,238			1,480			1,493

Total	$	15,181		$	15,527		$	15,445		$	16,137		$	15,993

(1)	The provision for uncollectible reinsurance is based on a default analysis applied to gross reinsurance, net of usable collateral of approximately $3.9 billion.


Reinsurance Recoverable		Page 20

Chubb Limited

Investment Portfolio

(in millions of U.S. dollars)

(Unaudited)


	December 31					September 30					June 30					March 31					December 31
	2019					2019					2019					2019					2018
Market Value
Fixed maturities available for sale	$	85,488				$	85,044				$	82,410				$	80,663				$	78,470
Fixed maturities held to maturity		13,005					13,096					13,177					13,240					13,259
Short-term investments		4,291					2,835					3,808					3,078					3,016

Total fixed maturities	$	102,784				$	100,975				$	99,395				$	96,981				$	94,745

Asset Allocation by Market Value
Treasury / Agency	$	4,630		5	%	$	4,840		5	%	$	4,833		5	%	$	4,943		5	%	$	5,327		6	%
Corporate and asset-backed		34,259		33	%		33,881		34	%		32,261		32	%		30,364		31	%		29,091		31	%
Mortgage-backed		21,588		21	%		21,488		21	%		20,468		21	%		18,924		20	%		18,026		19	%
Municipal		12,824		12	%		13,369		13	%		13,854		14	%		15,796		16	%		16,327		17	%
Non-U.S.		25,192		25	%		24,562		24	%		24,171		24	%		23,876		25	%		22,958		24	%
Short-term investments		4,291		4	%		2,835		3	%		3,808		4	%		3,078		3	%		3,016		3	%

Total fixed maturities	$	102,784		100	%	$	100,975		100	%	$	99,395		100	%	$	96,981		100	%	$	94,745		100	%

Credit Quality by Market Value
AAA	$	15,714		15	%	$	14,696		15	%	$	15,276		15	%	$	14,917		16	%	$	14,571		15	%
AA		37,504		37	%		37,752		37	%		37,211		38	%		37,023		38	%		36,715		39	%
A		19,236		19	%		18,977		19	%		18,476		19	%		17,867		19	%		17,253		18	%
BBB		13,650		13	%		13,228		13	%		12,682		13	%		11,961		12	%		12,035		13	%
BB		9,474		9	%		9,317		9	%		9,161		9	%		8,807		9	%		8,363		9	%
B		6,897		7	%		6,739		7	%		6,375		6	%		6,148		6	%		5,596		6	%
Other		309		0	%		266		0	%		214		0	%		258		0	%		212		0	%

Total fixed maturities	$	102,784		100	%	$	100,975		100	%	$	99,395		100	%	$	96,981		100	%	$	94,745		100	%

Cost/Amortized Cost
Fixed maturities available for sale	$	82,580				$	82,036				$	80,119				$	79,624				$	79,323
Fixed maturities held to maturity		12,581					12,622					12,838					13,136					13,435
Short-term investments		4,291					2,838					3,808					3,078					3,016

Subtotal fixed maturities		99,452					97,496					96,765					95,838					95,774
Equity securities		812					722					715					821					770
Other investments		6,062					5,955					5,968					5,562					5,277

Total investment portfolio	$	106,326				$	104,173				$	103,448				$	102,221				$	101,821

Avg. duration of fixed maturities		3.8 years					3.8 years					3.8 years					3.6 years					3.7 years
Avg. market yield of fixed maturities		2.7	%				2.7	%				2.9	%				3.2	%				3.7	%
Avg. credit quality		A/Aa					A/Aa					A/Aa					A/Aa					A/Aa
Avg. yield on invested assets⁽¹⁾		3.4	%				3.5	%				3.5	%				3.5	%				3.5	%

(1)	Calculated using adjusted net investment income.


Investments		Page 21

Chubb Limited

Investment Portfolio—2

(in millions of U.S. dollars)

(Unaudited)

Mortgage-backed Fixed Income Portfolio


Mortgage-backed securities	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Market Value at December 31, 2019
Agency residential mortgage-backed (RMBS)	$	187	$	17,722	$	—	$	—	$	—	$	17,909
Non-agency RMBS		184		32		75		18		10		319
Commercial mortgage-backed		2,946		272		136		6		—		3,360

Total mortgage-backed securities at market value	$	3,317	$	18,026	$	211	$	24	$	10	$	21,588


U.S. Corporate and Asset-backed Fixed Income Portfolios

Market Value at December 31, 2019			S&P Credit Rating
			Investment Grade
			AAA		AA		A		BBB		Total

Asset-backed			$	3,274	$	331	$	64	$	69	$	3,738
Banks				—		34		2,243		1,390		3,667
Basic Materials				—		—		97		201		298
Communications				—		165		487		1,084		1,736
Consumer, Cyclical				—		354		501		584		1,439
Consumer, Non-Cyclical				60		572		1,733		1,261		3,626
Diversified Financial Services				7		110		360		377		854
Energy				—		70		214		879		1,163
Industrial				—		53		678		814		1,545
Utilities				—		3		869		414		1,286
All Others				200		357		1,393		1,077		3,027

Total			$	3,541	$	2,049	$	8,639	$	8,150	$	22,379


Market Value at December 31, 2019					S&P Credit Rating
					Below Investment Grade
					BB		B		CCC		Total

Asset-backed					$	—	$	18	$	5	$	23
Banks						—		—		—		—
Basic Materials						365		211		4		580
Communications						910		805		37		1,752
Consumer, Cyclical						1,196		750		34		1,980
Consumer, Non-Cyclical						1,307		1,390		30		2,727
Diversified Financial Services						173		161		8		342
Energy						687		373		1		1,061
Industrial						746		664		16		1,426
Utilities						272		36		10		318
All Others						988		647		36		1,671

Total					$	6,644	$	5,055	$	181	$	11,880


Investments 2		Page 22

Chubb Limited

Investment Portfolio—3

(in millions of U.S. dollars)

(Unaudited)

Non-U.S. Fixed Income Portfolio

December 31, 2019


Non-U.S. Government Securities	Market Value by S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total

Republic of Korea	$	—	$	1,032	$	—	$	—	$	—	$	1,032
United Kingdom		—		924		—		—		—		924
Canada		835		—		—		—		—		835
Federative Republic of Brazil		—		—		—		—		688		688
Kingdom of Thailand		—		—		652		—		—		652
Province of Ontario		—		9		635		—		—		644
United Mexican States		—		—		455		112		—		567
Province of Quebec		—		496		—		—		—		496
Commonwealth of Australia		362		—		3		—		—		365
Socialist Republic of Vietnam		—		—		—		—		362		362
Other Non-U.S. Government Securities		876		1,501		969		659		885		4,890

Total	$	2,073	$	3,962	$	2,714	$	771	$	1,935	$	11,455


Non-U.S. Corporate Securities	Market Value by S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total

United Kingdom	$	78	$	124	$	807	$	906	$	401	$	2,316
Canada		105		278		417		541		440		1,781
United States ⁽¹⁾		—		—		209		307		640		1,156
France		8		41		729		308		50		1,136
Australia		108		186		355		142		22		813
Netherlands		48		92		285		141		119		685
Japan		—		48		467		72		—		587
Germany		66		41		150		268		35		560
Switzerland		49		3		230		193		36		511
China		—		—		249		73		49		371
Other Non-U.S. Corporate Securities		373		450		948		1,242		808		3,821

Total	$	835	$	1,263	$	4,846	$	4,193	$	2,600	$	13,737

(1)	Countries represent the ultimate parent company’s country of risk. Non-U.S. corporate securities could be issued by foreign subsidiaries of U.S. corporations.


Investments 3		Page 23

Chubb Limited

Investment Portfolio—4

(in millions of U.S. dollars)

(Unaudited)

Fixed Maturity Investment Portfolio

Top 10 Global Corporate Exposures


	December 31, 2019	Market Value		Rating
1	Wells Fargo & Co	$	637	A-
2	Bank of America Corp		575	A-
3	JP Morgan Chase & Co		568	A-
4	Comcast Corp		461	A-
5	HSBC Holdings Plc		396	A
6	AT&T Inc		392	BBB
7	Citigroup Inc		392	BBB+
8	Verizon Communications Inc		381	BBB+
9	Goldman Sachs Group Inc		369	BBB+
10	Morgan Stanley		358	BBB+


Investments 4		Page 24

Chubb Limited

Net Realized and Unrealized Gains (Losses)

(in millions of U.S. dollars)

(Unaudited)


	Three months ended December 31, 2019
	Realized Gains (Losses)									Unrealized Gains (Losses)									Realized and Unrealized Gains (Losses)
	Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax
Fixed income investments ⁽¹⁾	$	4		$	(2	)	$	2		$	(96	)	$	29		$	(67	)	$	(92	)	$	27		$	(65	)
Public equity ⁽¹⁾:
Realized gains (losses) on sales		(18	)		4			(14	)		—			—			—			(18	)		4			(14	)
Mark-to-market		37			(7	)		30			—			—			—			37			(7	)		30
Private equity:
Realized gains (losses) on sales		(1	)		—			(1	)		—			—			—			(1	)		—			(1	)
Mark-to-market		222			(10	)		212			—			—			—			222			(10	)		212

Total investment portfolio		244			(15	)		229			(96	)		29			(67	)		148			14			162
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges ⁽²⁾		4			—			4			—			—			—			4			—			4
Foreign exchange		(79	)		13			(66	)		156			21			177			77			34			111
Partially-owned entities ⁽³⁾		4			—			4			(3	)		—			(3	)		1			—			1
Other ⁽⁴⁾		(1	)		—			(1	)		(14	)		5			(9	)		(15	)		5			(10	)

Net gains (losses)	$	172		$	(2	)	$	170		$	43		$	55		$	98		$	215		$	53		$	268

(1) The quarter includes pre-tax realized losses on derivatives of: $8 million in fixed income and $19 million in public equity. Other-than-temporary impairments for the quarter in realized losses were $8 million pre-tax for fixed maturities. (2) The quarter includes $49 million of losses on applicable hedges. These losses are both pre-tax and after-tax. (3) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. Refer to the Non-GAAP financial measures section for additional details. (4) Other unrealized gains (losses) are primarily related to the company’s postretirement programs.
	Three months ended December 31, 2018
	Realized Gains (Losses)									Unrealized Gains (Losses)									Realized and Unrealized Gains (Losses)
	Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax
Fixed income investments ⁽⁵⁾	$	(313	)	$	21		$	(292	)	$	(75	)	$	(42	)	$	(117	)	$	(388	)	$	(21	)	$	(409	)
Public equity:
Realized gains (losses) on sales		9			(1	)		8			—			—			—			9			(1	)		8
Mark-to-market		(88	)		17			(71	)		—			—			—			(88	)		17			(71	)
Private equity:
Realized gains (losses) on sales		120			—			120			—			—			—			120			—			120
Mark-to-market		(19	)		(12	)		(31	)		—			—			—			(19	)		(12	)		(31	)

Total investment portfolio		(291	)		25			(266	)		(75	)		(42	)		(117	)		(366	)		(17	)		(383	)
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges ⁽⁶⁾		(263	)		—			(263	)		—			—			—			(263	)		—			(263	)
Foreign exchange		29			(11	)		18			(143	)		30			(113	)		(114	)		19			(95	)
Partially-owned entities ⁽⁷⁾		8			—			8			—			—			—			8			—			8
Other ⁽⁸⁾		(26	)		6			(20	)		(260	)		55			(205	)		(286	)		61			(225	)

Net gains (losses)	$	(543	)	$	20		$	(523	)	$	(478	)	$	43		$	(435	)	$	(1,021	)	$	63		$	(958	)


(5) The quarter includes $153 million pre-tax realized losses on fixed income derivatives. Other-than-temporary impairments for the quarter in realized losses were $33 million pre-tax for fixed maturities. (6) The quarter includes $118 million of gains on applicable hedges. These gains are both pre-tax and after-tax. (7) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. Refer to the Non-GAAP financial measures section for additional details. (8) Other realized losses, pre-tax, primarily includes $23 million related to impairment of fixed assets. Other unrealized gains (losses) are primarily related to the company’s post-retirement programs.


Net Gains (Losses)		Page 25

Chubb Limited

Net Realized and Unrealized Gains (Losses)

(in millions of U.S. dollars)

(Unaudited)


	Year ended December 31, 2019
	Realized Gains (Losses)									Unrealized Gains (Losses)									Realized and Unrealized Gains (Losses)
	Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax
Fixed income investments ⁽¹⁾	$	(413	)	$	8		$	(405	)	$	3,738		$	(647	)	$	3,091		$	3,325		$	(639	)	$	2,686
Public equity ⁽¹⁾:
Realized gains (losses) on sales		5			(1	)		4			—			—			—			5			(1	)		4
Mark-to-market		46			(10	)		36			—			—			—			46			(10	)		36
Private equity:
Realized gains (losses) on sales		(5	)		—			(5	)		—			—			—			(5	)		—			(5	)
Mark-to-market		449			(10	)		439			—			—			—			449			(10	)		439

Total investment portfolio		82			(13	)		69			3,738			(647	)		3,091			3,820			(660	)		3,160
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges ⁽²⁾		(142	)		—			(142	)		—			—			—			(142	)		—			(142	)
Foreign exchange		7			(1	)		6			13			24			37			20			23			43
Partially-owned entities ⁽³⁾		19			(1	)		18			(3	)		—			(3	)		16			(1	)		15
Other ⁽⁴⁾		(5	)		—			(5	)		(76	)		18			(58	)		(81	)		18			(63	)

Net gains (losses)	$	(39	)	$	(15	)	$	(54	)	$	3,672		$	(605	)	$	3,067		$	3,633		$	(620	)	$	3,013

(1) Full year includes pre-tax realized losses on derivatives of: $382 million in fixed income and $53 million in public equity. Full year other-than-temporary impairments in realized losses were $58 million pre-tax for fixed maturities. (2) Full year includes $138 million of losses on applicable hedges. These losses are both pre-tax and after-tax. (3) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. Refer to the Non-GAAP financial measures section for additional details. (4) Other unrealized gains (losses) are primarily related to the company’s postretirement programs.
	Year ended December 31, 2018
	Realized Gains (Losses)									Unrealized Gains (Losses)									Realized and Unrealized Gains (Losses)
	Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax			Gains (Losses) Pre-Tax			Tax (Expense) Benefit			Gains (Losses) After-Tax
Fixed income investments ⁽⁵⁾	$	(377	)	$	30		$	(347	)	$	(1,996	)	$	297		$	(1,699	)	$	(2,373	)	$	327		$	(2,046	)
Public equity:
Realized gains (losses) on sales		70			(13	)		57			—			—			—			70			(13	)		57
Mark-to-market		(129	)		27			(102	)		—			—			—			(129	)		27			(102	)
Private equity:
Realized gains (losses) on sales		120			—			120			—			—			—			120			—			120
Mark-to-market		298			(36	)		262			—			—			—			298			(36	)		262

Total investment portfolio		(18	)		8			(10	)		(1,996	)		297			(1,699	)		(2,014	)		305			(1,709	)
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges ⁽⁶⁾		(252	)		—			(252	)		—			—			—			(252	)		—			(252	)
Foreign exchange		131			(31	)		100			(802	)		35			(767	)		(671	)		4			(667	)
Partially-owned entities ⁽⁷⁾		8			—			8			—			—			—			8			—			8
Other ⁽⁸⁾		(87	)		18			(69	)		(321	)		67			(254	)		(408	)		85			(323	)

Net gains (losses)	$	(218	)	$	(5	)	$	(223	)	$	(3,119	)	$	399		$	(2,720	)	$	(3,337	)	$	394		$	(2,943	)


(5) Full year includes $75 million pre-tax realized losses on fixed income derivatives. Full year other-than-temporary impairments in realized losses were $49 million pre-tax for fixed maturities. (6) Full year includes $4 million of losses on applicable hedges. These losses are both pre-tax and after-tax. (7) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. Refer to the Non-GAAP financial measures section for additional details. (8) Other realized losses, pre-tax, primarily includes $36 million related to the early redemption of the $1.0 billion junior subordinated capital securities in April 2018, $24 million related to lease impairments, and $23 million related to impairment of fixed assets. Other unrealized gains (losses) are primarily related to the company’s post-retirement programs.


Net Gains (Losses) 2		Page 26

Chubb Limited

Debt and Capital

(in millions of U.S. dollars, except ratios)

(Unaudited)


	December 31 2019			September 30 2019			June 30 2019			March 31 2019			December 31 2018			December 31 2017

Financial Debt:
Total short-term debt ⁽¹⁾	$	1,299		$	10		$	9		$	509		$	509		$	1,013
Total long-term debt ^{(1) (2)}		13,559			13,285			13,371			12,071			12,087			11,556

Total financial debt	$	14,858		$	13,295		$	13,380		$	12,580		$	12,596		$	12,569
Hybrid debt:
Total trust preferred securities		308			308			308			308			308			308

Total	$	15,166		$	13,603		$	13,688		$	12,888		$	12,904		$	12,877

Capitalization:
Shareholders’ equity	$	55,331		$	54,572		$	53,802		$	52,355		$	50,312		$	51,172
Hybrid debt		308			308			308			308			308			308
Financial debt		14,858			13,295			13,380			12,580			12,596			12,569

Total capitalization	$	70,497		$	68,175		$	67,490		$	65,243		$	63,216		$	64,049

Leverage ratios (based on total capital):
Hybrid debt		0.4	%		0.5	%		0.5	%		0.5	%		0.5	%		0.5	%
Financial debt		21.1	%		19.5	%		19.8	%		19.3	%		19.9	%		19.6	%

Total hybrid & financial debt		21.5	%		20.0	%		20.3	%		19.8	%		20.4	%		20.1	%

Note: As of December 31, 2019, there was $0.6 billion usage of credit facilities on a total commitment of $1.0 billion.

(1)	During Q4 2019, the $1.3 billion 2.3% senior notes were reclassified to short-term debt.

(2)	In December 2019, we issued $1.6 billion of senior notes in the European market (€700 million at 0.30% due 2024 and €700 million at 0.875% due 2029).


Debt and Capital		Page 27

Chubb Limited

Computation of Basic and Diluted Earnings Per Share

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

(Unaudited)


	Three months ended December 31						Year ended December 31
	2019			2018			2019			2018

Numerator
Core operating income to common shares	$	1,040		$	935		$	4,641		$	4,407
Amortization of fair value adjustment of acquired invested assets and long-term debt, pre-tax		(29	)		(50	)		(140	)		(215	)
Tax benefit on amortization adjustment		4			8			26			40
Chubb integration expenses, pre-tax		(14	)		(20	)		(23	)		(59	)
Tax benefit on Chubb integration expenses		2			5			4			12
Adjusted net realized gains (losses), pre-tax		172			(543	)		(39	)		(218	)
Tax (expense) benefit on adjusted net realized gains (losses)		(2	)		20			(15	)		(5	)

Net income	$	1,173		$	355		$	4,454		$	3,962

Rollforward of Common Shares Outstanding
Shares—beginning of period		453,533,642			461,100,790			459,203,378			463,833,179
Repurchase of shares		(2,024,400	)		(2,493,873	)		(10,442,238	)		(7,719,035	)
Shares issued, excluding option exercises		120,831			441,681			1,267,773			2,023,850
Issued for option exercises		341,494			154,780			1,942,654			1,065,384

Shares—end of period		451,971,567			459,203,378			451,971,567			459,203,378

Denominator
Weighted average shares outstanding ⁽¹⁾		452,714,275			460,636,999			455,910,463			463,629,203
Effect of other dilutive securities		3,222,730			2,783,223			3,004,200			3,173,145

Adj. wtd. avg. shares outstanding and assumed conversions		455,937,005			463,420,222			458,914,663			466,802,348

Basic earnings per share
Core operating income	$	2.30		$	2.03		$	10.18		$	9.51
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax		(0.06	)		(0.09	)		(0.25	)		(0.38	)
Chubb integration expenses, net of tax		(0.02	)		(0.03	)		(0.04	)		(0.10	)
Adjusted net realized gains (losses), net of tax		0.37			(1.14	)		(0.12	)		(0.48	)

Net income	$	2.59		$	0.77		$	9.77		$	8.55

Diluted earnings per share
Core operating income	$	2.28		$	2.02		$	10.11		$	9.44
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax		(0.06	)		(0.09	)		(0.25	)		(0.37	)
Chubb integration expenses, net of tax		(0.02	)		(0.03	)		(0.04	)		(0.10	)
Adjusted net realized gains (losses), net of tax		0.37			(1.14	)		(0.11	)		(0.48	)

Net income	$	2.57		$	0.76		$	9.71		$	8.49

(1)	Includes unvested restricted stock units that are not included in common shares outstanding as the shares are not issued until time of vesting, but are eligible to receive dividends (participating securities).


Earnings per share		Page 28

Chubb Limited

Book Value and Book Value per Common Share

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

(Unaudited)

Reconciliation of Book Value per Common Share


	December 31 2019			September 30 2019			June 30 2019			March 31 2019			December 31 2018
Shareholders’ equity	$	55,331		$	54,572		$	53,802		$	52,355		$	50,312
Less: goodwill and other intangible assets, net of tax		20,012			20,010			20,170			20,070			20,054

Numerator for tangible book value per share	$	35,319		$	34,562		$	33,632		$	32,285		$	30,258

Book value—% change over prior quarter		1.4	%		1.4	%		2.8	%		4.1	%		-1.2	%
Tangible book value—% change over prior quarter		2.2	%		2.8	%		4.2	%		6.7	%		-1.8	%
Denominator		451,971,567			453,533,642			456,077,819			458,179,205			459,203,378

Book value per common share	$	122.42		$	120.33		$	117.97		$	114.27		$	109.56
Tangible book value per common share	$	78.14		$	76.21		$	73.74		$	70.46		$	65.89
Reconciliation of Book Value
Shareholders’ equity, beginning of quarter ⁽¹⁾	$	54,572		$	53,802		$	52,355		$	50,300		$	50,934
Core operating income		1,040			1,236			1,195			1,170			935
Amortization of fair value adjustment of acquired invested assets and long-term debt		(25	)		(24	)		(32	)		(33	)		(42	)
Chubb integration expenses		(12	)		(2	)		(3	)		(2	)		(15	)
Adjusted net realized gains (losses) ⁽²⁾		170			(119	)		(10	)		(95	)		(523	)
Net unrealized gains (losses) on investments		(70	)		580			1,019			1,559			(117	)
Repurchase of shares		(310	)		(478	)		(376	)		(367	)		(318	)
Dividend declared on common shares		(340	)		(341	)		(344	)		(335	)		(336	)
Cumulative translation gains (losses)		177			(185	)		(95	)		140			(113	)
Postretirement benefit liability		(9	)		(13	)		(15	)		(21	)		(205	)
Other⁽³⁾		138			116			108			39			112

	$	55,331		$	54,572		$	53,802		$	52,355		$	50,312

(1)	January 1, 2019 included a $12 million after-tax reduction to beginning equity related to the adoption of new accounting guidance on premium amortization of purchased callable debt securities.

(2)	Includes net realized gains (losses) related to unconsolidated entities.

(3)	Other primarily includes proceeds from exercise of stock options and stock compensation, offset by the value of any share cancellations for restricted stock vesting taxes.


Reconciliation Book Value		Page 29

Chubb Limited

Non-GAAP Financial Measures

(Unaudited)

Regulation G—Non-GAAP Financial Measures

In presenting our results, we included and discussed certain non-GAAP measures. These non-GAAP measures, which may be defined differently by other companies, are important for an understanding of our overall results of operations and financial condition. However, they should not be viewed as a substitute for measures determined in accordance with generally accepted accounting principles (GAAP).

Throughout this document there are various measures presented on a constant-dollar basis (i.e., excludes the impact of foreign exchange). We believe it is useful to evaluate the trends in our results exclusive of the effect of fluctuations in exchange rates between the U.S. dollar and the currencies in which our international business is transacted, as these exchange rates could fluctuate significantly between periods and distort the analysis of trends. The impact is determined by assuming constant foreign exchange rates between periods by translating prior period results using the same local currency exchange rates as the comparable current period.

Underwriting income is calculated by subtracting adjusted losses and loss expenses, adjusted policy benefits, policy acquisition costs and administrative expenses from net premiums earned. We use underwriting income and operating ratios to monitor the results of our operations without the impact of certain factors, including net investment income, other income (expense), interest expense, amortization expense of purchased intangibles, Chubb integration expense, income tax expense and adjusted net realized gains (losses).

CAY underwriting income excluding catastrophe losses (Cats) is underwriting income adjusted to exclude Cats and prior period development (PPD). We believe it is useful to exclude Cats, as they are not predictable as to timing and amount, and PPD as these unexpected loss developments on historical reserves are not indicative of our current underwriting performance. We believe the use of these measures enhances the understanding of our results of operations by highlighting the underlying profitability of our insurance business.

Segment income (loss) includes underwriting income, adjusted net investment income, other income (expense) – operating, and amortization expense of purchased intangibles.

Adjusted losses and loss expenses include realized gains and losses on crop derivatives. These derivatives were purchased to provide economic benefit, in a manner similar to reinsurance protection, in the event that a significant decline in commodity pricing impacts underwriting results. We view gains and losses on these derivatives as part of the results of our underwriting operations, and therefore realized gains (losses) from these derivatives are reclassified to adjusted losses and loss expenses.

Adjusted policy benefits includes gains and losses from fair value changes in separate account assets, as well as the offsetting movement in separate account liabilities, for purposes of reporting Life Insurance underwriting income. The gains and losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP have been reclassified from Other (income) expense. We view gains and losses from fair value changes in both separate account assets and liabilities as part of the results of our underwriting operations, and therefore these gains and losses are reclassified to adjusted policy benefits.

Adjusted net investment income is net investment income excluding the amortization of the fair value adjustment on acquired invested assets from the acquisition of The Chubb Corporation (Chubb Corp). We believe this measure is meaningful as it highlights the underlying performance of our invested assets and portfolio management in support of our lines of business.

Adjusted interest expense is interest expense excluding the amortization of the fair value adjustment on acquired long-term debt, related to the Chubb Corp acquisition due to the size and complexity of this acquisition.

Other income (expense) – operating excludes from consolidated Other income (expense) the portion of net realized gains and losses related to unconsolidated entities and gains and losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP. Net realized gains (losses) related to unconsolidated entities is excluded from core operating income in order to enhance the understanding of our results of underwriting operations as they are heavily influenced by, and fluctuate in part according to, market conditions. Other income (expense) – operating and net realized gains and losses related to unconsolidated entities are recorded to Other income (expense) in our income statement on a GAAP basis.

P&C underwriting income and P&C combined ratio exclude the Life Insurance segment. P&C loss and loss expense ratio and P&C combined ratio include adjusted losses and loss expenses in the ratio numerator. P&C expense ratio and P&C combined ratio include policy acquisition costs and administrative expenses in the ratio numerator. A reconciliation of combined ratio to P&C combined ratio is provided on pages 33-36.

CAY P&C combined ratio excluding catastrophe losses excludes Cats and PPD from the P&C combined ratio. We exclude Cats as they are not predictable as to timing and amount and PPD as these unexpected loss developments on historical reserves are not indicative of our current underwriting performance. The combined ratio numerator is adjusted to exclude Cats, net premiums earned adjustments on PPD, prior period expense adjustments and reinstatement premiums on PPD, and the denominator is adjusted to exclude net premiums earned adjustments on PPD and reinstatement premiums on Cats and PPD. In periods where there are adjustments on loss sensitive policies, these adjustments are excluded from PPD and net premiums earned when calculating the ratios. We believe this measure provides a better evaluation of our underwriting performance and enhances the understanding of the trends in our P&C business that may be obscured by these items. This measure is commonly reported among our peer companies and allows for a better comparison.

Expense ratio excluding accident and health (A&H) excludes the impact of our A&H business from our expense ratio. The expense ratio for the A&H business is typically higher than our traditional P&C business, and we believe that this measure provides better comparison to our peer companies that may not have a significant A&H block of business.

Global P&C performance metrics comprise consolidated operating results (including corporate) and exclude the operating results of the company’s Life Insurance and North America Agricultural Insurance segments. We believe that these measures are useful and meaningful to investors as they are used by management to assess the company’s global P&C operations which are the most economically similar. We exclude the North America Agricultural Insurance and Life Insurance segments because the results of these businesses do not always correlate with the results of our global P&C operations.

Core operating income, net of tax, excludes from net income, the after-tax impact of adjusted net realized gains (losses), Chubb integration expenses, and the amortization of fair value adjustment of acquired invested assets and long-term debt related to the Chubb Corp acquisition. We believe this presentation enhances the understanding of our results of operations by highlighting the underlying profitability of our insurance business. We exclude adjusted net realized gains (losses) because the amount of these gains (losses) are heavily influenced by, and fluctuate in part according to the availability of market opportunities. We exclude the amortization of the fair value adjustments related to purchased invested assets and long-term debt and Chubb integration expenses due to the size and complexity of this acquisition. These integration expenses are distortive to our results and are not indicative of our underlying profitability. We believe that excluding these integration expenses facilitates the comparison of our financial results to our historical operating results. References to core operating income measures mean net of tax, whether or not noted.

Core operating effective tax rate is income tax expense excluding tax expense (benefit) on adjusted net realized gains (losses), tax benefit on amortization of fair value of acquired invested assets and debt, and tax benefit on Chubb integration expenses, divided by income excluding adjusted net realized gains (losses) before tax, amortization of fair value of acquired invested assets and debt before tax, and Chubb integration expenses before tax. We believe the use of this measure is meaningful to show the tax on the underlying performance of our insurance business, by excluding the tax on adjusted net realized gains (losses), the tax on amortization of the fair value adjustments related to purchased invested assets and long-term debt and the tax on Chubb integration expenses. Refer to the definition of core operating income, net of tax above for more information on these adjustments.

Book value per common share, is shareholders’ equity divided by the shares outstanding. Tangible book value per common share, is shareholders’ equity less goodwill and other intangible assets, net of tax, divided by the shares outstanding. We believe that goodwill and other intangible assets are not indicative of our underlying insurance results or trends and make book value comparisons to less acquisitive peer companies less meaningful. Book value per common share excluding mark-to-market, excludes unrealized investment gains (losses). Tangible book value per common share excluding mark-to-market, excludes goodwill and other intangible assets, net of tax, as well as unrealized investment gains (losses), net of tax. We exclude unrealized investment gains (losses) because the amount of these gains (losses) is heavily influenced by changes in market conditions, including interest rate changes, and we believe that excluding these gains and losses would highlight the underlying growth in book value and tangible book value.

International life insurance net premiums written and deposits collected includes deposits collected on universal life and investment contracts (life deposits). Life deposits are not reflected as revenues in our consolidated statements of operations in accordance with GAAP. However, we include life deposits in presenting growth in our life insurance business because new life deposits are an important component of production and key to our efforts to grow our business.

Net premiums written adjusted primarily for additional reinsurance is net premiums written in the company’s North America Personal P&C Insurance segment, adjusted to exclude the year-over-year net impact for the quarter and full-year of $(48) million and $42 million, respectively, of additional reinsurance, reinstatement premiums, and accounting actions. In addition to excluding additional reinsurance and the accounting actions, we exclude the impact of Fireman’s Fund non-renewal and unearned premium reserve (UPR) transfer. We believe this measure is meaningful to evaluate trends in the underlying business on a comparable basis.


Reconciliation Non-GAAP		Page 30

Chubb Limited

Non-GAAP Financial Measures—2

(in millions of U.S. dollars, except per share data and ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

Core operating effective tax rate

The following table presents the reconciliation of effective tax rate to the Core operating effective tax rate:


																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Tax expense, as reported	$	169		$	230		$	208		$	188		$	159		$	795		$	695
Less: tax benefit on amortization of fair value of acquired invested assets and debt		(4	)		(8	)		(6	)		(8	)		(8	)		(26	)		(40	)
Less: tax benefit on Chubb integration expenses		(2	)		—			(1	)		(1	)		(5	)		(4	)		(12	)
Less: tax expense (benefit) on adjusted net realized gains (losses)		2			19			(1	)		(5	)		(20	)		15			5

Tax expense, adjusted	$	173		$	219		$	216		$	202		$	192		$	810		$	742

Income before tax, as reported	$	1,342		$	1,321		$	1,358		$	1,228		$	514		$	5,249		$	4,657
Less: amortization of fair value of acquired invested assets and debt		(29	)		(32	)		(38	)		(41	)		(50	)		(140	)		(215	)
Less: Chubb integration expenses		(14	)		(2	)		(4	)		(3	)		(20	)		(23	)		(59	)
Less: adjusted realized gains (losses)		(55	)		(141	)		(230	)		(96	)		(682	)		(522	)		(649	)
Less: realized gains (losses) related to unconsolidated entities		227			41			219			(4	)		139			483			431

Core operating income before tax	$	1,213		$	1,455		$	1,411		$	1,372		$	1,127		$	5,451		$	5,149

Effective tax rate		12.6	%		17.4	%		15.3	%		15.3	%		31.1	%		15.1	%		14.9	%
Adjustment for tax impact of amortization of fair value of acquired invested assets and debt		0.0	%		0.2	%		0.1	%		0.1	%		0.0	%		0.1	%		0.2	%
Adjustment for tax impact of Chubb integration expenses		0.0	%		0.0	%		0.0	%		0.0	%		0.1	%		0.0	%		0.1	%
Adjustment for tax impact of adjusted net realized gains (losses)		1.6	%		-2.5	%		-0.1	%		-0.7	%		-14.1	%		-0.3	%		-0.8	%

Core operating effective tax rate		14.2	%		15.1	%		15.3	%		14.7	%		17.1	%		14.9	%		14.4	%


Core operating income The following table presents the reconciliation of Net income to Core operating income:
																Full Year			Full Year
	4Q-19			3Q-19			2Q-19			1Q-19			4Q-18			2019			2018
Net income, as reported	$	1,173		$	1,091		$	1,150		$	1,040		$	355		$	4,454		$	3,962
Amortization of fair value adjustment of acquired invested assets and long-term debt, pre-tax		(29	)		(32	)		(38	)		(41	)		(50	)		(140	)		(215	)
Tax benefit on amortization adjustment		4			8			6			8			8			26			40
Chubb integration expenses, pre-tax		(14	)		(2	)		(4	)		(3	)		(20	)		(23	)		(59	)
Tax benefit on Chubb integration expenses		2			—			1			1			5			4			12
Adjusted realized gains (losses), pre-tax		(55	)		(141	)		(230	)		(96	)		(682	)		(522	)		(649	)
Net realized gains (losses) related to unconsolidated entities, pre-tax ⁽¹⁾		227			41			219			(4	)		139			483			431
Tax (expense) benefit on adjusted net realized gains (losses)		(2	)		(19	)		1			5			20			(15	)		(5	)

Core operating income	$	1,040		$	1,236		$	1,195		$	1,170		$	935		$	4,641		$	4,407

Catastrophe losses—after-tax	$	353		$	191		$	221		$	201		$	506		$	966		$	1,354
Favorable prior period development (PPD)—after-tax	$	(199	)	$	(112	)	$	(152	)	$	(161	)	$	(202	)	$	(624	)	$	(706	)
Core operating income per share	$	2.28		$	2.70		$	2.60		$	2.54		$	2.02		$	10.11		$	9.44
Impact of Cats on Core operating income per share—Unfavorable	$	(0.77	)	$	(0.41	)	$	(0.48	)	$	(0.43	)	$	(1.09	)	$	(2.11	)	$	(2.90	)
Impact of PPD on Core operating income per share—Favorable	$	0.43		$	0.24		$	0.33		$	0.35		$	0.43		$	1.36		$	1.51
Impact of Cats and PPD on Core operating income per share—Unfavorable	$	(0.34	)	$	(0.17	)	$	(0.15	)	$	(0.08	)	$	(0.66	)	$	(0.75	)	$	(1.39	)

(1)	Realized gains (losses) on partially-owned entities, which are investments where we hold more than an insignificant percentage of the investee’s shares. The net income or loss is included in other income (expense).


Reconciliation Non-GAAP 2		Page 31

Chubb Limited

Non-GAAP Financial Measures—3

(in millions of U.S. dollars, except share, per share data, and ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

Core operating ROE

Core operating return on equity (ROE) and Core operating return on tangible equity (ROTE) are annualized non-GAAP financial measures. The numerator includes core operating income, net of tax. The denominator includes the average shareholders’ equity for the period adjusted to exclude unrealized gains (losses) on investments, net of tax. For the ROTE calculation, the denominator is also adjusted to exclude goodwill and other intangible assets, net of tax. These measures enhances the understanding of the return on shareholders’ equity by highlighting the underlying profitability relative to shareholders’ equity and tangible equity excluding the effect of unrealized gains and losses on our investments.


	4Q-19			4Q-18			Full Year 2019			Full Year 2018
Net income	$	1,173		$	355		$	4,454		$	3,962
Core operating income	$	1,040		$	935		$	4,641		$	4,407
Equity—beginning of period, as reported ⁽¹⁾	$	54,572		$	50,934		$	50,300		$	51,172
Less: unrealized gains (losses) on investments, net of deferred tax		2,613			(428	)		(545	)		1,154

Equity—beginning of period, as adjusted	$	51,959		$	51,362		$	50,845		$	50,018

Less: goodwill and other intangible assets, net of tax	$	20,010		$	20,121		$	20,054		$	20,621

Equity—beginning of period, as adjusted ex goodwill and other intangible assets	$	31,949		$	31,241		$	30,791		$	29,397

Equity—end of period, as reported	$	55,331		$	50,312		$	55,331		$	50,312
Less: unrealized gains (losses) on investments, net of deferred tax		2,543			(545	)		2,543			(545	)

Equity—end of period, as adjusted	$	52,788		$	50,857		$	52,788		$	50,857

Less: goodwill and other intangible assets, net of tax		20,012			20,054			20,012			20,054

Equity—end of period, as adjusted ex goodwill and other intangible assets	$	32,776		$	30,803		$	32,776		$	30,803

Weighted average equity, as reported	$	54,952		$	50,623		$	52,816		$	50,742
Weighted average equity, as adjusted	$	52,374		$	51,110		$	51,817		$	50,438
Weighted average equity, as adjusted ex goodwill and other intangible assets	$	32,363		$	31,022		$	31,784		$	30,100
ROE		8.5	%		2.8	%		8.4	%		7.8	%
Core operating ROE		7.9	%		7.3	%		9.0	%		8.7	%
Core operating ROTE		12.8	%		12.1	%		14.6	%		14.6	%
Private equities realized gains (losses), after-tax ⁽²⁾	$	211		$	89		$	434		$	382
Impact of Private equities if included in Core operating ROE - Favorable ⁽²⁾		1.7 pts			0.7 pt			0.8 pt			0.8 pt

Reconciliation of Book Value and Tangible Book Value per Share, excluding mark-to-market
	December 31 2019			December 31 2018			% Change
Book value	$	55,331		$	50,312
Less: unrealized gains (losses) on investments, net of deferred tax		2,543			(545	)

Book value excluding mark-to-market		52,788			50,857
Less: goodwill and other intangible assets, net of tax		20,012			20,054

Tangible book value excluding mark-to-market	$	32,776		$	30,803

Denominator		451,971,567			459,203,378

Book value per share excluding mark-to-market	$	116.80		$	110.75			5.5	%
Tangible book value per share excluding mark-to-market	$	72.52		$	67.08			8.1	%

(1)	January 1, 2019 included a $12 million after-tax reduction to beginning equity related to the adoption of new accounting guidance on premium amortization of purchased callable debt securities.

(2)	We record the change in the fair value mark and gains (losses) on sales of private equity funds as realized gains (losses) instead of investment income.


Reconciliation Non-GAAP 3		Page 32

Chubb Limited

Non-GAAP Financial Measures—4

(in millions of U.S. dollars, except ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

P&C combined ratio

The P&C combined ratio includes the impact of realized gains and losses on crop derivatives. These derivatives were purchased to provide economic benefit, in a manner similar to reinsurance protection, in the event that a significant decline in commodity pricing will impact underwriting results. We view gains and losses on these derivatives as part of the results of our underwriting operations.

The following tables present the calculation of combined ratio, as reported, for each segment to P&C combined ratio, adjusted for catastrophe losses (Cats) and prior period development (PPD).


Q4 2019		North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C
Numerator
Losses and loss expenses
Losses and loss expenses		$	1,968		$	865		$	453		$	1,221		$	107		$	75		$	4,689
Realized (gains) losses on crop derivatives			—			—			—			—			—			—			—

Adjusted losses and loss expenses	A	$	1,968		$	865		$	453		$	1,221		$	107		$	75		$	4,689

Catastrophe losses and related adjustments
Catastrophe losses, net of related adjustments			(102	)		(225	)		(1	)		(87	)		(15	)		—			(430	)
Reinstatement premiums collected (expensed) on catastrophe losses			—			(11	)		—			(4	)		1			—			(14	)

Catastrophe losses, gross of related adjustments			(102	)		(214	)		(1	)		(83	)		(16	)		—			(416	)

PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)			224			7			37			43			(4	)		(74	)		233
Net premiums earned adjustments on PPD—unfavorable (favorable)			—			—			4			—			—			—			4
Expense adjustments—unfavorable (favorable)			—			—			(10	)		—			—			—			(10	)
PPD reinstatement premiums—unfavorable (favorable)			—			—			—			—			(1	)		—			(1	)

PPD, gross of related adjustments—favorable (unfavorable)			224			7			31			43			(5	)		(74	)		226

CAY loss and loss expense ex Cats	B	$	2,090		$	658		$	483		$	1,181		$	86		$	1		$	4,499

Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses	C	$	727		$	315		$	(9	)	$	908		$	51		$	108		$	2,100
Expense adjustments—favorable (unfavorable)			—			—			10			—			—			—			10

Policy acquisition costs and administrative expenses, adjusted	D	$	727		$	315		$	1		$	908		$	51		$	108		$	2,110

Denominator
Net premiums earned	E	$	3,262		$	1,185		$	421		$	2,287		$	167					$	7,322
Reinstatement premiums (collected) expensed on catastrophe losses			—			11			—			4			(1	)					14
Net premiums earned adjustments on PPD—unfavorable (favorable)			—			—			4			—			—						4
PPD reinstatement premiums—unfavorable (favorable)			—			—			—			—			(1	)					(1	)

Net premiums earned excluding adjustments	F	$	3,262		$	1,196		$	425		$	2,291		$	165					$	7,339

P&C combined ratio
Loss and loss expense ratio	A/E		60.3	%		73.0	%		107.6	%		53.3	%		64.2	%					64.0	%
Policy acquisition cost and administrative expense ratio	C/E		22.3	%		26.6	%		-2.2	%		39.8	%		30.4	%					28.7	%

P&C combined ratio			82.6	%		99.6	%		105.4	%		93.1	%		94.6	%					92.7	%

CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted	B/F		64.0	%		55.1	%		113.6	%		51.5	%		52.5	%					61.3	%
Policy acquisition cost and administrative expense ratio, adjusted	D/F		22.4	%		26.3	%		0.3	%		39.7	%		30.8	%					28.7	%

CAY P&C combined ratio ex Cats			86.4	%		81.4	%		113.9	%		91.2	%		83.3	%					90.0	%

Combined ratio
Combined ratio																					92.7	%
Add: impact of gains and losses on crop derivatives																					0.0	%

P&C combined ratio																					92.7	%

Note: The ratios above are calculated using whole U.S. dollars. Accordingly, calculations using rounded amounts may differ. Letters A, B, C, D, E, and F included in the table are references for calculating the ratios above.


Reconciliation Non-GAAP 4		Page 33

Chubb Limited

Non-GAAP Financial Measures—5

(in millions of U.S. dollars, except ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

P&C combined ratio (continued)


Full Year 2019		North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C
Numerator
Losses and loss expenses
Losses and loss expenses		$	8,206		$	3,043		$	1,608		$	4,606		$	352		$	158		$	17,973
Realized (gains) losses on crop derivatives			—			—			8			—			—			—			8

Adjusted losses and loss expenses	A	$	8,206		$	3,043		$	1,616		$	4,606		$	352		$	158		$	17,981

Catastrophe losses and related adjustments
Catastrophe losses, net of related adjustments			(421	)		(554	)		(8	)		(156	)		(48	)		—			(1,187	)
Reinstatement premiums collected (expensed) on catastrophe losses			—			(11	)		—			(4	)		3			—			(12	)

Catastrophe losses, gross of related adjustments			(421	)		(543	)		(8	)		(152	)		(51	)		—			(1,175	)

PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)			649			95			80			92			29			(153	)		792
Net premiums earned adjustments on PPD—unfavorable (favorable)			38			—			36			—			1			—			75
Expense adjustments—unfavorable (favorable)			(3	)		—			(13	)		—			(1	)		—			(17	)
PPD reinstatement premiums—unfavorable (favorable)			(1	)		(4	)		—			1			(1	)		—			(5	)

PPD, gross of related adjustments—favorable (unfavorable)			683			91			103			93			28			(153	)		845

CAY loss and loss expense ex Cats	B	$	8,468		$	2,591		$	1,711		$	4,547		$	329		$	5		$	17,651

Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses	C	$	2,859		$	1,234		$	90		$	3,534		$	204		$	319		$	8,240
Expense adjustments—favorable (unfavorable)			3			—			13			—			1			—			17

Policy acquisition costs and administrative expenses, adjusted	D	$	2,862		$	1,234		$	103		$	3,534		$	205		$	319		$	8,257

Denominator
Net premiums earned	E	$	12,922		$	4,694		$	1,795		$	8,882		$	654					$	28,947
Reinstatement premiums (collected) expensed on catastrophe losses			—			11			—			4			(3	)					12
Net premiums earned adjustments on PPD—unfavorable (favorable)			38			—			36			—			1						75
PPD reinstatement premiums—unfavorable (favorable)			(1	)		(4	)		—			1			(1	)					(5	)

Net premiums earned excluding adjustments	F	$	12,959		$	4,701		$	1,831		$	8,887		$	651					$	29,029

P&C combined ratio
Loss and loss expense ratio	A/E		63.5	%		64.8	%		90.1	%		51.9	%		53.9	%					62.1	%
Policy acquisition cost and administrative expense ratio	C/E		22.1	%		26.3	%		5.0	%		39.7	%		31.1	%					28.5	%

P&C combined ratio			85.6	%		91.1	%		95.1	%		91.6	%		85.0	%					90.6	%

CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted	B/F		65.3	%		55.1	%		93.5	%		51.2	%		50.6	%					60.8	%
Policy acquisition cost and administrative expense ratio, adjusted	D/F		22.1	%		26.3	%		5.6	%		39.7	%		31.5	%					28.4	%

CAY P&C combined ratio ex Cats			87.4	%		81.4	%		99.1	%		90.9	%		82.1	%					89.2	%

Combined ratio
Combined ratio																					90.6	%
Add: impact of gains and losses on crop derivatives																					0.0	%

P&C combined ratio																					90.6	%


Reconciliation Non-GAAP 5		Page 34

Chubb Limited

Non-GAAP Financial Measures—6

(in millions of U.S. dollars, except ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

P&C combined ratio (continued)


Q4 2018		North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C
Numerator
Losses and loss expenses
Losses and loss expenses		$	2,127		$	755		$	156		$	1,166		$	243		$	(19	)	$	4,428
Realized (gains) losses on crop derivatives			—			—			5			—			—			—			5

Adjusted losses and loss expenses	A	$	2,127		$	755		$	161		$	1,166		$	243		$	(19	)	$	4,433

Catastrophe losses and related adjustments
Catastrophe losses, net of related adjustments			(232	)		(116	)		(10	)		(85	)		(142	)		—			(585	)
Reinstatement premiums collected (expensed) on catastrophe losses			—			(26	)		—			—			18			—			(8	)

Catastrophe losses, gross of related adjustments			(232	)		(90	)		(10	)		(85	)		(160	)		—			(577	)

PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)			138			18			33			46			(4	)		22			253
Net premiums earned adjustments on PPD—unfavorable (favorable)			—			—			—			—			1			—			1
Expense adjustments—unfavorable (favorable)			—			—			(6	)		—			—			—			(6	)
PPD reinstatement premiums—unfavorable (favorable)			2			—			—			2			—			—			4

PPD, gross of related adjustments—favorable (unfavorable)			140			18			27			48			(3	)		22			252

CAY loss and loss expense ex Cats	B	$	2,035		$	683		$	178		$	1,129		$	80		$	3		$	4,108

Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses	C	$	682		$	305		$	(4	)	$	849		$	54		$	95		$	1,981
Expense adjustments—favorable (unfavorable)			—			—			6			—			—			—			6

Policy acquisition costs and administrative expenses, adjusted	D	$	682		$	305		$	2		$	849		$	54		$	95		$	1,987

Denominator
Net premiums earned	E	$	3,077		$	1,130		$	318		$	2,187		$	178					$	6,890
Reinstatement premiums (collected) expensed on catastrophe losses			—			26			—			—			(18	)					8
Net premiums earned adjustments on PPD—unfavorable (favorable)			—			—			—			—			1						1
PPD reinstatement premiums—unfavorable (favorable)			2			—			—			2			—						4

Net premiums earned excluding adjustments	F	$	3,079		$	1,156		$	318		$	2,189		$	161					$	6,903

P&C combined ratio
Loss and loss expense ratio	A/E		69.1	%		66.8	%		50.7	%		53.3	%		137.1	%					64.3	%
Policy acquisition cost and administrative expense ratio	C/E		22.2	%		27.0	%		-1.2	%		38.8	%		29.8	%					28.8	%

P&C combined ratio			91.3	%		93.8	%		49.5	%		92.1	%		166.9	%					93.1	%

CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted	B/F		66.1	%		59.1	%		56.0	%		51.6	%		50.1	%					59.5	%
Policy acquisition cost and administrative expense ratio, adjusted	D/F		22.1	%		26.4	%		0.8	%		38.8	%		33.1	%					28.8	%

CAY P&C combined ratio ex Cats			88.2	%		85.5	%		56.8	%		90.4	%		83.2	%					88.3	%

Combined ratio
Combined ratio																					93.0	%
Add: impact of gains and losses on crop derivatives																					0.1	%

P&C combined ratio																					93.1	%


Reconciliation Non-GAAP 6		Page 35

Chubb Limited

Non-GAAP Financial Measures—7

(in millions of U.S. dollars, except ratios)

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

P&C combined ratio (continued)


Full Year 2018		North America Commercial P&C Insurance			North America Personal P&C Insurance			North America Agricultural Insurance			Overseas General Insurance			Global Reinsurance			Corporate			Total P&C
Numerator
Losses and loss expenses
Losses and loss expenses		$	8,000		$	3,229		$	1,111		$	4,429		$	479		$	53		$	17,301
Realized (gains) losses on crop derivatives			—			—			3			—			—			—			3

Adjusted losses and loss expenses	A	$	8,000		$	3,229		$	1,114		$	4,429		$	479		$	53		$	17,304

Catastrophe losses and related adjustments
Catastrophe losses, net of related adjustments			(579	)		(637	)		(21	)		(206	)		(183	)		—			(1,626	)
Reinstatement premiums collected (expensed) on catastrophe losses			—			(26	)		—			—			22			—			(4	)

Catastrophe losses, gross of related adjustments			(579	)		(611	)		(21	)		(206	)		(205	)		—			(1,622	)

PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)			610			(41	)		110			212			50			(45	)		896
Net premiums earned adjustments on PPD—unfavorable (favorable)			29			—			40			—			8			—			77
Expense adjustments—unfavorable (favorable)			7			—			(10	)		—			(1	)		—			(4	)
PPD reinstatement premiums—unfavorable (favorable)			7			1			—			4			—			—			12

PPD, gross of related adjustments—favorable (unfavorable)			653			(40	)		140			216			57			(45	)		981

CAY loss and loss expense ex Cats	B	$	8,074		$	2,578		$	1,233		$	4,439		$	331		$	8		$	16,663

Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses	C	$	2,795		$	1,208		$	70		$	3,360		$	203		$	295		$	7,931
Expense adjustments—favorable (unfavorable)			(7	)		—			10			—			1			—			4

Policy acquisition costs and administrative expenses, adjusted	D	$	2,788		$	1,208		$	80		$	3,360		$	204		$	295		$	7,935

Denominator
Net premiums earned	E	$	12,402		$	4,593		$	1,569		$	8,612		$	670					$	27,846
Reinstatement premiums (collected) expensed on catastrophe losses			—			26			—			—			(22	)					4
Net premiums earned adjustments on PPD—unfavorable (favorable)			29			—			40			—			8						77
PPD reinstatement premiums—unfavorable (favorable)			7			1			—			4			—						12

Net premiums earned excluding adjustments	F	$	12,438		$	4,620		$	1,609		$	8,616		$	656					$	27,939

P&C combined ratio
Loss and loss expense ratio	A/E		64.5	%		70.3	%		71.0	%		51.4	%		71.6	%					62.1	%
Policy acquisition cost and administrative expense ratio	C/E		22.5	%		26.3	%		4.5	%		39.0	%		30.2	%					28.5	%

P&C combined ratio			87.0	%		96.6	%		75.5	%		90.4	%		101.8	%					90.6	%

CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted	B/F		64.9	%		55.8	%		76.7	%		51.5	%		50.5	%					59.6	%
Policy acquisition cost and administrative expense ratio, adjusted	D/F		22.4	%		26.1	%		4.9	%		39.0	%		31.1	%					28.4	%

CAY P&C combined ratio ex Cats			87.3	%		81.9	%		81.6	%		90.5	%		81.6	%					88.0	%

Combined ratio
Combined ratio																					90.6	%
Add: impact of gains and losses on crop derivatives																					0.0	%

P&C combined ratio																					90.6	%


Reconciliation Non-GAAP 7		Page 36

Chubb Limited

Glossary

Chubb Limited Consolidated comprises all segments including Corporate.

P&C combined ratio: The sum of the loss and loss expense ratio, acquisition cost ratio and the administrative expense ratio excluding the life business and including the realized gains and losses on the crop derivatives.

Book value per common share: Shareholders’ equity divided by the shares outstanding.

Tangible book value per common share: Shareholders’ equity less goodwill and other intangible assets, net of tax, divided by the shares outstanding.

Average market yield of fixed maturities: Weighted average yield to maturity of our fixed income portfolio based on the market prices of the holdings as of that date.

Average yield on invested assets: Adjusted net investment income divided by average cost of fixed maturities and other investments, and average market value of equity securities.

Total capitalization: The sum of the short-term debt, long-term debt, trust preferreds, and shareholders’ equity.

Chubb integration expenses: Chubb integration expenses comprise legal and professional fees and all other costs directly related to the integration activities of the Chubb Corp acquisition. Chubb integration expenses are incurred by the overall company and are therefore included in Corporate. These costs are not related to the on-going business activities of the segments and are therefore excluded from our definition of segment income.

Catastrophe losses (Cats): We generally define catastrophe loss events consistent with the definition of the Property Claims Service (PCS) for events in the U.S. and Canada. PCS defines a catastrophe as an event that causes damage of $25 million or more in insured property losses and affects a significant number of insureds. For events outside of the U.S. and Canada, we generally use a similar definition. Catastrophe loss events are events that occurred in the current calendar year only. Changes in catastrophe loss estimates in the current calendar year that relate to loss events that occurred in previous calendar years are considered prior period development.

Prior period development (PPD) arises from changes to loss estimates recognized in the current year that relate to loss events that occurred in previous calendar years and excludes the effect of losses from the development of earned premium from previous accident years.

Reinstatement premiums are additional premiums paid on certain reinsurance agreements in order to reinstate coverage that had been exhausted by loss occurrences. The reinstatement premium amount is typically a pro rata portion of the original ceded premium paid based on how much of the reinsurance limit had been exhausted.

Net premiums earned adjustments within prior period development are adjustments to the initial premium earned on retrospectively rated policies based on actual claim experience that develops after the policy period ends. The premium adjustments correlate to the prior period loss development on these same policies and are fully earned in the period the adjustments are recorded.

Prior period expense adjustments typically relate to either profit commission reserves or policyholder dividend reserves based on actual claim experience that develops after the policy period ends. The expense adjustments correlate to the prior period loss development on these same policies.

NM: Not meaningful.


Glossary		Page 37


	Exhibit Number			Description

	99.1			Press Release, Dated February 4, 2020, Reporting Fourth Quarter and Year-End 2019 Results

	99.2			Fourth Quarter and Year-End 2019 Financial Supplement

	104			Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document)


Chubb Limited

By:		/s/ Philip V. Bancroft
		Philip V. Bancroft
		Executive Vice President and Chief Financial Officer


							(Per Share - Diluted)
	2019		2018		Change		2019		2018		Change
Net income		$1,173		$355		231.0%		$2.57		$0.76		238.2%
Chubb integration expenses, net of tax		12		15		(20.0)%		0.02		0.03		(33.3)%
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax		25		42		(40.5)%		0.06		0.09		(33.3)%
Adjusted net realized (gains) losses, net of tax		(170)		523		NM		(0.37)		1.14		NM
Core operating income, net of tax		$1,040		$935		11.2%		$2.28		$2.02		12.9%


							(Per Share - Diluted)
	2019		2018		Change		2019		2018		Change
Net income		$4,454		$3,962		12.4%		$9.71		$8.49		14.4%
Chubb integration expenses, net of tax		19		47		(59.6)%		0.04		0.10		(60.0)%
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax		114		175		(34.9)%		0.25		0.37		(32.4)%
Adjusted net realized (gains) losses, net of tax		54		223		(75.8)%		0.11		0.48		(77.1)%
Core operating income, net of tax		$4,641		$4,407		5.3%		$10.11		$9.44		7.1%


Chubb Limited (in millions of U.S. dollars except for percentages)		Q4 2019		Q4 2018	Change
P&C
Net premiums written (increase of 9.8% in constant dollars)	$	7,375	$	6,768	9.0%
Underwriting income	$	533	$	476	12.0%
Combined ratio		92.7%		93.1%
Current accident year underwriting income excluding catastrophe losses	$	730	$	808	(9.6)%
Current accident year combined ratio excluding catastrophe losses		90.0%		88.3%

Global P&C (excludes Agriculture)
Net premiums written (increase of 8.9% in constant dollars)	$	7,099	$	6,571	8.0%
Underwriting income	$	556	$	315	76.3%
Combined ratio		91.9%		95.2%
Current accident year underwriting income excluding catastrophe losses	$	789	$	670	17.7%
Current accident year combined ratio excluding catastrophe losses		88.6%		89.8%

North America Agricultural Insurance
Net premiums written	$	276	$	197	40.4%
Underwriting (loss) income	$	(23)	$	161	NM
Combined ratio		105.4%		49.5%
Current accident year underwriting (loss) income excluding catastrophe losses	$	(59)	$	138	NM
Current accident year combined ratio excluding catastrophe losses		113.9%		56.8%


Chubb®, Chubb logo® and Chubb. Insured.^SM are trademarks of Chubb.		1


Chubb Limited (in millions of U.S. dollars except for percentages)		FY 2019		FY 2018	Change
P&C
Net premiums written (increase of 7.0% in constant dollars)	$	29,883	$	28,309	5.6%
Underwriting income	$	2,726	$	2,611	4.4%
Combined ratio		90.6%		90.6%
Current accident year underwriting income excluding catastrophe losses	$	3,121	$	3,341	(6.6)%
Current accident year combined ratio excluding catastrophe losses		89.2%		88.0%

Global P&C (excludes Agriculture)
Net premiums written (increase of 6.6% in constant dollars)	$	28,073	$	26,732	5.0%
Underwriting income	$	2,637	$	2,226	18.5%
Combined ratio		90.3%		91.5%
Current accident year underwriting income excluding catastrophe losses	$	3,104	$	3,045	2.0%
Current accident year combined ratio excluding catastrophe losses		88.6%		88.4%

North America Agricultural Insurance
Net premiums written	$	1,810	$	1,577	14.8%
Underwriting income	$	89	$	385	(77.0)%
Combined ratio		95.1%		75.5%
Current accident year underwriting income excluding catastrophe losses	$	17	$	296	(94.4)%
Current accident year combined ratio excluding catastrophe losses		99.1%		81.6%


Chubb Limited (in millions of U.S. dollars except for percentages)		Q4 2019		Q4 2018	Change
Total North America P&C Insurance
Net premiums written	$	4,885	$	4,413	10.7%
Combined ratio		88.7%		89.0%
Current accident year combined ratio excluding catastrophe losses		87.5%		85.3%

North America Commercial P&C Insurance
Net premiums written	$	3,438	$	3,143	9.4%
Major accounts retail and excess and surplus (E&S) wholesale	$	2,036	$	1,841	10.6%
Middle market and small commercial	$	1,402	$	1,302	7.6%
Combined ratio		82.6%		91.3%
Current accident year combined ratio excluding catastrophe losses		86.4%		88.2%

North America Personal P&C Insurance
Net premiums written	$	1,171	$	1,073	9.2%
Net premiums written adjusted primarily for UPR transfer in 2018					4.6%
Combined ratio		99.6%		93.8%
Current accident year combined ratio excluding catastrophe losses		81.4%		85.5%

North America Agricultural Insurance
Net premiums written	$	276	$	197	40.4%
Combined ratio		105.4%		49.5%
Current accident year combined ratio excluding catastrophe losses		113.9%		56.8%

Overseas General Insurance
Net premiums written	$	2,381	$	2,238	6.3%
Net premiums written in constant dollars					8.8%
Combined ratio		93.1%		92.1%
Current accident year combined ratio excluding catastrophe losses		91.2%		90.4%


	December 31 2019		December 31 2018
Assets
Investments	$	109,234	$	100,968
Cash		1,537		1,247
Insurance and reinsurance balances receivable		10,357		10,075
Reinsurance recoverable on losses and loss expenses		15,181		15,993
Goodwill and other intangible assets		21,359		21,414
Other assets		19,275		18,074

Total assets	$	176,943	$	167,771


Liabilities
Unpaid losses and loss expenses	$	62,690	$	62,960
Unearned premiums		16,771		15,532
Other liabilities		42,151		38,967

Total liabilities	$	121,612	$	117,459


Shareholders’ equity
Total shareholders’ equity		55,331		50,312

Total liabilities and shareholders’ equity	$	176,943	$	167,771


Book value per common share	$	122.42	$	109.56
Tangible book value per common share	$	78.14	$	65.89
Book value per common share excluding cumulative translation losses ⁽¹⁾	$	126.71	$	113.87
Tangible book value per common share excluding cumulative translation losses ⁽¹⁾	$	81.16	$	68.87


	Three Months Ended						Year Ended
	December 31						December 31
	2019			2018			2019			2018
Gross premiums written	$	9,934		$	9,252		$	40,124		$	37,968
Net premiums written		7,997			7,350			32,275			30,579
Net premiums earned		7,935			7,465			31,290			30,064
Losses and loss expenses		4,865			4,610			18,730			18,067
Policy benefits		225			162			740			590
Policy acquisition costs		1,542			1,480			6,153			5,912
Administrative expenses		810			728			3,030			2,886
Net investment income		858			848			3,426			3,305
Net realized gains (losses)		(55	)		(687	)		(530	)		(652	)
Interest expense		134			153			552			641
Other income (expense):
Gains (losses) from separate account assets		24			(20	)		44			(38	)
Other		246			147			552			472
Amortization of purchased intangibles		76			86			305			339
Chubb integration expenses		14			20			23			59
Income tax expense		169			159			795			695

Net income	$	1,173		$	355		$	4,454		$	3,962


Diluted earnings per share:
Net income	$	2.57		$	0.76		$	9.71		$	8.49
Core operating income	$	2.28		$	2.02		$	10.11		$	9.44

Weighted average diluted shares outstanding		455.9			463.4			458.9			466.8



P&C combined ratio
Loss and loss expense ratio		64.0%			64.3%			62.1%			62.1%
Policy acquisition cost ratio		18.8%			19.3%			19.1%			19.2%
Administrative expense ratio		9.9%			9.5%			9.4%			9.3%

P&C combined ratio		92.7%			93.1%			90.6%			90.6%

P&C underwriting income	$	533		$	476		$	2,726		$	2,611