Chubb Limited is an American–Swiss[2] company incorporated in Zürich, and listed on the New York Stock Exchange (NYSE) where it is a component of the S&P 500.[3] Chubb is a global provider of insurance products covering property and casualty, accident and health, reinsurance, and life insurance and is the largest publicly traded property and casualty insurance company in the world.[4] Chubb operates in 55 countries and territories and in the Lloyd's insurance market in London. Clients of Chubb consist of multinational corporations and local businesses, individuals, and insurers seeking reinsurance coverage. Chubb provides commercial and personal property and casualty insurance, personal accident and supplemental health insurance, reinsurance, and life insurance.
In 2018, the group had $174 billion in assets, $30.8 billion of gross written premiums and approximately 31,000 employees.[5] Its core operating insurance companies are rated "AA" (Very Strong) for financial strength by Standard & Poor's[6][7] and "A++" (Superior) by A. M. Best[8][9] with stable outlooks from both agencies. Fitch rates Chubb Limited and its subsidiaries "AA" (Very Strong) for financial strength, "AA−" for issuer default and "A+" for senior debt.[10] Moody's rates the U.S. companies "A1" and the unsecured loan notes "A3".[11]
On 1 July 2015, property & casualty insurer Ace Limited (ACE) announced that it would acquire the original Chubb Corporation for $28.3 billion in cash and stock.[12] ACE stated that Chubb's current headquarters in Warren, New Jersey, will have a substantial portion of the headquarters function for the combined company's North American Division. The combined company adopted the Chubb name in January 2016 after the acquisition was completed.[13]
History
Chubb
In 1882, Thomas Caldecot Chubb and his son Percy started a marine underwriting business in New York City. They collected $1,000 from 100 prominent merchants and focused on insuring ships and cargoes.[14]
The Chubb Corporation was incorporated in 1967 and was listed on the New York Stock Exchange in 1984.[14]
Beginning in 1970, the corporation owned The Chubb Institute, a chain of commercial technical schools which grew out of the company's employee training program, but the schools were sold for $1 to a partnership of private equity firms Great Hill Partners and the High-Tech Institute in 2004.
In 2007, Chubb was named the Readers' Choice winner as "Best Admitted Property/Casualty Insurance Company" by Business Insurance.[15] In 2010 Chubb was number five on Chicago Business "Best Places to Work" list.
Controversies
2004 Eliot Spitzer investigation
In 2004 New York Attorney General Eliot Spitzer conducted an investigation in the insurance industry. ACE, American International Group (AIG), Marsh & McLennan, and other large insurers and brokerages were named in Spitzer's investigation for possibly participating in questionable insurance practices including the payment of contingent commissions, bid-rigging, price-fixing, and improper accounting.[45] [46]
Spitzer asserted that contingent commissions contributed to a widespread practice of "bid-rigging" where brokers solicited fake bids with deliberately less favorable terms for the consumer than the bid offered by the insurance company paying the highest commissions.[47][48]
External links
References
- Chubb Limited 2024 Annual Report (Form 10-K) U.S. Securities and Exchange Commission, 27 February 2025^
- Antoine Gara. Wall Street is Running Out of Ways to Make Easy Money off Corporate Tax Loopholes Forbes, July 1, 2015^
- XBRL Viewer