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Debt | 12 Months Ended
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Dec. 31, 2018
Debt Disclosure [Abstract] |
Debt | Debt
| December 31 |  |  | December 31 |  |  |
(in millions of U.S. dollars) | 2018 |  |  | 2017 |  |  | Early Redemption Option
Repurchase agreements (weighted average interest rate of 2.5% in 2018 and 1.5% in 2017) | $ | 1,418 |  |  | $ | 1,408 |  |  | None
Short-term debt |  |  |  |  |
Chubb INA senior notes: |  |  |  |  |
$300 million 5.8% due March 2018 | $ | — |  |  | $ | 300 |  |  | Make-whole premium plus 0.35%
$600 million 5.75% due May 2018 | — |  |  | 610 |  |  | Make-whole premium plus 0.30%
$100 million 6.6% due August 2018 | — |  |  | 103 |  |  | None
$500 million 5.9% due June 2019 | 500 |  |  | — |  |  | Make-whole premium plus 0.40%
Other short-term debt (7.1% due December 2019) | 9 |  |  | — |  |  | None
Total short-term debt | $ | 509 |  |  | $ | 1,013 |  |  |
Long-term debt |  |  |  |  |
Chubb INA senior notes: |  |  |  |  |
$500 million 5.9% due June 2019 | $ | — |  |  | $ | 499 |  |  | Make-whole premium plus 0.40%
$1,300 million 2.3% due November 2020 | 1,297 |  |  | 1,296 |  |  | Make-whole premium plus 0.15%
$1,000 million 2.875% due November 2022 | 996 |  |  | 995 |  |  | Make-whole premium plus 0.20%
$475 million 2.7% due March 2023 | 473 |  |  | 472 |  |  | Make-whole premium plus 0.10%
$700 million 3.35% due May 2024 | 696 |  |  | 695 |  |  | Make-whole premium plus 0.15%
$800 million 3.15% due March 2025 | 796 |  |  | 795 |  |  | Make-whole premium plus 0.15%
$1,500 million 3.35% due May 2026 | 1,491 |  |  | 1,489 |  |  | Make-whole premium plus 0.20%
€900 million 1.55% due March 2028 | 1,008 |  |  | — |  |  | Make-whole premium plus 0.15%
$100 million 8.875% due August 2029 | 100 |  |  | 100 |  |  | None
$200 million 6.8% due November 2031 | 250 |  |  | 254 |  |  | Make-whole premium plus 0.25%
$300 million 6.7% due May 2036 | 297 |  |  | 297 |  |  | Make-whole premium plus 0.20%
$800 million 6.0% due May 2037 | 962 |  |  | 971 |  |  | Make-whole premium plus 0.20%
€900 million 2.5% due March 2038 | 1,008 |  |  | — |  |  | Make-whole premium plus 0.25%
$600 million 6.5% due May 2038 | 759 |  |  | 768 |  |  | Make-whole premium plus 0.30%
$475 million 4.15% due March 2043 | 470 |  |  | 469 |  |  | Make-whole premium plus 0.15%
$1,500 million 4.35% due November 2045 | 1,483 |  |  | 1,482 |  |  | Make-whole premium plus 0.25%
Chubb INA $1,000 million 6.375% capital securities due March 2067(1) | — |  |  | 964 |  |  | Make-whole premium plus 0.25%-0.50%
Other long-term debt (2.75% to 7.1% due December 2019 to September 2020) | 1 |  |  | 10 |  |  | None
Total long-term debt | $ | 12,087 |  |  | $ | 11,556 |  |  |
Trust preferred securities |  |  |  |  |
Chubb INA capital securities due April 2030 | $ | 308 |  |  | $ | 308 |  |  | Redemption prices(2)
(1) | 6.375% interest rate through April 14, 2017; interest rate equal to three-month LIBOR rate plus 2.25% thereafter.
(2) | Redemption prices are equal to accrued and unpaid interest to the redemption date plus the greater of (i) 100 percent of the principal amount thereof, or (ii) sum of present value of scheduled payments of principal and interest on the capital securities from the redemption date to April 1, 2030.
a) Repurchase agreements Chubb has executed repurchase agreements with certain counterparties under which Chubb agreed to sell securities and repurchase them at a future date for a predetermined price. b) Short-term debt Short-term debt comprises the current maturities of our long-term debt instruments described below. These short-term debt instruments were reclassified from long-term debt during 2018 and are reflected in the table above. Chubb INA Holdings Inc.'s (Chubb INA) $300 million of 5.8 percent senior notes due March 2018, $600 million of 5.75 percent senior notes due May 2018, and $100 million of 6.6 percent senior notes due August 2018 were paid upon maturity. c) Long-term debt Certain of Chubb INA's senior notes and capital securities are redeemable at any time at Chubb INA's option subject to the provisions described in the table above. A "make-whole" premium is the present value of the remaining principal and interest discounted at the applicable U.S. Treasury rate. The senior notes and capital securities are also redeemable at par plus accrued and unpaid interest in the event of certain changes in tax law. The senior notes do not have the benefit of any sinking fund. These senior unsecured notes are guaranteed on a senior basis by Chubb Limited and they rank equally with all of Chubb's other senior obligations. They also contain customary limitations on lien provisions as well as customary events of default provisions which, if breached, could result in the accelerated maturity of such senior debt. In March 2018, Chubb INA issued €900 million ($1.1 billion based on the foreign exchange rate at the date of issuance) of 1.55 percent Euro denominated senior notes due March 2028 and €900 million ($1.1 billion based on the foreign exchange rate at the date of issuance) of 2.5 percent Euro denominated senior notes due March 2038. These senior notes are redeemable at any time at Chubb INA's option subject to a “make-whole” premium (the present value of the remaining principal and interest discounted at the applicable comparable government bond rate plus 0.15 percent for the senior notes due 2028 and 0.25 percent for the senior notes due 2038). The notes are also redeemable at par plus accrued and unpaid interest in the event of certain changes in tax law. These notes do not have the benefit of any sinking fund. These senior unsecured notes are guaranteed on a senior basis by Chubb and they rank equally with all of Chubb's other senior obligations. They also contain customary limitations on lien provisions as well as customary events of default provisions which, if breached, could result in the accelerated maturity of such senior debt. During April 2018, we redeemed $1.0 billion of 6.375 percent unsecured junior subordinated capital securities with the final maturity date of March 2067 and recorded a loss of $36 million from the extinguishment of debt, which is included in Net realized gains (losses) in the Consolidated statement of operations. d) Trust preferred securities In March 2000, ACE Capital Trust II, a Delaware statutory business trust, publicly issued $300 million of 9.7 percent Capital Securities (the Capital Securities) due to mature in April 2030. At the same time, Chubb INA purchased $9.2 million of common securities of ACE Capital Trust II. The sole assets of ACE Capital Trust II consist of $309 million principal amount of 9.7 percent Junior Subordinated Deferrable Interest Debentures (the Subordinated Debentures) issued by Chubb INA due to mature in April 2030. Distributions on the Capital Securities are payable semi-annually and may be deferred for up to ten consecutive semi-annual periods (but no later than April 1, 2030). Any deferred payments would accrue interest compounded semi-annually if Chubb INA defers interest on the Subordinated Debentures. Interest on the Subordinated Debentures is payable semi-annually. Chubb INA may defer such interest payments (but no later than April 1, 2030), with such deferred payments accruing interest compounded semi-annually. The Capital Securities and the ACE Capital Trust II Common Securities will be redeemed upon repayment of the Subordinated Debentures. Chubb Limited has guaranteed, on a subordinated basis, Chubb INA's obligations under the Subordinated Debentures, and distributions and other payments due on the Capital Securities. These guarantees, when taken together with Chubb's obligations under expense agreements entered into with ACE Capital Trust II, provide a full and unconditional guarantee of amounts due on the Capital Securities.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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