Chubb : Current report filing

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report

Pursuant To Section 13 or 15 (d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 29, 2019

Chubb Limited

(Exact name of registrant as specified in its charter)

Switzerland	1-11778	98-0091805
(State or other jurisdiction	(Commission	(I.R.S. Employer
of Incorporation)	File Number)	Identification No.)
	Baerengasse 32
	CH-8001 Zurich, Switzerland
	(Address of principal executive offices)

Registrant's telephone number, including area code: [phone]

Not applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

• Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
• Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
• Pre-commencementcommunications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
• Pre-commencementcommunications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading	Name of each exchange on which registered
	Symbol(s)
Common Shares, par value CHF 24.15 per share	CB	New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02. Results of Operations and Financial Condition

On October 29, 2019, Chubb Limited issued a Press Release reporting its third quarter 2019 results and the availability of its third quarter 2019 Financial Supplement. The Press Release and the Financial Supplement are attached hereto as Exhibit 99.1 and Exhibit 99.2, respectively, and are hereby incorporated herein by reference.

The information furnished pursuant to this Item 2.02, including Exhibit 99.1 and Exhibit 99.2, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933 or the Exchange Act.

Item 9.01. Financial Statements and Exhibits

1. Exhibits

Exhibit

Number Description

1. Press Release, Dated October 29, 2019, Reporting Third Quarter 2019 Results
2. Third Quarter 2019 Financial Supplement

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

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Chubb Limited

By: /s/ Philip V. Bancroft

Philip V. Bancroft

Executive Vice President and Chief Financial Officer

DATE: October 29, 2019

Exhibit 99.1

Chubb Limited	www.chubb.com
Bärengasse 32	@Chubb
CH-8001 Zurich
Switzerland

News Release

Chubb Reports Third Quarter Net Income Per Share of $2.38, Down 9.8%, and Core Operating Income Per Share of $2.70, Up 12%; Consolidated Net Premiums Written of $8.6 Billion, Up 6.3%, or 7.3% in Constant Dollars

• Net income was $1.1 billion, down 11.4%, and core operating income was $1.2 billion, up 10.2%. Net income was unfavorably impacted by mark-to-market losses of $119 million, principally related to the company's variable annuity reinsurance portfolio, compared to adjusted realized gains of $165 million in the prior year.
• P&C net premiums written were $8.0 billion, up 6.2%, or 7.2% in constant dollars.
• P&C underwriting income was $754 million, up 12.6%, and Global P&C underwriting income, which excludes Agriculture, was $753 million, up 27.7%.
• P&C combined ratio was 90.2% compared with 90.9% prior year, reflecting lower catastrophe losses and higher crop insurance losses. P&C current accident year combined ratio excluding catastrophe losses was 89.5% compared with 88.2% prior year.
• Global P&C combined ratio, which excludes Agriculture, was 88.9% compared with 90.9% prior year. Global P&C current accident year combined ratio excluding catastrophe losses was 88.3% compared with 87.9% prior year.
• Pre-taxcatastrophe losses were $232 million, or $191 million after-tax, compared with $450 million, or $372 million after-tax, prior year. In addition, Agriculture underwriting income was adversely impacted predominantly by crop insurance weather conditions resulting in underwriting income of $1 million compared with $79 million in the prior year.
• Net investment income was $873 million pre-tax, up 6.0%, and adjusted net investment income was $910 million pre-tax, up 3.1%.

ZURICH - October 29, 2019 - Chubb Limited (NYSE: CB) today reported net income for the quarter ended September 30, 2019 of $1,091 million, or $2.38 per share, compared with $1,231 million, or $2.64 per share, for the same quarter last year. Core operating income was $1,236 million, or $2.70 per share, compared with

$1,122 million, or $2.41 per share, for the same quarter last year. The property and casualty (P&C) combined ratio was 90.2% and the Global P&C combined ratio, which excludes Agriculture, was 88.9%. Book and tangible book value per share increased 2.0% and 3.3%, respectively, from June 30, 2019 and now stand at $120.33 and $76.21, respectively. Several factors positively impacted book value in the quarter contributing to

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

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Chubb Limited News Release

an increase of $263 million after-tax. Net realized and unrealized gains of $503 million in the company's investment portfolio, due to a decline in interest rates, were partially offset by mark-to-market losses in the company's variable annuity reinsurance portfolio of $112 million and unfavorable foreign currency movement of $116 million. Annualized ROE and core operating ROE were 8.1% and 9.5%, respectively. Annualized core operating return on tangible equity was 15.6%.

Chubb Limited
Third Quarter Summary
(in millions of U.S. dollars, except per share amounts)
(Unaudited)
						(Per Share - Diluted)
	2019	2018	Change	2019	2018	Change
Net income	$1,091	$1,231	(11.4)%			$2.38	$2.64	(9.8)%
Chubb integration expenses, net of tax	2	14	(85.7)%			-	0.03	NM
Amortization of fair value adjustment of acquired invested assets and long-term debt, net of tax	24	42	(42.9)%			0.06	0.09	(33.3)%
Adjusted net realized (gains) losses, net of tax	119	(165)	NM			0.26	(0.35)	NM
Core operating income, net of tax	$1,236	$1,122	10.2%			$2.70	$2.41	12.0%

For the three months ended September 30, 2019 and 2018, the tax expenses (benefits) related to the table above were nil and $(2) million, respectively, for Chubb integration expenses; $(8) million and $(12) million, respectively, for amortization of fair value adjustment of acquired invested assets and long-term debt; $19 million and $14 million, respectively, for adjusted net realized gains and losses; and $219 million and $183 million, respectively, for core operating income.

For the nine months ended September 30, 2019, net income was $3,281 million, or $7.13 per share, compared with $3,607 million, or $7.71 per share, for 2018. Core operating income was $3,601 million, or $7.83 per share, compared with $3,472 million, or $7.42 per share, for 2018. The P&C combined ratio was 89.9% and the Global P&C combined ratio, which excludes Agriculture, was 89.7%. Book and tangible book value per share increased 9.8% and 15.7%, respectively, from December 31, 2018. Book value per share was favorably impacted by net realized and unrealized gains of $3.0 billion after-tax in the company's investment portfolio, principally due to a decline in interest rates.

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

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