EX-99.2 3 d695035dex992.htm EX-99.2

EX-99.2

Exhibit 99.2

Chubb Limited

Financial Supplement

for the Quarter Ended March 31, 2019

Investor Contact

Karen Beyer: (212) 827-4445

email: investorrelations@chubb.com

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 - 9
III.		Segment Results
		- North America Commercial P&C Insurance		10
		- North America Personal P&C Insurance		11
		- North America Agricultural Insurance		12
		- Overseas General Insurance		13
		- Global Reinsurance		14
		- Life Insurance		15
		- Corporate		16
IV.		Balance Sheet Details
		- Loss Reserve Rollforward		17
		- Reinsurance Recoverable Analysis		18
		- Investment Portfolio		19 - 22
		- Net Realized and Unrealized Gains (Losses)		23
		- Debt and Capital		24
		- Computation of Basic and Diluted Earnings Per Share		25
		- Book Value and Book Value per Common Share		26
V.		Other Disclosures
		- Non-GAAP Financial Measures		27 - 30
		- Glossary		31

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 March 31												Constant $				Constant $
		2019				2018				% Change				2018				% Change
Gross premiums written		$	9,111			$	8,733				4.3	%		$	8,571				6.3	%
Net premiums written		$	7,313			$	7,104				2.9	%		$	6,960				5.1	%
P&C net premiums written		$	6,734			$	6,545				2.9	%		$	6,409				5.1	%
Global P&C net premiums written		$	6,604			$	6,437				2.6	%		$	6,301				4.8	%
Net premiums earned		$	7,137			$	7,027				1.6	%		$	6,886				3.6	%
Net investment income (1)		$	836			$	806				3.7	%		$	799				4.6	%
Adjusted net investment income (1)		$	882			$	877				0.6	%		$	870				1.3	%
Interest expense (2)		$	140			$	157				-10.8	%		$	157				-10.8	%
Adjusted interest expense (2)		$	145			$	169				-14.2	%		$	169				-14.2	%
Core operating income		$	1,170			$	1,097				6.7	%		$	1,074				9.0	%
Net income		$	1,040			$	1,082				-3.9	%
Operating cash flow		$	1,322			$	551
P&C combined ratio
Loss and loss expense ratio			59.3	%			60.0	%
Policy acquisition cost and administrative expense ratio			29.9	%			30.1	%
Combined ratio			89.2	%			90.1	%
Current Accident Year (CAY) P&C combined ratio ex Catastrophe losses (Cats)
CAY loss and loss expense ratio ex Cats			58.6	%			57.7	%
CAY policy acquisition cost and administrative expense ratio ex Cats			29.9	%			29.9	%
CAY combined ratio ex Cats			88.5	%			87.6	%
ROE			8.1	%			8.4	%
Core operating return on equity (ROE)			9.2	%			8.7	%
Core operating return on tangible equity (ROTE)			15.1	%			14.6	%
Effective tax rate			15.3	%			11.1	%
Core operating effective tax rate			14.7	%			12.0	%
Diluted earnings per share
Net income		$	2.25			$	2.30				-2.2	%
Core operating income		$	2.54			$	2.34				8.5	%
Weighted average basic common shares outstanding			458.8				465.7
Weighted average diluted common shares outstanding			461.5				469.5
						December 31 2018				% Change 1Q-19 vs. 4Q-18
Book value per common share		$	114.27			$	109.56				4.3	%
Tangible book value per common share		$	70.46			$	65.89				6.9	%
Total hybrid & financial debt/capitalization			19.8	%			20.4	%

(1) Q1 2019 includes $2 million of interest income on notional pool programs, compared with $24 million prior year.

(2) Q1 2019 includes $nil of interest expense on notional pool programs, compared with $22 million prior year.

Financial Highlights Page 1

Chubb Limited

Statement of Operations—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

		Consolidated Statements of Operations
				1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
		Gross premiums written		$	9,111			$	9,252			$	10,054			$	9,929			$	8,733			$	37,968
		Net premiums written			7,313				7,350				8,110				8,015				7,104				30,579
		Net premiums earned			7,137				7,465				7,908				7,664				7,027				30,064
(1)		Adjusted losses and loss expenses			4,099				4,615				4,876				4,479				4,100				18,070
		Realized (gains) losses on crop derivatives			1				5				8				(8	)			(2	)			3
		Losses and loss expenses			4,098				4,610				4,868				4,487				4,102				18,067
		Policy benefits			196				162				127				150				151				590
		Policy acquisition costs			1,464				1,480				1,504				1,464				1,464				5,912
		Administrative expenses			710				728				719				747				692				2,886
(2)		Adjusted net investment income			882				903				883				890				877				3,553
		Amortization expense of fair value adjustment on acquired invested assets			(46	)			(55	)			(60	)			(62	)			(71	)			(248	)
		Net investment income			836				848				823				828				806				3,305
(3)		Adjusted realized gains (losses)			(96	)			(682	)			27				10				(4	)			(649	)
		Realized gains (losses) on crop derivatives			(1	)			(5	)			(8	)			8				2				(3	)
		Net realized gains (losses)			(97	)			(687	)			19				18				(2	)			(652	)
(4)		Adjusted interest expense			145				158				170				177				169				674
		Amortization benefit of fair value adjustment on acquired long term debt			(5	)			(5	)			(6	)			(10	)			(12	)			(33	)
		Interest expense			140				153				164				167				157				641
		Gains (losses) from fair value changes in separate account assets			30				(20	)			(14	)			(10	)			6				(38	)
		Net realized gains (losses) related to unconsolidated entities			(4	)			139				152				96				44				431
		Other income (expense)—operating			13				8				7				29				(3	)			41
		Other income (expense)			39				127				145				115				47				434
		Amortization expense of purchased intangibles			76				86				83				85				85				339
		Chubb integration expenses			3				20				16				13				10				59
		Income tax expense			188				159				183				218				135				695
		Net income		$	1,040			$	355			$	1,231			$	1,294			$	1,082			$	3,962

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

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

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

(4) Adjusted interest expense used throughout this report excludes Amortization benefit of fair value adjustment on acquired long term debt.

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
		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
P&C Underwriting income (Including Corporate and excluding Life Insurance)
Gross premiums written		$	8,500			$	8,638			$	9,455			$	9,330			$	8,141			$	35,564
Net premiums written			6,734				6,768				7,546				7,450				6,545				28,309
Net premiums earned			6,576				6,890				7,357				7,112				6,487				27,846
Adjusted losses and loss expenses			3,897				4,433				4,681				4,295				3,895				17,304
Policy acquisition costs			1,336				1,328				1,365				1,326				1,336				5,355
Administrative expenses			631				653				642				667				614				2,576
P&C Underwriting income		$	712			$	476			$	669			$	824			$	642			$	2,611
P&C CAY Underwriting income ex Cats		$	758			$	808			$	876			$	844			$	813			$	3,341
% Change versus prior year period
Net premiums written			2.9	%			4.2	%			2.5	%			5.6	%			5.8	%			4.4	%
Net premiums written excluding merger-related actions							4.3	%			2.9	%			6.2	%			6.6	%			4.9	%
Net premiums earned			1.4	%			3.4	%			1.0	%			5.8	%			3.5	%			3.4	%
Net premiums written constant $			5.1	%			5.8	%			2.8	%			4.1	%			3.4	%			4.0	%
Net premiums written constant $ excluding merger-related actions							6.0	%			3.3	%			4.7	%			4.1	%			4.5	%
Net premiums earned constant $			3.5	%			4.9	%			1.4	%			4.0	%			1.6	%			3.0	%
P&C combined ratio
Loss and loss expense ratio			59.3	%			64.3	%			63.6	%			60.4	%			60.0	%			62.1	%
Policy acquisition cost ratio			20.3	%			19.3	%			18.6	%			18.6	%			20.6	%			19.2	%
Administrative expense ratio			9.6	%			9.5	%			8.7	%			9.4	%			9.5	%			9.3	%
Combined ratio			89.2	%			93.1	%			90.9	%			88.4	%			90.1	%			90.6	%
CAY P&C combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			58.6	%			59.5	%			61.1	%			60.0	%			57.7	%			59.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats			29.9	%			28.8	%			27.1	%			28.1	%			29.9	%			28.4	%
CAY combined ratio ex Cats			88.5	%			88.3	%			88.2	%			88.1	%			87.6	%			88.0	%
Other ratios
Net premiums written/gross premiums written			79	%			78	%			80	%			80	%			80	%			80	%
Expense ratio			29.9	%			28.8	%			27.3	%			28.0	%			30.1	%			28.5	%
Expense ratio excluding A&H			28.0	%			26.6	%			25.2	%			25.9	%			27.9	%			26.4	%
Catastrophe reinstatement premiums (expensed) collected—pre-tax		$	—			$	(8	)		$	4			$	—			$	—			$	(4	)
Catastrophe losses—pre-tax		$	250			$	577			$	454			$	211			$	380			$	1,622
Impact of catastrophe losses on P&C combined ratio			3.8	%			8.5	%			6.1	%			3.0	%			5.8	%			5.9	%
Favorable prior period development (PPD)—pre-tax		$	(204	)		$	(253	)		$	(243	)		$	(191	)		$	(209	)		$	(896	)

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 10), North America Personal P&C Insurance segment (refer to page 11), Overseas General Insurance segment (refer to page 13), Global Reinsurance segment (refer to page 14), and Corporate (refer to page 16). Global P&C excludes the North America Agricultural Insurance and Life Insurance segments.

Global P&C (Including Corporate and excluding Agriculture)
		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Global P&C Underwriting income
Gross premiums written		$	8,281			$	8,365			$	8,185			$	8,787			$	7,936			$	33,273
Net premiums written			6,604				6,571				6,662				7,062				6,437				26,732
Net premiums earned			6,521				6,572				6,500				6,761				6,444				26,277
Adjusted losses and loss expenses			3,923				4,272				3,954				4,014				3,950				16,190
Policy acquisition costs			1,329				1,323				1,316				1,300				1,337				5,276
Administrative expenses			630				662				640				666				617				2,585
Global P&C Underwriting income		$	639			$	315			$	590			$	781			$	540			$	2,226
Global P&C CAY Underwriting income ex Cats		$	744			$	670			$	790			$	799			$	786			$	3,045
% Change versus prior year period
Net premiums written			2.6	%			3.2	%			3.5	%			6.1	%			5.1	%			4.5	%
Net premiums written excluding merger-related actions							3.3	%			4.0	%			6.8	%			5.9	%			5.0	%
Net premiums earned			1.2	%			2.5	%			1.8	%			6.0	%			3.1	%			3.3	%
Net premiums written constant $			4.8	%			4.8	%			3.9	%			4.6	%			2.6	%			4.0	%
Net premiums written constant $ excluding merger-related actions							5.0	%			4.4	%			5.2	%			3.4	%			4.5	%
Net premiums earned constant $			3.3	%			4.0	%			2.2	%			4.1	%			1.2	%			2.9	%
Combined ratio
Loss and loss expense ratio			60.2	%			65.0	%			60.8	%			59.4	%			61.3	%			61.6	%
Policy acquisition cost ratio			20.4	%			20.1	%			20.2	%			19.2	%			20.8	%			20.1	%
Administrative expense ratio			9.6	%			10.1	%			9.9	%			9.8	%			9.5	%			9.8	%
Combined ratio			90.2	%			95.2	%			90.9	%			88.4	%			91.6	%			91.5	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			58.5	%			59.7	%			58.1	%			59.0	%			57.6	%			58.6	%
CAY policy acquisition cost and administrative expense ratio ex Cats			30.1	%			30.1	%			29.8	%			29.2	%			30.2	%			29.8	%
CAY combined ratio ex Cats			88.6	%			89.8	%			87.9	%			88.2	%			87.8	%			88.4	%
Other ratios
Net premiums written/gross premiums written			80	%			79	%			81	%			80	%			81	%			80	%
Expense ratio			30.0	%			30.2	%			30.1	%			29.0	%			30.3	%			29.9	%
Expense ratio excluding A&H			28.1	%			28.2	%			28.1	%			27.0	%			28.2	%			27.8	%
Catastrophe reinstatement premiums (expensed) collected—pre-tax		$	—			$	(8	)		$	4			$	—			$	—			$	(4	)
Catastrophe losses—pre-tax		$	248			$	567			$	446			$	209			$	379			$	1,601
Favorable prior period development (PPD)—pre-tax		$	(143	)		$	(220	)		$	(242	)		$	(191	)		$	(133	)		$	(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—Q1 2019
		North America Commercial P&C Insurance				North America Personal P&C Insurance				North America Agricultural Insurance				Overseas General Insurance				Global Reinsurance				Total Consolidated including Reinstatement premiums
Catastrophe Loss Charges by Event—Net
Winter-related storms		$	70			$	119			$	2			$	—			$	—			$	191
U.S. flooding, hail, tornadoes, and wind events			24				10				—				—				—				34
Australia storms			—				—				—				21				—				21
Other			—				—				—				4				—				4
Total before income tax		$	94			$	129			$	2			$	25			$	—			$	250
Income tax benefit																							49
Total after income tax																						$	201

Note: The above table represents catastrophe loss estimates for 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 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)

		March 31				December 31
		2019				2018
Assets
Fixed maturities available for sale, at fair value		$	80,663			$	78,470
Fixed maturities held to maturity, at amortized cost			13,136				13,435
Equity securities, at fair value			821				770
Short-term investments, at fair value			3,078				3,016
Other investments			5,562				5,277
Total investments			103,260				100,968
Cash			1,271				1,247
Securities lending collateral			1,861				1,926
Insurance and reinsurance balances receivable			9,826				10,075
Reinsurance recoverable on losses and loss expenses			16,137				15,993
Deferred policy acquisition costs			5,008				4,922
Value of business acquired			289				295
Prepaid reinsurance premiums			2,698				2,544
Goodwill and other intangible assets			21,419				21,414
Investments in partially-owned insurance companies			708				678
Other assets			8,870				7,709
Total assets		$	171,347			$	167,771
Liabilities
Unpaid losses and loss expenses		$	63,143			$	62,960
Unearned premiums			15,909				15,532
Future policy benefits			5,552				5,506
Insurance and reinsurance balances payable			6,469				6,437
Securities lending payable			1,861				1,926
Accounts payable, accrued expenses, and other liabilities			12,629				11,890
Deferred tax liabilities			541				304
Short-term debt			509				509
Long-term debt			12,071				12,087
Trust preferred securities			308				308
Total liabilities			118,992				117,459
Shareholders’ equity
Total shareholders’ equity, excl. AOCI			53,125				52,760
Accumulated other comprehensive income (loss) (AOCI)			(770	)			(2,448	)
Total shareholders’ equity			52,355				50,312
Total liabilities and shareholders’ equity		$	171,347			$	167,771
Book value per common share		$	114.27			$	109.56
% change over prior quarter			4.3	%			-0.8	%
Tangible book value per common share		$	70.46			$	65.89
% change over prior quarter			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)

		1Q-19				1Q-18				% Change				Constant $ % Change
Net premiums written
Commercial multiple peril (1)		$	219			$	200				9.0	%			9.0	%
Commercial casualty			1,200				1,101				8.9	%			10.4	%
Workers’ compensation			593				622				-4.6	%			-4.6	%
Professional liability			786				773				1.7	%			3.4	%
Surety			152				161				-5.4	%			-2.5	%
Property and other short-tail lines			1,157				1,087				6.6	%			9.4	%
Total Commercial P&C (2)			4,107				3,944				4.2	%			5.7	%
Agriculture			130				108				19.9	%			19.9	%
Personal automobile			421				398				6.0	%			7.9	%
Personal homeowners			743				738				0.6	%			1.1	%
Personal other			368				387				-4.9	%			-1.0	%
Total Personal lines			1,532				1,523				0.6	%			2.3	%
Total Property and Casualty lines			5,769				5,575				3.5	%			5.1	%
Global A&H lines (3)			1,073				1,072				0.1	%			5.0	%
Reinsurance lines			202				193				4.4	%			6.4	%
Life			269				264				1.6	%			4.1	%
Total consolidated		$	7,313			$	7,104				2.9	%			5.1	%

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

(2) Q1 2018 included a reclassification of $44 million from Commercial casualty, $2 million from Workers’ compensation, and $1 million from Commercial multiple peril to Property and other short-tail lines 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

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

(Unaudited)

Q1 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		$	2,951			$	1,056			$	130			$	2,395			$	202			$	—			$	6,734			$	579			$	7,313
Net premiums earned			3,085				1,154				55				2,114				168				—				6,576				561				7,137
Adjusted losses and loss expenses			1,973				757				(26	)			1,106				76				11				3,897				202				4,099
Policy benefits			—				—				—				—				—				—				—				196				196
(Gains) losses from fair value changes in separate account assets (1)			—				—				—				—				—				—				—				(30	)			(30	)
Policy acquisition costs			459				231				7				596				43				—				1,336				128				1,464
Administrative expenses			240				68				1				249				10				63				631				79				710
Underwriting income (loss)			413				98				73				163				39				(74	)			712				(14	)			698
Adjusted net investment income			510				64				10				144				56				9				793				89				882
Other income (expense)—operating (1)			5				—				—				(4	)			9				(7	)			3				10				13
Amortization expense of purchased intangibles			—				(3	)			(7	)			(11	)			—				(55	)			(76	)			—				(76	)
Segment income (loss)		$	928			$	159			$	76			$	292			$	104			$	(127	)		$	1,432			$	85			$	1,517
Adjusted interest expense																							(145	)											(145	)
Income tax expense																							(202	)											(202	)
Core operating income (loss)																							(474	)											1,170
Chubb integration expenses, net of $1 million tax benefit																							(2	)											(2	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $8 million tax benefit																							(33	)											(33	)
Adjusted net realized gains (losses), net of $5 million tax benefit (2)																							(95	)											(95	)
Net income (loss)																						$	(604	)										$	1,040
Combined ratio			86.6	%			91.5	%			NM				92.3	%			76.8	%							89.2	%
CAY combined ratio ex Cats			87.8	%			81.1	%			83.9	%			91.3	%			81.5	%							88.5	%

(1) For the Life Insurance segment, (Gains) losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP have been reclassified for underwriting income (loss) presentation from Other income (expense)—operating.

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

Consol Results 2019 Page 8

Chubb Limited

Consolidated Results

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

(Unaudited)

Q1 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		$	2,812			$	1,048			$	108			$	2,384			$	193			$	—			$	6,545			$	559			$	7,104
Net premiums earned			3,029				1,140				43				2,107				168				—				6,487				540				7,027
Adjusted losses and loss expenses			1,908				886				(55	)			1,078				67				11				3,895				205				4,100
Policy benefits			—				—				—				—				—				—				—				151				151
(Gains) losses from fair value changes in separate account assets (1)			—				—				—				—				—				—				—				(6	)			(6	)
Policy acquisition costs			472				237				(1	)			588				40				—				1,336				128				1,464
Administrative expenses			231				65				(3	)			239				10				72				614				78				692
Underwriting income (loss)			418				(48	)			102				202				51				(83	)			642				(16	)			626
Adjusted net investment income			503				59				7				151				64				10				794				83				877
Other income (expense)—operating (1)			6				—				—				(7	)			7				(7	)			(1	)			(2	)			(3	)
Amortization expense of purchased intangibles			—				(3	)			(7	)			(10	)			—				(64	)			(84	)			(1	)			(85	)
Segment income (loss)		$	927			$	8			$	102			$	336			$	122			$	(144	)		$	1,351			$	64			$	1,415
Adjusted interest expense																							(169	)											(169	)
Income tax expense																							(149	)											(149	)
Core operating income (loss)																							(462	)											1,097
Chubb integration expenses, net of $2 million tax benefit																							(8	)											(8	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of $9 million tax benefit																							(50	)											(50	)
Adjusted net realized gains (losses), net of $3 million tax benefit (2)																							43												43
Net income (loss)																						$	(477	)										$	1,082
Combined ratio			86.2	%			104.2	%			NM				90.4	%			69.5	%							90.1	%
CAY combined ratio ex Cats			87.0	%			79.7	%			67.7	%			90.7	%			77.0	%							87.6	%

(1) For the Life Insurance segment, (Gains) losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP have been reclassified for underwriting income (loss) presentation from Other income (expense)—operating.

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

Consol Results 2018 Page 9

Chubb Limited

Segment Results—Consecutive Quarters

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

(Unaudited)

North America Commercial P&C Insurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	3,977			$	4,228			$	4,108			$	4,322			$	3,678			$	16,336
Net premiums written			2,951				3,143				3,199				3,331				2,812				12,485
Net premiums earned			3,085				3,077				3,019				3,277				3,029				12,402
Losses and loss expenses			1,973				2,127				1,881				2,084				1,908				8,000
Policy acquisition costs			459				451				458				448				472				1,829
Administrative expenses			240				231				251				253				231				966
Underwriting income			413				268				429				492				418				1,607
Net investment income			510				517				503				510				503				2,033
Other income (expense)—operating			5				5				1				13				6				25
Segment income		$	928			$	790			$	933			$	1,015			$	927			$	3,665
CAY Underwriting income ex Cats		$	376			$	362			$	409			$	410			$	395			$	1,576
Combined ratio
Loss and loss expense ratio			63.9	%			69.1	%			62.3	%			63.6	%			63.0	%			64.5	%
Policy acquisition cost ratio			14.9	%			14.7	%			15.2	%			13.7	%			15.6	%			14.7	%
Administrative expense ratio			7.8	%			7.5	%			8.3	%			7.7	%			7.6	%			7.8	%
Combined ratio			86.6	%			91.3	%			85.8	%			85.0	%			86.2	%			87.0	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			65.0	%			66.1	%			63.5	%			66.0	%			64.0	%			64.9	%
CAY policy acquisition cost and administrative expense ratio ex Cats			22.8	%			22.1	%			23.2	%			21.4	%			23.0	%			22.4	%
CAY combined ratio ex Cats			87.8	%			88.2	%			86.7	%			87.4	%			87.0	%			87.3	%
Catastrophe losses—pre-tax		$	94			$	232			$	196			$	73			$	78			$	579
Favorable prior period development (PPD)—pre-tax		$	(131	)		$	(138	)		$	(216	)		$	(155	)		$	(101	)		$	(610	)
% Change versus prior year period
Net premiums written			5.0	%			4.8	%			3.6	%			4.0	%			3.0	%			3.9	%
Net premiums written excluding merger-related actions							5.1	%			4.6	%			5.4	%			4.4	%			4.9	%
Net premiums earned			1.9	%			1.4	%			0.1	%			5.8	%			-0.4	%			1.7	%
Other ratios
Net premiums written/gross premiums written			74	%			74	%			78	%			77	%			76	%			76	%
Production by Size—Net premiums written (1)
Major Accounts & Specialty (2)		$	1,703			$	1,841			$	1,851			$	2,040			$	1,638			$	7,370
Commercial (2)			1,248				1,302				1,348				1,291				1,174				5,115
Total		$	2,951			$	3,143			$	3,199			$	3,331			$	2,812			$	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 10

Chubb Limited

Segment Results—Consecutive Quarters

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

(Unaudited)

North America Personal P&C Insurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	1,207			$	1,291			$	1,369			$	1,489			$	1,181			$	5,330
Net premiums written			1,056				1,073				1,218				1,335				1,048				4,674
Net premiums earned			1,154				1,130				1,167				1,156				1,140				4,593
Losses and loss expenses			757				755				860				728				886				3,229
Policy acquisition costs			231				238				236				228				237				939
Administrative expenses			68				67				69				68				65				269
Underwriting income (loss)			98				70				2				132				(48	)			156
Net investment income			64				59				59				59				59				236
Other expense—operating			—				—				—				(1	)			—				(1	)
Amortization expense of purchased intangibles			(3	)			(3	)			(4	)			(3	)			(3	)			(13	)
Segment income		$	159			$	126			$	57			$	187			$	8			$	378
CAY Underwriting income ex Cats		$	217			$	168			$	196			$	240			$	230			$	834
Combined ratio
Loss and loss expense ratio			65.5	%			66.8	%			73.7	%			63.0	%			77.7	%			70.3	%
Policy acquisition cost ratio			20.1	%			21.1	%			20.2	%			19.7	%			20.8	%			20.4	%
Administrative expense ratio			5.9	%			5.9	%			5.9	%			5.9	%			5.7	%			5.9	%
Combined ratio			91.5	%			93.8	%			99.8	%			88.6	%			104.2	%			96.6	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			55.1	%			59.1	%			57.1	%			53.7	%			53.3	%			55.8	%
CAY policy acquisition cost and administrative expense ratio ex Cats			26.0	%			26.4	%			26.1	%			25.6	%			26.4	%			26.1	%
CAY combined ratio ex Cats			81.1	%			85.5	%			83.2	%			79.3	%			79.7	%			81.9	%
Catastrophe reinstatement premiums expensed—pre-tax		$	—			$	(26	)		$	—			$	—			$	—			$	(26	)
Catastrophe losses—pre-tax		$	129			$	90			$	136			$	101			$	284			$	611
Unfavorable (favorable) prior period development (PPD)—pre-tax		$	(10	)		$	(18	)		$	58			$	7			$	(6	)		$	41
% Change versus prior year period
Net premiums written			0.8	%			-2.5	%			2.0	%			6.4	%			6.5	%			3.1	%
Net premiums written adjusted primarily for additional reinsurance			2.6	%			2.3	%			2.7	%			3.2	%			2.7	%			2.7	%
Net premiums earned			1.2	%			2.5	%			4.5	%			5.6	%			5.1	%			4.4	%
Other ratios
Net premiums written/gross premiums written			88	%			83	%			89	%			90	%			89	%			88	%

NA Personal Page 11

Chubb Limited

Segment Results—Consecutive Quarters

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

(Unaudited)

North America Agricultural Insurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	219			$	273			$	1,270			$	543			$	205			$	2,291
Net premiums written			130				197				884				388				108				1,577
Net premiums earned			55				318				857				351				43				1,569
Adjusted losses and loss expenses (1)			(26	)			161				727				281				(55	)			1,114
Policy acquisition costs			7				5				49				26				(1	)			79
Administrative expenses			1				(9	)			2				1				(3	)			(9	)
Underwriting income			73				161				79				43				102				385
Net investment income			10				8				7				6				7				28
Other expense—operating			—				(1	)			—				(1	)			—				(2	)
Amortization expense of purchased intangibles			(7	)			(7	)			(7	)			(7	)			(7	)			(28	)
Segment income		$	76			$	161			$	79			$	41			$	102			$	383
CAY Underwriting income ex Cats		$	14			$	138			$	86			$	45			$	27			$	296
Combined ratio
Loss and loss expense ratio			NM				50.7	%			84.9	%			80.0	%			NM				71.0	%
Policy acquisition cost ratio			NM				1.5	%			5.7	%			7.4	%			NM				5.0	%
Administrative expense ratio			NM				-2.7	%			0.1	%			0.5	%			NM				-0.5	%
Combined ratio			NM				49.5	%			90.7	%			87.9	%			NM				75.5	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			71.1	%			56.0	%			84.1	%			79.3	%			68.9	%			76.7	%
CAY policy acquisition cost and administrative expense ratio ex Cats			12.8	%			0.8	%			5.8	%			7.9	%			-1.2	%			4.9	%
CAY combined ratio ex Cats			83.9	%			56.8	%			89.9	%			87.2	%			67.7	%			81.6	%
Catastrophe losses—pre-tax		$	2			$	10			$	8			$	2			$	1			$	21
Favorable prior period development (PPD)—pre-tax		$	(61	)		$	(33	)		$	(1	)		$	—			$	(76	)		$	(110	)
% Change versus prior year period
Net premiums written			19.9	%			55.8	%			-4.5	%			-3.7	%			76.2	%			4.0	%
Net premiums earned			27.4	%			26.0	%			-4.6	%			2.2	%			214.2	%			4.1	%
Other ratios
Net premiums written/gross premiums written			59	%			72	%			70	%			71	%			53	%			69	%

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

NA Agriculture Page 12

Chubb Limited

Segment Results—Consecutive Quarters

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

(Unaudited)

Overseas General Insurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	2,876			$	2,729			$	2,541			$	2,743			$	2,872			$	10,885
Net premiums written			2,395				2,238				2,081				2,199				2,384				8,902
Net premiums earned			2,114				2,187				2,157				2,161				2,107				8,612
Losses and loss expenses			1,106				1,166				1,114				1,071				1,078				4,429
Policy acquisition costs			596				592				582				584				588				2,346
Administrative expenses			249				257				252				266				239				1,014
Underwriting income			163				172				209				240				202				823
Net investment income			144				158				155				155				151				619
Other income (expense)—operating			(4	)			(12	)			7				12				(7	)			—
Amortization expense of purchased intangibles			(11	)			(12	)			(8	)			(11	)			(10	)			(41	)
Segment income		$	292			$	306			$	363			$	396			$	336			$	1,401
CAY Underwriting income ex Cats		$	184			$	211			$	217			$	194			$	195			$	817
Combined ratio
Loss and loss expense ratio			52.3	%			53.3	%			51.7	%			49.6	%			51.1	%			51.4	%
Policy acquisition cost ratio			28.2	%			27.1	%			26.9	%			27.0	%			27.9	%			27.2	%
Administrative expense ratio			11.8	%			11.7	%			11.7	%			12.3	%			11.4	%			11.8	%
Combined ratio			92.3	%			92.1	%			90.3	%			88.9	%			90.4	%			90.4	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			51.3	%			51.6	%			51.3	%			51.7	%			51.4	%			51.5	%
CAY policy acquisition cost and administrative expense ratio ex Cats			40.0	%			38.8	%			38.7	%			39.3	%			39.3	%			39.0	%
CAY combined ratio ex Cats			91.3	%			90.4	%			90.0	%			91.0	%			90.7	%			90.5	%
Catastrophe losses—pre-tax		$	25			$	85			$	80			$	26			$	15			$	206
Favorable prior period development (PPD)—pre-tax		$	(4	)		$	(46	)		$	(72	)		$	(72	)		$	(22	)		$	(212	)
% Change versus prior year period
Net premiums written			0.4	%			3.4	%			5.9	%			9.6	%			7.8	%			6.6	%
Net premiums earned			0.3	%			3.5	%			4.5	%			7.1	%			8.8	%			5.9	%
Net premiums written constant $			6.0	%			7.9	%			7.5	%			5.1	%			1.4	%			5.3	%
Net premiums earned constant $			6.3	%			7.9	%			5.9	%			2.0	%			3.0	%			4.7	%
Other ratios
Net premiums written/gross premiums written			83	%			82	%			82	%			80	%			83	%			82	%
Production by Region—Net premiums written		1Q-19				1Q-18				% Change				Constant $ % Change
Europe		$	1,106			$	1,110				-0.4	%			4.2	%
Latin America			533				528				1.0	%			12.8	%
Asia			669				657				1.7	%			4.5	%
Other (1)			87				89				-1.9	%			3.0	%
Total		$	2,395			$	2,384				0.4	%			6.0	%

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

Overseas General Insurance Page 13

Chubb Limited

Segment Results—Consecutive Quarters

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

(Unaudited)

Global Reinsurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	221			$	117			$	167			$	233			$	205			$	722
Net premiums written			202				117				164				197				193				671
Net premiums earned			168				178				157				167				168				670
Losses and loss expenses			76				243				86				83				67				479
Policy acquisition costs			43				42				40				40				40				162
Administrative expenses			10				12				10				9				10				41
Underwriting income (loss)			39				(119	)			21				35				51				(12	)
Net investment income			56				65				63				65				64				257
Other income (expense)—operating			9				6				13				6				7				32
Segment income (loss)		$	104			$	(48	)		$	97			$	106			$	122			$	277
CAY Underwriting income ex Cats		$	31			$	27			$	27			$	28			$	39			$	121
Combined ratio
Loss and loss expense ratio			45.7	%			137.1	%			55.0	%			49.4	%			40.1	%			71.6	%
Policy acquisition cost ratio			25.4	%			23.7	%			25.2	%			24.2	%			23.6	%			24.2	%
Administrative expense ratio			5.7	%			6.1	%			6.5	%			5.7	%			5.8	%			6.0	%
Combined ratio			76.8	%			166.9	%			86.7	%			79.3	%			69.5	%			101.8	%
CAY combined ratio ex Cats
CAY loss and loss expense ratio ex Cats			50.5	%			50.1	%			51.2	%			53.0	%			47.7	%			50.5	%
CAY policy acquisition cost and administrative expense ratio ex Cats			31.0	%			33.1	%			31.6	%			30.5	%			29.3	%			31.1	%
CAY combined ratio ex Cats			81.5	%			83.2	%			82.8	%			83.5	%			77.0	%			81.6	%
Catastrophe reinstatement premiums collected—pre-tax		$	—			$	18			$	4			$	—			$	—			$	22
Catastrophe losses—pre-tax		$	—			$	160			$	34			$	9			$	2			$	205
Unfavorable (favorable) prior period development (PPD)—pre-tax		$	(8	)		$	4			$	(24	)		$	(16	)		$	(14	)		$	(50	)
% Change versus prior year period
Net premiums written as reported			4.4	%			11.0	%			-14.3	%			3.8	%			-3.0	%			-2.1	%
Net premiums earned as reported			0.1	%			10.2	%			-15.7	%			-0.6	%			-11.0	%			-4.9	%
Net premiums written constant $			6.4	%			11.7	%			-14.7	%			1.5	%			-4.8	%			-3.3	%
Net premiums earned constant $			2.6	%			10.6	%			-16.0	%			-3.1	%			-12.8	%			-6.0	%
Other ratios
Net premiums written/gross premiums written			91	%			99	%			98	%			85	%			94	%			93	%

Global Reinsurance Page 14

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

Life Insurance

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	611			$	614			$	599			$	599			$	592			$	2,404
Net premiums written			579				582				564				565				559				2,270
Net premiums earned			561				575				551				552				540				2,218
Losses and loss expenses			202				182				195				184				205				766
Policy benefits (1)			196				162				127				150				151				590
(Gains) losses from fair value changes in separate account assets (1)			(30	)			20				14				10				(6	)			38
Policy acquisition costs			128				152				139				138				128				557
Administrative expenses			79				75				77				80				78				310
Net investment income			89				88				85				85				83				341
Life Insurance underwriting income (2)			75				72				84				75				67				298
Other income (expense)—operating			10				18				(6	)			2				(2	)			12
Amortization expense of purchased intangibles			—				(1	)			—				—				(1	)			(2	)
Segment income		$	85			$	89			$	78			$	77			$	64			$	308
% Change versus prior year period
Net premiums written			3.5	%			4.8	%			4.8	%			8.0	%			6.7	%			6.1	%
Net premiums earned			3.9	%			3.9	%			4.6	%			7.2	%			6.8	%			5.6	%
Net premiums written constant $			5.2	%			6.3	%			5.1	%			6.5	%			5.0	%			5.7	%
Net premiums earned constant $			5.5	%			5.4	%			4.9	%			5.7	%			5.0	%			5.3	%

(1) (Gains) 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) for purposes of presenting Life Insurance underwriting income. The offsetting movement in the separate account liabilities is included in Policy benefits.

(2) 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):

		1Q-19				1Q-18				% Change				Constant $ % Change
International life insurance net premiums written		$	227			$	217				4.4	%			7.4	%
International life insurance deposits (3)			321				379				-15.1	%			-12.3	%
Total international life insurance net premiums written and deposits		$	548			$	596				-8.0	%			-5.1	%
International life insurance segment income		$	34			$	17				100.8	%			106.6	%

(3) 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 15

Chubb Limited

Segment Results—Consecutive Quarters

(in millions of U.S. dollars)

(Unaudited)

Corporate

		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				Full Year 2018
Gross premiums written		$	—			$	—			$	—			$	—			$	—			$	—
Net premiums written			—				—				—				—				—				—
Net premiums earned			—				—				—				—				—				—
Losses and loss expenses			11				(19	)			13				48				11				53
Policy acquisition costs			—				—				—				—				—				—
Administrative expenses			63				95				58				70				72				295
Underwriting loss			(74	)			(76	)			(71	)			(118	)			(83	)			(348	)
Adjusted net investment income			9				8				11				10				10				39
Other expense—operating			(7	)			(8	)			(8	)			(2	)			(7	)			(25	)
Adjusted interest expense			(145	)			(158	)			(170	)			(177	)			(169	)			(674	)
Amortization expense of purchased intangibles			(55	)			(63	)			(64	)			(64	)			(64	)			(255	)
Income tax expense			(202	)			(192	)			(183	)			(218	)			(149	)			(742	)
Core operating loss			(474	)			(489	)			(485	)			(569	)			(462	)			(2,005	)
Chubb integration expenses, net of tax			(2	)			(15	)			(14	)			(10	)			(8	)			(47	)
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax			(33	)			(42	)			(42	)			(41	)			(50	)			(175	)
Adjusted net realized gains (losses), net of tax (1)			(95	)			(523	)			165				92				43				(223	)
Net loss		$	(604	)		$	(1,069	)		$	(376	)		$	(528	)		$	(477	)		$	(2,450	)
Unfavorable (favorable) prior period development (PPD)—pre-tax		$	10			$	(22	)		$	12			$	45			$	10			$	45

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

Corporate Page 16

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
Add net recoverable on paid losses			—				1,430				(1,430	)
Balance including net recoverable on paid losses		$	63,143			$	16,137			$	47,006

Loss Reserve Rollforward Page 17

Chubb Limited

Reinsurance Recoverable Analysis

(in millions of U.S. dollars)

(Unaudited)

Net Reinsurance Recoverable by Division

		March 31 2019				December 31 2018
Reinsurance recoverable on paid losses and loss expenses
Active operations		$	1,124			$	980
Brandywine and Other Run-off			381				396
Total		$	1,505			$	1,376
Reinsurance recoverable on unpaid losses and loss expenses
Active operations		$	13,720			$	13,705
Brandywine and Other Run-off			1,235				1,235
Total		$	14,955			$	14,940
Gross reinsurance recoverable
Active operations		$	14,844			$	14,685
Brandywine and Other Run-off			1,616				1,631
Total		$	16,460			$	16,316
Provision for uncollectible reinsurance (1)
Active operations		$	(187	)		$	(185	)
Brandywine and Other Run-off			(136	)			(138	)
Total		$	(323	)		$	(323	)
Net reinsurance recoverable
Active operations		$	14,657			$	14,500
Brandywine and Other Run-off			1,480				1,493
Total		$	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 18

Chubb Limited

Investment Portfolio

(in millions of U.S. dollars)

(Unaudited)

		March 31 2019								December 31 2018
Market Value
Fixed maturities available for sale		$	80,663							$	78,470
Fixed maturities held to maturity			13,240								13,259
Short-term investments			3,078								3,016
Total fixed maturities		$	96,981							$	94,745
Asset Allocation by Market Value
Treasury		$	4,551				5	%		$	4,799				5	%
Agency			392				0	%			528				1	%
Corporate and asset-backed			30,364				31	%			29,091				31	%
Mortgage-backed			18,924				20	%			18,026				19	%
Municipal			15,796				16	%			16,327				17	%
Non-U.S.			23,876				25	%			22,958				24	%
Short-term investments			3,078				3	%			3,016				3	%
Total fixed maturities		$	96,981				100	%		$	94,745				100	%
Credit Quality by Market Value
AAA		$	14,917				16	%		$	14,571				15	%
AA			37,023				38	%			36,715				39	%
A			17,867				19	%			17,253				18	%
BBB			11,961				12	%			12,035				13	%
BB			8,807				9	%			8,363				9	%
B			6,148				6	%			5,596				6	%
Other			258				0	%			212				0	%
Total fixed maturities		$	96,981				100	%		$	94,745				100	%
Cost/Amortized Cost
Fixed maturities available for sale		$	79,624							$	79,323
Fixed maturities held to maturity			13,136								13,435
Short-term investments			3,078								3,016
Subtotal fixed maturities			95,838								95,774
Equity securities			821								770
Other investments			5,562								5,277
Total investment portfolio		$	102,221							$	101,821
Avg. duration of fixed maturities			3.6 years								3.7 years
Avg. market yield of fixed maturities			3.2	%							3.7	%
Avg. credit quality			A/Aa								A/Aa
Avg. yield on invested assets (1)			3.5	%							3.5	%

(1) Calculated using adjusted net investment income.

Investments Page 19

Chubb Limited

Investment Portfolio—2

(in millions of U.S. dollars)

(Unaudited)

Mortgage-backed Fixed Income Portfolio

		S&P Credit Rating
Mortgage-backed securities		AAA				AA				A				BBB				BB and below				Total
Market Value at March 31, 2019
Agency residential mortgage-backed (RMBS)		$	—			$	15,505			$	—			$	—			$	—			$	15,505
Non-agency RMBS			25				47				69				27				20				188
Commercial mortgage-backed			2,877				249				105				—				—				3,231
Total mortgage-backed securities at market value		$	2,902			$	15,801			$	174			$	27			$	20			$	18,924

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

		S&P Credit Rating
		Investment Grade
Market Value at March 31, 2019		AAA				AA				A				BBB				Total
Asset-backed		$	2,908			$	249			$	41			$	32			$	3,230
Banks			—				33				2,015				1,171				3,219
Basic Materials			—				—				95				191				286
Communications			—				161				399				921				1,481
Consumer, Cyclical			1				306				508				510				1,325
Consumer, Non-Cyclical			59				506				1,452				1,426				3,443
Diversified Financial Services			—				104				380				279				763
Energy			—				49				180				473				702
Industrial			—				44				563				718				1,325
Utilities			—				17				755				332				1,104
All Others			167				367				1,139				880				2,553
Total		$	3,135			$	1,836			$	7,527			$	6,933			$	19,431

		S&P Credit Rating
		Below Investment Grade
Market Value at March 31, 2019		BB				B				CCC				Total
Asset-backed		$	1			$	3			$	7			$	11
Banks			—				—				—				—
Basic Materials			401				185				—				586
Communications			934				689				34				1,657
Consumer, Cyclical			1,074				621				22				1,717
Consumer, Non-Cyclical			1,091				1,268				35				2,394
Diversified Financial Services			205				160				9				374
Energy			764				419				10				1,193
Industrial			652				611				22				1,285
Utilities			250				21				32				303
All Others			877				511				25				1,413
Total		$	6,249			$	4,488			$	196			$	10,933

Investments 2 Page 20

Chubb Limited

Investment Portfolio—3

(in millions of U.S. dollars)

(Unaudited)

Non-U.S. Fixed Income Portfolio

March 31, 2019

		Market Value by S&P Credit Rating
Non-U.S. Government Securities		AAA				AA				A				BBB				BB and below				Total
United Kingdom		$	—			$	1,138			$	—			$	—			$	—			$	1,138
Republic of Korea			—				1,088				—				—				—				1,088
Canada			841				—				—				—				—				841
Federative Republic of Brazil			—				—				—				—				763				763
Province of Ontario			—				9				659				—				—				668
United Mexican States			—				—				421				142				—				563
Kingdom of Thailand			—				—				506				—				—				506
Province of Quebec			—				490				—				—				—				490
Commonwealth of Australia			321				3				—				—				—				324
Federal Republic of Germany			308				—				—				—				—				308
Other Non-U.S. Government Securities			572				1,424				962				602				981				4,541
Total		$	2,042			$	4,152			$	2,548			$	744			$	1,744			$	11,230
		Market Value by S&P Credit Rating
Non-U.S. Corporate Securities		AAA				AA				A				BBB				BB and below				Total
United Kingdom		$	108			$	115			$	634			$	815			$	323			$	1,995
Canada			97				278				330				490				350				1,545
United States (1)			3				23				185				337				636				1,184
France			7				36				598				274				42				957
Australia			113				207				369				127				17				833
Netherlands			59				91				281				144				104				679
Germany			60				35				158				248				33				534
Japan			—				45				419				55				—				519
Switzerland			47				11				186				187				29				460
China			—				—				279				60				36				375
Other Non-U.S. Corporate Securities			412				435				953				1,055				710				3,565
Total		$	906			$	1,276			$	4,392			$	3,792			$	2,280			$	12,646

(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 21

Chubb Limited

Investment Portfolio—4

(in millions of U.S. dollars)

(Unaudited)

Fixed Maturity Investment Portfolio

Top 10 Global Corporate Exposures

		March 31, 2019		Market Value								Rating
1		Wells Fargo & Co		$	578							A-
2		Bank of America Corp			518							A-
3		JP Morgan Chase & Co			479							A-
4		Comcast Corp			380							A-
5		HSBC Holdings Plc			354							A
6		Verizon Communications Inc			336							BBB+
7		Anheuser-Busch InBev NV			334							A-
8		Citigroup Inc			327							BBB+
9		AT&T Inc			316							BBB
10		Morgan Stanley			302							BBB+

Investments 4 Page 22

Chubb Limited

Net Realized and Unrealized Gains (Losses)

(in millions of U.S. dollars)

(Unaudited)

		Three months ended March 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)		$	(151	)		$	8			$	(143	)		$	1,889			$	(330	)		$	1,559			$	1,738			$	(322	)		$	1,416
Public equity			(22	)			5				(17	)			—				—				—				(22	)			5				(17	)
Private equity			(7	)			4				(3	)			—				—				—				(7	)			4				(3	)
Mark-to-market on public and private equity			15				(9	)			6				—				—				—				15				(9	)			6
Total investment portfolio			(165	)			8				(157	)			1,889				(330	)			1,559				1,724				(322	)			1,402
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges (2)			51				—				51				—				—				—				51				—				51
Foreign exchange			13				(3	)			10				147				(7	)			140				160				(10	)			150
Partially-owned entities (3)			1				—				1				—				—				—				1				—				1
Other (4)			—				—				—				(27	)			6				(21	)			(27	)			6				(21	)
Net gains (losses)		$	(100	)		$	5			$	(95	)		$	2,009			$	(331	)		$	1,678			$	1,909			$	(326	)		$	1,583
(1)   The quarter includes $107 million pre-tax realized losses on fixed income derivatives. Other-than-temporary impairments for the quarter in realized gains (losses) were $13 million pre-tax for fixed maturities. (2)   The quarter includes $63 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 March 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)		$	(6	)		$	2			$	(4	)		$	(1,211	)		$	223			$	(988	)		$	(1,217	)		$	225			$	(992	)
Public equity			10				(2	)			8				—				—				—				10				(2	)			8
Private equity			44				(9	)			35				—				—				—				44				(9	)			35
Mark-to-market on public and private equity			8				3				11				—				—				—				8				3				11
Total investment portfolio			56				(6	)			50				(1,211	)			223				(988	)			(1,155	)			217				(938	)
Mark-to-market from variable annuity reinsurance derivative transactions, net of applicable hedges (6)			60				—				60				—				—				—				60				—				60
Foreign exchange			(77	)			9				(68	)			397				(19	)			378				320				(10	)			310
Partially-owned entities (7)			(1	)			—				(1	)			—				—				—				(1	)			—				(1	)
Other (8)			2				—				2				(23	)			4				(19	)			(21	)			4				(17	)
Net gains (losses)		$	40			$	3			$	43			$	(837	)		$	208			$	(629	)		$	(797	)		$	211			$	(586	)

(5) The quarter includes $17 million pre-tax realized gains on fixed income derivatives. Other-than-temporary impairments for the quarter in realized gains (losses) were $1 million for fixed maturities.

(6) The quarter includes $22 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 unrealized gains (losses) are primarily related to the company’s postretirement programs.

Net Gains (Losses) Page 23

Chubb Limited

Debt and Capital

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

(Unaudited)

		March 31 2019				December 31 2018				December 31 2017
Financial Debt:
Total short-term debt		$	509			$	509			$	1,013
Total long-term debt			12,071				12,087				11,556
Total financial debt		$	12,580			$	12,596			$	12,569
Hybrid debt:
Total trust preferred securities			308				308				308
Total		$	12,888			$	12,904			$	12,877
Capitalization:
Shareholders’ equity		$	52,355			$	50,312			$	51,172
Hybrid debt			308				308				308
Financial debt			12,580				12,596				12,569
Total capitalization		$	65,243			$	63,216			$	64,049
Leverage ratios (based on total capital):
Hybrid debt			0.5	%			0.5	%			0.5	%
Financial debt			19.3	%			19.9	%			19.6	%
Total hybrid & financial debt			19.8	%			20.4	%			20.1	%

Note: As of March 31, 2019, there was $0.7 billion usage of credit facilities on a total commitment of $1.0 billion.

Debt and Capital Page 24

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 March 31
		2019				2018
Numerator
Core operating income to common shares		$	1,170			$	1,097
Amortization of fair value adjustment of acquired invested assets and long-term debt, pre-tax			(41	)			(59	)
Tax benefit on amortization adjustment			8				9
Chubb integration expenses, pre-tax			(3	)			(10	)
Tax benefit on Chubb integration expenses			1				2
Adjusted net realized gains (losses), pre-tax			(100	)			40
Tax benefit on adjusted net realized gains (losses)			5				3
Net income		$	1,040			$	1,082
Rollforward of Common Shares Outstanding
Shares—beginning of period			459,203,378				463,833,179
Repurchase of shares			(2,753,754	)			—
Shares issued, excluding option exercises			1,167,876				1,575,789
Issued for option exercises			561,705				422,518
Shares—end of period			458,179,205				465,831,486
Denominator
Weighted average shares outstanding (1)			458,805,185				465,703,240
Effect of other dilutive securities			2,731,755				3,770,351
Adj. wtd. avg. shares outstanding and assumed conversions			461,536,940				469,473,591
Basic earnings per share
Core operating income		$	2.55			$	2.35
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax			(0.07	)			(0.11	)
Chubb integration expenses, net of tax			(0.01	)			(0.02	)
Adjusted net realized gains (losses), net of tax			(0.20	)			0.10
Net income		$	2.27			$	2.32
Diluted earnings per share
Core operating income		$	2.54			$	2.34
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax			(0.07	)			(0.11	)
Chubb integration expenses, net of tax			(0.01	)			(0.02	)
Adjusted net realized gains (losses), net of tax			(0.21	)			0.09
Net income		$	2.25			$	2.30

(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 25

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

		March 31 2019				December 31 2018				March 31 2018
Shareholders’ equity		$	52,355			$	50,312			$	51,287
Less: goodwill and other intangible assets, net of tax			20,070				20,054				20,706
Numerator for tangible book value per share		$	32,285			$	30,258			$	30,581
Book value—% change over prior quarter			4.1	%			-1.2	%			0.2	%
Tangible book value—% change over prior quarter			6.7	%			-1.8	%			0.1	%
Denominator			458,179,205				459,203,378				465,831,486
Book value per common share		$	114.27			$	109.56			$	110.10
Tangible book value per common share		$	70.46			$	65.89			$	65.65
Reconciliation of Book Value
Shareholders’ equity, beginning of quarter (1)		$	50,300			$	50,934			$	51,172
Core operating income			1,170				935				1,097
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax			(33	)			(42	)			(50	)
Chubb integration expenses, net of tax			(2	)			(15	)			(8	)
Adjusted net realized gains (losses), net of tax (2)			(95	)			(523	)			43
Net unrealized gains (losses) on the investment portfolio			1,559				(117	)			(988	)
Repurchase of shares			(367	)			(318	)			—
Dividend declared on common shares			(335	)			(336	)			(332	)
Cumulative translation			140				(113	)			378
Postretirement benefit liability			(21	)			(205	)			(18	)
Other (3)			39				112				(7	)
		$	52,355			$	50,312			$	51,287

(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 26

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, 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 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 29-30.

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.

Book value per common share, net of tax is shareholders’ equity divided by the shares outstanding. Tangible book value per common share, net of tax 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.

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 excluding merger-related actions is a meaningful measure to evaluate trends in our underlying business on a comparable basis. Since the acquisition of the Chubb Corp, we have entered into new reinsurance agreements with third-party reinsurers for the Chubb Corp businesses and have taken other merger-related underwriting actions, including exiting certain types of business that do not meet our underwriting standards or adhere to our risk diversification strategy. We exclude the impact of accounting policy alignment to conform the timing of premium recognition of certain Chubb Corp foreign subsidiaries to be on the same basis as Chubb Limited.

Net premiums written adjusted primarily for additional reinsurance in the company’s North America Personal P&C Insurance segment, adjusted to exclude $18 million of additional reinsurance, reinstatement premiums, and one-time accounting actions in Q1 2019. In addition to excluding additional reinsurance and the one-time accounting actions for the reasons noted above, 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 27

Chubb Limited

Non-GAAP Financial Measures—2

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

(Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

Core operating income

The following table presents the reconciliation of Net income to Core operating income:

																						Full Year
		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				2018
Net income, as reported		$	1,040			$	355			$	1,231			$	1,294			$	1,082			$	3,962
Amortization of fair value adjustment of acquired invested assets and long-term debt, pre-tax			(41	)			(50	)			(54	)			(52	)			(59	)			(215	)
Tax benefit on amortization adjustment			8				8				12				11				9				40
Chubb integration expenses, pre-tax			(3	)			(20	)			(16	)			(13	)			(10	)			(59	)
Tax benefit on Chubb integration expenses			1				5				2				3				2				12
Adjusted realized gains (losses), pre-tax			(96	)			(682	)			27				10				(4	)			(649	)
Net realized gains (losses) related to unconsolidated entities, pre-tax (1)			(4	)			139				152				96				44				431
Tax (expense) benefit on adjusted net realized gains (losses)			5				20				(14	)			(14	)			3				(5	)
Core operating income		$	1,170			$	935			$	1,122			$	1,253			$	1,097			$	4,407
(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). Core operating ROE
Core operating return on equity (ROE) and Core operating return on tangible equity (ROTE) are annualized 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.
																						Full Year
										1Q-19								1Q-18				2018
Net income										$	1,040							$	1,082			$	3,962
Core operating income										$	1,170							$	1,097			$	4,407
Equity—beginning of period, as reported (1)										$	50,300							$	51,172			$	51,172
Less: unrealized gains (losses) on investments, net of deferred tax											(545	)							1,033				1,154
Equity—beginning of period, as adjusted										$	50,845							$	50,139			$	50,018
Less: goodwill and other intangible assets, net of tax										$	20,054							$	20,621			$	20,621
Equity—beginning of period, as adjusted ex goodwill and other intangible assets										$	30,791							$	29,518			$	29,397
Equity—end of period, as reported										$	52,355							$	51,287			$	50,312
Less: unrealized gains (losses) on investments, net of deferred tax											1,014								45				(545	)
Equity—end of period, as adjusted										$	51,341							$	51,242			$	50,857
Less: goodwill and other intangible assets, net of tax										$	20,070							$	20,706			$	20,054
Equity—end of period, as adjusted ex goodwill and other intangible assets										$	31,271							$	30,536			$	30,803
Weighted average equity, as reported										$	51,328							$	51,230			$	50,742
Weighted average equity, as adjusted										$	51,093							$	50,691			$	50,438
Weighted average equity, as adjusted ex goodwill and other intangible assets										$	31,031							$	30,027			$	30,100
ROE											8.1	%							8.4	%			7.8	%
Core operating ROE											9.2	%							8.7	%			8.7	%
Core operating ROTE											15.1	%							14.6	%			14.6	%
(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. Core operating effective tax rate
The following table presents the reconciliation of effective tax rate to the Core operating effective tax rate:
																						Full Year
		1Q-19				4Q-18				3Q-18				2Q-18				1Q-18				2018
Tax expense, as reported		$	188			$	159			$	183			$	218			$	135			$	695
Less: tax benefit on amortization of fair value of acquired invested assets and debt			(8	)			(8	)			(12	)			(11	)			(9	)			(40	)
Less: tax benefit on Chubb integration expenses			(1	)			(5	)			(2	)			(3	)			(2	)			(12	)
Less: tax expense (benefit) on adjusted net realized gains (losses)			(5	)			(20	)			14				14				(3	)			5
Tax expense, adjusted		$	202			$	192			$	183			$	218			$	149			$	742
Income before tax, as reported		$	1,228			$	514			$	1,414			$	1,512			$	1,217			$	4,657
Less: amortization of fair value of acquired invested assets and debt			(41	)			(50	)			(54	)			(52	)			(59	)			(215	)
Less: Chubb integration expenses			(3	)			(20	)			(16	)			(13	)			(10	)			(59	)
Less: adjusted realized gains (losses)			(96	)			(682	)			27				10				(4	)			(649	)
Less: realized gains (losses) related to unconsolidated entities			(4	)			139				152				96				44				431
Core operating income before tax		$	1,372			$	1,127			$	1,305			$	1,471			$	1,246			$	5,149
Effective tax rate			15.3	%			31.1	%			12.9	%			14.4	%			11.1	%			14.9	%
Adjustment for tax impact of amortization of fair value of acquired invested assets and debt			0.1	%			0.0	%			0.4	%			0.2	%			0.2	%			0.2	%
Adjustment for tax impact of Chubb integration expenses			0.0	%			0.1	%			0.0	%			0.1	%			0.1	%			0.1	%
Adjustment for tax impact of adjusted net realized gains (losses)			-0.7	%			-14.1	%			0.8	%			0.1	%			0.6	%			-0.8	%
Core operating effective tax rate			14.7	%			17.1	%			14.1	%			14.8	%			12.0	%			14.4	%

Reconciliation Non-GAAP 2 Page 28

Chubb Limited

Non-GAAP Financial Measures—3

(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).

Q1 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				$	1,973			$	757			$	(27	)		$	1,106			$	76			$	11			$	3,896
Realized (gains) losses on crop derivatives					—				—				1				—				—				—				1
Adjusted losses and loss expenses		A		$	1,973			$	757			$	(26	)		$	1,106			$	76			$	11			$	3,897
Catastrophe losses					(94	)			(129	)			(2	)			(25	)			—				—				(250	)
PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)					131				10				61				4				8				(10	)			204
Net premiums earned adjustments on PPD—unfavorable (favorable)					2				—				32				—				—				—				34
Expense adjustments—unfavorable (favorable)					(4	)			—				(3	)			—				—				—				(7	)
PPD reinstatement premiums—unfavorable (favorable)					—				(3	)			—				—				—				—				(3	)
PPD—gross of related adjustments—favorable (unfavorable)					129				7				90				4				8				(10	)			228
CAY loss and loss expense ex Cats		B		$	2,008			$	635			$	62			$	1,085			$	84			$	1			$	3,875
Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses		C		$	699			$	299			$	8			$	845			$	53			$	63			$	1,967
Expense adjustments—favorable (unfavorable)					4				—				3				—				—				—				7
Policy acquisition costs and administrative expenses, adjusted		D		$	703			$	299			$	11			$	845			$	53			$	63			$	1,974
Denominator
Net premiums earned		E		$	3,085			$	1,154			$	55			$	2,114			$	168							$	6,576
Net premiums earned adjustments on PPD—unfavorable (favorable)					2				—				32				—				—								34
PPD reinstatement premiums—unfavorable (favorable)					—				(3	)			—				—				—								(3	)
Net premiums earned excluding adjustments		F		$	3,087			$	1,151			$	87			$	2,114			$	168							$	6,607
P&C combined ratio
Loss and loss expense ratio		A/E			63.9	%			65.5	%			-48.3	%			52.3	%			45.7	%							59.3	%
Policy acquisition cost and administrative expense ratio		C/E			22.7	%			26.0	%			14.7	%			40.0	%			31.1	%							29.9	%
P&C combined ratio					86.6	%			91.5	%			-33.6	%			92.3	%			76.8	%							89.2	%
CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted		B/F			65.0	%			55.1	%			71.1	%			51.3	%			50.5	%							58.6	%
Policy acquisition cost and administrative expense ratio, adjusted		D/F			22.8	%			26.0	%			12.8	%			40.0	%			31.0	%							29.9	%
CAY P&C combined ratio ex Cats					87.8	%			81.1	%			83.9	%			91.3	%			81.5	%							88.5	%
Combined ratio
Combined ratio																													89.2	%
Add: impact of gains and losses on crop derivatives																													0.0	%
P&C combined ratio																													89.2	%

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 3 Page 29

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 (continued)

Q1 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				$	1,908			$	886			$	(53	)		$	1,078			$	67			$	11			$	3,897
Realized (gains) losses on crop derivatives					—				—				(2	)			—				—				—				(2	)
Adjusted losses and loss expenses		A		$	1,908			$	886			$	(55	)		$	1,078			$	67			$	11			$	3,895
Catastrophe losses					(78	)			(284	)			(1	)			(15	)			(2	)			—				(380	)
PPD and related adjustments
PPD, net of related adjustments—favorable (unfavorable)					101				6				76				22				14				(10	)			209
Net premiums earned adjustments on PPD—unfavorable (favorable)					—				—				40				—				1				—				41
Expense adjustments—unfavorable (favorable)					6				—				(4	)			—				—				—				2
PPD reinstatement premiums—unfavorable (favorable)					4				—				—				—				—				—				4
PPD—gross of related adjustments—favorable (unfavorable)					111				6				112				22				15				(10	)			256
CAY loss and loss expense ex Cats		B		$	1,941			$	608			$	56			$	1,085			$	80			$	1			$	3,771
Policy acquisition costs and administrative expenses
Policy acquisition costs and administrative expenses		C		$	703			$	302				$ (4)			$	827			$	50			$	72			$	1,950
Expense adjustments—favorable (unfavorable)					(6	)			—				4				—				—				—				(2	)
Policy acquisition costs and administrative expenses, adjusted		D		$	697			$	302			$	—			$	827			$	50			$	72			$	1,948
Denominator
Net premiums earned		E		$	3,029			$	1,140			$	43			$	2,107			$	168							$	6,487
Net premiums earned adjustments on PPD—unfavorable (favorable)					—				—				40				—				1								41
PPD reinstatement premiums—unfavorable (favorable)					4				—				—				—				—								4
Net premiums earned excluding adjustments		F		$	3,033			$	1,140			$	83			$	2,107			$	169							$	6,532
P&C combined ratio
Loss and loss expense ratio		A/E			63.0	%			77.7	%			-127.6	%			51.1	%			40.1	%							60.0	%
Policy acquisition cost and administrative expense ratio		C/E			23.2	%			26.5	%			-10.7	%			39.3	%			29.4	%							30.1	%
P&C combined ratio					86.2	%			104.2	%			-138.3	%			90.4	%			69.5	%							90.1	%
CAY P&C combined ratio ex Cats
Loss and loss expense ratio, adjusted		B/F			64.0	%			53.3	%			68.9	%			51.4	%			47.7	%							57.7	%
Policy acquisition cost and administrative expense ratio, adjusted		D/F			23.0	%			26.4	%			-1.2	%			39.3	%			29.3	%							29.9	%
CAY P&C combined ratio ex Cats					87.0	%			79.7	%			67.7	%			90.7	%			77.0	%							87.6	%
Combined ratio
Combined ratio																													90.1	%
Add: impact of gains and losses on crop derivatives																													0.0	%
P&C combined ratio																													90.1	%

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 30

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.

Core operating effective tax rate: 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.

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 31