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Consolidated Statements Of Cash Flows - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Cash flows from operating activities    
Net income $ 1,623 $ 1,513
Adjustments to reconcile net income to net cash flows from operating activities    
Net realized (gains) losses (37) 177
Amortization of premiums/discounts on fixed maturities 71 115
Deferred income taxes 108 117
Unpaid losses and loss expenses (87) (493)
Unearned premiums 420 594
Future policy benefits 114 139
Insurance and reinsurance balances payable 532 142
Accounts payable, accrued expenses, and other liabilities 48 37
Income taxes payable (120) (56)
Insurance and reinsurance balances receivable (332) (244)
Reinsurance recoverable on losses and loss expenses 55 546
Reinsurance recoverable on policy benefits 16 (14)
Deferred policy acquisition costs (236) (228)
Prepaid reinsurance premiums (261) (171)
Other (23) (78)
Net cash flows from operating activities 1,891 2,096
Cash flows from investing activities    
Purchases of fixed maturities available for sale (9,179) (7,960)
Purchases of to be announced mortgage-backed securities (31) 0
Purchases of fixed maturities held to maturity (24) (129)
Purchases of equity securities (70) (64)
Sales of fixed maturities available for sale 3,611 3,842
Proceeds From Sales To Be Announced Mortgage Backed Securities 31 0
Sales of equity securities 102 45
Maturities and redemptions of fixed maturities available for sale 3,691 3,163
Maturities and redemptions of fixed maturities held to maturity 470 414
Net change in short-term investments 228 (295)
Net derivative instruments settlements (33) (185)
Payments to Acquire Businesses, Net of Cash Acquired 255 (172)
Other (71) (118)
Net cash flows used for investing activities (1,020) (1,459)
Cash flows from financing activities    
Dividends paid on Common Shares (427) (428)
Common Shares repurchased (750) (557)
Proceeds from issuance of long-term debt 800 699
Proceeds from issuance of short-term debt 1,327 977
Repayments of Long-term Debt (450) (500)
Repayment of short-term debt (1,327) (977)
Proceeds from share-based compensation plans, including windfall tax benefits 46 75
Policyholder contract deposits 235 125
Policyholder contract withdrawals (107) (33)
Other (6) (6)
Net cash flows used for financing activities (659) (625)
Effect of foreign currency rate changes on cash and cash equivalents (77) 3
Net increase in cash 135 15
Cash – beginning of period 655 [1],[2] 579 [3]
Cash – end of period 790 [2],[4] 594 [3]
Supplemental cash flow information    
Taxes paid 263 148
Interest paid $ 127 $ 134
[1] ACE maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various ACE entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual ACE accounts are translated daily into a single currency and pooled on a notional basis. Individual ACE entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At December 31, 2014, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[2] ACE maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various ACE entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual ACE accounts are translated daily into a single currency and pooled on a notional basis. Individual ACE entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2015 and December 31, 2014, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[3] ACE maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various ACE entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual ACE accounts are translated daily into a single currency and pooled on a notional basis. Individual ACE entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2014 and December 31, 2013, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.
[4] ACE maintains two notional multicurrency cash pools (Pools) with a third-party bank. Various ACE entities participate in one or the other of the Pools, pursuant to which credit and debit balances in individual ACE accounts are translated daily into a single currency and pooled on a notional basis. Individual ACE entities are permitted to overdraw on their individual accounts provided the overall Pool balances do not fall below zero. At June 30, 2015, the cash balance of one or more entities was negative; however, the overall Pool balances were positive.