Chubb Ltd (CB) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that Chubb Ltd surfaced in its latest filing.

• At December 31, 2025, gross A&E liabilities represented approximately 1.4 percent of our gross loss reserves.December 31, 2025
• At December 31, 2025, we had $20.6 billion of reinsurance recoverables, net of reserves for uncollectible recoverables.December 31, 2025
• Certain active Chubb companies are primarily liable for A&E and other exposures they have reinsured to our inactive run-off company Century Indemnity Company.
• At December 31, 2025, the aggregate reinsurance balances ceded by our active subsidiaries to Century were approximately $1.9 billion.December 31, 2025
• We assumed GMDB and GMIB risk via reinsurance programs covering variable annuity guarantees, but ceased writing this business in 2007.2007
• At December 31, 2025, approximately 17 percent of our fixed income portfolio is invested in below investment-grade securities.December 31, 2025
• At December 31, 2025, approximately 26.7 percent of unhedged net assets were denominated in foreign currencies.December 31, 2025
• IAIS adopted an international capital standard in December 2024, with jurisdictional assessments of ICS implementation starting in 2027.December 2024
• New York Department of Financial Services' Cybersecurity Regulation mandates detailed cybersecurity standards for insurance entities authorized by NYDFS.
• NAIC adopted Insurance Data Security Model Law; some states enacted it, uncertainty on further enactments.
• EU General Data Protection Regulation applies when personal data processed in relation to offering goods/services to individuals in the EU.
• California Consumer Privacy Act and California Privacy Rights Act may affect data use.
• Brazil's Lei Geral de Protecao de Dados may affect data use.
• State insurance regulators in the U.S. have issued or will consider regulations on use of external data, algorithms, and AI in insurance practices.
• European Union Artificial Intelligence Act will regulate use of AI within the European Union.
• Several nations in Asia are considering legislation or regulatory guidance on AI.
• Bermuda enacted a 15% corporate income tax effective January 1, 2025.January 1, 2025
• The OECD published a framework redefining taxation and instituted a 15 percent global minimum tax in 2024 or later years.2024
• The EU and many other countries have enacted the 15 percent global minimum tax.
• Switzerland enacted aspects of global minimum tax rules, including the income inclusion rule, effective January 1, 2025.January 1, 2025
• On January 15, 2025, the OECD issued Administrative Guidance that could cause additional tax if the deferred tax asset from Bermuda's CIT enactment reverses after 2026.January 15, 2025
• Swiss withholding tax rate is 35 percent on dividends; we estimate ability to pay dividends exempt from Swiss withholding tax until 2032–2036.2032–2036
• In 2022, the U.S. Treasury Department and the IRS released proposed regulations that may cause more income to be treated as RPII than under current law.2022