Chubb Limited (CB) 8-K Results of Operations and Financial Condition

Exhibit 99.2

	Financial Supplement December 31, 2007
Investor Contact Helen M. Wilson Phone: (441) 299-9283 Fax: (441) 292-8675	This report is for informational purposes only. It should be read in conjunction with documents filed by ACE Limited with the Securities and Exchange Commission, including the most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
email: investorrelations@ace.bm	Cautionary Statement Regarding Forward-Looking Statements:
	Forward-looking statements made in this financial supplement reflect the Company’s current views with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties which may cause actual results to differ materially from those set forth in these statements. For example, the Company’s forward-looking statements, such as statements concerning exposures, reserves and recoverables, could be affected by the frequency of unpredictable catastrophic events, actual loss experience, uncertainties in the reserving or settlement process, new theories of liability, judicial, legislative, regulatory and other governmental developments, litigation tactics and developments, investigation developments and actual settlement terms, the amount and timing of reinsurance receivable and credit developments among reinsurers. The Company’s forward-looking statements could also be affected by competition, pricing and policy term trends, the levels of new and renewal business achieved, market acceptance, changes in demand, actual market developments, rating agency action, possible terrorism or the outbreak and effects of war, and changes in the financial, securities, and capital markets and the investment community. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

ACE Limited Financial Supplement Table of Contents

		Page
I.	Financial Highlights
	- Consolidated Financial Highlights	1
II.	Consolidated Results
	- Consolidated Results - Consecutive Quarters	2
	- Summary Consolidated Balance Sheets	3
	- Consolidated Premiums by Line of Business	4
	- Consolidating Statement of Operations	5-6
	- Financial Institutions Portfolio	7
III.	Segment Results
	- Insurance - North American	8
	- Insurance - Overseas General	9
	- Global Reinsurance	10-11
	- Life Insurance and Reinsurance	12
IV.	Balance Sheet Details
	- Loss Reserve Rollforward	13
	- Reinsurance Recoverable Analysis	14-17
	- Investment Portfolio	18-20
	- Net Realized and Unrealized Gains (Losses)	21
	- Capital Structure	22
	- Computation of Basic and Diluted Earnings Per Share	23
V.	Other Disclosures
	- Non-GAAP Financial Measures	24
	- Book Value per Ordinary Share	25
	- Comprehensive Income	26
	- Glossary	27

ACE Limited Consolidated Financial Highlights (in millions of U.S. dollars, except share, per share data and ratios) (Unaudited)

	Three months ended December 31								Year ended December 31
	2007			2006			% Change 4Q-07 vs. 4Q-06		2007			2006			% Change 2007 vs. 2006
Gross premiums written	$	4,144		$	4,010		3	%	$	17,740		$	17,401		2	%
Net premiums written	$	2,827		$	2,864		-1	%	$	11,979		$	12,030		0	%
Net premiums earned	$	3,057		$	3,026		1	%	$	12,297		$	11,825		4	%
Net investment income	$	504		$	428		18	%	$	1,918		$	1,601		20	%
Net income	$	572		$	665		-14	%	$	2,578		$	2,305		12	%
Income excluding net realized gains (losses) and cumulative effect(1)	$	693		$	643		8	%	$	2,712		$	2,351		15	%
Comprehensive income	$	685		$	824		-17	%	$	2,643		$	2,700		-2	%
Operating cash flow	$	823		$	804		2	%	$	4,701		$	4,105		15	%
Combined ratio
Loss and loss expense ratio		60.4	%		61.8	%				61.6	%		61.2	%
Underwriting and administrative expense ratio		27.7	%		26.4	%				26.3	%		26.9	%
Combined ratio		88.1	%		88.2	%				87.9	%		88.1	%
Annualized ROE*		17.2	%		19.0	%				17.9	%		18.5	%
Annualized ROE, excluding FAS 115*		17.8	%		19.8	%				18.6	%		19.2	%
Effective tax rate on income excluding net realized gains (losses) and cumulative effect		17	%		17	%				18	%		20	%
Diluted earnings per share
Income excluding net realized gains (losses) and cumulative effect(1)	$	2.05		$	1.92		7	%	$	8.07		$	7.05		14	%
Net income	$	1.69		$	1.99		-15	%	$	7.66		$	6.91		11	%
Book value per ordinary share	$	48.89		$	42.03		16	%	$	48.89		$	42.03		16	%
Tangible book value per ordinary share	$	40.61		$	33.66		21	%	$	40.61		$	33.66		21	%
Weighted average basic ordinary shares outstanding		325.6			322.5					324.9			321.8
Weighted average diluted ordinary shares outstanding		331.3			328.4					330.4			327.2
Debt/ total capitalization		11.4	%		12.8	%				11.4	%		12.8	%

(1) See page 24 Non-GAAP Financial Measures.

* Calculated using income excluding net realized gains (losses) and cumulative effect of a change in accounting principle (cumulative effect)

Financial Highlights Page 1

ACE Limited Consolidated Results - Consecutive Quarters (in millions of U.S. dollars) (Unaudited)

ACE Limited Consolidated

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Property and Casualty
Gross premiums written	$	4,035		$	4,363		$	4,545		$	4,406		$	3,932		$	17,349		$	17,127
Net premiums written		2,716			2,705			2,995			3,182			2,786			11,598			11,756
Net premiums earned		2,959			3,055			2,921			2,994			2,948			11,929			11,551
Losses and loss expenses		1,788			1,910			1,793			1,860			1,824			7,351			7,070
Policy acquisition costs		448			450			422			406			424			1,726			1,689
Administrative expenses		372			345			344			344			353			1,405			1,421
P&C underwriting income	$	351		$	350		$	362		$	384		$	347		$	1,447		$	1,371
Life underwriting income excluding investment income		16			30			30			29			25			105			90
Net investment income		504			492			471			451			428			1,918			1,601
Net realized gains (losses)		(66	)		—			(11	)		16			15			(61	)		(98	)
Interest expense		43			44			42			46			42			175			176
Other (income) expense(1)		49			32			(4	)		4			(16	)		81			(35	)
Income tax expense (benefit)		141			140			165			129			124			575			522
Cumulative effect of a change in accounting principle, net of tax		—			—			—			—			—			—			4
Net income	$	572		$	656		$	649		$	701		$	665		$	2,578		$	2,305
Net realized gains (losses)		(66	)		—			(11	)		16			15			(61	)		(98	)
Net realized gains (losses) in other (income) expense(1)		(57	)		(38	)		—			—			—			(95	)		—
Tax expense (benefit) on net realized gains (losses)		(2	)		(2	)		4			(22	)		(7	)		(22	)		(48	)
Cumulative effect of a change in accounting principle, net of tax		—			—			—			—			—			—			4
Income excluding net realized gains (losses) and cumulative effect(2)	$	693		$	692		$	664		$	663		$	643		$	2,712		$	2,351
% Change versus prior year period(3)
Property and Casualty net premiums written		-3	%		-1	%		0	%		-2	%		9	%		-1	%		2	%
Property and Casualty net premiums earned		0	%		1	%		3	%		9	%		6	%		3	%		0	%
Other ratios
Net premiums written/gross premiums written		67	%		62	%		66	%		72	%		71	%		67	%		69	%
Effective tax rate on income excluding net realized gains (losses) and cumulative effect		17	%		17	%		20	%		19	%		17	%		18	%		20	%
Combined ratio(3)
Loss and loss expense ratio		60.4	%		62.5	%		61.4	%		62.1	%		61.8	%		61.6	%		61.2	%
Policy acquisition cost ratio		15.1	%		14.7	%		14.5	%		13.5	%		14.4	%		14.5	%		14.6	%
Administrative expense ratio		12.6	%		11.3	%		11.7	%		11.5	%		12.0	%		11.8	%		12.3	%
Combined ratio		88.1	%		88.5	%		87.6	%		87.1	%		88.2	%		87.9	%		88.1	%
Expense ratio P&C		27.7	%		26.0	%		26.2	%		25.0	%		26.4	%		26.3	%		26.9	%
Expense ratio excluding A&H		24.6	%		22.8	%		23.6	%		21.9	%		23.8	%		23.2	%		24.5	%
Large losses and other items(3)
Catastrophe and other large losses (before tax)	$	23		$	21		$	81		$	34		$	6		$	159		$	17
Prior period development - unfavorable (favorable)	$	(89	)	$	(70	)	$	(40	)	$	(18	)	$	17		$	(217	)	$	(12	)

(1) Includes $57 million and $38 million of net realized investment and derivative losses related to our unconsolidated insurance affiliates for quarter 4 2007 and quarter 3 2007, respectively.

(2) See page 24 Non-GAAP Financial Measures.

(3) Property and casualty excluding Life is presented to allow for comparison and analysis with earnings guidance. This is a non-GAAP measure.

Consolidated Results Page 2

ACE Limited   Summary Consolidated Balance Sheets   (in millions of U.S. dollars, except per share data)

	December 31 2007		September 30 2007		June 30 2007		March 31 2007		December 31 2006
	(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)		(Audited)
Assets
Fixed maturities available for sale, at fair value	$	33,184	$	32,632	$	30,591	$	29,934	$	28,540
Fixed maturities held to maturity, at amortized cost		2,987		2,979		3,013		3,060		3,047
Equity securities, at fair value		1,837		1,866		1,896		1,772		1,713
Short-term investments, at fair value		2,631		2,940		2,919		2,658		2,456
Other investments		1,140		1,050		934		896		845
Total investments		41,779		41,467		39,353		38,320		36,601
Cash		510		506		621		639		565
Securities lending collateral		2,109		2,301		2,811		2,905		2,171
Insurance and reinsurance balances receivable		3,540		3,324		3,923		3,689		3,580
Reinsurance recoverable		14,362		14,218		14,081		14,374		14,580
Deferred policy acquisition costs		1,121		1,138		1,160		1,133		1,077
Prepaid reinsurance premiums		1,600		1,687		1,854		1,621		1,586
Goodwill		2,731		2,731		2,731		2,731		2,731
Deferred tax assets		1,087		1,163		1,163		1,192		1,165
Investments in partially owned insurance companies		773		786		826		804		789
Other assets		2,478		2,633		2,497		2,366		2,290
Total assets	$	72,090	$	71,954	$	71,020	$	69,774	$	67,135
Liabilities
Unpaid losses and loss expenses	$	37,112	$	36,868	$	36,123	$	35,813	$	35,517
Unearned premiums		6,227		6,542		7,001		6,670		6,437
Future policy benefits for life and annuity contracts		545		527		521		521		518
Insurance and reinsurance balances payable		2,843		2,592		2,690		2,511		2,449
Deposit liabilities		351		355		363		327		335
Securities lending payable		2,109		2,301		2,811		2,905		2,171
Payable for securities purchased		1,798		2,407		2,257		1,338		1,286
Accounts payable, accrued expenses and other liabilities		1,825		1,689		1,445		1,514		1,541
Income taxes payable		111		174		168		265		156
Short-term debt		372		87		85		581		578
Long-term debt		1,811		2,068		2,063		2,061		1,560
Trust preferred securities		309		309		309		309		309
Total liabilities		55,413		55,919		55,836		54,815		52,857
Shareholders’ equity
Total shareholders’ equity, excl. AOCI		15,908		15,379		14,781		14,181		13,562
Accumulated other comprehensive income (AOCI)		769		656		403		778		716
Total shareholders’ equity		16,677		16,035		15,184		14,959		14,278
Total liabilities and shareholders’ equity	$	72,090	$	71,954	$	71,020	$	69,774	$	67,135
Book value per ordinary share(1)	$	48.89	$	46.98	$	44.46	$	43.87	$	42.03
Tangible book value per ordinary share(1)	$	40.61	$	38.69	$	36.16	$	35.55	$	33.66

(1) See page 24 Non-GAAP Financial Measures.

Consol Bal Sheet Page 3

ACE Limited Consolidated Premiums by Line of Business (in millions of U.S. dollars) (Unaudited)

ACE Limited Consolidated

	4Q-07		% of Total Consolidated		4Q-06		% of Total Consolidated		% Change 4Q-07 vs. 4Q-06		Year 2007		% of Total Consolidated		Year 2006		% of Total Consolidated		% Change 2007 vs. 2006
Net premiums written
Property and all other	$	765	27	%	$	734	25	%	4	%	$	3,702	31	%	$	3,677	31	%	1	%
Casualty		1,522	54	%		1,687	59	%	-10	%		6,219	52	%		6,652	55	%	-7	%
Personal accident (A&H)		429	15	%		365	13	%	18	%		1,677	14	%		1,427	12	%	18	%
Total P&C		2,716	96	%		2,786	97	%	-3	%		11,598	97	%		11,756	98	%	-1	%
Life		111	4	%		78	3	%	42	%		381	3	%		274	2	%	39	%
Total Consolidated	$	2,827	100	%	$	2,864	100	%	-1	%	$	11,979	100	%	$	12,030	100	%	0	%
Net premiums earned
Property and all other	$	957	31	%	$	924	31	%	4	%	$	3,787	31	%	$	3,618	31	%	5	%
Casualty		1,556	51	%		1,646	54	%	-5	%		6,464	52	%		6,506	55	%	-1	%
Personal accident (A&H)		446	15	%		378	12	%	18	%		1,678	14	%		1,427	12	%	18	%
Total P&C		2,959	97	%		2,948	97	%	0	%		11,929	97	%		11,551	98	%	3	%
Life		98	3	%		78	3	%	26	%		368	3	%		274	2	%	34	%
Total Consolidated	$	3,057	100	%	$	3,026	100	%	1	%	$	12,297	100	%	$	11,825	100	%	4	%

Line of Business Page 4

ACE Limited Consolidating Statement of Operations Three months ended December 31, 2007 and 2006 (in millions of U.S. dollars) (Unaudited)

	Insurance - North American			Insurance - Overseas General			Global Reinsurance			Corporate & Other			Consolidated P&C			Life Insurance & Reinsurance			ACE Consolidated
December 31, 2007
Gross premiums written	$	2,274		$	1,584		$	177		$	—		$	4,035		$	109		$	4,144
Net premiums written		1,373			1,169			174			—			2,716			111			2,827
Net premiums earned		1,418			1,229			312			—			2,959			98			3,057
Losses and loss expenses		1,004			631			155			(2	)		1,788			—			1,788
Life and annuity benefits		—			—			—			—			—			60			60
Policy acquisition costs		121			269			58			—			448			9			457
Administrative expenses		138			175			17			42			372			13			385
Underwriting income (loss)		155			154			82			(40	)		351			16			367
Net investment income		276			119			73			21			489			15			504
Net realized gains (losses)		44			(11	)		(3	)		12			42			(108	)		(66	)
Interest expense		—			—			—			43			43			—			43
Other (income) expense		—			(12	)		1			59			48			1			49
Income tax expense (benefit)		100			59			7			(21	)		145			(4	)		141
Net income (loss)		375			215			144			(88	)		646			(74	)		572
Net realized gains (losses)		44			(11	)		(3	)		12			42			(108	)		(66	)
Net realized gains (losses) in other (income) expense		—			15			—			(73	)		(58	)		1			(57	)
Tax expense (benefit) on net realized gains (losses)		(2	)		(1	)		(1	)		2			(2	)		—			(2	)
Income (loss) excluding net realized gains (losses)(1)	$	329		$	210		$	146		$	(25	)	$	660		$	33		$	693
December 31, 2006
Gross premiums written	$	2,236		$	1,441		$	255		$	—		$	3,932		$	78		$	4,010
Net premiums written		1,476			1,059			251			—			2,786			78			2,864
Net premiums earned		1,471			1,097			380			—			2,948			78			3,026
Losses and loss expenses		1,054			576			194			—			1,824			—			1,824
Life and annuity benefits		—			—			—			—			—			32			32
Policy acquisition costs		122			226			76			—			424			9			433
Administrative expenses		132			157			14			50			353			12			365
Underwriting income (loss)		163			138			96			(50	)		347			25			372
Net investment income		233			97			62			24			416			12			428
Net realized gains (losses)		(11	)		8			17			14			28			(13	)		15
Interest expense		—			—			—			42			42			—			42
Other (income) expense		(13	)		7			2			(12	)		(16	)		—			(16	)
Income tax expense (benefit)		89			43			9			(12	)		129			(5	)		124
Net income (loss)		309			193			164			(30	)		636			29			665
Net realized gains (losses)		(11	)		8			17			14			28			(13	)		15
Tax expense (benefit) on net realized gains (losses)		(16	)		2			1			6			(7	)		—			(7	)
Income (loss) excluding net realized gains (losses)(1)	$	304		$	187		$	148		$	(38	)	$	601		$	42		$	643

(1) See page 24 Non-GAAP Financial Measures.

Segment 2007 Qtr Page 5

ACE Limited Consolidating Statement of Operations Year ended December 31, 2007 and 2006 (in millions of U.S. dollars) (Unaudited)

	Insurance - North American			Insurance - Overseas General			Global Reinsurance			Corporate & Other			Consolidated P&C			Life Insurance & Reinsurance			ACE Consolidated
December 31, 2007
Gross premiums written	$	9,840		$	6,291		$	1,218		$	—		$	17,349		$	391		$	17,740
Net premiums written		5,833			4,568			1,197			—			11,598			381			11,979
Net premiums earned		6,007			4,623			1,299			—			11,929			368			12,297
Losses and loss expenses		4,269			2,420			664			(2	)		7,351			—			7,351
Life and annuity benefits		—			—			—			—			—			168			168
Policy acquisition costs		515			963			248			—			1,726			45			1,771
Administrative expenses		530			669			64			142			1,405			50			1,455
Underwriting income (loss)		693			571			323			(140	)		1,447			105			1,552
Net investment income		1,034			450			274			105			1,863			55			1,918
Net realized gains (losses)		125			(69	)		21			26			103			(164	)		(61	)
Interest expense		—			—			—			175			175			—			175
Other (income) expense		11			(20	)		4			85			80			1			81
Income tax expense (benefit)		468			183			32			(100	)		583			(8	)		575
Net income (loss)		1,373			789			582			(169	)		2,575			3			2,578
Net realized gains (losses)		125			(69	)		21			26			103			(164	)		(61	)
Net realized gains (losses) in other (income) expense		—			26			—			(122	)		(96	)		1			(95	)
Tax expense (benefit) on net realized gains (losses)		21			(14	)		(2	)		(27	)		(22	)		—			(22	)
Income (loss) excluding net realized gains (losses)(1)	$	1,269		$	818		$	559		$	(100	)	$	2,546		$	166		$	2,712
December 31, 2006
Gross premiums written	$	9,663		$	5,897		$	1,567		$	—		$	17,127		$	274		$	17,401
Net premiums written		5,940			4,266			1,550			—			11,756			274			12,030
Net premiums earned		5,719			4,321			1,511			—			11,551			274			11,825
Losses and loss expenses		4,026			2,259			784			1			7,070			—			7,070
Life and annuity benefits		—			—			—			—			—			123			123
Policy acquisition costs		530			856			303			—			1,689			26			1,715
Administrative expenses		502			609			62			248			1,421			35			1,456
Underwriting income (loss)		661			597			362			(249	)		1,371			90			1,461
Net investment income		876			370			221			92			1,559			42			1,601
Net realized gains (losses)		(83	)		(16	)		10			27			(62	)		(36	)		(98	)
Interest expense		—			—			—			176			176			—			176
Other (income) expense		(2	)		10			8			(51	)		(35	)		—			(35	)
Income tax expense (benefit)		352			206			38			(68	)		528			(6	)		522
Cumulative effect of a change in accounting principle, net of tax		—			—			—			4			4			—			4
Net income (loss)		1,104			735			547			(183	)		2,203			102			2,305
Net realized gains (losses)		(83	)		(16	)		10			27			(62	)		(36	)		(98	)
Tax expense (benefit) on net realized gains (losses)		(55	)		3			(1	)		5			(48	)		—			(48	)
Cumulative effect of a change in accounting principle, net of tax		—			—			—			4			4			—			4
Income (loss) excluding net realized gains (losses)(1)	$	1,132		$	754		$	536		$	(209	)	$	2,213		$	138		$	2,351

(1) See page 24 Non-GAAP Financial Measures.

Segment 2007 YTD Page 6

ACE Limited Consolidated Results—Financial Institutions Portfolio—U.S. Exposed (in millions of U.S. dollars) (Unaudited)

	Net Premiums Written		Average Net Limit			Average Attachment
Directors and Officers (D&O)
A-Side	$	25.3	$	13.7		$	102.1
ABC		68.9		6.2			43.4
	$	94.2	$	7.7		$	55.3
Errors and Omissions (E&O)
Bankers Professional	$	8.5	$	4.6		$	19.4
Insurance Companies		16.1		5.7			15.0
Investment Management		10.1		5.2			28.5
Rating Agencies		1.1		5.4			25.4
Mortgage Bankers / Brokers		4.2		0.5			0.0
Broker/Dealers		9.2		1.1			12.9
	$	49.2	$	3.2		$	17.1
Total	$	143.4	$	5.8	*	$	39.0	*

Additional Facts:

1. U.S. Exposed D&O includes International Companies with U.S. Securities and Exchange Commission (SEC) / American Depository Receipts (ADR) exposure.

2. D&O includes Capital Markets, Commercial Banks, Consumer Finance, Diversified Financials, Insurance, REITS, Thrifts&Mortgage, Rating Agencies

3. All premium is net of treaty reinsurance. Net to gross ratio is 76.4% for U.S. exposed business.

4. All coverage is claims made.

5. Defense costs are included within policy limits.

* Excludes Mortgage Bankers/Brokers

Financial Institutions Page 7

ACE Limited Segment Results - Consecutive Quarters (in millions of U.S. dollars) (Unaudited)

Insurance - North American

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Gross premiums written	$	2,274		$	2,708		$	2,589		$	2,269		$	2,236		$	9,840		$	9,663
Net premiums written		1,373			1,449			1,497			1,514			1,476			5,833			5,940
Net premiums earned		1,418			1,595			1,455			1,539			1,471			6,007			5,719
Losses and loss expenses		1,004			1,138			1,016			1,111			1,054			4,269			4,026
Policy acquisition costs		121			150			128			116			122			515			530
Administrative expenses		138			129			130			133			132			530			502
Underwriting income		155			178			181			179			163			693			661
Net investment income		276			260			257			241			233			1,034			876
Net realized gains (losses)		44			29			15			37			(11	)		125			(83	)
Interest expense		—			—			—			—			—			—			—
Other (income) expense		—			1			1			9			(13	)		11			(2	)
Income tax expense (benefit)		100			125			115			128			89			468			352
Net income		375			341			337			320			309			1,373			1,104
Net realized gains (losses)		44			29			15			37			(11	)		125			(83	)
Tax expense (benefit) on net realized gains (losses)		(2	)		—			8			15			(16	)		21			(55	)
Income excluding net realized gains (losses)(1)	$	329		$	312		$	330		$	298		$	304		$	1,269		$	1,132
Combined ratio
Loss and loss expense ratio		70.8	%		71.3	%		69.8	%		72.2	%		71.7	%		71.1	%		70.4	%
Policy acquisition cost ratio		8.6	%		9.4	%		8.8	%		7.5	%		8.3	%		8.6	%		9.2	%
Administrative expense ratio		9.7	%		8.1	%		8.9	%		8.7	%		8.9	%		8.8	%		8.8	%
Combined ratio		89.1	%		88.8	%		87.5	%		88.4	%		88.9	%		88.5	%		88.4	%
Large losses and other items (before tax)
Catastrophe and other large losses (before tax)	$	—		$	—		$	16		$	—		$	—		$	16		$	—
Prior period development - unfavorable (favorable)	$	1		$	4		$	(6	)	$	10		$	20		$	9		$	65
% Change versus prior year period
Net premiums written		-7	%		-1	%		0	%		1	%		16	%		-2	%		2	%
Net premiums earned		-4	%		3	%		6	%		15	%		9	%		5	%		0	%
Other ratios
Net premiums written/gross premiums written		60	%		54	%		58	%		67	%		66	%		59	%		61	%

(1) See page 24 Non-GAAP Financial Measures.

Insurance-North American Page 8

ACE Limited Segment Results - Consecutive Quarters (in millions of U.S. dollars) (Unaudited)

Insurance - Overseas General

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Gross premiums written	$	1,584		$	1,427		$	1,621		$	1,659		$	1,441		$	6,291		$	5,897
Net premiums written		1,169			1,041			1,166			1,192			1,059			4,568			4,266
Net premiums earned		1,229			1,141			1,141			1,112			1,097			4,623			4,321
Losses and loss expenses		631			611			614			564			576			2,420			2,259
Policy acquisition costs		269			240			230			224			226			963			856
Administrative expenses		175			170			162			162			157			669			609
Underwriting income		154			120			135			162			138			571			597
Net investment income		119			116			111			104			97			450			370
Net realized gains (losses)		(11	)		(5	)		(27	)		(26	)		8			(69	)		(16	)
Interest expense		—			—			—			—			—			—			—
Other (income) expense		(12	)		(12	)		1			3			7			(20	)		10
Income tax expense (benefit)		59			26			58			40			43			183			206
Net income		215			217			160			197			193			789			735
Net realized gains (losses)		(11	)		(5	)		(27	)		(26	)		8			(69	)		(16	)
Net realized gains (losses) in other (income) expense		15			11			—			—			—			26			—
Tax expense (benefit) on net realized gains (losses)		(1	)		(1	)		(4	)		(8	)		2			(14	)		3
Income excluding net realized gains (losses)(1)	$	210		$	210		$	183		$	215		$	187		$	818		$	754
Combined ratio
Loss and loss expense ratio		51.4	%		53.6	%		53.9	%		50.7	%		52.5	%		52.4	%		52.3	%
Policy acquisition cost ratio		21.8	%		21.1	%		20.1	%		20.2	%		20.6	%		20.8	%		19.8	%
Administrative expense ratio		14.3	%		14.8	%		14.2	%		14.5	%		14.3	%		14.5	%		14.1	%
Combined ratio		87.5	%		89.5	%		88.2	%		85.4	%		87.4	%		87.7	%		86.2	%
Large losses and other items
Catastrophe and other large losses (before tax)	$	13		$	8		$	58		$	15		$	—			94		$	3
Prior period development - unfavorable (favorable)	$	(76	)	$	(64	)	$	(31	)	$	(21	)	$	4			(192	)	$	(72	)
% Change versus prior year period
Net premiums written		10	%		6	%		8	%		4	%		4	%		7	%		2	%
Net premiums earned		12	%		4	%		5	%		7	%		5	%		7	%		2	%
Other ratios
Net premiums written/gross premiums written		74	%		73	%		72	%		72	%		73	%		73	%		72	%

(1) See page 24 Non-GAAP Financial Measures.

Insurance-Overseas General Page 9

ACE Limited Segment Results - Consecutive Quarters (in millions of U.S. dollars) (Unaudited)

Global Reinsurance

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Gross premiums written	$	177		$	228		$	335		$	478		$	255		$	1,218		$	1,567
Net premiums written		174			215			332			476			251			1,197			1,550
Net premiums earned		312			319			325			343			380			1,299			1,511
Losses and loss expenses		155			161			163			185			194			664			784
Policy acquisition costs		58			60			64			66			76			248			303
Administrative expenses		17			14			16			17			14			64			62
Underwriting income		82			84			82			75			96			323			362
Net investment income		73			69			66			66			62			274			221
Net realized gains (losses)		(3	)		25			(7	)		6			17			21			10
Interest expense		—			—			—			—			—			—			—
Other (income) expense		1			—			2			1			2			4			8
Income tax expense (benefit)		7			11			7			7			9			32			38
Net income		144			167			132			139			164			582			547
Net realized gains (losses)		(3	)		25			(7	)		6			17			21			10
Tax expense (benefit) on net realized gains (losses)		(1	)		—			—			(1	)		1			(2	)		(1	)
Income excluding net realized gains (losses)(1)	$	146		$	142		$	139		$	132		$	148		$	559		$	536
Combined ratio
Loss and loss expense ratio		49.8	%		50.6	%		50.1	%		53.8	%		50.9	%		51.1	%		51.8	%
Policy acquisition cost ratio		18.3	%		18.8	%		19.9	%		19.2	%		20.1	%		19.1	%		20.1	%
Administrative expense ratio		5.5	%		4.2	%		5.0	%		5.0	%		3.7	%		4.9	%		4.1	%
Combined ratio		73.6	%		73.6	%		75.0	%		78.0	%		74.7	%		75.1	%		76.0	%
Large losses and other items
Catastrophe and other large losses (before tax)	$	10		$	13		$	7		$	19		$	6			49		$	14
Prior period development - unfavorable (favorable)	$	(14	)	$	(10	)	$	(3	)	$	(7	)	$	(7	)		(34	)	$	(5	)

(1) See page 24 Non-GAAP Financial Measures.

Global Reinsurance Page 10

ACE Limited Segment Results - Consecutive Quarters - 2 (in millions of U.S. dollars) (Unaudited)

Global Reinsurance

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
% Change versus prior year period
Net premiums written		-31	%		-24	%		-20	%		-21	%		-9	%		-23	%		0	%
Net premiums earned		-18	%		-14	%		-16	%		-8	%		-4	%		-14	%		-1	%
Other ratios
Net premiums written/gross premiums written		98	%		94	%		99	%		100	%		98	%		98	%		99	%
Global Reinsurance - By Division
	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Gross premiums written
ACE Tempest Re Bermuda	$	14		$	51		$	121		$	174		$	16		$	360		$	386
ACE Tempest Re USA		118			134			175			188			181			615			903
ACE Tempest Re Europe		42			39			35			112			58			228			278
ACE Tempest Re Canada		3			4			4			4			—			15			—
Total	$	177		$	228		$	335		$	478		$	255		$	1,218		$	1,567
Net premiums written
ACE Tempest Re Bermuda	$	13		$	40		$	120		$	174		$	13		$	347		$	379
ACE Tempest Re USA		118			134			175			188			181			615			902
ACE Tempest Re Europe		40			37			33			110			57			220			269
ACE Tempest Re Canada		3			4			4			4			—			15			—
Total	$	174		$	215		$	332		$	476		$	251		$	1,197		$	1,550
Net premiums earned
ACE Tempest Re Bermuda	$	91		$	90		$	87		$	88		$	96		$	356		$	367
ACE Tempest Re USA		162			167			177			187			216			693			872
ACE Tempest Re Europe		55			59			60			67			68			241			272
ACE Tempest Re Canada		4			3			1			1			—			9			—
Total	$	312		$	319		$	325		$	343		$	380		$	1,299		$	1,511
Net premiums written/gross premiums written
ACE Tempest Re Bermuda		93	%		78	%		99	%		100	%		81	%		96	%		98	%
ACE Tempest Re USA		100	%		100	%		100	%		100	%		100	%		100	%		100	%
ACE Tempest Re Europe		95	%		95	%		94	%		98	%		98	%		96	%		97	%
ACE Tempest Re Canada		100	%		100	%		100	%		100	%		—			100	%		—
Total NPW/GPW		98	%		94	%		99	%		100	%		98	%		98	%		99	%

Global Reinsurance 2 Page 11

ACE Limited Segment Results - Consecutive Quarters (in millions of U.S. dollars) (Unaudited)

Life Insurance and Reinsurance

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Gross premiums written (1)	$	109		$	100		$	92		$	90		$	78		$	391		$	274
Net premiums written		111			95			87			88			78			381			274
Net premiums earned		98			95			87			88			78			368			274
Life and annuity benefits		60			39			33			36			32			168			123
Policy acquisition costs		9			13			12			11			9			45			26
Administrative expenses		13			13			12			12			12			50			35
Net investment income		15			14			14			12			12			55			42
Life underwriting income(2)		31			44			44			41			37			160			132
Net realized gains (losses)		(108	)		(51	)		(1	)		(4	)		(13	)		(164	)		(36	)
Other (income) expense		1			—			—			—			—			1			—
Income tax expense (benefit)		(4	)		(3	)		1			(2	)		(5	)		(8	)		(6	)
Net income		(74	)		(4	)		42			39			29			3			102
Net realized gains (losses)		(108	)		(51	)		(1	)		(4	)		(13	)		(164	)		(36	)
Net realized gains (losses) in other (income) expense		1			—			—			—			—			1			—
Tax expense (benefit) on net realized gains (losses)		—			—			—			—			—			—			—
Income excluding net realized gains (losses)(3)	$	33		$	47		$	43		$	43		$	42		$	166		$	138

(1) Consistent with GAAP, premiums collected on universal life and investment contracts are considered deposits and excluded from premium revenue. For the quarters ended December 31, 2007, September 30, 2007, and June 30, 2007, premiums or deposits collected on investment and universal life contracts that are excluded from premium revenue above aggregated to $27.2 million, $17.4 million and $10.6 million, respectively. Previous to Q2-07, premiums collected on such contracts were inconsequential.

(2) We assess the performance of our Life Insurance and Reinsurance business based on life underwriting income which includes net investment income.

(3) See page 24 Non-GAAP Financial Measures.

Life Page 12

ACE Limited Loss Reserve Rollforward (in millions of U.S. dollars) (Unaudited)

	Total									Ongoing									Run-off (1)
	Unpaid Losses									Unpaid Losses									Unpaid Losses
	Gross			Ceded			Net			Gross			Ceded			Net			Gross			Ceded			Net
Balance at December 31, 2005	$	35,055		$	14,597		$	20,458		$	27,174		$	9,269		$	17,905		$	7,881		$	5,328		$	2,553
Losses and loss expenses incurred		2,130			450			1,680			2,143			476			1,667			(13	)		(26	)		13
Losses and loss expenses paid		(1,686	)		(503	)		(1,183	)		(1,486	)		(353	)		(1,133	)		(200	)		(150	)		(50	)
Other (incl. foreign exch. revaluation)		9			10			(1	)		16			10			6			(7	)		—			(7	)
Balance at March 31, 2006		35,508			14,554			20,954			27,847			9,402			18,445			7,661			5,152			2,509
Losses and loss expenses incurred		2,378			630			1,748			2,349			618			1,731			29			12			17
Losses and loss expenses paid		(2,536	)		(1,082	)		(1,454	)		(2,344	)		(938	)		(1,406	)		(192	)		(144	)		(48	)
Other (incl. foreign exch. revaluation)		214			69			145			212			69			143			2			—			2
Balance at June 30, 2006		35,564			14,171			21,393			28,064			9,151			18,913			7,500			5,020			2,480
Losses and loss expenses incurred		2,582			764			1,818			2,588			797			1,791			(6	)		(33	)		27
Losses and loss expenses paid		(2,395	)		(975	)		(1,420	)		(2,223	)		(893	)		(1,330	)		(172	)		(82	)		(90	)
Other (Sale of certain run-off subsidiaries)(2)		(789	)		(317	)		(472	)		—			—			—			(789	)		(317	)		(472	)
Other (incl. foreign exch. revaluation)		187			66			121			199			69			130			(12	)		(3	)		(9	)
Balance at September 30, 2006		35,149			13,709			21,440			28,628			9,124			19,504			6,521			4,585			1,936
Losses and loss expenses incurred		2,780			956			1,824			2,477			710			1,767			303			246			57
Losses and loss expenses paid		(2,613	)		(1,211	)		(1,402	)		(2,405	)		(1,078	)		(1,327	)		(208	)		(133	)		(75	)
Other (incl. foreign exch. revaluation)		201			55			146			289			221			68			(88	)		(166	)		78
Balance at December 31, 2006		35,517			13,509			22,008			28,989			8,977			20,012			6,528			4,532			1,996
Losses and loss expenses incurred		2,703			843			1,860			2,690			832			1,858			13			11			2
Losses and loss expenses paid		(2,363	)		(943	)		(1,420	)		(2,206	)		(797	)		(1,409	)		(157	)		(146	)		(11	)
Other (incl. foreign exch. revaluation)		(44)			4			(48)			(44)			4			(48)			—			—			—
Balance at March 31, 2007		35,813			13,413			22,400			29,429			9,016			20,413			6,384			4,397			1,987
Losses and loss expenses incurred		2,280			487			1,793			2,249			473			1,776			31			14			17
Losses and loss expenses paid		(2,111	)		(758	)		(1,353	)		(1,977	)		(637	)		(1,340	)		(134	)		(121	)		(13	)
Other (incl. foreign exch. revaluation)		141			34			107			140			34			106			1			—			1
Balance at June 30, 2007		36,123			13,176			22,947			29,841			8,886			20,955			6,282			4,290			1,992
Losses and loss expenses incurred		3,010			1,100			1,910			2,999			1,093			1,906			11			7			4
Losses and loss expenses paid		(2,429	)		(948	)		(1,481	)		(2,269	)		(833	)		(1,436	)		(160	)		(115	)		(45	)
Other (incl. foreign exch. revaluation)		164			58			106			164			58			106			—			—			—
Balance at September 30, 2007		36,868			13,386			23,482			30,735			9,204			21,531			6,133			4,182			1,951
Losses and loss expenses incurred		2,838			1,050			1,788			2,815			1,057			1,758			23			(7	)		30
Losses and loss expenses paid		(2,613	)		(933	)		(1,680	)		(2,400	)		(806	)		(1,594	)		(213	)		(127	)		(86	)
Other (incl. foreign exch. revaluation)		19			17			2			19			17			2			—			—			—
Balance at December 31, 2007		$37,112			$13,520			$23,592			$31,169			$9,472			$21,697			$5,943			$4,048			$1,895

(1) The run-off reserves primarily include the Brandywine group, the Commercial Insurance Service—Middle Market Workers’ Comp. reserves and the pre-1997 Westchester Specialty reserves.

(2) During the third quarter of 2006, ACE Limited completed the sale of three run-off reinsurance subsidiaries, ACE American Reinsurance Company, Brandywine Reinsurance Co. (UK) Ltd. and Brandywine Reinsurance Company S.A.-N.V. to Randall & Quilter Investment Holdings Limited.

Loss Reserve Rollforward Page 13

ACE Limited Reinsurance Recoverable Analysis (in millions of U.S. dollars) (Unaudited)

Net Reinsurance Recoverable by Division

	December 31 2007			September 30 2007			June 30 2007			March 31 2007			December 31 2006
Reinsurance recoverable on paid losses and loss expenses
Active operations	$	697		$	761		$	820		$	922		$	1,013
Brandywine		305			227			245			242			251
Westchester Run-off		36			29			33			42			36
Other Run-off		12			13			16			17			16
Total	$	1,050		$	1,030		$	1,114		$	1,223		$	1,316
Reinsurance recoverable on unpaid losses and loss expenses
Active operations	$	10,024		$	9,753		$	9,418		$	9,505		$	9,479
Brandywine		3,161			3,211			3,303			3,425			3,535
Westchester Run-off		653			671			674			690			699
Other Run-off		160			202			221			202			200
Total	$	13,998		$	13,837		$	13,616		$	13,822		$	13,913
Gross reinsurance recoverable
Active operations	$	10,721		$	10,514		$	10,238		$	10,427		$	10,515
Brandywine		3,466			3,438			3,548			3,667			3,786
Westchester Run-off		689			700			707			732			712
Other Run-off		172			215			237			219			216
Total	$	15,048		$	14,867		$	14,730		$	15,045		$	15,229
Provision for uncollectible reinsurance
Active operations	$	(435	)	$	(430	)	$	(427	)	$	(455	)	$	(427	)
Brandywine		(197	)		(164	)		(169	)		(169	)		(172	)
Westchester Run-off		(31	)		(31	)		(31	)		(30	)		(30	)
Other Run-off		(23	)		(24	)		(22	)		(17	)		(20	)
Total	$	(686	)	$	(649	)	$	(649	)	$	(671	)	$	(649	)
Net reinsurance recoverable
Active operations	$	10,286		$	10,084		$	9,811		$	9,972		$	10,088
Brandywine		3,269			3,274			3,379			3,498			3,614
Westchester Run-off		658			669			676			702			682
Other Run-off		149			191			215			202			196
Total	$	14,362		$	14,218		$	14,081		$	14,374		$	14,580

Reinsurance Recoverable Page 14

ACE Limited Reinsurance Recoverable Analysis - 2 (in millions of U.S. dollars) (Unaudited)

Reinsurance Recoverable for Active Operations

	September 30, 2007
	Recoverable		Provision		% of Gross
Categories
Top 10 reinsurers	$	5,152	$	66	1.3	%
Other reinsurers balances >$20 million		2,271		45	2.0	%
Other reinsurers balances <$20 million		547		59	10.8	%
Mandatory pools and government agencies		573		3	0.5	%
Structured settlements		220		7	3.2	%
Captives		1,476		1	0.1	%
Other(1)		275		249	90.5	%
Total	$	10,514	$	430	4.1	%

At September 30, 2007, $7.7 billion of the active operations’ recoverables were from rated reinsurers, of which 93.7% were rated the equivalent of A- or better by internationally recognized rating agencies. The Company held collateral of $3.3 billion, of which $2.1 billion was matched and usable against existing recoverables.

Top 10 Reinsurers (net of collateral)(2)	Other Reinsurers Balances Greater Than $20 million (net of collateral)(2)
AGRI General Ins Co American International Group (AIG) Berkshire Hathaway Insurance Group Chubb Insurance Group Federal Crop Insurance Corp HDI Haftpflichtverband Der Deutschen     Industrie Vag (Hannover) Lloyd’s Of London Munich Re Group Swiss Re Group XL Capital Group	AIOI Insurance Group Allianz Allied World Assurance Group Arch Capital Aspen Insurance Holdings Ltd AXA CIGNA Dow Chemical Co Electric Insurance Company Group Equitas Everest Re Group Fairfax Financial Hartford Insurance Group Independence Blue Cross Group IRB - Brasil Resseguros S.A. Group	Liberty Mutual Insurance Companies Partner Re Platinum Underwriters PMA Capital Corp Power Corp Of Canada Renaissance Re Holdings Ltd Royal & Sun Alliance Insurance Group SCOR Group Sompo Japan Group Toa Reinsurance Company Travelers Companies Inc White Mountains Insurance Group WR Berkley Corp Zurich Financial Services Group

(1) Other principally includes amounts recoverable that are in dispute, or are from companies who are in supervision, rehabilitation or liquidation. Our estimate of provision for uncollectible reinsurance associated with Other considers the credit quality of the reinsurer, and whether we have received collateral or other credit protections such as multi-beneficiary trusts and parental guarantees.

(2) Excludes recoverable amounts from companies who are in supervision, rehabilitation or liquidation, or are captive reinsurers, mandatory pools or voluntary pools.

Reinsurance Rec-Active Page 15

ACE Limited Reinsurance Recoverable Analysis - 3 (in millions of U.S. dollars) (Unaudited)

Consolidated Reinsurance Recoverable

	September 30, 2007
	Recoverable		Provision		% of Gross
Categories
Top 10 reinsurers	$	7,614	$	78	1.0	%
Other reinsurers balances >$20 million		3,453		156	4.5	%
Other reinsurers balances <$20 million		625		77	12.3	%
Mandatory pools and government agencies		579		3	0.5	%
Structured settlements		527		16	3.0	%
Captives		1,574		6	0.4	%
Other(1)		495		313	63.2	%
Total	$	14,867	$	649	4.4	%

At September 30, 2007, $11.2 billion of ACE Limited recoverables were from rated reinsurers, of which 93.8% were rated the equivalent of A- or better by internationally recognized rating agencies.

Top 10 Reinsurers (net of collateral)(2)	Other Reinsurers Balances Greater Than $20 million (net of collateral)(2)
AGRI General Ins Co American International Group (AIG) Berkshire Hathaway Insurance Group Chubb Insurance Group Federal Crop Insurance Corp HDI Haftpflichtverband Der Deutschen Industrie Vag (Hannover) Lloyd’s Of London Munich Re Group Swiss Re Group XL Capital Group	AIOI Insurance Group Allianz Allied World Assurance Group Allstate Group Arch Capital Aspen Insurance Holdings Ltd AVIVA Plc AXA CIGNA CNA Insurance Companies Dominion Insurance Co Ltd Dow Chemical Co Dukes Place Holdings	Electric Insurance Company Group Enstar Group Ltd Equitas Everest Re Group Fairfax Financial FM Global Group Globale Rueckversicherungs-AG Hartford Insurance Group Independence Blue Cross Group ING Groep NV IRB - Brasil Resseguros S.A. Group Liberty Mutual Insurance Companies Millea Holdings	Partner Re Platinum Underwriters PMA Capital Corp Power Corp Of Canada Renaissance Re Holdings Ltd Royal & Sun Alliance Insurance Group SCOR Group Sompo Japan Group Tawa UK Ltd Toa Reinsurance Company Travelers Companies Inc Trenwick Group White Mountains Insurance Group WR Berkley Corp Zurich Financial Services Group

(1) Other principally includes amounts recoverable that are in dispute, or are from companies who are in supervision, rehabilitation or liquidation. Our estimate of provision for uncollectible reinsurance associated with Other considers the credit quality of the reinsurer, and whether we have received collateral or other credit protections such as multi-beneficiary trusts and parental guarantees.

(2) Excludes recoverable amounts from companies who are in supervision, rehabilitation or liquidation, or are captive reinsurers, mandatory pools or voluntary pools.

Reinsurance Rec-Consolidated Page 16

ACE Limited Reinsurance Recoverable Analysis - 4 (in millions of U.S. dollars) (Unaudited)

Detail on Reinsurance Recoverable on Paid Losses and Loss Expenses

	General Collections (1)			Other (2)			Total
Gross balance at December 31, 2006	$	932		$	384		$	1,316
Provision at 12/31/06		53			202			255
% of gross		5.7	%		52.6	%		19.4	%
Net balance at December 31, 2006	$	879		$	182		$	1,061
Gross balance at March 31, 2007	$	933		$	290		$	1,223
Provision at 3/31/07		57			215			272
% of gross		6.1	%		74.1	%		22.2	%
Net balance at March 31, 2007	$	876		$	75		$	951
Gross balance at June 30, 2007	$	887		$	227		$	1,114
Provision at 6/30/07		39			180			219
% of gross		4.4	%		79.3	%		19.7	%
Net balance at June 30, 2007	$	848		$	47		$	895
Gross balance at September 30, 2007	$	774		$	256		$	1,030
Provision at 9/30/07		40			167			207
% of gross		5.2	%		65.2	%		20.1	%
Net balance at September 30, 2007	$	734		$	89		$	823
Gross balance at December 31, 2007	$	789		$	261		$	1,050
Provision at 12/31/07		41			175			216
% of gross		5.2	%		67.0	%		20.6	%
Net balance at December 31, 2007(3)	$	748		$	86		$	834

(1) General collections balances represent amounts in process of collection in the normal course of business, for which we have no indication of dispute or credit issues.

(2) Other principally includes amounts recoverable that are in dispute, or are from companies who are in supervision, rehabilitation or liquidation for Brandywine Group and active operations. Our estimation of the reserve for other, considers the merits of the underlying matter, the credit quality of the reinsurer, and whether we have received collateral or other credit protections such as multi-beneficiary trusts and parental guarantees.

(3) The current quarter split between general collections and other is estimated based on prior quarter balances. Balances are adjusted to actual in the next quarter.

Reinsurance Rec-Paid Page 17

ACE Limited Investment Portfolio (in millions of U.S. dollars) (Unaudited)

	December 31 2007			September 30 2007			June 30 2007			March 31 2007			December 31 2006
Market Value
Fixed maturities available for sale	$	33,184		$	32,632		$	30,591		$	29,934		$	28,540
Fixed maturities held to maturity		3,015			2,966			2,957			3,039			3,015
Short-term investments		2,631			2,940			2,919			2,658			2,456
Total	$	38,830		$	38,538		$	36,467		$	35,631		$	34,011
Asset Allocation by Market Value
Treasury	$	1,145		$	1,208		$	1,587		$	1,689		$	1,322
Agency		1,820			1,901			2,117			2,223			2,207
Corporate		9,015			8,579			7,643			7,473			7,394
Mortgage-backed securities		13,733			13,542			12,338			11,925			11,346
Asset-backed securities		1,150			1,377			1,611			1,772			2,020
Municipal		1,844			1,603			1,367			1,157			809
Non-U.S.		7,492			7,388			6,885			6,734			6,457
Short-term investments		2,631			2,940			2,919			2,658			2,456
Total	$	38,830		$	38,538		$	36,467		$	35,631		$	34,011
Credit Quality by Market Value
AAA	$	24,553		$	25,239		$	24,121		$	23,783		$	22,471
AA		3,747			3,416			3,178			3,095			2,725
A		4,590			4,059			3,902			3,582			3,909
BBB		3,297			3,171			2,841			2,610			2,498
BB		1,073			1,121			948			992			943
B		1,481			1,437			1,376			1,475			1,365
Other		89			95			101			94			100
Total	$	38,830		$	38,538		$	36,467		$	35,631		$	34,011
Cost/Amortized Cost
Fixed maturities available for sale	$	32,994		$	32,619		$	30,847		$	29,723		$	28,389
Fixed maturities held to maturity		2,987			2,979			3,013			3,060			3,047
Short-term investments		2,631			2,940			2,919			2,658			2,456
Subtotal		38,612			38,538			36,779			35,441			33,892
Equity securities		1,618			1,540			1,522			1,432			1,372
Other investments		880			812			749			687			661
Total	$	41,110		$	40,890		$	39,050		$	37,560		$	35,925
Avg. duration of fixed maturities, adjusted for int. rate swaps		3.5 years			3.6 years			3.7 years			3.3 years			3.3 years
Avg. market yield of fixed maturities		5.3	%		5.5	%		5.7	%		5.3	%		5.4	%
Avg. credit quality		AA			AA			AA			AA			AA

Investments Page 18

ACE Limited Investment Portfolio - 2 (in millions of U.S. dollars) (Unaudited)

Investment portfolio

Top 10 Exposures - Fixed Maturity Investments

December 31, 2007			December 31, 2006
General Electric Co	$	336	General Electric Co	$	270
Citigroup Inc		258	HSBC Holdings Plc		226
Morgan Stanley		254	Citigroup Inc		200
Bank of America Corp		247	Morgan Stanley		192
Lehman Brothers Holdings Inc		246	Bank of America Corp		186
JP Morgan Chase & Co		240	JP Morgan Chase & Co		179
Goldman Sachs Group Inc		225	Comcast Corp		148
HSBC Holdings Plc		212	Wells Fargo & Co		145
Comcast Corp		171	Wachovia Corp		131
AT&T Inc		165	Lehman Brothers Holdings Inc		129

Investments 2 Page 19

ACE Limited Investment Portfolio - 3 (in millions of U.S. dollars) (Unaudited)

Mortgage-backed and Asset-backed Fixed Income Portfolio

Market Value at December 31, 2007

	S&P Credit Rating
	AAA		AA		A		BBB		BB		B		Other		Total
Mortgage-backed securities
Residential mortgage-backed (RMBS)
GNMA	$	395	$	—	$	—	$	—	$	—	$	—	$	—	$	395
FNMA		5,330		—		—		—		—		—		—		5,330
Freddie Mac		2,287		—		—		—		—		—		—		2,287
Total agency RMBS		8,012		—		—		—		—		—		—		8,012
Non-agency RMBS		3,070		11		1		12		—		—		—		3,094
Total residential mortgage-backed		11,082		11		1		12		—		—		—		11,106
Commercial mortgage-backed		2,611		3		10		3		—		—		—		2,627
Total mortgage-backed securities	$	13,693	$	14	$	11	$	15	$	—	$	—	$	—	$	13,733
Asset-backed securities
Sub-prime	$	125	$	2	$	8	$	—	$	—	$	—	$	—	$	135
Credit cards		76		—		17		8		—		—		—		101
Autos		621		27		8		—		—		—		—		656
Other		255		—		3		—		—		—		—		258
Total asset-backed securities	$	1,077	$	29	$	36	$	8	$	—	$	—	$	—	$	1,150

1) Insured municipal bonds represent $848 million, or 46% of our municipal bond holdings.

2) Insured asset-backed securities represent $222 million, or 19% of our asset-backed security holdings.

3) Additional details were provided in a press release on December 18, 2007, none of the information provided has changed significantly.

Investments 3 Page 20

ACE Limited Net Realized and Unrealized Gains (Losses) (in millions of U.S. dollars) (Unaudited)

	Three months ended December 31, 2007									Year ended December 31, 2007
	Net Realized Gains (Losses)(1)			Net Unrealized Gains (Losses)			Net   Impact			Net Realized Gains (Losses)(1)			Net Unrealized Gains (Losses)			Net Impact
Fixed maturities	$	(8	)	$	185		$	177		$	(98	)	$	48		$	(50	)
Equity securities		20			(107	)		(87	)		162			(122	)		40
Equity and fixed income derivatives		(5	)		—			(5	)		(19	)		—			(19	)
Foreign exchange gains (losses)		1			—			1			4			—			4
Other		19			28			47			37			73			110
Sub-total		27			106			133			86			(1	)		85
Other FAS 133 adjustments(2)		(93	)		—			(93	)		(147	)		—			(147	)
Total gains (losses)		(66	)		106			40			(61	)		(1	)		(62	)
Partially-owned insurance companies (3)		(57	)		33			(24	)		(95	)		25			(70	)
Income tax expense (benefit)		(2	)		33			31			(22	)		23			1
Net gains (losses)	$	(121	)	$	106		$	(15	)	$	(134	)	$	1		$	(133	)

(1) The quarter includes impairments of $60M for fixed maturities and $9M for equities. The full year includes impairments of $123M for fixed maturities, $16M for equities and $2M for other investments.

(2) Other FAS 133 adjustments for the fourth quarter includes $105 million of realized losses primarily on the guaranteed minimum income benefit derivatives from our life reinsurance operations.

(3) Net realized and unrealized gains (losses) on partially-owned insurance companies that meet the requirements for equity accounting. The net income or loss is included in other (income) expense. The fourth quarter includes $73 million in net realized losses on derivatives from our investment in Assured Guaranty Ltd., carried at $392 million at December 31, 2007.

	Three months ended December 31, 2006								Year ended December 31, 2006
	Net Realized Gains (Losses)(4)			Net Unrealized Gains (Losses)		Net Impact			Net Realized Gains (Losses)(4)			Net Unrealized Gains (Losses)		Net Impact
Fixed maturities	$	21		$	4	$	25		$	(220	)	$	134	$	(86	)
Equity securities		39			85		124			163			114		277
Equity and fixed income derivatives		(26	)		—		(26	)		(18	)		—		(18	)
Foreign exchange gains (losses)		(2	)		—		(2	)		(13	)		—		(13	)
Other		26			37		63			28			105		133
Total inv. portfolio gains (losses)		58			126		184			(60	)		353		293
Sale of run-off reinsurance subsidiaries		(32	)		—		(32	)		(23	)		—		(23	)
Other FAS 133 adjustments		(11	)		—		(11	)		(15	)		—		(15	)
Total gains (losses)		15			126		141			(98	)		353		255
Income tax expense (benefit)		(7	)		19		12			(48	)		63		15
Net gains (losses)	$	22		$	107	$	129		$	(50	)	$	290	$	240

(4) The quarter includes impairments of $12M for fixed maturities and $1M for equities. The full year includes impairments of $198M for fixed maturities, $10M for equities and $6M for other investments.

Investment Gains (Losses) Page 21

ACE Limited Capital Structure (in millions of U.S. dollars) (Unaudited)

	December 31 2007			September 30 2007			June 30 2007			March 31 2007			December 31 2006			December 31 2005
Total short-term debt	$	372		$	87		$	85		$	581		$	578		$	300
Total long-term debt		1,811			2,068			2,063			2,061			1,560			1,811
Total debt		2,183			2,155			2,148			2,642			2,138			2,111
Total trust preferred securities		309			309			309			309			309			309
Perpetual preferred shares		557			557			557			557			557			557
Ordinary shareholders’ equity		16,120			15,478			14,627			14,402			13,721			11,255
Total shareholders’ equity	$	16,677		$	16,035		$	15,184		$	14,959		$	14,278		$	11,812
Total capitalization	$	19,169		$	18,499		$	17,641		$	17,910		$	16,725		$	14,232
Tangible shareholders’ equity(1)	$	13,946		$	13,304		$	12,453		$	12,228		$	11,547		$	9,109
Leverage ratios
Debt/ total capitalization		11.4	%		11.6	%		12.2	%		14.8	%		12.8	%		14.8	%
Debt plus trust preferred securities/ total capitalization		13.0	%		13.3	%		13.9	%		16.5	%		14.6	%		17.0	%
Debt/ tangible equity		15.7	%		16.2	%		17.2	%		21.6	%		18.5	%		23.2	%
Debt plus trust preferred securities/ tangible equity		17.9	%		18.5	%		19.7	%		24.1	%		21.2	%		26.6	%
Debt plus total preferred stock/ total capitalization		15.9	%		16.3	%		17.1	%		19.6	%		18.0	%		20.9	%

(1) Tangible equity is equal to shareholders’ equity less goodwill.

Capital Structure Page 22

ACE Limited Computation of Basic and Diluted Earnings Per Share (in millions of U.S. dollars, except share and per share data) (Unaudited)

	Three months ended December 31						Year ended December 31
	2007			2006			2007			2006
Numerator
Income excluding net realized gains (losses) and cumulative effect(1)	$	693		$	643		$	2,712		$	2,351
Perpetual preferred dividend		(12	)		(12	)		(45	)		(45	)
Income to ordinary shares, excl. net realized gains (losses) and cumulative effect		681			631			2,667			2,306
Net realized gains (losses), net of income tax		(121	)		22			(134	)		(50	)
Net income available to the holders of ordinary shares excluding cumulative effect		560			653			2,533			2,256
Cumulative effect of a change in accounting principle, net of tax		—			—			—			4
Net income available to the holders of ordinary shares	$	560		$	653		$	2,533		$	2,260
Rollforward of Ordinary Shares
Ordinary Shares - beginning of period		329,460,367			325,956,542			326,455,468			323,322,586
Issued under employee stock purchase plan		—			58			205,396			202,949
Shares (cancelled) granted		(46,477	)		(41,791	)		1,212,603			947,373
Issued for option exercises		290,641			540,659			1,831,064			1,982,560
Ordinary Shares - end of period		329,704,531			326,455,468			329,704,531			326,455,468
Denominator
Weighted average shares outstanding		325,611,204			322,461,336			324,938,327			321,768,672
Effect of other dilutive securities		5,645,111			5,905,367			5,509,394			5,463,350
Adj. wtd. avg. shares outstanding and assumed conversions		331,256,315			328,366,703			330,447,721			327,232,022
Basic earnings per share
Income excluding net realized gains (losses) and cumulative effect(1)	$	2.09		$	1.96		$	8.21		$	7.17
Net realized gains (losses), net of income tax		(0.37	)		0.07			(0.42	)		(0.16	)
Cumulative effect of a change in accounting principle, net of tax		—			—			—			0.01
Net income	$	1.72		$	2.03		$	7.79		$	7.02
Diluted earnings per share
Income excluding net realized gains (losses) and cumulative effect(1)	$	2.05		$	1.92		$	8.07		$	7.05
Net realized gains (losses), net of income tax		(0.36	)		0.07			(0.41	)		(0.15	)
Cumulative effect of a change in accounting principle, net of tax		—			—			—			0.01
Net income	$	1.69		$	1.99		$	7.66		$	6.91

(1) See page 24 Non-GAAP Financial Measures.

Earnings per share Page 23

ACE Limited Non-GAAP Financial Measures (in millions of U.S. dollars) (Unaudited)

Regulation G - Non-GAAP Financial Measures

In presenting our results, we have included and discussed certain non-GAAP measures. These non-GAAP measures, which may be defined differently by other companies, are important for an understanding of our overall results of operations. However, they should not be viewed as a substitute for measures determined in accordance with GAAP. A reconciliation of book value per share is provided on page 25.

In presenting our segment operating results, we have shown our performance with reference to underwriting results. Underwriting results are calculated by subtracting losses and loss expenses, life and annuity benefits, policy acquisition costs, and administrative expenses from net premiums earned. We use underwriting results and operating ratios to monitor the results of our operations without the impact of certain factors, including investment income, other income and expenses, interest and income tax expense, and net realized gains (losses).

The following non-GAAP measure is a common performance measurement and is defined as income excluding net realized gains (losses), the tax expense (benefit) on net realized gains (losses), and cumulative effect of a change in accounting principle, net of tax. We believe this presentation enhances the understanding of our results of operations by highlighting the underlying profitability of our insurance business. We exclude net realized gains (losses) and net realized gains (losses) included in other (income) expense related to partially owned insurance companies because the amount of these gains (losses) is heavily influenced by, and fluctuates in part according to, the availability of market opportunities. We exclude the benefit of the cumulative effect of a change in accounting principle, net of tax, because this benefit resulted in a one time adjustment to income. We believe these amounts are largely independent of our business and including them would distort the analysis of trends. Income excluding net realized gains (losses) and cumulative effect should not be viewed as a substitute for net income determined in accordance with generally accepted accounting principles (GAAP).

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Net income, as reported	$	572		$	656		$	649		$	701		$	665		$	2,578		$	2,305
Net realized gains (losses)		(66	)		—			(11	)		16			15			(61	)		(98	)
Net realized gains (losses) in other (income) expense(1)		(57	)		(38	)		—			—			—			(95	)		—
Income tax expense (benefit) on net realized gains (losses)		(2	)		(2	)		4			(22	)		(7	)		(22	)		(48	)
Cumulative effect of a change in accounting principle, net of tax		—			—			—			—			—			—			4
Income excluding net realized gains (losses) and cumulative effect	$	693		$	692		$	664		$	663		$	643		$	2,712		$	2,351

(1) Realized gains (losses) on partially-owned insurance companies that meet the requirements for equity accounting. The net income or loss is included in other (income) expense.

Reconciliation Non-GAAP Page 24

ACE Limited Book Value per Ordinary Share (in millions of U.S. dollars, except share and per share data) (Unaudited)

Reconciliation of Book Value per Ordinary Share

	December 31 2007			September 30 2007			June 30 2007			March 31 2007			December 31 2006
Shareholders’ equity	$	16,677		$	16,035		$	15,184		$	14,959		$	14,278
Proceeds from issuance of perpetual preferred shares		(557	)		(557	)		(557	)		(557	)		(557	)
Numerator for book value per share calculation		16,120			15,478			14,627			14,402			13,721
Less: goodwill		2,731			2,731			2,731			2,731			2,731
Numerator for tangible book value per share	$	13,389		$	12,747		$	11,896		$	11,671		$	10,990
Denominator		329,704,531			329,460,367			329,009,343			328,309,225			326,455,468
Book value per ordinary share	$	48.89		$	46.98		$	44.46		$	43.87		$	42.03
Tangible book value per ordinary share	$	40.61		$	38.69		$	36.16		$	35.55		$	33.66

Reconciliation Book Value Page 25

ACE Limited Comprehensive Income (in millions of U.S. dollars) (Unaudited)

Consolidated Statement of Comprehensive Income

	4Q-07			3Q-07			2Q-07			1Q-07			4Q-06			Full Year 2007			Full Year 2006
Net income	$	572		$	656		$	649		$	701		$	665		$	2,578		$	2,305
Net unrealized appreciation (depreciation) on investments
Unrealized appreciation (depreciation) on investments		133			218			(427	)		73			132			(3	)		289
Reclassification adjustment for net realized gains (losses) included in net income		6			6			12			3			(6	)		27			64
Change in cumulative translation adjustments		12			58			19			16			46			105			135
Change in minimum pension liability		(1	)		(1	)		(2	)		—			29			(4	)		20
Income tax (expense) benefit related to other comprehensive income items		(37	)		(28	)		23			(18	)		(42	)		(60	)		(113	)
Other comprehensive income (loss)		113			253			(375	)		74			159			65			395
Comprehensive income	$	685		$	909		$	274		$	775		$	824		$	2,643		$	2,700

Comprehensive Income Page 26

ACE Limited Glossary

Annualized return on ordinary shareholders’ equity (ROE):Income excluding net realized gains (losses) and cumulative effect less perpetual preferred securities divided by average ordinary shareholders’ equity for the period. To annualize a quarterly rate multiply by four.

Book value per ordinary share: Ordinary shareholders’ equity divided by the shares outstanding.

Combined ratio:The sum of the loss and loss expense ratio, acquisition cost ratio and the administrative expense ratio excluding life business. Calculated on a GAAP basis.

Cumulative effect: The benefit resulting from the accrual of a forfeiture rate on the restricted stock under Financial Accounting Standard 123R “Share-Based Payment”.

Effective tax rate:Income tax expense divided by the sum of income tax expense and income excluding net realized gains (losses) and cumulative effect.

FAS 115:Unrealized gains (losses) on investments and the deferred tax component included in shareholders’ equity.

Life underwriting income:Net premium earned and net investment income less future policy benefits, acquisition costs and administrative expenses.

NM: Not meaningful.

Ordinary shareholders’ equity:Shareholders’ equity less perpetual preferred shares.

P&C:Property and casualty.

Tangible book value per ordinary share:Ordinary shareholders’ equity less goodwill divided by the shares outstanding.

Tangible equity:Shareholders’ equity less goodwill.

Total capitalization:Short-term debt, long-term debt, trust preferreds, perpetual preferred shares and shareholders’ equity.

YTD:Year to date.

Glossary Page 27