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

Exhibit 99.2

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@acegroup.com	Cautionary Statement Regarding Forward-Looking Statements:
	Any 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, market acceptance, changes in demand, actual market developments, rating agency action, possible terrorism or the outbreak and effects of war, and general economic and industry developments. 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 and Income Excluding Net Realized Gains (Losses) by Line of Business	4
	- Consolidating Statement of Operations	5
III.	Segment Results
	- Insurance - North American	6
	- Insurance - Overseas General	7
	- Global Reinsurance	8
	- Life	9 -10
IV.	Balance Sheet Details
	- Loss Reserve Rollforward	11
	- Reinsurance Recoverable Analysis	12 -14
	- Investment Portfolio	15 -22
	- Net Realized and Unrealized Gains (Losses)	23 -24
	- Capital Structure	25 -26
	- Computation of Basic and Diluted Earnings Per Share	27
V.	Other Disclosures
	- Non-GAAP Financial Measures	28
	- Book Value and Book Value per Common Share	29
	- Comprehensive Income	30
	- Glossary	31

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

	Three months ended March 31						% Change 1Q-09 vs. 1Q-08
	2009			2008					December 31 2008
Gross premiums written	$	4,535		$	4,409		3	%
Net premiums written	$	3,424		$	3,154		9	%
Net premiums earned	$	3,194		$	2,940		9	%
Net investment income	$	502		$	489		3	%
Net income	$	567		$	377		50	%
Income excluding net realized gains (losses)(1)	$	669		$	725		-8	%
Comprehensive income	$	337		$	88		NM
Operating cash flow	$	562		$	1,015		-45	%
Combined ratio
Loss and loss expense ratio		59.7	%		55.6	%
Underwriting and administrative expense ratio		27.8	%		29.0	%
Combined ratio		87.5	%		84.6	%
Annualized ROE*		18.4	%		17.7	%
Annualized ROE, excluding FAS 115*		16.3	%		18.2	%
Effective tax rate on income excluding net realized gains (losses)		17	%		20	%
Diluted earnings per share
Income excluding net realized gains (losses)(1)	$	1.99		$	2.14		-7	%
Net income	$	1.69		$	1.10		54	%
Book value per common share	$	43.82		$	48.65		-10	%	$	43.30	1	%
Tangible book value per common share	$	32.70		$	40.00		-18	%
Weighted average basic common shares outstanding		335.5			330.7
Weighted average diluted common shares outstanding		336.1			333.0
Debt/total capitalization		17.9	%		16.9	%

(1) See page 28 Non-GAAP Financial Measures.

* Calculated using income excluding net realized gains (losses)

Financial Highlights Page 1

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

ACE Limited Consolidated

	1Q-09			4Q-08			3Q-08			2Q-08			1Q-08			Full Year 2008
Consolidated Results Excluding Life Segment
Gross premiums written	$	4,150			3,906			4,839		$	4,866		$	4,304		$	17,915
Net premiums written		3,078			2,681			2,928			3,224			3,049			11,882
Net premiums earned		2,859			2,867			3,265			3,061			2,840			12,033
Losses and loss expenses		1,704			1,654			2,265			1,785			1,579			7,283
Policy benefits		2			2			5			5			—			12
Policy acquisition costs		434			448			533			506			460			1,947
Administrative expenses		362			388			396			392			362			1,538
Underwriting income excluding life segment	$	357		$	375		$	66		$	373		$	439		$	1,253
Life underwriting income excluding investment income		21			(26	)		45			41			16			76
Net investment income		502			521			520			532			489			2,062
Net realized gains (losses)		(121	)		(644	)		(510	)		(126	)		(353	)		(1,633	)
Interest expense		53			54			68			62			46			230
Other income (expense)(1)		(14	)		(65	)		(6	)		125			(15	)		39
Income tax expense (benefit)		125			87			(7	)		137			153			370
Net income	$	567		$	20		$	54		$	746		$	377		$	1,197
Net realized gains (losses)		(121	)		(644	)		(510	)		(126	)		(353	)		(1,633	)
Net realized gains (losses) in other income (expense) (1)		3			(48	)		(23	)		120			(28	)		21
Tax expense (benefit) on net realized gains (losses)		(16	)		(88	)		(83	)		(14	)		(33	)		(218	)
Income excluding net realized gains (losses)(2)	$	669		$	624		$	504		$	738		$	725		$	2,591
% Change versus prior year period (3)
Net premiums written		1	%		-1	%		8	%		8	%		-4	%		2	%
Net premiums earned		1	%		-3	%		7	%		5	%		-5	%		1	%
Other ratios
Net premiums written/gross premiums written		74	%		69	%		61	%		66	%		71	%		66	%
Effective tax rate on income excluding net realized gains (losses)		17	%		22	%		13	%		17	%		20	%		18	%
Combined ratio(3)
Loss and loss expense ratio		59.7	%		57.8	%		69.5	%		58.5	%		55.6	%		60.6	%
Policy acquisition cost ratio		15.2	%		15.6	%		16.3	%		16.5	%		16.2	%		16.2	%
Administrative expense ratio		12.6	%		13.5	%		12.1	%		12.8	%		12.8	%		12.8	%
Combined ratio		87.5	%		86.9	%		97.9	%		87.8	%		84.6	%		89.6	%
Expense ratio		27.8	%		29.1	%		28.4	%		29.3	%		29.0	%		29.0	%
Expense ratio excluding A&H		23.7	%		24.3	%		24.0	%		25.2	%		25.7	%		24.8	%
Large losses and other items(3)
Reinstatement premiums (expensed) collected	$	(1	)	$	(4	)	$	7		$	—		$	—		$	3
Catastrophe losses	$	38		$	67		$	411		$	58		$	31		$	567
Prior period development excluding Life - unfavorable (favorable)(4)	$	(68	)		(252	)	$	(277	)	$	(104	)	$	(137	)	$	(770	)
Loss and loss expense ratio excluding catastophe losses and prior period development		60.7	%		64.4	%		65.2	%		60.0	%		60.9	%		62.7	%

(1) Net realized investment and derivative losses related to our unconsolidated insurance affiliates.

(2) See page 28 Non-GAAP Financial Measures.

(3) Presented excluding the Life segment to allow for comparison and analysis with earnings guidance. This is a non-GAAP measure.

(4) For Q1 08, prior period favorable development of $181 million less $44 million of profit share commission on Crop business settlement.

Consolidated Results Page 2

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

	March 31 2009			December 31 2008
	(Unaudited)			(Audited)
Assets
Fixed maturities available for sale, at fair value	$	31,355		$	31,155
Fixed maturities held to maturity, at amortized cost		2,824			2,860
Equity securities, at fair value		854			988
Short-term investments, at fair value		3,909			3,350
Other investments		1,298			1,362
Total investments		40,240			39,715
Cash		844			867
Securities lending collateral		1,376			1,230
Insurance and reinsurance balances receivable		3,853			3,453
Reinsurance recoverable on losses and loss expenses		13,713			13,917
Deferred policy acquisition costs		1,268			1,214
Value of business acquired		785			823
Prepaid reinsurance premiums		1,593			1,539
Goodwill and other intangible assets		3,735			3,747
Deferred tax assets		1,952			1,835
Investments in partially owned insurance companies		886			832
Other assets		2,882			2,885
Total assets	$	73,127		$	72,057
Liabilities
Unpaid losses and loss expenses	$	36,931		$	37,176
Unearned premiums		6,186			5,950
Future policy benefits		2,915			2,904
Insurance and reinsurance balances payable		2,981			2,841
Securities lending payable		1,463			1,296
Payable for securities purchased		1,333			740
Accounts payable, accrued expenses, and other liabilities		3,023			3,118
Short-term debt		466			471
Long-term debt		2,802			2,806
Trust preferred securities		309			309
Total liabilities		58,409			57,611
Shareholders’ equity
Total shareholders’ equity, excl. AOCI		16,864			16,362
Accumulated other comprehensive income (AOCI)		(2,146	)		(1,916	)
Total shareholders’ equity		14,718			14,446
Total liabilities and shareholders’ equity	$	73,127		$	72,057
Book value per common share(1)	$	43.82		$	43.30
Tangible book value per common share(1)	$	32.70		$	32.07

(1) See page 28 Non-GAAP Financial Measures.

Consol Bal Sheet Page 3

ACE Limited Consolidated Premiums and Income Excluding Net Realized Gains (Losses) by Line of Business (in millions of U.S. dollars) (Unaudited)

ACE Limited Consolidated

	1Q-09		% of Total Consolidated		1Q-08		% of Total Consolidated		% Change 1Q-09 vs. 1Q-08
Net premiums written
Property and all other	$	1,151	34	%	$	1,081	34	%	6	%
Casualty		1,381	40	%		1,476	47	%	-6	%
Subtotal		2,532	74	%		2,557	81	%	-1	%
Personal accident (A&H)(1)		760	22	%		492	16	%	54	%
Life(2)		132	4	%		105	3	%	26	%
Total Consolidated	$	3,424	100	%	$	3,154	100	%	9	%
Net premiums earned
Property and all other	$	983	31	%	$	881	30	%	12	%
Casualty		1,367	43	%		1,498	51	%	-9	%
Subtotal		2,350	74	%		2,379	81	%	-1	%
Personal accident (A&H)(1)		720	22	%		461	16	%	56	%
Life(2)		124	4	%		100	3	%	24	%
Total Consolidated	$	3,194	100	%	$	2,940	100	%	9	%
Income excluding net realized gains (losses)
Property, casualty, and all other	$	552	82	%	$	615	85	%	-10	%
Personal accident (A&H)(1)		91	14	%		77	11	%	18	%
Life(2)		26	4	%		33	4	%	-21	%
Total Consolidated	$	669	100	%	$	725	100	%	-8	%

(1) Consolidated A&H includes Combined Insurance which is reported in the Insurance - Overseas General and Life segments.

(2) Excludes the North America A&H business from Combined Insurance which is included in the Life segment.

Line of Business Page 4

ACE Limited Consolidating Statement of Operations Three months ended March 31, 2009 and 2008 (in millions of U.S. dollars) (Unaudited)

	Insurance - North American			Insurance - Overseas General			Global Reinsurance			Corporate & Other			Consolidated P&C			Life			ACE Consolidated
March 31, 2009
Gross premiums written	$	2,078		$	1,693		$	379		$	—		$	4,150		$	385		$	4,535
Net premiums written		1,392			1,327			359			—			3,078			346			3,424
Net premiums earned		1,437			1,184			238			—			2,859			335			3,194
Losses and loss expenses		1,004			613			87			—			1,704			112			1,816
Policy benefits		—			2			—			—			2			97			99
Policy acquisition costs		123			260			51			—			434			47			481
Administrative expenses		140			175			12			35			362			58			420
Underwriting income (loss)		170			134			88			(35	)		357			21			378
Net investment income		263			120			72			1			456			46			502
Net realized gains (losses)		(120	)		7			11			(28	)		(130	)		9			(121	)
Interest expense		—			—			—			53			53			—			53
Other income (expense)		(4	)		(4	)		—			(4	)		(12	)		(2	)		(14	)
Income tax expense (benefit)		96			46			16			(39	)		119			6			125
Net income (loss)		213			211			155			(80	)		499			68			567
Net realized gains (losses)		(120	)		7			11			(28	)		(130	)		9			(121	)
Net realized gains (losses) in other income (expense)		—			3			—			(3	)		—			3			3
Tax expense (benefit) on net realized gains (losses)		(12	)		8			—			(9	)		(13	)		(3	)		(16	)
Income (loss) excluding net realized gains (losses)(1)	$	321		$	209		$	144		$	(58	)	$	616		$	53		$	669
March 31, 2008
Gross premiums written	$	2,181		$	1,778		$	345		$	—		$	4,304		$	105		$	4,409
Net premiums written		1,360			1,345			344			—			3,049			105			3,154
Net premiums earned		1,354			1,223			263			—			2,840			100			2,940
Losses and loss expenses		869			593			117			—			1,579			—			1,579
Policy benefits		—			—			—			—			—			63			63
Policy acquisition costs		161			245			54			—			460			8			468
Administrative expenses		135			173			15			39			362			13			375
Underwriting income (loss)		189			212			77			(39	)		439			16			455
Net investment income		269			117			73			15			474			15			489
Net realized gains (losses)		(61	)		(83	)		(45	)		22			(167	)		(186	)		(353	)
Interest expense		—			—			—			46			46			—			46
Other income (expense)		—			3			—			(18	)		(15	)		—			(15	)
Income tax expense (benefit)		123			47			4			(19	)		155			(2	)		153
Net income (loss)		274			202			101			(47	)		530			(153	)		377
Net realized gains (losses)		(61	)		(83	)		(45	)		22			(167	)		(186	)		(353	)
Net realized gains (losses) in other income (expense)		—			7			—			(35	)		(28	)		—			(28	)
Tax expense (benefit) on net realized gains (losses)		(8	)		(22	)		(2	)		(1	)		(33	)		—			(33	)
Income (loss) excluding net realized gains (losses)(1)	$	327		$	256		$	144		$	(35	)	$	692		$	33		$	725

(1) See page 28 Non-GAAP Financial Measures.

Segment 2009 Qtr Page 5

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

Insurance - North American

	1Q-09			4Q-08			3Q-08			2Q-08			1Q-08			Full Year 2008
Gross premiums written	$	2,078		$	2,167		$	2,987		$	2,718		$	2,181		$	10,053
Net premiums written		1,392			1,304			1,461			1,511			1,360			5,636
Net premiums earned		1,437			1,377			1,583			1,365			1,354			5,679
Losses and loss expenses		1,004			893			1,356			962			869			4,080
Policy acquisition costs		123			112			160			129			161			562
Administrative expenses		140			138			132			131			135			536
Underwriting income (loss)		170			234			(65	)		143			189			501
Net investment income		263			266			278			282			269			1,095
Net realized gains (losses)		(120	)		(259	)		(284	)		(105	)		(61	)		(709	)
Interest expense		—			1			—			—			—			1
Other income (expense)		(4	)		(1	)		(3	)		(3	)		—			(7	)
Income tax expense (benefit)		96			93			(7	)		106			123			315
Net income (loss)		213			146			(67	)		211			274			564
Net realized gains (losses)		(120	)		(259	)		(284	)		(105	)		(61	)		(709	)
Tax expense (benefit) on net realized gains (losses)		(12	)		(72	)		(64	)		(7	)		(8	)		(151	)
Income excluding net realized gains (losses)(1)	$	321		$	333		$	153		$	309		$	327		$	1,122
Combined ratio
Loss and loss expense ratio		69.9	%		64.9	%		85.6	%		70.5	%		64.1	%		71.8	%
Policy acquisition cost ratio		8.6	%		8.1	%		10.1	%		9.5	%		11.9	%		9.9	%
Administrative expense ratio		9.7	%		10.0	%		8.4	%		9.5	%		10.0	%		9.4	%
Combined ratio		88.2	%		83.0	%		104.1	%		89.5	%		86.0	%		91.1	%
Large losses and other items (before tax)
Reinstatement premiums collected	$	—		$	—		$	16		$	—		$	—		$	16
Catastrophe losses	$	4		$	3		$	258		$	22		$	15		$	298
Prior period development - unfavorable (favorable) (2)	$	(10	)	$	(102	)	$	(103	)	$	(23	)	$	(79	)	$	(307	)
Loss and loss expense ratio excluding catastophe losses and prior period development		70.3	%		72.0	%		75.1	%		70.6	%		72.1	%		72.6	%
% Change versus prior year period
Net premiums written		2	%		-5	%		1	%		1	%		-10	%		-3	%
Net premiums earned		6	%		-3	%		-1	%		-6	%		-12	%		-5	%
Other ratios
Net premiums written/gross premiums written		67	%		60	%		49	%		56	%		62	%		56	%

(1) See page 28 Non-GAAP Financial Measures.

(2) For Q1 2008 prior period favorable development of $123 million less $44 million of profit share commission on Crop business settlement.

Insurance - North American Page 6

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

Insurance - Overseas General

	1Q-09 (2)			4Q-08 (2)			3Q-08 (2)			2Q-08 (2)			1Q-08			Full Year 2008
Gross premiums written	$	1,693		$	1,609		$	1,678		$	1,876		$	1,778		$	6,941
Net premiums written		1,327			1,251			1,293			1,443			1,345			5,332
Net premiums earned		1,184			1,250			1,425			1,439			1,223			5,337
Losses and loss expenses		613			640			731			715			593			2,679
Policy benefits		2			2			5			5			—			12
Policy acquisition costs		260			296			329			323			245			1,193
Administrative expenses		175			195			217			208			173			793
Underwriting income		134			117			143			188			212			660
Net investment income		120			134			136			134			117			521
Net realized gains (losses)		7			(117	)		(58	)		(58	)		(83	)		(316	)
Other income (expense)		(4	)		(3	)		(6	)		17			3			11
Income tax expense (benefit)		46			5			10			38			47			100
Net income		211			126			205			243			202			776
Net realized gains (losses)		7			(117	)		(58	)		(58	)		(83	)		(316	)
Net realized gains (losses) in other income (expense)		3			1			(5	)		15			7			18
Tax expense (benefit) on net realized gains (losses)		8			(17	)		(16	)		(7	)		(22	)		(62	)
Income excluding net realized gains (losses)(1)	$	209		$	225		$	252		$	279		$	256		$	1,012
Combined ratio
Loss and loss expense ratio		52.0	%		51.5	%		51.6	%		50.0	%		48.5	%		50.4	%
Policy acquisition cost ratio		21.9	%		23.7	%		23.1	%		22.4	%		20.0	%		22.4	%
Administrative expense ratio		14.8	%		15.5	%		15.2	%		14.5	%		14.2	%		14.8	%
Combined ratio		88.7	%		90.7	%		89.9	%		86.9	%		82.7	%		87.6	%
Large losses and other items
Reinstatement premiums collected	$	—		$	4		$	3		$	—		$	—		$	7
Catastrophe losses	$	15		$	(6	)	$	49		$	25		$	15		$	83
Prior period development - unfavorable (favorable)	$	(24	)	$	(85	)	$	(121	)	$	(54	)	$	(44	)	$	(304	)
Loss and loss expense ratio excluding catastophe losses and prior period development		52.7	%		58.6	%		56.7	%		52.0	%		50.9	%		54.5	%
% Change versus prior year period
Net premiums written as reported		-1	%		7	%		24	%		24	%		13	%		17	%
Net premiums earned as reported		-3	%		2	%		25	%		26	%		10	%		15	%
Net premiums written constant dollar		10	%		18	%		18	%		15	%		6	%		14	%
Net premiums earned constant dollar		10	%		12	%		19	%		17	%		4	%		13	%
Other ratios
Net premiums written/gross premiums written		78	%		78	%		77	%		77	%		76	%		77	%

(1) See page 28 Non-GAAP Financial Measures.

(2) Includes the International operations of Combined Insurance.

Insurance - Overseas General Page 7

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

Global Reinsurance

	1Q-09			4Q-08			3Q-08			2Q-08			1Q-08			Full Year 2008
Gross premiums written	$	379		$	130		$	174		$	272		$	345		$	921
Net premiums written		359			126			174			270			344			914
Net premiums earned		238			240			257			257			263			1,017
Losses and loss expenses		87			121			178			108			117			524
Policy acquisition costs		51			40			44			54			54			192
Administrative expenses		12			13			14			14			15			56
Underwriting income		88			66			21			81			77			245
Net investment income		72			74			83			79			73			309
Net realized gains (losses)		11			(96	)		(2	)		(20	)		(45	)		(163	)
Other income (expense)		—			—			(1	)		(1	)		—			(2	)
Income tax expense (benefit)		16			6			9			11			4			30
Net income		155			38			92			128			101			359
Net realized gains (losses)		11			(96	)		(2	)		(20	)		(45	)		(163	)
Tax expense (benefit) on net realized gains (losses)		—			(1	)		(1	)		—			(2	)		(4	)
Income excluding net realized gains (losses)(1)	$	144		$	133		$	93		$	148		$	144		$	518
Combined ratio
Loss and loss expense ratio		36.3	%		50.3	%		69.2	%		42.1	%		44.5	%		51.5	%
Policy acquisition cost ratio		21.5	%		16.6	%		16.9	%		21.0	%		20.6	%		18.8	%
Administrative expense ratio		5.2	%		5.4	%		5.4	%		5.5	%		5.7	%		5.5	%
Combined ratio		63.0	%		72.3	%		91.5	%		68.6	%		70.8	%		75.8	%
Large losses and other items
Reinstatement premiums collected	$	(1	)	$	(8	)	$	(12	)	$	—		$	—		$	(20	)
Catastrophe losses	$	19		$	70		$	104		$	11		$	1		$	186
Prior period development - unfavorable (favorable)	$	(34	)	$	(65	)	$	(53	)	$	(27	)	$	(14	)	$	(159	)
Loss and loss expense ratio excluding catastophe losses and prior period development		42.8	%		50.4	%		51.7	%		48.2	%		49.5	%		49.9	%
% Change versus prior year period
Net premiums written		4	%		-28	%		-19	%		-19	%		-28	%		-24	%
Net premiums earned		-10	%		-23	%		-19	%		-21	%		-23	%		-22	%
Other ratios
Net premiums written/gross premiums written		95	%		97	%		100	%		99	%		100	%		99	%

(1) See page 28 Non-GAAP Financial Measures.

Global Reinsurance Page 8

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

Life

	1Q-09 (4)			4Q-08 (4)			3Q-08 (4)			2Q-08 (4)			1Q-08			Full Year 2008
Gross premiums written (1)	$	385		$	414		$	381		$	427		$	105		$	1,327
Net premiums written		346			371			348			374			105			1,198
Net premiums earned		335			359			344			367			100			1,170
Losses and loss expenses		112			106			104			110			—			320
Policy benefits		97			154			86			84			63			387
Policy acquisition costs		47			69			48			63			8			188
Administrative expenses		58			56			61			69			13			199
Net investment income		46			47			40			40			15			142
Life underwriting income(2)		67			21			85			81			31			218
Net realized gains (losses)		9			(230	)		(180	)		64			(186	)		(532	)
Other income (expense)		(2	)		(6	)		(2	)		(4	)		—			(12	)
Income tax expense (benefit)		6			5			15			12			(2	)		30
Net income (loss)		68			(220	)		(112	)		129			(153	)		(356	)
Net realized gains (losses)		9			(230	)		(180	)		64			(186	)		(532	)
Net realized gains (losses) in other income (expense)		3			—			2			—			—			2
Tax expense (benefit) on net realized gains (losses)		(3	)		(6	)		—			—			—			(6	)
Income excluding net realized gains (losses)(3)	$	53		$	4		$	66		$	65		$	33		$	168
Prior period development - unfavorable (favorable)	$	1		$	—		$	—		$	—		$	—		$	—
% Change versus prior year period
Net premiums written		230	%		234	%		266	%		330	%		19	%		214	%
Net premiums earned		235	%		266	%		262	%		322	%		14	%		218	%

(1) Consistent with GAAP, premiums collected on universal life and investment contracts are considered deposits and excluded from revenues. For the quarters ended March 31, 2009; December 31, 2008; September 30, 2008; June 30, 2008; and March 31, 2008, premiums or deposits collected on investment and universal life contracts that are excluded from premium revenue above are $95.5 million, $29.2 million, $18.8 million, $30.9 million, and $41.2 million, respectively. Fees on universal life and investment contracts are revenue for GAAP and have been classified as premium. For the quarters ended March 31, 2009; December 31, 2008; September 30, 2008; June 30, 2008; and March 31, 2008, fees reflected as gross written premiums are $7.1 million, $5.6 million, $4.5 million, $4.9 million, and $4.4 million, respectively.

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

(3) See page 28 Non-GAAP Financial Measures.

(4) Includes the North America operations of Combined Insurance.

Life Page 9

ACE Limited Segment Results - Life Reinsurance (in millions of U.S. dollars) (Unaudited)

Variable Annuity (VA) Lines

Historical Cash Flow Summary by Quarter

Death Benefits (GMDB)
	1Q-09			4Q-08			3Q-08		2Q-08		1Q-08		Full Year 2008
Premium	$	24		$	27		$	31	$	32	$	32		122
less paid claims		43			36			15		9		7		67
Net	$	(19	)	$	(9	)	$	16	$	23	$	25	$	55
Living Benefits (Includes GMIB and GMAB)
	1Q-09			4Q-08			3Q-08		2Q-08		1Q-08		Full Year 2008
Premium	$	39		$	39		$	39	$	37	$	34		149
less paid claims		—			—			—		—		—		—
Net	$	39		$	39		$	39	$	37	$	34	$	149
Total VA Guaranteed Benefits
	1Q-09			4Q-08			3Q-08		2Q-08		1Q-08		Full Year 2008
Premium	$	63		$	66		$	70	$	69	$	66	$	271
less paid claims		43			36			15		9		7		67
Net	$	20		$	30		$	55	$	60	$	59	$	204

Amounts represent accrued past premium received and claims paid by quarter, split by benefit type.

Death Benefits (GMDB)

Premiums and claims from VA contracts reinsuring Guaranteed Minimum Death Benefits (GMDB)

Using our current mortality assumptions we expect approximately $165 million of claims and $95 million of premium on death benefits over the next 12 months.

Living Benefits (Includes GMIB and GMAB)

Premiums and claims from VA contracts reinsuring Guaranteed Minimum Income Benefits (GMIB) and Guaranteed Minimum Accumulation Benefits (GMAB), collectively known as Living Benefits.

Using our current assumptions we expect approximately $3 million of claims and $145 million of premium on living benefits over the next 12 months.

Variable Annuity Page 10

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, 2007		37,112			13,520			23,592			31,169				9,472			21,697			5,943			4,048			1,895
Losses and loss expenses incurred		1,659			80			1,579			1,670				87			1,583			(11	)		(7	)		(4	)
Losses and loss expenses paid		(1,748	)		(601	)		(1,147	)		(1,554	)			(406	)		(1,148	)		(194	)		(195	)		1
Other (incl. foreign exch. revaluation)		159			71			88			159				71			88			—			—			—
Balance at March 31, 2008	$	37,182		$	13,070		$	24,112		$	31,444			$	9,224		$	22,220		$	5,738		$	3,846		$	1,892
Losses and loss expenses incurred		2,736			841			1,895			2,727				837			1,890			9			4			5
Losses and loss expenses paid		(2,620	)		(1,024	)		(1,596	)		(2,391	)			(801	)		(1,590	)		(229	)		(223	)		(6	)
Other (incl. foreign exch. revaluation)		12			12			—			11				12			(1	)		1			—			1
Losses and loss expenses acquired (2)		386			33			353			386				33			353			—			—			—
Balance at June 30, 2008	$	37,696		$	12,932		$	24,764		$	32,177			$	9,305		$	22,872		$	5,519		$	3,627		$	1,892
Losses and loss expenses incurred		3,995			1,626			2,369			3,976				1,615			2,361			19			11			8
Losses and loss expenses paid		(2,767	)		(1,025	)		(1,742	)		(2,544	)			(818	)		(1,726	)		(223	)		(207	)		(16	)
Other (incl. foreign exch. revaluation)		(551	)		(200	)		(351	)		(551	)			(200	)		(351	)		—			—			—
Balance at September 30, 2008	$	38,373		$	13,333		$	25,040		$	33,058			$	9,902		$	23,156		$	5,315		$	3,431		$	1,884
Losses and loss expenses incurred		2,554			794			1,760			2,625				907			1,718			(71	)		(113	)		42
Losses and loss expenses paid		(2,764	)		(922	)		(1,842	)		(2,651	)			(773	)		(1,878	)		(113	)		(149	)		36
Other (incl. foreign exch. revaluation)		(987	)		(270	)		(717	)		(987	)			(270	)		(717	)		—			—			—
Balance at December 31, 2008	$	37,176		$	12,935		$	24,241		$	32,045			$	9,766		$	22,279		$	5,131		$	3,169		$	1,962
Losses and loss expenses incurred		2,454			638			1,816			2,433				629			1,804			21			9			12
Losses and loss expenses paid		(2,504	)		(762	)		(1,742	)		(2,246	)			(667	)		(1,579	)		(258	)		(95	)		(163	)(3)
Other (incl. foreign exch. revaluation)		(195	)		(57	)		(138	)		(195	)			(57	)		(138	)		—			—			—
Balance at March 31, 2009	$	36,931		$	12,754		$	24,177		$	32,037			$	9,671		$	22,366		$	4,894		$	3,083		$	1,811
Add net recoverable on paid losses					959
Reinsurance Recoverable				$	13,713								��

(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) Combined Insurance.

(3) The net paid of $163 million for the quarter does not reflect the NICO billing of $125 million which will be processed in the second quarter.

Loss Reserve Rollforward Page 11

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

Net Reinsurance Recoverable by Division

	March 31 2009			December 31 2008
Reinsurance recoverable on paid losses and loss expenses
Active operations	$	725		$	745
Brandywine		313			331
Westchester Run-off		38			34
Other Run-off		13			12
Total	$	1,089		$	1,122
Reinsurance recoverable on unpaid losses and loss expenses
Active operations	$	10,006		$	10,124
Brandywine		2,566			2,608
Westchester Run-off		539			550
Other Run-off		100			104
Total	$	13,211		$	13,386
Gross reinsurance recoverable
Active operations	$	10,731		$	10,869
Brandywine		2,879			2,939
Westchester Run-off		577			584
Other Run-off		113			116
Total	$	14,300		$	14,508
Provision for uncollectible reinsurance
Active operations	$	(379	)	$	(398	)
Brandywine		(168	)		(155	)
Westchester Run-off		(27	)		(27	)
Other Run-off		(13	)		(11	)
Total	$	(587	)	$	(591	)
Net reinsurance recoverable
Active operations	$	10,352		$	10,471
Brandywine		2,711			2,784
Westchester Run-off		550			557
Other Run-off		100			105
Total	$	13,713		$	13,917

Reinsurance Recoverable Page 12

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

Consolidated Reinsurance Recoverable

	December 31, 2008
	Recoverable		Provision (5)		% Of Gross
Categories
Largest Reinsurers (1)	$	9,189	$	144	1.6	%
Other reinsurers balances rated A- or better		1,966		26	1.3	%
Other reinsurers balances with rating lower than A- or not rated		553		125	22.6	%
Other Pools and Government Agencies		142		10	7.0	%
Structured Settlements		561		20	3.6	%
Other Captives		1,515		13	0.9	%
Others(2)		582		253	43.5	%
Total	$	14,508	$	591	4.1	%

At December 31, 2008, $10.6 billion of ACE Limited recoverables were from rated reinsurers, of which 94.3% were rated the equivalent of A- or better by internationally recognized rating agencies.

Largest Reinsurers(3)	S&P Rating (4)	AM Best Rating (4)
AGRI General Insurance Co	BBBpi	A
American International Group (AIG)(6)	A+	A
Berkshire Hathaway Insurance Group	AAA	A++
Chubb Insurance Group	AA	A++
Equitas	NL	NL
Everest Re Group	AA-	A+
Fairfax Financial Holdings Ltd.	A-	A-
Federal Crop Insurance Corp	U.S. Federal Gov.	U.S. Federal Gov.
Hartford Insurance Group	AA-	A+
HDI (Hannover Re)	AA-	A
Lloyd’s of London	A+	A
Munich Re Group	AA-	A+
National Workers Compensation Reinsurance Pool	Mandatory Pool	Mandatory Pool
Partner Re	AA-	A+
Swiss Re Group	AA-	A+
WR Berkley Corp	A+	A+
XL Capital Group(7)	A	A

(1) The Largest Reinsurers includes all reinsurers where gross recoverable exceeds 1% of ACE shareholders’ equity. Total ACE shareholders’ equity at December 31, 2008 was $14.446 billion.

(2) Others 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 Others 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 Largest Reinsurers includes all reinsurers where gross recoverable (net of collateral) exceeds 1% of ACE shareholders’ equity. The Largest Reinsurers account for 59.3% of total recoverables at December 31, 2008.

(4) S&P and AM Best ratings as of December 31, 2008 are based on each group’s predominant reinsurer.

(5) See MD&A reported in the 2008 Form 10-K for a discussion on how ACE determines the provision for uncollectible reinsurance.

(6) Gross recoverables with American International Group (AIG) were $553.0 million at December 31, 2008, of which $439.3 million (79.4%) were with Transatlantic Reinsurance Co.

(7) Gross recoverables with XL Capital Group were $357.5 million at December 31, 2008.

Reinsurance Recoverable - 2 Page 13

ACE Limited Reinsurance Recoverable Analysis - 3 (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, 2008	$	775		$	347		$	1,122
Provision at 12/31/08		29			111			140
% of gross		3.7	%		32.0	%		12.5	%
Net balance at December 31, 2008	$	746		$	236		$	982
Gross balance at March 31, 2009	$	756		$	333		$	1,089
Provision at 3/31/09		27			103			130
% of gross		3.6	%		30.9	%		11.9	%
Net balance at March 31, 2009 (3)	$	729		$	230		$	959

(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 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 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 Recoverable - 3 Page 14

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

	March 31 2009					December 31 2008
Market Value
Fixed maturities available for sale	$	31,355				$	31,155
Fixed maturities held to maturity		2,827					2,865
Short-term investments		3,909					3,350
Total	$	38,091				$	37,370
Asset Allocation by Market Value
Treasury	$	1,224		3	%	$	1,018		3	%
Agency		2,157		6	%		2,027		5	%
Corporate		8,974		24	%		8,744		23	%
Mortgage-backed securities		10,796		28	%		10,986		29	%
Asset-backed securities		611		2	%		709		2	%
Municipal		2,101		5	%		2,124		6	%
Non-U.S.		8,319		22	%		8,412		23	%
Short-term investments		3,909		10	%		3,350		9	%
Total	$	38,091		100	%	$	37,370		100	%
Note: Insured municipal bonds represent $940 million, or 45% of our municipal bond holdings.
Credit Quality by Market Value
AAA	$	22,875		60	%	$	22,960		61	%
AA		3,605		10	%		3,374		9	%
A		5,497		14	%		5,497		15	%
BBB		3,560		9	%		3,388		9	%
BB		1,384		4	%		1,119		3	%
B		1,040		3	%		934		3	%
Other		130		0	%		98		0	%
Total	$	38,091		100	%	$	37,370		100	%
Cost/Amortized Cost
Fixed maturities available for sale	$	33,503				$	33,109
Fixed maturities held to maturity		2,824					2,860
Short-term investments		3,909					3,350
Subtotal		40,236					39,319
Equity securities		1,026					1,132
Other investments		1,325					1,368
Total	$	42,587				$	41,819
Avg. duration of fixed maturities		3.6 years					3.6 years
Avg. market yield of fixed maturities		6.3	%				6.4	%
Avg. credit quality		AA					AA

Investments Page 15

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

Mortgage-backed and Asset-backed Fixed Income Portfolio

Market Value at March 31, 2009

	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Mortgage-backed securities
Residential mortgage-backed (RMBS)
GNMA	$	551	$	—	$	—	$	—	$	—	$	551
FNMA		4,512		—		—		—		—		4,512
Freddie Mac		2,050		—		—		—		—		2,050
Total agency RMBS		7,113		—		—		—		—		7,113
Non-agency RMBS		1,270		123		71		22		125		1,611
Total residential mortgage-backed		8,383		123		71		22		125		8,724
Commercial mortgage-backed		2,056		4		9		3		—		2,072
Total mortgage-backed securities	$	10,439	$	127	$	80	$	25	$	125	$	10,796
Asset-backed securities
Sub-prime	$	52	$	4	$	5	$	1	$	2	$	64
Credit cards		40		6		9		4		—		59
Autos		263		30		7		16		2		318
Other		164		1		3		2		—		170
Total asset-backed securities	$	519	$	41	$	24	$	23	$	4	$	611

Insured asset-backed securities represent $93 million, or 15% of our asset-backed security holdings.

Investments 2 Page 16

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

Mortgage-backed and Asset-backed Fixed Income Portfolio

Market Value at March 31, 2009

Mortgage-backed securities total $10.8 billion, are rated predominantly AAA and comprise 28% of the fixed income portfolio. This compares to a 45% mortgage-backed weighting in representative indices of the U.S. fixed income market. The minimum rating for initial purchases of mortgage and asset backed securities is AAA.

ACE suspended new investments in sub-prime backed securities in 3Q 2007 and ALT-A, credit card, and auto backed securities in 1Q 2008 and suspended new investments in CMBS in Q1 2009.

Securities issued by Federal agencies with implied or explicit government guarantees total $7.1 billion and represent 82% of the residential mortgage-backed portfolio.

Non-agency residential mortgage-backed securities are rated predominantly AAA, backed by prime collateral, and broadly diversified in over 300,000 loans. The portfolio’s loan-to-value ratio is approximately 68% with an average FICO score of 735. With this conservative loan-to-value ratio and subordinated collateral of 12%, the cumulative 5-year foreclosure rate would have to rise to 21% and real estate values would have to fall 45% before principal is impaired. The comparable historical cumulative foreclosure rate is 6% for prime mortgages.

Within the portfolio of prime non-agency RMBS are $144 million of holdings classified as ALT-A. These ALT-A holdings are broadly diversified with over 70% issued prior to 2006. The average FICO score is 715 with a relatively conservative loan-to-value ratio of 70%. With subordinated collateral of 19%, the cumulative 5-year foreclosure rate would have to rise to 30% and real estate values would have to fall more than 45% before principal is impaired. The comparable historical cumulative foreclosure rate is approximately 10%.

Commercial mortgage-backed securities of $2.1 billion are rated predominantly AAA, broadly diversified with over 26,000 loans and seasoned with 72% of the portfolio issued before 2006. The average loan-to-value ratio is approximately 63% with a debt service coverage ratio in excess of 1.7 and weighted average subordinated collateral of 27%. The cumulative foreclosure rate would have to rise to 62% and commercial real estate values would have to fall more than 64% before principal is impaired. The historical annual delinquency rate is 1%.

Sub-prime asset-backed securities (current holdings of $64 million) are rated predominantly AAA, broadly diversified in over 115,000 loans with an average loan-to-value ratio of approximately 81% and an average FICO score of 604. With subordinated collateral of 32%, the cumulative 5-year foreclosure rate would have to rise to 49% and real estate values would have to fall more than 40% before principal is impaired. The comparable historical cumulative 5-year foreclosure rate is 32%.

Auto loan asset-backed securities are rated predominantly AAA with a short duration of approximately 0.8 years and average subordinated collateral of 14%. Annual default rates would have to rise to 15 times their current level of about 1.9% before principal is impaired.

Investments 3 Page 17

ACE Limited Investment Portfolio - 4 (in millions of U.S. dollars) (Unaudited)

Mortgage-backed and Asset-backed Fixed Income Portfolio

Amortized Cost at March 31, 2009

	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Mortgage-backed securities
Residential mortgage-backed (RMBS)
GNMA	$	533	$	—	$	—	$	—	$	—	$	533
FNMA		4,339		—		—		—		—		4,339
Freddie Mac		1,966		—		—		—		—		1,966
Total agency RMBS		6,838		—		—		—		—		6,838
Non-agency RMBS		1,892		173		137		41		200		2,443
Total residential mortgage-backed		8,730		173		137		41		200		9,281
Commercial mortgage-backed		2,405		4		10		3		—		2,422
Total mortgage-backed securities	$	11,135	$	177	$	147	$	44	$	200	$	11,703
Asset-backed securities
Sub-prime	$	74	$	5	$	7	$	1	$	4	$	91
Credit cards		40		7		10		7		—		64
Autos		265		32		9		18		3		327
Other		165		1		3		5		—		174
Total asset-backed securities	$	544	$	45	$	29	$	31	$	7	$	656

Insured asset-backed securities represent $105 million, or 16% of our asset-backed security holdings.

Investments 4 Page 18

ACE Limited Investment Portfolio - 5 (in millions of U.S. dollars) (Unaudited)

Market Value at March 31, 2009

	S&P Credit Rating
	AAA		AA		A		BBB		Total
U.S. Investment Grade Corporate Fixed Income Portfolio
Banks	$	309	$	311	$	1,450	$	108	$	2,178
Basic Materials		—		—		18		73		91
Communications		—		1		409		475		885
Consumer, Cyclical		6		67		134		108		315
Consumer, Non-Cyclical		20		92		323		195		630
Diversified Financial Services		26		66		136		135		363
Energy		—		8		141		441		590
Industrial		51		341		187		127		706
Utilities		—		7		237		394		638
All Others		47		103		219		134		503
Total	$	459	$	996	$	3,254	$	2,190	$	6,899

U.S. Investment Grade Corporate Fixed Income Portfolio

The average credit quality of ACE’s US investment grade bond portfolio is very high at AA+. 68% of investment grade securities holdings are rated AAA or guaranteed by governments or quasi-government agencies.

ACE prohibits investments in complex structured securities (e.g. CDOs, CLOs) and over-the-counter derivatives and does not permit the use of portfolio leverage.

Corporate bond holdings are highly diversified across industries and geographies. Issuer limits are based on credit rating (AA 2%, A 1%, BBB 0.5% of total portfolio) and are monitored on a daily basis by ACE via an internal compliance system.

Investments 5 Page 19

ACE Limited Investment Portfolio - 6 (in millions of U.S. dollars) (Unaudited)

Market Value at March 31, 2009

	S&P Credit Rating
	BB		B		CCC		Other		Total
Below Investment Grade Corporate Fixed Income Portfolio
Basic Materials	$	74	$	48	$	5	$	1	$	128
Communications		221		161		6		19		407
Consumer, Cyclical		64		112		24		4		204
Consumer, Non-Cyclical		154		241		20		1		416
Diversified Financial Services		74		6		5		9		94
Energy		253		82		5		1		341
Industrial		135		101		2		2		240
Utilities		82		87		—		—		169
All Others		31		39		3		3		76
Total	$	1,088	$	877	$	70	$	40	$	2,075

Below Investment Grade Corporate Fixed income Portfolio

ACE manages high yield bonds as a distinct and separate asset class from investment grade bonds. ACE’s allocation to high yield bonds is explicitly set by internal management and is targeted to securities in the upper tier of credit quality (BB/B). Our minimum rating for initial purchase is BB/B.

Four external investment managers are responsible for high yield security selection and portfolio construction.

ACE’s high yield managers have a conservative approach to credit selection and very low historical default experience.

Securities holdings are highly diversified across industries and are subject to a 1.5% issuer limit as a percentage of high yield allocation (or 0.1% of total portfolio). The portfolio is comprised of over 500 issuers with our largest current issuer exposure at $37 million. ACE monitors position limits on a daily basis through an internal compliance system.

Derivative and structured securities (e.g. credit default swaps, CLOs) are not permitted in high yield portfolios.

Investments 6 Page 20

ACE Limited Investment Portfolio - 7 (in millions of U.S. dollars) (Unaudited)

Market Value at March 31, 2009

	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Non-U.S. Fixed Income Portfolio
United Kingdom	$	1,046	$	—	$	—	$	—	$	—	$	1,046
Germany		292		—		—		—		—		292
France		289		—		—		—		—		289
Canada		707		—		—		—		—		707
Japan		—		205		—		—		—		205
Other Foreign Government		601		485		346		175		23		1,630
Non-U.S. Corporate		594		624		1,566		1,047		319		4,150
	$	3,529	$	1,314	$	1,912	$	1,222	$	342	$	8,319

Non-U.S. Fixed Income Portfolio

ACE’s non-U.S. investment grade fixed income portfolios are currency-matched with the insurance liabilities of ACE’s non-U.S. operations. 88% of ACE’s non-U.S. fixed income is denominated in G7 currencies.

Average credit quality of non-U.S. fixed income securities is very high at AA and 57% of holdings are rated AAA or guaranteed by governments or quasi-government agencies.

Corporate bond holdings are highly diversified across industries and geographies. Issuer limits are based on credit rating (AA 2%, A 1%, BBB 0.5% of total portfolio) and are monitored on a daily basis by ACE via an internal compliance system.

Investments 7 Page 21

ACE Limited Investment Portfolio - 8 (in millions of U.S. dollars) (Unaudited)

Investment portfolio

Top 25 Exposures - Fixed Maturity Investments

March 31, 2009			Rating
General Electric Co	$	406	AA+
JP Morgan Chase & Co		339	A+
Bank of America Corp		302	A
Wells Fargo & Co		280	AA
AT&T INC		214	A
Citigroup Inc		191	A
Verizon Communications Inc		176	A
Goldman Sachs Group Inc		174	A
Comcast Corp		166	BBB+
Morgan Stanley		165	A
HSBC Holdings Plc		147	AA-
ConocoPhillips		128	A
Royal Bank of Scotland Group Plc		115	A
Lloyds TSB Group Plc		102	A
Credit Suisse Group		102	A
XTO Energy Inc		100	BBB
Telecom Italia SpA		99	BBB
Deutsche Telekom AG		85	BBB+
Time Warner Cable Inc		84	BBB
Dominion Resources Inc/VA		84	A-
Banco Santander SA		83	AA
American Express Co		77	A
Barclays PLC		75	A+
Time Warner Inc		74	BBB
Telefonica SA		72	A-

Investments 8 Page 22

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

	Three months ended March 31, 2009
	Net Realized Gains (Losses)(1)			Net Unrealized Gains (Losses)			Net Impact
Fixed maturities	$	(48	)	$	(214	)	$	(262	)
Equity securities		(100	)		(28	)		(128	)
Equity and fixed income derivatives		55			—			55
Foreign exchange gains (losses)		—			—			—
Other		(25	)		(39	)		(64	)
Sub-total		(118	)		(281	)		(399	)
Mark-to-market gains (losses) from derivative transactions(2)		(3	)		—			(3	)
Total gains (losses)		(121	)		(281	)		(402	)
Partially-owned insurance companies(3)		3			14			17
Income tax expense (benefit)		(16	)		(78	)		(94	)
Net gains (losses)	$	(102	)	$	(189	)	$	(291	)

(1) Impairments for the quarter of $192M include $88M for fixed maturities, $25M for equities, and $79M for other investments.

(2) Includes $24M of realized gains on the life reinsurance operations which is comprised of a $1M loss on guaranteed minimum income benefit derivatives offset by $25M of gains on the S&P put options and futures. Also included is a $25M loss related to derivatives on our short-term and long-term debt.

(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).

	Three months ended March 31, 2008
	Net Realized Gains (Losses)(4)			Net Unrealized Gains (Losses)			Net Impact
Fixed maturities	$	(105	)	$	(184	)	$	(289	)
Equity securities		(54	)		(156	)		(210	)
Equity and fixed income derivatives		(9	)		—			(9	)
Foreign exchange gains (losses)		6			—			6
Other		(26	)		(5	)		(31	)
Sub-total		(188	)		(345	)		(533	)
Mark-to-market gains (losses) from derivative transactions(5)		(165	)		—			(165	)
Total gains (losses)		(353	)		(345	)		(698	)
Partially-owned insurance companies(6)		(28	)		21			(7	)
Income tax expense (benefit)		(33	)		(22	)		(55	)
Net gains (losses)	$	(348	)	$	(302	)	$	(650	)

(4) Impairments for the quarter of $189M include $128M for fixed maturities, $36M for equities, and $25M for other investments.

(5) Includes $183M of realized losses primarily on the guaranteed minimum income benefit derivatives from our life reinsurance operations.

(6) 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).

Investment Gains (Losses) Page 23

ACE Limited Investment Portfolio Net Realized Gains (Losses) and Other-than-Temporary Impairments (in millions of U.S. dollars) (Unaudited)

	Three months ended March 31, 2009
	Net Realized Gains (Losses)			Price Impairment			Credit Impairment			All Other Activity
Investment Grade Corp	$	(32	)	$	(40	)	$	(27	)	$	35
High Yield Corp		(42	)		(21	)		—			(21	)
MBS / ABS		35			—			—			35
Convertible Bonds		(9	)		—			—			(9	)
Fixed maturities		(48	)		(61	)		(27	)		40
Equity securities		(100	)		(25	)		—			(75	)
Equity and fixed income derivatives		55			—			—			55
Foreign exchange gains (losses)		32			—			—			32
Other		(57	)		(79	)		—			22
Sub-total	$	(118	)	$	(165	)	$	(27	)	$	74

Investment Gains (Losses) OTTI Page 24

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

	March 31 2009			December 31 2008			December 31 2007
Total short-term debt	$	466		$	471		$	372
Total long-term debt		2,802			2,806			1,811
Total debt	$	3,268		$	3,277		$	2,183
Total trust preferred securities	$	309		$	309		$	309
Perpetual preferred shares	$	—		$	—		$	557
Common shareholders’ equity		14,718			14,446			16,120
Total shareholders’ equity	$	14,718		$	14,446		$	16,677
Total capitalization	$	18,295		$	18,032		$	19,169
Tangible shareholders’ equity(1)	$	10,983		$	10,699		$	13,839
Leverage ratios
Debt/ total capitalization		17.9	%		18.2	%		11.4	%
Debt plus trust preferred securities/ total capitalization		19.6	%		19.9	%		13.0	%
Debt/ tangible equity		29.8	%		30.6	%		15.8	%
Debt plus trust preferred securities/ tangible equity		32.6	%		33.5	%		18.0	%
Debt plus total preferred stock/ total capitalization		19.6	%		19.9	%		15.9	%

(1) Tangible equity is equal to shareholders’ equity less goodwill and other intangible assets.

Capital Structure Page 25

ACE Limited Debt, Trust Preferred and Credit Facilities (in millions of U.S. dollars) (Unaudited)

	Par amount outstanding		Coupon			Maturity Date
Debt and Trust Preferred
Reverse Repurchase Agreements	$	250		0.62	%	May 5, 2009
ACE INA Holdings Inc. Term Loan	$	16		3.02	%	September 18, 2009
ACE INA Holdings Inc Subordinated Notes	$	200		8.41	%	December 6, 2009
ACE European Holdings No2 Limited Term Loan	$	145		5.25	%	December 13, 2010
ACE INA Holdings Inc. Term Loan	$	50		5.61	%	December 19, 2011
ACE INA Holdings Inc. Term Loan	$	450		4.15	%	April 1, 2013
ACE INA Holdings Inc. Senior Notes	$	500		5.88	%	June 15, 2014
ACE INA Holdings Inc. Senior Notes	$	450		5.60	%	May 15, 2015
ACE INA Holdings Inc. Senior Notes	$	500		5.70	%	February 15, 2017
ACE INA Holdings Inc. Senior Notes	$	300		5.80	%	March 15, 2018
ACE INA Holdings Inc. Debentures	$	100		8.88	%	August 15, 2029
ACE Capital Trust II Capital Securities	$	300		9.70	%	April 1, 2030
ACE INA Holdings Inc. Senior Notes	$	300		6.70	%	May 15, 2036
	Commitment		LOC Usage			Maturity Date
Credit Facilities
Syndicated Letter of Credit Facility	$	1,000	$	762		November 8, 2012
Revolving Credit / LOC Facility	$	500	$	142		November 8, 2012
Funds at Lloyds Capital Facility	$	434	$	354		December 31, 2013

Capital Structure (2) Page 26

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 March 31
	2009			2008
Numerator
Income excluding net realized gains (losses)(1)	$	669		$	725
Perpetual preferred dividend		—			(11	)
Income to common shares, excl. net realized gains (losses)		669			714
Net realized gains (losses), net of income tax		(102	)		(348	)
Net income available to the holders of common shares		567			366
Rollforward of Common Shares Outstanding
Shares - beginning of period		333,645,471			329,704,531
Issued under employee stock purchase plan		113,616			93,228
Shares (cancelled) granted		2,105,193			1,174,680
Issued for option exercises		26,364			1,534,108
Shares - end of period		335,890,644			332,506,547
Denominator(2)
Weighted average shares outstanding		335,474,828			330,749,894
Effect of other dilutive securities		640,736			2,294,700
Adj. wtd. avg. shares outstanding and assumed conversions		336,115,564			333,044,594
Basic earnings per share
Income excluding net realized gains (losses)(1)	$	1.99		$	2.16
Net realized gains (losses), net of income tax		(0.30	)		(1.05	)
Net income	$	1.69		$	1.11
Diluted earnings per share
Income excluding net realized gains (losses)(1)	$	1.99		$	2.14
Net realized gains (losses), net of income tax		(0.30	)		(1.04	)
Net income	$	1.69		$	1.10

(1) See page 28 Non-GAAP Financial Measures.

(2) The current and prior year calculations have been amended due to the adoption of FSP EITF 03-6-1, Determining Whether Instruments Granted in Share-Based Payment Transactions Are Participating Securities (FSP EITF 03-6-1). FSP EITF 03-6-1 provides additional guidance in the calculation of earnings per share under FAS No. 128, Earnings Per Share, and requires unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) to be included in the computation of earnings per share pursuant to the two-class method.

Earnings Per Share Page 27

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 generally accepted accounting principles (GAAP). A reconciliation of book value per share is provided on page 29.

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, policy 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) and the related tax expense (benefit). 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. Income excluding net realized gains (losses) should not be viewed as a substitute for net income determined in accordance with GAAP.

	1Q-09			4Q-08			3Q-08			2Q-08			1Q-08			Full Year 2008
Net income, as reported	$	567		$	20		$	54		$	746		$	377		$	1,197
Net realized gains (losses)		(121	)		(644	)		(510	)		(126	)		(353	)		(1,633	)
Net realized gains (losses) in other income (expense)(1)		3			(48	)		(23	)		120			(28	)		21
Income tax expense (benefit) on net realized gains (losses)		(16	)		(88	)		(83	)		(14	)		(33	)		(218	)
Income excluding net realized gains (losses)	$	669		$	624		$	504		$	738		$	725		$	2,591

(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 28

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

Reconciliation of Book Value per Common Share

	March 31 2009			December 31 2008			March 31 2008
Shareholders’ equity	$	14,718		$	14,446		$	16,735
Perpetual Preferred shares		—			—			(557	)
Numerator for book value per share calculation		14,718			14,446			16,178
Less: goodwill and other intangible assets		3,735			3,747			2,763
Numerator for tangible book value per share	$	10,983		$	10,699		$	13,415
Denominator		335,890,644			333,645,471			332,506,547
Book value per common share	$	43.82		$	43.30		$	48.65
Tangible book value per common share	$	32.70		$	32.07		$	40.35
Reconciliation of Book Value
Opening shareholders’ equity	$	14,446		$	15,356		$	16,677
Income excluding net realized gains (losses)		669			624			725
Net realized gains (losses), net of tax		(102	)		(604	)		(348	)
Net unrealized gains (losses), net of tax		(189	)		(594	)		(302	)
Cumulative translation, net of tax		(38	)		(310	)		13
Dividend declared on common shares		(88	)		(91	)		(90	)
Other (1)		20			65			60
	$	14,718		$	14,446		$	16,735

(1) Other includes proceeds from exercise of stock options, change in minimum pension liability, and stock compensation.

Reconciliation Book Value Page 29

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

Consolidated Statement of Comprehensive Income

	1Q-09			4Q-08			3Q-08			2Q-08			1Q-08			Full Year 2008
Net income	$	567		$	20		$	54		$	746		$	377		$	1,197
Net unrealized appreciation (depreciation) on investments
Unrealized appreciation (depreciation) on investments		(446	)		(1,198	)		(1,522	)		(731	)		(497	)		(3,948	)
Reclassification adjustment for net realized gains (losses) included in net income		179			464			383			169			173			1,189
Change in cumulative translation adjustments		(58	)		(468	)		(155	)		6			27			(590	)
Change in minimum pension liability		(4	)		17			5			1			—			23
Income tax (expense) benefit related to other comprehensive income items		99			292			320			27			8			647
Other comprehensive income (loss)		(230	)		(893	)		(969	)		(528	)		(289	)		(2,679	)
Comprehensive income (loss)	$	337		$	(873	)	$	(915	)	$	218		$	88		$	(1,482	)

Comprehensive Income Page 30

ACE Limited Glossary

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

Book value per common share: Common shareholders’ equity divided by the shares outstanding.

Combined Insurance:Combined Insurance Company of America, acquired April 1, 2008.

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.

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

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 policy benefits, acquisition costs, and administrative expenses.

NM: Not meaningful.

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

Tangible book value per common share:Common shareholders’ equity less goodwill and other intangible assets divided by the shares outstanding.

Tangible equity:Shareholders’ equity less goodwill and other intangible assets.

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

Glossary Page 31