Chubb (company)

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.{{Cite web |url=https://www2.chubb.com/us-en/about-chubb/our-history.aspx |title=Our History |access-date=2018-01-29 |archive-date=2018-01-29 |archive-url=https://web.archive.org/web/20180129141554/https://www2.chubb.com/us-en/about-chubb/our-history.aspx |url-status=dead }}

The Chubb Corporation was incorporated in 1967 and was listed on the New York Stock Exchange in 1984.

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.{{Cite web|url=http://www.businessinsurance.com/cgi-bin/page.pl?pageId=675|title=2007 Readers Choice Awards: Best Admitted P/C Insurance Company | Business Insurance News, Analysis & Articles|accessdate=23 July 2023}} In 2010 Chubb was number five on Chicago Business "Best Places to Work" list.{{Cite web|url=http://www.chicagobusiness.com/cgi-bin/mag/article.pl?articleId=33201|title=Best Places to Work No. 5: Chubb Corp.|accessdate=23 July 2023}}

ACE (American Casualty Excess) Limited was established in 1985 in response to the U.S. liability insurance crisis of the mid-1980s. It was formed with the assistance of insurance broker Marsh & McLennan{{cite book |last1=Wilkinson |first1=Claire |last2=Hartwig |first2=Robert P. |editor1-last=Venard |editor1-first=Bertrand |editor2-last=Cummins |editor2-first=J. David |title=Handbook of International Insurance: Between Global Dynamics and Local Contingencies |date=2007 |publisher=Springer |location=Boston |isbn=978-0-387-34162-0 |pages=925–952 |chapter-url=https://books.google.com/books?id=VjHbtzEKBtIC&pg=PA948 |access-date=10 September 2020 |chapter=An Overview of the Alternative Risk Transfer Market}} and funded by a group of 34 U.S. companies seeking difficult-to-obtain Excess Liability and Directors and Officers (D&O) insurance coverage.{{cite web|url=http://www.aceeuropeangroup.com/AceLimitedRoot/About+ACE/ACE+History/ |title=ACE Company Site History Page |publisher=aceeuropeangroup.com |access-date=8 Aug 2010 |url-status=dead |archive-url=https://web.archive.org/web/20081114064110/http://www.aceeuropeangroup.com/AceLimitedRoot/About%2BACE/ACE%2BHistory/ |archive-date=14 November 2008 |df=dmy }} That year, ACE and its Bermuda subsidiary, incorporated in the Cayman Islands and headquartered in Hamilton, Bermuda, wrote its first insurance policy with John Cox as its president and CEO. In 1987 the company assumed management of Corporate Officers & Directors Assurance Limited (CODA), expanding ACE Bermuda's product line.

Walter Scott became Chairman, President, and CEO of ACE in 1990 and saw the company listed on the New York Stock Exchange in 1993. Brian Duperreault succeeded Scott in 1994 as Chairman, President & CEO and worked for the next ten years as ACE went through a series of acquisitions and a diversification process that brought the ACE Group of Companies global status.{{cite web|url=http://www.acebermuda.com/AceLimitedWeb/Template/About%20ACE/ExecutiveTeamTemplate.aspx?NRMODE=Published&NRORIGINALURL=%2FRecycleBin%2FBrian%2BDuperreault.htm&NRNODEGUID=%7BE7CFE322-D1D7-41AA-8023-1951CD21B7EE%7D&NRCACHEHINT=Guest |title=Brian Duperreault's Executive Team Page |publisher=acebermuda.com |access-date=8 Aug 2010 |url-status=dead |archive-url=https://web.archive.org/web/20110707080200/http://www.acebermuda.com/AceLimitedWeb/Template/About%20ACE/ExecutiveTeamTemplate.aspx?NRMODE=Published&NRORIGINALURL=%2FRecycleBin%2FBrian+Duperreault.htm&NRNODEGUID=%7BE7CFE322-D1D7-41AA-8023-1951CD21B7EE%7D&NRCACHEHINT=Guest |archive-date=7 July 2011 |df=dmy }} One of the multiple acquisitions made during this time was the global property and casualty business of Cigna Corporation (most significantly the Insurance Company of North America, known as INA), which was purchased for $3.45 billion in 1999.{{cite web |url=http://www.acelimited.com/AceLimitedRoot/Media+Center/Press+Releases/1999/ACE+Completes+Acquisition+of+CIGNA_s+P_C+Businesses_+ACE+Announces+Expense+Savings+Targets_+ACE++614.htm |title=ACE Completes Acquisition of CIGNA's P&C Businesses; ACE Announces Expense Savings Targets; ACE Outsources Information Technology Operations to IBM |publisher=acelimited.com |access-date=8 Aug 2010 |archive-url=https://web.archive.org/web/20080415090047/http://www.acelimited.com/AceLimitedRoot/Media+Center/Press+Releases/1999/ACE+Completes+Acquisition+of+CIGNA_s+P_C+Businesses_+ACE+Announces+Expense+Savings+Targets_+ACE++614.htm |archive-date=2008-04-15 |url-status=dead }}

In 2004, Evan G. Greenberg became president and CEO of ACE Ltd.{{cite news |url=https://www.nytimes.com/2004/03/12/business/a-greenberg-3rd-in-family-to-be-chief-of-an-insurer.html?ref=evan_g_greenberg |title=A Greenberg, 3rd in Family, To Be Chief Of an Insurer |work=New York Times |date=12 Mar 2004 | first=Joseph B. | last=Treaster}} In 2004, ACE was also investigated by New York Attorney General Eliot Spitzer for participating in a bid rigging and price fixing scheme with insurance broker Marsh & McLennan.{{cite web|url=http://www.ag.ny.gov/media_center/2006/apr/apr26a_06.html |title=ACE SETTLES BID-RIGGING PROBE: Agreement is Part of Ongoing Effort to Restore Competition in Insurance Industry |publisher=www.ag.ny.gov |date=29 Apr 2006 |url-status=dead |archive-url=https://web.archive.org/web/20101111171822/http://www.ag.ny.gov/media_center/2006/apr/apr26a_06.html |archive-date=11 November 2010 |df=dmy }}{{cite web |url=https://www.bloomberg.com/apps/news?pid=newsarchive&sid=aOn.OJnXVJFE |title=Marsh Settles Spitzer Bid-Rigging Accusations for $850 Million |publisher=Bloomberg |date=21 Jan 2005}}

In 2008, ACE purchased the accident and health insurance provider Combined Insurance Company of America (founded by W. Clement Stone in 1919) from Aon Corporation for $2.56 billion{{Cite web|url=http://www.acelimited.com/AceLimitedRoot/Media+Center/Press+Releases/2008/ACE+Completes+Acquisition+of+Combined+Insurance+Company+of+America.htm|archive-url=https://web.archive.org/web/20090709131706/http://www.acelimited.com/AceLimitedRoot/Media%2BCenter/Press%2BReleases/2008/ACE%2BCompletes%2BAcquisition%2Bof%2BCombined%2BInsurance%2BCompany%2Bof%2BAmerica.htm|url-status=dead|title=ACE Completes Acquisition of Combined Insurance Company of America|archive-date=9 July 2009}} and the high-net-worth personal lines business of the Atlantic Companies.{{Cite web|url=http://news.acegroup.com/press-release/ace-agrees-acquire-personal-lines-business-atlantic-companies|title=ACE Agree to Acquire Personal Lines Business of the Atlantic Companies|access-date=23 July 2023|archive-date=28 June 2013|archive-url=https://archive.today/20130628091553/http://news.acegroup.com/press-release/ace-agrees-acquire-personal-lines-business-atlantic-companies|url-status=bot: unknown}}

Also in 2008, ACE relocated from the Cayman Islands to Zürich, Switzerland. Evan Greenberg described the move as a "natural progression" that would provide ACE with a "better strategic flexibility…and a solid legal and regulatory environment…"{{cite news |url=http://findarticles.com/p/articles/mi_m0EIN/is_2008_March_19/ai_n24940996/?tag=content;col1 |title=ACE Limited Announces Proposed Re-Domestication of Holding Company from Cayman Islands to Switzerland |publisher=Bnet |date=19 Mar 2008}} The re-domestication was completed in July that year.{{Cite web|url=http://www.acelimited.com/AceLimitedRoot/Media+Center/Press+Releases/2008/ACE+Limited+Announces+Completion+of+ReDomestication+of+Holding+Company+from+Cayman+Islands+to+Switze.htm|archive-url=https://web.archive.org/web/20100526114857/http://www.acelimited.com/AceLimitedRoot/Media%2BCenter/Press%2BReleases/2008/ACE%2BLimited%2BAnnounces%2BCompletion%2Bof%2BReDomestication%2Bof%2BHolding%2BCompany%2Bfrom%2BCayman%2BIslands%2Bto%2BSwitze.htm|url-status=dead|title=ACE Limited Announces Completion of Re-Domestication of Holding Company from Cayman Islands to Switzerland|archive-date=26 May 2010}}

In 2010, the ACE company ESIS Inc. was hired by BP to process claims made by the victims of the Deepwater Horizon oil spill.{{cite web|url=http://www.southernstudies.org/2010/06/company-hired-by-bp-to-handle-oil-spill-claims-has-goal-of-reducing-payouts.htm |title=BP hires company to handle oil spill claims whose goal is "reducing payouts" for clients |publisher=southernstudies.org |date=10 Jun 2010 }}{{dead link|date=November 2016 |bot=InternetArchiveBot |fix-attempted=yes }}{{Cite web|url=http://www2.esis.com/ESISRoot/ESIS/|archive-url=https://web.archive.org/web/20101227123250/http://www2.esis.com/ESISRoot/ESIS/|url-status=dead|title=ESIS Deepwater Horizon Incident Response|archive-date=27 December 2010}}

In 2010, ACE Limited purchased Rain and Hail, LLC for $1.1 billion. Rain and Hail Insurance Service, headquartered in Johnston, Iowa, is an industry leader in crop insurance in the United States.{{Cite web|url=https://www.rainhail.com/pdf_files/announcements/ACE_to_Acquire_Rain_and_Hail.pdf|archive-url=https://web.archive.org/web/20110715151033/https://www.rainhail.com/pdf_files/announcements/ACE_to_Acquire_Rain_and_Hail.pdf|url-status=dead|title=ACE to acquire Rain and Hail Insurance Service, Inc. in $1.1 billion transaction|archive-date=15 July 2011}}{{cite web|url=http://www.canadianunderwriter.ca/issues/story.aspx?aid=1000385242 |archive-url=https://archive.today/20120730151051/http://www.canadianunderwriter.ca/issues/story.aspx?aid=1000385242 |url-status=dead |archive-date=2012-07-30 |title=ACE Limited acquires Rain and Hail Insurance Service |date=2010-09-14 }}{{cite web|url=https://finance.yahoo.com/news/ACE-Wraps-Up-Rain-and-Hail-zacks-3259145490.html?x=0&.v=1 |title=ACE Wraps Up Rain and Hail Buy |date=2010-12-29 }}{{dead link|date=November 2016 |bot=InternetArchiveBot |fix-attempted=yes }} ACE Limited also acquired the Hong Kong and Korea life insurance operations of New York Life.{{cite news|title=ACE to Acquire New York Life's Operations in Hong Kong and Korea|url=http://www.insurancejournal.com/news/international/2010/10/27/114391.htm|access-date=10 December 2014|publisher=Insurance Journal|date=27 October 2010}}

In 2011, ACE Limited purchased agribusiness insurer Penn Millers.

{{Cite web|url=https://www.insurancejournal.com/news/national/2011/09/08/213994.htm|title=ACE to Acquire Penn Millers|date=8 September 2011|website=Insurance Journal|accessdate=23 July 2023}}

In 2012, they purchased Indonesian insurer Asuransi Jaya Proteksi.

{{Cite web|url=http://news.acegroup.com/press-release/asia-pacific/ace-acquires-80-asuransi-jaya-proteksi-indonesia|archive-url=https://web.archive.org/web/20140116104836/http://news.acegroup.com/press-release/asia-pacific/ace-acquires-80-asuransi-jaya-proteksi-indonesia|url-status=dead|title=ACE Acquires 80% of Asuransi Jaya Proteksi in Indonesia|archive-date=16 January 2014}}

In 2013, they purchased Mexican Surety Lines Company Fianzas Monterrey and Mexican Personal Lines Insurer ABA Seguros.

{{Cite web|url=http://news.acegroup.com/press-release/corporateglobal/ace-completes-acquisition-mexican-surety-lines-company-fianzas-monterr|archiveurl=https://web.archive.org/web/20140116105053/http://news.acegroup.com/press-release/corporateglobal/ace-completes-acquisition-mexican-surety-lines-company-fianzas-monterr|url-status=dead|title=ACE Completes Acquisition of Mexican Surety Lines Company Fianzas Monterrey|archive-date=16 January 2014}}{{Cite web|url=http://news.acegroup.com/press-release/corporateglobal/ace-acquires-personal-lines-insurer-aba-seguros-mexico|archiveurl=https://web.archive.org/web/20140401175712/http://news.acegroup.com/press-release/corporateglobal/ace-acquires-personal-lines-insurer-aba-seguros-mexico|url-status=dead|title=ACE Acquires Personal Lines Insurer ABA Seguros in Mexico|archive-date=1 April 2014}}

In April 2014, ACE Limited acquired a majority stake in Siam Commercial Samaggi Insurance PCL from Siam Commercial Bank. Following a subsequent tender offer in June 2014, ACE and its local partner owned 93.03% of the Samaggi.{{cite news|title=ACE Announces the Results of Its Tender Offer for Siam Commercial Samaggi Insurance in Thailand |url=https://finance.yahoo.com/news/ace-announces-results-tender-offer-112300693.html |access-date=10 December 2014 |publisher=Yahoo Finance |date=24 June 2014 |url-status=dead |archive-url=https://web.archive.org/web/20141214224719/https://finance.yahoo.com/news/ace-announces-results-tender-offer-112300693.html |archive-date=14 December 2014 |df=dmy }}

In October 2014, ACE Limited acquired the large commercial property and casualty business of Itaú Unibanco Holding SA. The transaction made ACE the largest property and casualty insurer in Brazil.

{{cite news|last1=Marcelino|first1=Francisco|title=Ace to Buy Itau's High-Risk Insurance Unit for $684 Million|url=https://www.bloomberg.com/news/2014-07-04/ace-to-buy-itau-s-high-risk-insurance-unit-for-684-million.html|access-date=10 December 2014|publisher=Bloomberg News|date=4 July 2014}}

In April 2015, ACE Limited acquired the Fireman's Fund high net-worth personal lines insurance business in the U.S. from Allianz for $365 million. ACE Private Risk Services is one of the largest high net worth insurers in the U.S.{{cite news|title=Ace closes $365m deal to buy US insurer|url=http://www.royalgazette.com/article/20150406/BUSINESS04/150409876|access-date=April 30, 2015|publisher=The Royal Gazette|date=April 5, 2015}}

On 1 September 2020, Chubb announced the introduction of the latest update of its Enterprise Guard Plus product for the emerging needs of Hong Kong business insurance.{{Cite web|date=9 September 2020|title=Chubb launches enhanced business package insurance for SMEs in Hong Kong SAR|url=https://www.taiwannews.com.tw/en/news/3999228|access-date=24 September 2020|website=Taiwan News}}

In February 2021, Chubb Limited and the World Health Organization announced the roll out of a no-fault compensation scheme for COVID-19 vaccinations for low and middle-income countries.{{cite web|url=https://www.healtheuropa.eu/worlds-first-covid-19-vaccination-compensation-scheme-launched/106056/|title=World's first COVID-19 vaccination compensation scheme launched|date=23 February 2021|publisher=Health Europa|accessdate=24 February 2021|archive-date=23 February 2021|archive-url=https://web.archive.org/web/20210223192717/https://www.healtheuropa.eu/worlds-first-covid-19-vaccination-compensation-scheme-launched/106056/|url-status=usurped}}

On 1 July 2015, ACE announced that it would acquire Chubb Corporation for $28.3 billion in cash and ACE stock. Upon completion, ACE shareholders held 70% while Chubb shareholders got 30% of the new combined company. The new company was to be based in Zürich, where ACE Limited's headquarters were. Evan Greenberg of ACE became the Chairman and CEO of the new company, while Chubb Chairman and CEO John Finnegan became Executive Vice Chairman for North America External Affairs. The company's board was expanded to 18, with 4 of them coming from Chubb. The new combined company then decided to adopt the Chubb name. The deal received ACE and Chubb shareholder approval and all required regulatory approval, and closed on 14 January 2016.{{cite web|url=http://www.prnewswire.com/news-releases/ace-receives-all-regulatory-approvals-needed-to-close-acquisition-of-chubb-300203831.html|title=ACE Receives All Regulatory Approvals Needed to Close Acquisition of Chubb| publisher=PRNewswire|date=January 13, 2016}}{{cite web|url=http://www.businesswire.com/news/home/20150701005530/en/ACE-Acquire-Chubb-28.3-Billion-Cash-Stock#.VZPOWuMayc1|title=ACE to acquire Chubb for $28.3 billion in cash and stock| publisher=BusinessWire|date=July 1, 2015}}

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.{{cite web |url=http://www.badfaithinsurance.org/reference/General/0014a.htm |title=Spitzer Sues Marsh & McLennan |publisher=badfaithinsurance.org |date=10 Oct 2004 |access-date=18 June 2018 |archive-url=https://web.archive.org/web/20160418204906/http://www.badfaithinsurance.org/reference/General/0014a.htm |archive-date=18 April 2016 |url-status=dead }}

{{cite web |url=http://www.insurancejournal.com/news/national/2004/04/23/41434.htm |title=N.Y. Attorney General Spitzer Targets Insurance Broker Compensation Agreements |work=insurancejournal.com |date=23 Apr 2004}}

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.{{cite web |url=http://www.insurancejournal.com/magazines/west/2004/10/25/features/48447.htm#ixzz0vBmtPije |title=N.Y. Attorney General Spitzer Sues Marsh Over Contingent Commissions |work=insurancejournal.com |date=25 Oct 2004}}{{cite web|url=http://www.businessweek.com/news/2010-02-17/spitzer-says-insurance-broker-fees-fueled-improper-practices-.html |title=Spitzer Says Insurance Broker Fees Fueled 'Improper Practices' |work=Business Week |date=17 Feb 2010 }}{{dead link|date=April 2023|bot=medic}}{{cbignore|bot=medic}}

As part of an $80 million settlement that abated further inquiry, ACE signed an Assurance of Discontinuance in which they acknowledged their prior conduct and agreed to alter their business practices. Evan Greenberg himself admitted no fault in Spitzer's allegations although a junior executive did plead guilty to criminal charges.{{cite news |url=https://www.usatoday.com/money/industries/insurance/2004-11-04-insurance-probe_x.htm?loc=interstitialskip |title=Ace fires two executives, suspends three |work=USA Today |date=4 Nov 2004 | first1=Thor | last1=Valdmanis}}{{cite news |url=https://www.nytimes.com/2005/01/06/business/06ace.html?_r=1&ref=evan_g_greenberg |title=Chief of Ace Unit Resigns |work=New York Times |date=10 Jun 2006}}

Spitzer's insurance industry probe additionally looked in early 2005 into ACE Ltd's subsidiary ACE Tempest Re's reporting to the SEC of a series of reinsurance transactions, together with the SEC reporting of a further 16 unaffiliated re-insurers. Evan Greenberg said that his company's investigation should be completed within a month. According to Greenberg, contracts appeared "generally structured in a way to provide for appropriate risk transfer and accounted for properly."{{cite web|url=http://www.insurancejournal.com/magazines/east/2005/05/09/features/55086.htm |title=Finite Reinsurance Probes Appear Infinite |work=insurancejournal.com |date=9 May 2009 |url-status=dead |archive-url=https://web.archive.org/web/20081229060508/http://www.insurancejournal.com/magazines/east/2005/05/09/features/55086.htm |archive-date=29 December 2008 }}

The Spitzer investigations also triggered civil litigation by policyholders who claim they were victimized by the bid rigging and commission schemes.{{cite web |url=http://ace-insurance-litigation.com/ace-ina-litigation/case/new-cingular-wireless-headquarters-llc-et-al-v-marsh-mclennan-companies-inc |title=NEW CINGULAR WIRELESS HEADQUARTERS LLC et al v. MARSH & MCLENNAN COMPANIES INC |publisher=ACE Insurance Litigation Watch |date=25 Oct 2006 |access-date=18 June 2018 |archive-date=7 July 2011 |archive-url=https://web.archive.org/web/20110707080437/http://ace-insurance-litigation.com/ace-ina-litigation/case/new-cingular-wireless-headquarters-llc-et-al-v-marsh-mclennan-companies-inc |url-status=dead }}

On 8 March 2024, Federal Insurance Company, part of The Chubb Corporation, posted a $91.63 million bond for Donald Trump in the E. Jean Carroll v. Donald J. Trump case.{{cite web |url=https://www.cnn.com/2024/03/08/politics/trump-carroll-83-million-defamation-bond-appeal/index.html |title=Trump posts nearly $92 million bond in E. Jean Carroll defamation case |work=CNN |date=8 March 2024}}{{cite web |url=https://www.insurancejournal.com/news/national/2024/03/08/764218.htm |title=Trump Posts $91.6M Bond From Chubb Subsidiary in Carroll Case |work=Insurance Journal |date=8 March 2024}} Despite an estimated net worth of over $2 billion,{{cite web |url=https://time.com/6589369/donald-trump-net-worth-estimations/ |title=Here’s What We Know About Donald Trump’s Net Worth |work=Time |date=17 February 2024}} Trump needed a cash bond posted by Chubb in order to secure his appeal. While President, Trump appointed Chubb CEO Evan G. Greenberg to the White House advisory committee for trade policy and negotiations.{{cite web |url=https://newrepublic.com/post/179692/idiot-back-trump-bond-e-jean-carroll-trial-evan-greenberg |title=What Idiot Backed Trump’s Bond in E. Jean Carroll Trial? This One |work=The New Republic |date=8 March 2024}} When Chubb announced the securing of the bond, they claimed that this would be the only bond secured as Trump has another $454 million bond pending for his New York civil fraud case. On 18 March 2024, Trump's lawyers notified the Appellate Division of Manhattan Supreme Court that he was unable to secure a bond for the civil fraud case, seeming to confirm Chubb's position on not underwriting additional bonds for Trump.{{cite web |url=https://www.cnbc.com/2024/03/18/trump-cant-secure-454-million-appeal-bond-in-new-york-fraud-case-his-lawyers-say.html |title=Trump can’t secure $454 million appeal bond in New York fraud case, his lawyers say |work=MSNBC |date=18 March 2024}}

On 13 March 2024, CEO Evan Greenberg issued a letter to investors, customers, and brokers defending the move. Despite having deep personal connections to Trump, Greenberg claimed "we frankly left our own personal feelings aside" when deciding to issue the bond.{{cite web |url=https://www.cnbc.com/2024/03/13/chubb-ceo-defends-backing-trump-appeal-bond-in-e-jean-carroll-case.html |title=Chubb CEO defends backing Trump appeal bond in E. Jean Carroll case |work=CNBC |date=13 March 2024}}{{cite web |url=https://www.documentcloud.org/documents/24479707-trump-bond-3132024 |title=Copy of Trump Bond Letter from Chubb CEO Greenberg |date=13 March 2024}}

{{Reflist}}

{{Finance links

| name = Chubb Limited

| symbol = CB

| sec_cik = 896159

| google = CB:NYSE

| yahoo = CB

}}

{{Major insurance companies}}

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Category:Companies listed on the New York Stock Exchange

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