Marginal YoY rise
Chubb Limited (CB) reported a marginal 1.0% YoY (year-over-year) rise in its total revenues in 3Q17 compared to 3Q16. The company reported total revenues of $8.6 billion in 3Q17 compared to $8.5 billion in 3Q16.
This YoY rise occurred mostly due to a rise in the company’s net premiums written and net investment income.
The YoY rise in the net premiums written resulted from significant growth in most of Chubb’s segments. Chubb reported net premiums written of $7.9 billion in 3Q17 compared to $7.6 billion in 3Q16, reflecting a 4.3% increase.
Chubb Limited has a beta value of 0.84. Other insurance (XLF) players Aspen Insurance Holdings (AHL), Travelers Companies (TRV), and CNA Financial Corporation (CNA) have beta values of 0.60, ~1.2, and ~1.2, respectively.
Net investment income rose
Chubb Limited reported a substantial 9.8% YoY rise in its net investment income in 3Q17. In order to arrive at its net investment income, the company subtracts investment expenses from the gross investment income.
However, the sum of investment income from equity securities, short-term investments, fixed maturities, and other investments equals gross investment income.
Chubb reported net investment income of $813 million in 3Q17 compared to $739 million in 3Q16. This rise resulted from a rise in investment income related to short-term investments, fixed maturities, and other investments.
Investment income from fixed maturities rose from $715 million in 3Q16 to $748 million in 3Q17. From other investments, its investment income rose from $28 million in 3Q16 to $63 million in 3Q17.
Chubb reported a rise in investment income from short-term investments from $24 million in 3Q16 to $34 million in 3Q17.