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Shareholders' equity note | 12 Months Ended
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Dec. 31, 2020
Stockholders' Equity Note [Abstract] |
Shareholders' equity | Shareholders’ equity a) Common Shares All of Chubb’s Common Shares are authorized under Swiss corporate law. Though the par value of Common Shares is stated in Swiss francs, Chubb continues to use U.S. dollars as its reporting currency for preparing the Consolidated Financial Statements. Under Swiss corporate law, we are generally prohibited from issuing Common Shares below their par value. If there were a need to raise common equity at a time when the trading price of Chubb's Common Shares is below par value, we would need in advance to obtain shareholder approval to decrease the par value of the Common Shares. Dividend approval At our May 2019 and 2018 annual general meetings, our shareholders approved annual dividends for the following year of up to $3.00 per share and $2.92 per share, respectively, which were paid in four quarterly installments of $0.75 per share and $0.73 per share, respectively, at dates determined by the Board of Directors (Board) after the annual general meeting by way of a distribution from capital contribution reserves, transferred to free reserves for payment. At our May 2020 annual general meeting, our shareholders approved an annual dividend for the following year of up to $3.12 per share, expected to be paid in four quarterly installments of $0.78 per share after the annual general meeting by way of distribution from capital contribution reserves, transferred to free reserves for payment. The Board will determine the record and payment dates at which the annual dividend may be paid until the date of the 2021 annual general meeting, and is authorized to abstain from distributing a dividend at its discretion. The first three quarterly installments each of $0.78 per share, have been distributed by the Board as expected. Dividend distributions Under Swiss corporate law, dividends must be stated in Swiss francs though dividend payments are made by Chubb in U.S. dollars. We issue dividends without subjecting them to withholding tax by way of distributions from capital contribution reserves and payment out of free reserves. The following table presents dividend distributions per Common Share in Swiss francs (CHF) and U.S. dollars (USD):
| Year Ended December 31
|  |  | 2020 |  |  |  | 2019 |  |  |  | 2018
| CHF |  | USD |  | CHF |  | USD |  | CHF |  | USD
Total dividend distributions per common share | 2.89 |  |  | $ | 3.09 |  |  | 2.94 |  |  | $ | 2.98 |  |  | 2.84 |  |  | $ | 2.90 |
b) Shares issued, outstanding, authorized, and conditional
| Year Ended December 31
| 2020 |  | 2019 |  | 2018
Common Shares authorized and issued, beginning of year | 479,783,864 |  |  | 479,783,864 |  |  | 479,783,864 |
Cancellation of treasury shares | (2,178,600) |  |  | — |  |  | — |
Common Shares authorized and issued, end of year | 477,605,264 |  |  | 479,783,864 |  |  | 479,783,864 |
Common Shares in treasury, beginning of year (at cost) | (27,812,297) |  |  | (20,580,486) |  |  | (15,950,685) |
Net shares issued under employee share-based compensation plans | 2,345,208 |  |  | 3,210,427 |  |  | 3,089,234 |
Shares repurchased | (3,584,150) |  |  | (10,442,238) |  |  | (7,719,035) |
Cancellation of treasury shares | 2,178,600 |  |  | — |  |  | — |
Common Shares in treasury, end of year (at cost) | (26,872,639) |  |  | (27,812,297) |  |  | (20,580,486) |
Common Shares outstanding, end of year | 450,732,625 |  |  | 451,971,567 |  |  | 459,203,378 |
Increases in Common Shares in treasury are due to open market repurchases of Common Shares and the surrender of Common Shares to satisfy tax withholding obligations in connection with the vesting of restricted stock and the forfeiture of unvested restricted stock. Decreases in Common Shares in treasury are principally due to grants of restricted stock, exercises of stock options, purchases under the Employee Stock Purchase Plan (ESPP), and share cancellations. At our May 2020 annual general meeting, our shareholders approved the cancellation of 2,178,600 shares purchased under our share repurchase program during the period beginning September 23, 2019 and ending December 31, 2019. The capital reduction by cancellation of shares was subject to publication requirements and a two-month waiting period in accordance with Swiss law and became effective August 3, 2020. Authorized share capital for general purposes under Swiss law In accordance with Swiss law, the Board has shareholder-approved authority as set forth in the Articles of Association to increase Chubb's share capital from time to time until May 20, 2022, by the issuance for general purposes of up to 200,000,000 fully paid up Common Shares, with a par value equal to the par value of Chubb's Common Shares as set forth in the Articles of Association at the time of any such issuance. Any such increases would be subject to Swiss rules and procedure. Conditional share capital for bonds and similar debt instruments Chubb's share capital may be increased through the issuance of a maximum of 33,000,000 fully paid up Common Shares (with a par value of CHF 24.15 as of December 31, 2020) through the exercise of conversion and/or option or warrant rights granted in connection with bonds, notes, or similar instruments, issued or to be issued by Chubb, including convertible debt instruments. Conditional share capital for employee benefit plans Chubb's share capital may be increased through the issuance of a maximum of 25,410,929 fully paid up Common Shares (with a par value of CHF 24.15 as of December 31, 2020) in connection with the exercise of option rights granted to any employee of Chubb, director or other person providing services to Chubb. c) Chubb Limited securities repurchases From time to time, we repurchase shares as part of our capital management program and to partially offset potential dilution from the exercise of stock options and the granting of restricted stock under share-based compensation plans. The Board has authorized share repurchase programs as follows: •$1.0 billion of Chubb Common Shares from January 1, 2018 through December 31, 2018 •$1.5 billion of Chubb Common Shares from December 1, 2018 through December 31, 2019 •$1.5 billion of Chubb Common Shares from November 21, 2019 through December 31, 2020 •$1.5 billion of Chubb Common Shares from November 19, 2020 through December 31, 2021 Subsequently, in February 2021, the Board approved an increase to the November 2020 share repurchase program of $1.0 billion to a total of $2.5 billion, effective through December 31, 2021. Share repurchases may be in the open market, in privately negotiated transactions, block trades, accelerated repurchases and through option or other forward transactions. The following table presents repurchases of Chubb's Common Shares conducted in a series of open market transactions under the Board authorizations:
| Year Ended December 31 |  | January 1, 2021 through
(in millions of U.S. dollars, except share data) | 2020 |  | 2019 |  | 2018 |  | February 24, 2021
Number of shares repurchased | 3,584,150 |  |  | 10,442,238 |  |  | 7,719,035 |  |  | 1,971,000 |
Cost of shares repurchased (1) | $ | 516 |  |  | $ | 1,531 |  |  | $ | 1,021 |  |  | $ | 327 |
(1)On April 22, 2020, we suspended share repurchases, given the economic environment and to preserve capital for both risk and opportunity. Subsequently, we announced and then resumed share repurchases on October 29, 2020. d) General restrictions The holders of the Common Shares are entitled to receive dividends as approved by the shareholders. Holders of Common Shares are allowed one vote per share provided that, if the controlled shares of any shareholder constitute ten percent or more of the outstanding Common Shares of Chubb, only a fraction of the vote will be allowed so as not to exceed ten percent in aggregate. Entry of acquirers of Common Shares as shareholders with voting rights in the share register may be refused if it would confer voting rights with respect to ten percent or more of the registered share capital recorded in the commercial register.

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- Definition The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(e)(1)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -URI http://asc.fasb.org/topic&trid=2208762 + Details
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