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 email: investorrelations@acegroup.com	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.
	Cautionary Statement Regarding Forward-Looking Statements:
	Any forward-looking statements made in this financial supplement reflect ACE’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, our 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.
	Our 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. 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. We undertake 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 - 5
III.	Segment Results
	- Insurance - North American		6
	- Insurance - Overseas General		7
	- Global Reinsurance		8
	- Life		9
IV.	Balance Sheet Details
	- Loss Reserve Rollforward		10
	- Reinsurance Recoverable Analysis		11
	- Investment Portfolio		12 - 17
	- Net Realized and Unrealized Gains (Losses)		18
	- Capital Structure		19
	- Computation of Basic and Diluted Earnings Per Share		20
V.	Other Disclosures
	- Non-GAAP Financial Measures		21 - 22
	- Book Value and Book Value per Common Share		23
	- Glossary		24

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

Note: All dollar amounts in the Financial Supplement are rounded. However, percent changes and ratios are calculated using whole dollars. Accordingly, calculations using rounded dollars may differ.

							% Change 3Q-12 vs. 3Q-11					% Change 3Q-12 vs. 3Q-11 (2)									%  Change YTD-12 vs. YTD-11					%  Change YTD-12 vs. YTD-11(2)
	Three months ended September 30									Constant $					Nine months ended September 30									Constant $
	2012			2011						2011(2)					2012			2011						2011(2)
Gross premiums written	$	6,007		$	5,900			1.8	%	$	5,777		4.0	%	$	16,447		$	15,967			3.0	%	$	15,732		4.5	%
Net premiums written	$	4,716		$	4,343			8.6	%	$	4,243		11.1	%	$	12,418		$	11,742			5.8	%	$	11,543		7.6	%
Net premiums earned	$	4,665		$	4,490			3.9	%	$	4,378		6.6	%	$	11,829		$	11,556			2.4	%	$	11,340		4.3	%
Net investment income	$	533		$	564			-5.6	%						$	1,614		$	1,677			-3.8	%
Net income (loss)	$	640		$	(39	)		NM							$	1,941		$	805			141.1	%
Income excluding net realized gains (losses)(1)	$	688		$	751			-8.2	%						$	2,132		$	1,683			26.7	%
Comprehensive income (loss)	$	1,316		$	(189	)		NM							$	3,044		$	1,050			189.9	%
Operating cash flow	$	1,642		$	935										$	3,025		$	2,998
P&C combined ratio
Loss and loss expense ratio		68.9	%		64.9	%										62.6	%		66.8	%
Underwriting and administrative expense ratio		23.1	%		25.3	%										27.6	%		28.5	%
Combined ratio		92.0	%		90.2	%										90.2	%		95.3	%
Operating return on equity (ROE)(1)		11.5	%		13.5	%										12.1	%		10.3	%
ROE		9.7	%		-0.7	%										10.1	%		4.6	%
Effective tax rate on income excluding net realized gains (losses)(1)		16.7	%		17.7	%										14.8	%		18.1	%
Effective tax rate		18.7	%		131.9	%										17.3	%		32.1	%
Diluted earnings per share
Income excluding net realized gains (losses)(1)	$	2.01		$	2.20			-8.6	%						$	6.23		$	4.94			26.1	%
Net income (loss)	$	1.86		$	(0.11	)		NM							$	5.67		$	2.36			140.3	%
																					% Change 3Q-12 vs. 3Q-11			December 31 2011		% Change 3Q-12 vs. 4Q-11
Book value per common share(1)															$	79.36		$	70.10			13.2	%	$	72.22		9.9	%
Tangible book value per common share(1)															$	64.67		$	55.88			15.7	%	$	57.97		11.6	%
Weighted average basic common shares outstanding		340.2			338.4											339.5			338.1
Weighted average diluted common shares outstanding		342.9			340.9											342.4			340.9
Debt/total capitalization																14.9	%		16.2	%

(1) See Non-GAAP Financial Measures.

(2) Prior periods on a constant dollar basis.

Adoption of New Accounting Pronouncement:

Shareholders’ equity and book value per common share at December 31, 2011 and September 30, 2011 and ROE percentages for the three and nine months ended September 30, 2011 have been retrospectively adjusted to reflect the adoption of new guidance issued by the Financial Accounting Standards Board related to the accounting for costs associated with acquiring or renewing insurance contracts. The adoption of this guidance decreased shareholders’ equity by $181 million as of December 31, 2011. The effect of the adoption of the new guidance on net income for the three and nine months ended September 30, 2011 was a decrease of $8 million and $30 million, respectively.

Financial Highlights Page 1

	ACE Limited Consolidated Results—Consecutive Quarters (in millions of U.S. dollars, except ratios)
	(Unaudited)

ACE Limited Consolidated	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			YTD 2012			YTD 2011			Full Year 2011
Consolidated Results Excluding Life Segment
Gross premiums written	$	5,496		$	5,140		$	4,275		$	4,344		$	5,391		$	14,911		$	14,497		$	18,841
Net premiums written		4,228			3,644			3,084			3,134			3,855			10,956			10,325			13,459
Net premiums earned		4,185			3,309			2,908			3,361			4,010			10,402			10,167			13,528
Losses and loss expenses		2,883			1,968			1,656			2,132			2,603			6,507			6,795			8,927
Policy acquisition costs		529			531			506			546			577			1,566			1,587			2,133
Administrative expenses		438			436			432			447			439			1,306			1,304			1,751
Underwriting income excluding Life segment(1)		335			374			314			236			391			1,023			481			717
Life underwriting income excluding investment income and gains (losses) from fair value changes in separate account assets(2)		25			55			24			27			82			104			182			209
Net investment income		533			537			544			565			564			1,614			1,677			2,242
Net realized gains (losses)		(60	)		(394	)		260			83			(760	)		(194	)		(878	)		(795	)
Interest expense		63			62			62			63			62			187			187			250
Other income (expense):(2)
Gains (losses) from fair value changes in separate account assets		14			(14	)		18			3			(39	)		18			(39	)		(36	)
Other		3			(20	)		(15	)		4			(50	)		(32	)		(49	)		(45	)
Income tax expense		147			148			110			120			165			405			382			502
Net income (loss)		640			328			973			735			(39	)		1,941			805			1,540
Net realized gains (losses)		(60	)		(394	)		260			83			(760	)		(194	)		(878	)		(795	)
Net realized gains (losses) in other income (expense) (1) (3)		20			1			18			16			(28	)		39			8			24
Tax expense on net realized gains (losses)		8			22			6			12			2			36			8			20
Income excluding net realized gains (losses)(1)	$	688		$	743		$	701		$	648		$	751		$	2,132		$	1,683		$	2,331
% Change versus prior year period(4)
Net premiums written as reported		9.6	%		5.3	%		2.5	%		4.9	%		33.0	%		6.1	%		13.8	%		11.6	%
Net premiums earned as reported		4.4	%		1.1	%		0.8	%		6.4	%		33.1	%		2.3	%		16.7	%		13.9	%
Net premiums written constant $		12.3	%														8.0	%
Net premiums earned constant $		7.1	%														4.3	%
Other ratios
Net premiums written/gross premiums written		77	%		71	%		72	%		72	%		72	%		73	%		71	%		71	%
Effective tax rate on income excluding net realized gains (losses) (1)		16.7	%		14.6	%		13.0	%		14.4	%		17.7	%		14.8	%		18.1	%		17.1	%
P&C combined ratio(4)
Loss and loss expense ratio		68.9	%		59.5	%		56.9	%		63.4	%		64.9	%		62.6	%		66.8	%		66.0	%
Policy acquisition cost ratio		12.7	%		16.1	%		17.4	%		16.3	%		14.4	%		15.0	%		15.6	%		15.8	%
Administrative expense ratio		10.4	%		13.1	%		14.9	%		13.3	%		10.9	%		12.6	%		12.9	%		12.9	%
Combined ratio		92.0	%		88.7	%		89.2	%		93.0	%		90.2	%		90.2	%		95.3	%		94.7	%
Combined ratio excluding catastrophe losses, PPD, and crop(1) (5)		90.5	%											91.9	%
P&C expense ratio		23.1	%		29.2	%		32.3	%		29.6	%		25.3	%		27.6	%		28.5	%		28.7	%
P&C expense ratio excluding A&H		19.3	%		25.3	%		28.4	%		25.5	%		21.0	%		23.7	%		24.1	%		24.7	%
Large losses and other items (before tax)(4)
Reinstatement premiums (expensed) collected	$	2		$	—		$	—		$	—		$	26		$	2		$	(40	)	$	(40	)
Catastrophe losses	$	55		$	55		$	19		$	155		$	147		$	129		$	704		$	859
Prior period development (PPD) - unfavorable (favorable)(5)	$	(236	)	$	(113	)	$	(93	)	$	(123	)	$	(194	)	$	(442	)	$	(433	)	$	(556	)
Loss and loss expense ratio excluding catastrophe losses and PPD(1) (5)		73.4	%		61.2	%		59.5	%		62.5	%		66.7	%		65.7	%		64.0	%		63.6	%

(1) See Non-GAAP Financial Measures.

(2) Gains (losses) from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP are reclassified from Other income (expense) for purposes of presenting Life underwriting income.

(3) Net realized investment and derivative losses related to unconsolidated entities.

(4) Presented excluding the Life segment. This is a non-GAAP measure.

(5) For Q3 2012 and Q3 2011, favorable prior period development is net of $32 million and $26 million, respectively, of net earned premium adjustments on loss sensitive policies.

Consolidated Results Page 2

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

	September 30			June 30			March 31			December 31
	2012			2012			2012			2011
Assets
Fixed maturities available for sale, at fair value	$	46,504		$	44,386		$	43,468		$	41,967
Fixed maturities held to maturity, at amortized cost		7,493			7,782			8,117			8,447
Equity securities, at fair value		770			729			679			647
Short-term investments, at fair value		2,429			2,260			2,099			2,301
Other investments		2,621			2,524			2,429			2,314
Total investments		59,817			57,681			56,792			55,676
Cash		690			617			715			614
Securities lending collateral		2,039			2,247			2,204			1,375
Insurance and reinsurance balances receivable		5,288			4,985			4,487			4,387
Reinsurance recoverable on losses and loss expenses		11,857			11,752			12,057			12,389
Deferred policy acquisition costs		1,793			1,710			1,649			1,548
Value of business acquired		632			637			669			676
Prepaid reinsurance premiums		1,613			1,775			1,643			1,541
Goodwill and other intangible assets		4,990			4,826			4,860			4,799
Deferred tax assets		344			557			568			673
Investments in partially-owned insurance companies		354			339			346			352
Other assets		4,091			3,575			3,759			3,291
Total assets	$	93,508		$	90,701		$	89,749		$	87,321
Liabilities
Unpaid losses and loss expenses	$	38,200		$	36,850		$	37,247		$	37,477
Unearned premiums		7,068			7,044			6,664			6,334
Future policy benefits		4,414			4,436			4,358			4,274
Insurance and reinsurance balances payable		3,448			3,490			3,454			3,542
Securities lending payable		2,044			2,253			2,211			1,385
Payable for securities purchased		733			692			569			287
Accounts payable, accrued expenses, and other liabilities		5,567			5,104			4,615			4,770
Short-term debt		1,402			1,401			1,531			1,251
Long-term debt		3,360			3,360			3,360			3,360
Trust preferred securities		309			309			309			309
Total liabilities		66,545			64,939			64,318			62,989
Shareholders’ equity
Total shareholders’ equity, excl. AOCI		23,949			23,424			23,222			22,421
Accumulated other comprehensive income (AOCI)		3,014			2,338			2,209			1,911
Total shareholders’ equity		26,963			25,762			25,431			24,332
Total liabilities and shareholders’ equity	$	93,508		$	90,701		$	89,749		$	87,321
Book value per common share(1)	$	79.36		$	75.98		$	75.09		$	72.22
% change over prior quarter		4.4	%		1.2	%		4.0	%		3.0	%
Tangible book value per common share(1)	$	64.67		$	61.75		$	60.74		$	57.97
% change over prior quarter		4.7	%		1.7	%		4.8	%		3.7	%

(1) See 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

	3Q-12			% of Total Consolidated			3Q-11		% of Total Consolidated			% Change 3Q-12 vs. 3Q-11			YTD 2012			%  of Total Consolidated			YTD 2011		% of Total Consolidated			% Change YTD-12 vs. YTD-11
Net premiums written
Property and all other	$	962			20	%	$	906		21	%		6.2	%	$	3,301			27	%	$	2,959		25	%		11.6	%
Agriculture		1,164			25	%		1,066		24	%		9.2	%		1,775			14	%		1,679		14	%		5.7	%
Casualty		1,501			32	%		1,270		29	%		18.2	%		4,001			32	%		3,817		33	%		4.8	%
Subtotal		3,627			77	%		3,242		74	%		11.9	%		9,077			73	%		8,455		72	%		7.4	%
Personal accident (A&H)(1)		856			18	%		859		20	%		-0.4	%		2,621			21	%		2,613		22	%		0.3	%
Life		233			5	%		242		6	%		-3.7	%		720			6	%		674		6	%		6.8	%
Total consolidated	$	4,716			100	%	$	4,343		100	%		8.6	%	$	12,418			100	%	$	11,742		100	%		5.8	%
Net premiums earned
Property and all other	$	1,031			22	%	$	986		22	%		4.6	%	$	3,014			25	%	$	2,761		24	%		9.2	%
Agriculture		1,166			25	%		1,080		24	%		7.9	%		1,609			14	%		1,514		13	%		6.2	%
Casualty		1,366			29	%		1,303		29	%		4.8	%		3,925			33	%		4,035		35	%		-2.7	%
Subtotal		3,563			76	%		3,369		75	%		5.8	%		8,548			72	%		8,310		72	%		2.9	%
Personal accident (A&H)(1)		882			19	%		891		20	%		-1.0	%		2,605			22	%		2,606		22	%		0.0	%
Life		220			5	%		230		5	%		-4.3	%		676			6	%		640		6	%		5.6	%
Total consolidated	$	4,665			100	%	$	4,490		100	%		3.9	%	$	11,829			100	%	$	11,556		100	%		2.4	%
Income excluding net realized gains (losses)
Property, casualty, and all other	$	613			89	%	$	547		73	%		12.1	%	$	1,684			79	%	$	1,153		69	%		46.1	%
Agriculture		(92	)		-13	%		49		7	%		NM			(37	)		-2	%		74		4	%		NM
Personal accident (A&H)(1)		118			17	%		114		15	%		2.9	%		357			17	%		341		20	%		5.2	%
Life		49			7	%		41		5	%		19.5	%		128			6	%		115		7	%		10.4	%
Total consolidated	$	688			100	%	$	751		100	%		-8.2	%	$	2,132			100	%	$	1,683		100	%		26.7	%

(1) For purposes of this schedule only, A&H results from our Combined North American and International businesses, normally included in the Life and Insurance-Overseas General segments, respectively, are included in the Personal Accident (A&H) line items above.

Line of Business Page 4

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

ACE Limited Consolidated Constant Dollar

			Constant $		Constant $ % Change 3Q-12 vs.			YTD		Constant $ YTD		Constant $ % Change YTD-12 vs.
	3Q-12		3Q-11 (2)		3Q-11(2)			2012		2011(2)		YTD-11 (2)
Net premiums written
Property, casualty, agriculture, and all other	$	3,627	$	3,189		13.7	%	$	9,077	$	8,348		8.7	%
Personal accident (A&H)(1)		856		820		4.4	%		2,621		2,538		3.3	%
Life		233		234		-0.4	%		720		657		9.6	%
Total consolidated	$	4,716	$	4,243		11.1	%	$	12,418	$	11,543		7.6	%
Net premiums earned
Property, casualty, agriculture, and all other	$	3,563	$	3,307		7.7	%	$	8,548	$	8,190		4.4	%
Personal accident (A&H)(1)		882		849		3.8	%		2,605		2,526		3.1	%
Life		220		222		-0.9	%		676		624		8.3	%
Total consolidated	$	4,665	$	4,378		6.6	%	$	11,829	$	11,340		4.3	%
Income excluding net realized gains (losses)
Property, casualty, agriculture, and all other	$	521	$	582		-10.5	%	$	1,647	$	1,196		37.7	%
Personal accident (A&H)(1)		118		109		8.3	%		357		330		8.3	%
Life		49		41		19.8	%		128		115		10.7	%
Total consolidated	$	688	$	732		-6.0	%	$	2,132	$	1,641		29.9	%

(1) For purposes of this schedule only, A&H results from our Combined North American and International businesses, normally included in the Life and Insurance-Overseas General segments, respectively, are included in the Personal Accident (A&H) line items above.

(2) Prior periods on a constant dollar basis.

Line of Business 2 Page 5

ACE Limited Segment Results—Consecutive Quarters (in millions of U.S. dollars, except ratios) (Unaudited)

Insurance - North American

	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			YTD 2012			YTD 2011			Full Year 2011
Gross premiums written	$	3,345		$	2,856		$	2,012		$	2,394		$	3,294		$	8,213		$	7,966		$	10,360
Net premiums written		2,537			1,860			1,293			1,624			2,207			5,690			5,227			6,851
Net premiums earned		2,472			1,652			1,287			1,662			2,299			5,411			5,249			6,911
Losses and loss expenses		2,110			1,163			849			1,211			1,838			4,122			4,065			5,276
Policy acquisition costs		160			157			127			157			174			444			455			612
Administrative expenses		148			153			147			144			153			448			448			592
Underwriting income		54			179			164			150			134			397			281			431
Net investment income		263			271			274			284			291			808			886			1,170
Net realized gains (losses)		(1	)		18			(1	)		26			(2	)		16			8			34
Interest expense		3			3			3			4			4			9			11			15
Other income (expense)		5			(10	)		1			3			(21	)		(4	)		(8	)		(5	)
Income tax expense		81			107			91			91			120			279			304			395
Net income		237			348			344			368			278			929			852			1,220
Net realized gains (losses)		(1	)		18			(1	)		26			(2	)		16			8			34
Net realized gains (losses) in other income (expense)		17			5			15			10			(9	)		37			18			28
Tax expense on net realized gains (losses)		2			10			4			10			1			16			9			19
Income excluding net realized gains (losses)(1)	$	223		$	335		$	334		$	342		$	290		$	892		$	835		$	1,177
Combined ratio
Loss and loss expense ratio		85.3	%		70.4	%		66.0	%		72.8	%		80.0	%		76.2	%		77.4	%		76.3	%
Policy acquisition cost ratio		6.5	%		9.5	%		9.9	%		9.5	%		7.6	%		8.2	%		8.7	%		8.9	%
Administrative expense ratio		6.0	%		9.3	%		11.4	%		8.7	%		6.6	%		8.3	%		8.6	%		8.6	%
Combined ratio		97.8	%		89.2	%		87.3	%		91.0	%		94.2	%		92.7	%		94.7	%		93.8	%
Combined ratio excluding catastrophe losses, PPD, and crop(1) (2)		88.9	%											91.4	%
Large losses and other items (before tax)
Reinstatement premiums (expensed) collected	$	—		$	—		$	—		$	—		$	7		$	—		$	(5	)	$	(5	)
Catastrophe losses	$	38		$	49		$	16		$	42		$	119		$	103		$	305		$	347
Prior period development (PPD)—unfavorable (favorable)(2)	$	(80	)	$	(59	)	$	(60	)	$	(31	)	$	(58	)	$	(199	)	$	(164	)	$	(195	)
Loss and loss expense ratio excluding catastrophe losses and PPD(1) (2)		87.2	%		71.1	%		69.3	%		72.2	%		77.6	%		78.1	%		74.7	%		74.1	%
% Change versus prior year period
Net premiums written		14.9	%		7.2	%		0.6	%		6.9	%		52.7	%		8.9	%		22.2	%		18.2	%
Net premiums earned		7.5	%		3.0	%		-4.4	%		10.0	%		59.2	%		3.1	%		26.8	%		22.3	%
Other ratios
Net premiums written/gross premiums written		76	%		65	%		64	%		68	%		67	%		69	%		66	%		66	%

(1) See Non-GAAP Financial Measures.

(2) For Q3 2012 and Q3 2011, favorable prior period development is net of $28 million and $13 million, respectively, of net earned premium adjustments on loss sensitive policies.

Insurance-North American Page 6

ACE Limited Segment Results—Consecutive Quarters (in millions of U.S. dollars, except ratios) (Unaudited)

Insurance - Overseas General

	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			YTD 2012			YTD 2011			Full Year 2011
Gross premiums written	$	1,841		$	1,952		$	1,984		$	1,818		$	1,843		$	5,777		$	5,649		$	7,467
Net premiums written		1,384			1,475			1,528			1,378			1,398			4,387			4,251			5,629
Net premiums earned		1,432			1,420			1,391			1,450			1,471			4,243			4,164			5,614
Losses and loss expenses		622			703			705			785			671			2,030			2,244			3,029
Policy acquisition costs		329			332			335			346			353			996			989			1,335
Administrative expenses		234			233			229			241			236			696			698			939
Underwriting income		247			152			122			78			211			521			233			311
Net investment income		127			128			131			140			138			386			406			546
Net realized gains (losses)		13			26			20			51			1			59			(18	)		33
Interest expense		2			1			1			1			2			4			4			5
Other income (expense)		3			(6	)		—			3			(10	)		(3	)		(3	)		—
Income tax expense		77			51			38			52			56			166			112			164
Net income		311			248			234			219			282			793			502			721
Net realized gains (losses)		13			26			20			51			1			59			(18	)		33
Net realized gains (losses) in other income (expense)		2			(3	)		3			2			(10	)		2			(4	)		(2	)
Tax expense (benefit) on net realized gains (losses)		6			7			3			3			1			16			(2	)		1
Income excluding net realized gains (losses)(1)	$	302		$	232		$	214		$	169		$	292		$	748		$	522		$	691
Combined ratio
Loss and loss expense ratio		43.4	%		49.6	%		50.7	%		54.1	%		45.6	%		47.8	%		53.9	%		54.0	%
Policy acquisition cost ratio		23.1	%		23.4	%		24.1	%		23.8	%		24.1	%		23.5	%		23.7	%		23.8	%
Administrative expense ratio		16.2	%		16.3	%		16.4	%		16.6	%		15.9	%		16.4	%		16.8	%		16.7	%
Combined ratio		82.7	%		89.3	%		91.2	%		94.5	%		85.6	%		87.7	%		94.4	%		94.5	%
Large losses and other items (before tax)
Reinstatement premiums (expensed) collected	$	—		$	—		$	—		$	1		$	17		$	—		$	(43	)	$	(42	)
Catastrophe losses	$	4		$	5		$	2		$	98		$	34		$	11		$	231		$	329
Prior period development (PPD)—unfavorable (favorable)	$	(135	)	$	(39	)	$	(22	)	$	(80	)	$	(126	)	$	(196	)	$	(210	)	$	(290	)
Loss and loss expense ratio excluding catastrophe losses and PPD(1)		52.6	%		51.9	%		52.1	%		53.0	%		52.5	%		52.2	%		52.9	%		52.9	%
% Change versus prior year period
Net premiums written as reported		-1.0	%		2.2	%		8.4	%		3.9	%		18.3	%		3.2	%		10.0	%		8.5	%
Net premiums earned as reported		-2.6	%		0.3	%		8.8	%		5.1	%		13.3	%		1.9	%		10.4	%		9.0	%
Net premiums written constant $		5.5	%														7.4	%
Net premiums earned constant $		4.4	%														6.7	%
Other ratios
Net premiums written/gross premiums written		75	%		76	%		77	%		76	%		76	%		76	%		75	%		75	%

(1) See Non-GAAP Financial Measures.

Insurance-Overseas General Page 7

ACE Limited Segment Results—Consecutive Quarters (in millions of U.S. dollars, except ratios) (Unaudited)

Global Reinsurance

	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			YTD 2012			YTD 2011			Full Year 2011
Gross premiums written	$	310		$	332		$	279		$	132		$	254		$	921		$	882		$	1,014
Net premiums written		307			309			263			132			250			879			847			979
Net premiums earned		281			237			230			249			240			748			754			1,003
Losses and loss expenses		151			102			102			136			94			355			485			621
Policy acquisition costs		40			42			43			42			50			125			143			185
Administrative expenses		13			13			12			14			12			38			38			52
Underwriting income		77			80			73			57			84			230			88			145
Net investment income		72			70			71			74			70			213			213			287
Net realized gains (losses)		(2	)		(17	)		13			6			(29	)		(6	)		(56	)		(50	)
Interest expense		1			1			1			1			—			3			1			2
Other income (expense)		5			(3	)		5			3			(7	)		7			(2	)		1
Income tax expense		11			—			6			5			7			17			25			30
Net income		140			129			155			134			111			424			217			351
Net realized gains (losses)		(2	)		(17	)		13			6			(29	)		(6	)		(56	)		(50	)
Net realized gains (losses) in other income (expense)		4			(3	)		5			3			(6	)		6			(4	)		(1	)
Tax expense (benefit) on net realized gains (losses)		1			—			—			—			(1	)		1			(1	)		(1	)
Income excluding net realized gains (losses) (1)	$	139		$	149		$	137		$	125		$	145		$	425		$	276		$	401
Combined ratio
Loss and loss expense ratio		53.9	%		42.5	%		44.4	%		54.8	%		39.2	%		47.4	%		64.3	%		62.0	%
Policy acquisition cost ratio		14.1	%		17.8	%		18.7	%		17.0	%		20.6	%		16.7	%		18.9	%		18.4	%
Administrative expense ratio		4.7	%		5.8	%		5.2	%		5.3	%		5.6	%		5.1	%		5.2	%		5.2	%
Combined ratio		72.7	%		66.1	%		68.3	%		77.1	%		65.4	%		69.2	%		88.4	%		85.6	%
Large losses and other items (before tax)
Reinstatement premiums (expensed) collected	$	2		$	—		$	—		$	(1	)	$	2		$	2		$	8		$	7
Catastrophe losses	$	13		$	1		$	1		$	15		$	(6	)	$	15		$	168		$	183
Prior period development (PPD)—unfavorable (favorable) (2)	$	(21	)	$	(15	)	$	(11	)	$	(12	)	$	(10	)	$	(47	)	$	(59	)	$	(71	)
Loss and loss expense ratio excluding catastrophe losses and PPD(1) (2)		57.7	%		48.3	%		48.7	%		53.2	%		49.1	%		52.0	%		51.2	%		51.7	%
% Change versus prior year period
Net premiums written as reported		22.2	%		9.4	%		-16.5	%		-7.7	%		-8.1	%		3.6	%		-9.1	%		-8.9	%
Net premiums earned as reported		16.8	%		-6.5	%		-11.5	%		-7.1	%		-11.4	%		-0.8	%		-6.1	%		-6.3	%
Net premiums written constant $		22.9	%														4.3	%
Net premiums earned constant $		17.6	%														-0.3	%
Other ratios
Net premiums written/gross premiums written		99	%		93	%		94	%		100	%		99	%		95	%		96	%		97	%

(1) See Non-GAAP Financial Measures.

(2) For Q3 2012 and Q3 2011, favorable prior period development is net of $4 million and $13 million, respectively, of net earned premium adjustments on loss sensitive policies.

Global Reinsurance Page 8

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

Life

	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			YTD 2012			YTD 2011			Full Year 2011
Gross premiums written	$	511		$	513		$	512		$	520		$	509		$	1,536		$	1,470		$	1,990
Net premiums written		488			486			488			496			488			1,462			1,417			1,913
Net premiums earned		480			474			473			470			480			1,427			1,389			1,859
Losses and loss expenses		164			151			148			154			142			463			439			593
Policy benefits(1)		130			102			147			119			83			379			282			401
(Gains) losses from fair value changes in separate account assets(1)		(14	)		14			(18	)		(3	)		39			(18	)		39			36
Policy acquisition costs		80			88			76			86			92			244			253			339
Administrative expenses		81			78			78			84			81			237			233			317
Net investment income		63			62			61			60			60			186			166			226
Life underwriting income(2)		102			103			103			90			103			308			309			399
Net realized gains (losses):
Mark-to-market on guaranteed living benefits derivative (net of related hedges)		(64	)		(397	)		197			(10	)		(706	)		(264	)		(773	)		(783	)
Foreign exchange gains (losses) and all other		(7	)		(24	)		34			17			(26	)		3			(40	)		(23	)
Interest expense		3			3			3			2			3			9			9			11
Other income (expense)(1)		—			(5	)		(9	)		1			(10	)		(14	)		(27	)		(26	)
Income tax expense		14			19			11			9			13			44			41			50
Net income (loss)		14			(345	)		311			87			(655	)		(20	)		(581	)		(494	)
Net realized gains (losses)		(71	)		(421	)		231			7			(732	)		(261	)		(813	)		(806	)
Net realized gains (losses) in other income (expense)		(3	)		2			(5	)		1			(2	)		(6	)		(2	)		(1	)
Tax expense (benefit) on net realized gains (losses)		(1	)		5			(1	)		—			1			3			2			2
Income excluding net realized gains (losses)(3)	$	87		$	79		$	84		$	79		$	80		$	250		$	236		$	315
% Change versus prior year period
Net premiums written as reported		0.0	%		-1.2	%		11.9	%		14.5	%		23.1	%		3.2	%		16.8	%		16.2	%
Net premiums earned as reported		0.0	%		-1.9	%		11.3	%		13.7	%		17.5	%		2.8	%		14.2	%		14.1	%
Net premiums written constant $		2.4	%														4.8	%
Net premiums earned constant $		2.2	%														4.3	%

(1) (Gains) losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP are reclassified from Other income (expense) for purposes of presenting Life underwriting income. The offsetting movement in the separate account liabilities is included in Policy benefits.

(2) We assess the performance of our Life business based on Life underwriting income which includes Net investment income and (Gains) losses from fair value changes in separate account assets.

(3) See Non-GAAP Financial Measures.

Life Page 9

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

	Unpaid Losses									Net Paid to Incurred  Ratio
	Gross			Ceded			Net
Balance at December 31, 2010	$	37,391		$	12,149		$	25,242
Losses and loss expenses incurred		3,820			1,557			2,263
Losses and loss expenses paid		(2,847	)		(884	)		(1,963	)	87%
Other (incl. foreign exch. revaluation)		479			161			318
Balance at March 31, 2011	$	38,843		$	12,983		$	25,860
Losses and loss expenses incurred		2,752			526			2,226
Losses and loss expenses paid		(2,730	)		(872	)		(1,858	)	83%
Other (incl. foreign exch. revaluation)		86			30			56
Balance at June 30, 2011	$	38,951		$	12,667		$	26,284
Losses and loss expenses incurred		3,207			462			2,745
Losses and loss expenses paid		(3,366	)		(992	)		(2,374	)	86%
Other (incl. foreign exch. revaluation)		(316	)		(95	)		(221	)
Balance at September 30, 2011	$	38,476		$	12,042		$	26,434
Losses and loss expenses incurred		3,066			780			2,286
Losses and loss expenses paid		(3,837	)		(1,166	)		(2,671	)	117%
Other (incl. foreign exch. revaluation)		(228	)		(54	)		(174	)
Balance at December 31, 2011	$	37,477		$	11,602		$	25,875
Losses and loss expenses incurred		2,361			557			1,804
Losses and loss expenses paid		(2,876	)		(931	)		(1,945	)	108%
Other (incl. foreign exch. revaluation)		285			90			195
Balance at March 31, 2012	$	37,247		$	11,318		$	25,929
Losses and loss expenses incurred		2,851			732			2,119
Losses and loss expenses paid		(2,916	)		(893	)		(2,023	)	95%
Other (incl. foreign exch. revaluation)		(332	)		(171	)		(161	)
Balance at June 30, 2012	$	36,850		$	10,986		$	25,864
Losses and loss expenses incurred		4,073			1,026			3,047
Losses and loss expenses paid		(3,078	)		(1,013	)		(2,065	)	68%
Other (incl. foreign exch. revaluation)		355			163			192
Balance at September 30, 2012	$	38,200		$	11,162		$	27,038
Add net recoverable on paid losses		—			695			(695	)
Balance including net recoverable on paid losses	$	38,200		$	11,857		$	26,343

Loss Reserve Rollforward Page 10

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

Net Reinsurance Recoverable by Division
	September 30 2012			June 30 2012			March 31 2012			December 31 2011
Reinsurance recoverable on paid losses and loss expenses
Active operations	$	494		$	584		$	573		$	629
Brandywine		256			248			234			232
Other Run-off		37			38			42			41
Total	$	787		$	870		$	849		$	902
Reinsurance recoverable on unpaid losses and loss expenses
Active operations	$	9,813		$	9,500		$	9,605		$	9,805
Brandywine		1,394			1,510			1,721			1,775
Other Run-off		316			343			362			386
Total	$	11,523		$	11,353		$	11,688		$	11,966
Gross reinsurance recoverable
Active operations	$	10,307		$	10,084		$	10,178		$	10,434
Brandywine		1,650			1,758			1,955			2,007
Other Run-off		353			381			404			427
Total	$	12,310		$	12,223		$	12,537		$	12,868
Provision for uncollectible reinsurance(1)
Active operations	$	(278	)	$	(294	)	$	(300	)	$	(299	)
Brandywine		(156	)		(158	)		(161	)		(160	)
Other Run-off		(19	)		(19	)		(19	)		(20	)
Total	$	(453	)	$	(471	)	$	(480	)	$	(479	)
Net reinsurance recoverable
Active operations	$	10,029		$	9,790		$	9,878		$	10,135
Brandywine		1,494			1,600			1,794			1,847
Other Run-off		334			362			385			407
Total	$	11,857		$	11,752		$	12,057		$	12,389

(1) The provision for uncollectible reinsurance is based on a default analysis applied to gross reinsurance recoverables, net of approximately $2.5 billion of collateral.

Reinsurance Recoverable Page 11

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

	September 30					June 30					March 31					December 31
	2012					2012					2012					2011
Market Value
Fixed maturities available for sale	$	46,504				$	44,386				$	43,468				$	41,967
Fixed maturities held to maturity		7,879					8,062					8,348					8,605
Short-term investments		2,429					2,260					2,099					2,301
Total	$	56,812				$	54,708				$	53,915				$	52,873
Asset Allocation by Market Value
Treasury	$	2,731		5	%	$	2,614		5	%	$	2,451		5	%	$	2,361		5	%
Agency		1,952		3	%		1,816		3	%		1,811		3	%		1,725		3	%
Corporate and asset-backed		18,155		32	%		17,581		32	%		17,618		33	%		17,030		32	%
Mortgage-backed		13,066		23	%		12,725		23	%		12,800		24	%		13,237		25	%
Municipal(1)		3,542		7	%		3,495		7	%		3,295		6	%		2,888		6	%
Non-U.S.		14,937		26	%		14,217		26	%		13,841		26	%		13,331		25	%
Short-term investments		2,429		4	%		2,260		4	%		2,099		3	%		2,301		4	%
Total	$	56,812		100	%	$	54,708		100	%	$	53,915		100	%	$	52,873		100	%
Note: Insured municipal bonds represent $671 million, or 19% of our municipal bond holdings.
Credit Quality by Market Value
AAA	$	9,270		17	%	$	9,132		17	%	$	9,115		17	%	$	9,284		18	%
AA		22,423		39	%		20,931		38	%		20,665		38	%		20,562		39	%
A		10,391		18	%		10,400		19	%		10,523		20	%		10,106		19	%
BBB		6,424		11	%		6,243		11	%		6,244		12	%		6,152		12	%
BB		4,264		8	%		4,298		8	%		4,009		7	%		3,755		7	%
B		3,506		6	%		3,217		6	%		2,828		5	%		2,428		4	%
Other		534		1	%		487		1	%		531		1	%		586		1	%
Total	$	56,812		100	%	$	54,708		100	%	$	53,915		100	%	$	52,873		100	%
Cost/Amortized Cost
Fixed maturities available for sale	$	43,758				$	42,316				$	41,661				$	40,450
Fixed maturities held to maturity		7,493					7,782					8,117					8,447
Short-term investments		2,429					2,260					2,099					2,301
Subtotal		53,680					52,358					51,877					51,198
Equity securities		741					724					662					671
Other investments		2,385					2,297					2,221					2,112
Total	$	56,806				$	55,379				$	54,760				$	53,981
Avg. duration of fixed maturities		3.7 years					3.8 years					3.9 years					3.7 years
Avg. market yield of fixed maturities(2)		2.2	%				2.8	%				3.0	%				3.1	%
Avg. credit quality(3)		A/Aa					A/Aa					A/Aa					A/Aa
Avg. yield on invested assets (4)		3.8	%				3.9	%				4.0	%				4.2	%

(1) The rating of the municipal portfolio is AA with 10% of our holdings pre-funded with AA/Aaa Federal securities. The portfolio is highly diversified predominantly in State general obligation bonds and essential service revenue bonds, including education and utilities (water, power, and sewers).

(2) Weighted average yield to maturity of our fixed income portfolio based on the market prices of the holdings as of that date.

(3) We use a split rating due to S&P’s downgrade of U.S. Treasury and Agency securities.

(4) Net investment income divided by average cost of fixed maturities and other investments, and average market value of equity securities.

Investments Page 12

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

Mortgage-backed Fixed Income Portfolio

Mortgage-backed securities

	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Market Value at September 30, 2012
Agency residential mortgage-backed (RMBS)	$	—	$	11,237	$	—	$	—	$	—	$	11,237
Non-agency RMBS		155		6		24		10		414		609
Commercial mortgage-backed		1,184		18		11		7		—		1,220
Total mortgage-backed securities at market value	$	1,339	$	11,261	$	35	$	17	$	414	$	13,066
	S&P Credit Rating
	AAA		AA		A		BBB		BB and below		Total
Amortized Cost at September 30, 2012
Agency RMBS	$	—	$	10,685	$	—	$	—	$	—	$	10,685
Non-agency RMBS		152		6		24		10		446		638
Commercial mortgage-backed		1,096		15		9		6		—		1,126
Total mortgage-backed securities at amortized cost	$	1,248	$	10,706	$	33	$	16	$	446	$	12,449

Mortgage-backed securities total $13.1 billion, are rated predominantly AA and comprise 23% of the fixed income portfolio. This compares to a 32% mortgage-backed weighting in representative indices of the U.S. fixed income market. The minimum rating for initial purchases of mortgage-backed securities is AA for agency mortgages and AAA for non-agency mortgages.

Securities issued by Federal agencies with implied or explicit government guarantees total $11.2 billion and represent 95% of the residential mortgage-backed portfolio.

Non-agency residential mortgage-backed securities are backed by prime collateral, and broadly diversified in over 45,000 loans. The portfolio’s original loan-to-value ratio is approximately 67% with an average FICO score of 732. With this conservative loan-to-value ratio and subordinated collateral of 6%, the cumulative 5-year foreclosure rate would have to rise to 18% before principal is significantly impaired. The foreclosure rate of ACE’s non-agency RMBS portfolio at September 30, 2012 was 7%.

Commercial mortgage-backed securities of $1.2 billion are rated predominantly AAA, broadly diversified with over 13,000 loans and seasoned with 40% of the portfolio issued before 2006 and 42% of the portfolio issued after 2009. The average loan-to-value ratio is approximately 65% with a debt service coverage ratio in excess of 1.9 and weighted average subordinated collateral of 29%. The cumulative foreclosure rate would have to rise to 42% before principal is impaired. The foreclosure rate of ACE’s commercial mortgage-backed securities portfolio at September 30, 2012 was 2.1%.

Investments 2 Page 13

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

U.S. Corporate and Asset-backed Fixed Income Portfolios

Market Value at September 30, 2012

	S&P Credit Rating
	Investment Grade
	AAA		AA		A		BBB		Total
Asset-backed	$	358	$	79	$	1	$	—	$	438
Banks		—		3		2,207		354		2,564
Basic Materials		—		—		91		240		331
Communications		—		—		591		756		1,347
Consumer, Cyclical		—		93		284		258		635
Consumer, Non-Cyclical		61		564		821		538		1,984
Diversified Financial Services		—		63		235		113		411
Energy		36		14		219		618		887
Industrial		—		380		356		153		889
Utilities		—		14		503		530		1,047
All Others		47		185		398		504		1,134
Total	$	502	$	1,395	$	5,706	$	4,064	$	11,667

U.S. Investment Grade Corporate Fixed Income Portfolio

The average credit quality of ACE’s US investment grade bond portfolio is high at A.

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.

Market Value at September 30, 2012

	S&P Credit Rating
	Below Investment Grade
	BB		B		CCC		Total
Asset-backed	$	5	$	5	$	5	$	15
Banks		—		9		—		9
Basic Materials		195		130		7		332
Communications		459		545		11		1,015
Consumer, Cyclical		480		454		26		960
Consumer, Non-Cyclical		674		731		23		1,428
Diversified Financial Services		55		87		4		146
Energy		708		344		14		1,066
Industrial		374		348		12		734
Utilities		288		38		22		348
All Others		190		241		4		435
Total	$	3,428	$	2,932	$	128	$	6,488

U.S. 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.

Six 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. The portfolio comprises over 750 issuers with our largest current issuer exposure at $99 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 3 Page 14

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

Non-U.S. Fixed Income Portfolio

September 30, 2012

	Market Value by S&P Credit Rating												Amortized Cost
	AAA		AA		A		BBB		BB and below		Total
United Kingdom	$	1,254	$	—	$	—	$	—	$	—	$	1,254	$	1,213
Canada		979		—		—		—		—		979		943
Republic of Korea		—		460		77		—		—		537		475
Japan		—		397		—		—		—		397		396
Germany		387		—		—		—		—		387		378
Province of Ontario		—		253		—		—		—		253		241
Federative Republic of Brazil		—		—		—		217		—		217		213
France		—		211		—		—		—		211		203
Kingdom of Thailand		1		—		178		25		—		204		200
Province of Quebec		—		1		168		—		—		169		157
Commonwealth of Australia		147		1		—		—		—		148		131
State of Queensland		77		65		—		—		—		142		130
Federation of Malaysia		—		—		124		—		—		124		123
Swiss Confederation		122		—		—		—		—		122		116
People’s Republic of China		68		50		1		—		—		119		115
United Mexican States		1		—		43		66		—		110		101
State of New South Wales		85		—		—		—		—		85		79
Taiwan		—		79		2		—		—		81		78
State of Victoria		63		—		—		—		—		63		58
Socialist Republic of Vietnam		—		—		—		—		62		62		58
Republic of Indonesia		—		—		—		—		52		52		49
Russian Federation		—		—		—		47		—		47		46
Republic of Colombia		—		—		—		42		—		42		40
Province of British Columbia		42		—		—		—		—		42		40
Republic of Austria		—		40		—		—		—		40		39
Other Non-U.S. Government		192		261		97		63		140		753		717
Non-U.S. Government Securities	$	3,418	$	1,818	$	690	$	460	$	254	$	6,640	$	6,339
Eurozone Non-U.S. Corporate(1)		619		359		572		457		453		2,460		2,336
Other Non-U.S. Corporate		814		636		2,375		1,361		651		5,837		5,487
	$	4,851	$	2,813	$	3,637	$	2,278	$	1,358	$	14,937	$	14,162

(1) Excludes United Kingdom

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.

78% of ACE’s non-U.S. fixed income portfolios are denominated in G7 currencies.

Average credit quality of non-U.S. fixed income securities is very high at A and 54% 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 4 Page 15

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

Eurozone Non-U.S. Fixed Income Portfolio (Excluding United Kingdom)

September 30, 2012

	Market Value by Industry										Amortized Cost
	Bank		Financial		Industrial		Utility		Total
Netherlands	$	215	$	154	$	338	$	150	$	857	$	804
France		103		41		140		161		445		426
Germany		277		2		87		8		374		360
Luxembourg		10		2		233		99		344		329
Euro Supranational		206		—		—		—		206		195
Ireland		12		2		96		15		125		116
Finland		26		—		14		3		43		41
Belgium		—		—		30		1		31		30
Austria		20		—		7		1		28		28
Spain		6		—		—		—		6		6
Portugal		—		—		1		—		1		1
Eurozone Non-U.S. Corporate Securities	$	875	$	201	$	946	$	438	$	2,460	$	2,336

Note: ACE has no investments in Greece and Italy

Top 10 Exposures—Eurozone Banks (Excluding United Kingdom)

September 30, 2012	Market Value		Amortized Cost		Rating
European Investment Bank	$	174	$	166	AAA
KFW		148		142	AAA
Rabobank Nederland NV		116		108	AA
Deutsche Bank AG		47		45	A+
ABN AMRO Group NV		31		29	A+
Bank Nederlandse Gemeenten		31		29	AAA
BNP Paribas SA		29		27	AA-
Credit Agricole Groupe		28		27	A
Erste Abwicklungsanstalt		24		23	AA-
Nordea Bank AB		23		22	AA-
Top 10 Exposures—Eurozone Corporate (Excluding United Kingdom)
September 30, 2012	Market Value		Amortized Cost		Rating
ING Groep NV	$	97	$	93	A
Electricite de France SA		92		88	A+
Intelsat SA		79		75	B
Royal Dutch Shell PLC		76		71	AA
Deutsche Telekom AG		72		64	BBB+
LyondellBasell Industries NV		55		49	BB+
France Telecom SA		43		40	A-
Gazprom OAO		41		37	BBB
General Electric Co		40		37	AA+
Liberty Global Inc		38		34	B+

Investments 5 Page 16

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

Investment portfolio

Top 25 Exposures - Fixed Maturity Investments

September 30, 2012	Market Value		Rating
1 General Electric Co	$	443	AA+
2 JP Morgan Chase & Co		431	A
3 Citigroup Inc		352	A-
4 The Goldman Sachs Group Inc		333	A-
5 Bank of America Corp		313	A-
6 Morgan Stanley		286	A-
7 Verizon Communications Inc		284	A-
8 HSBC Holdings Plc		211	A+
9 Wells Fargo & Co		210	A+
10 AT&T INC		207	A-
11 Kraft Foods Inc		170	BBB
12 Comcast Corp		167	BBB+
13 Anheuser-Busch InBev NV		145	A
14 Duke Energy Corp		139	BBB+
15 Royal Bank of Scotland Group Plc		134	A-
16 Time Warner Cable Inc		130	BBB
17 Barclays Plc		129	A
18 BP Plc		127	A
19 ConocoPhillips		127	A
20 UBS AG		126	A
21 American Express Co		124	BBB+
22 Pfizer Inc		123	AA
23 Rabobank Nederland NV		116	AA
24 Credit Suisse Group		114	A
25 Lloyds Banking Group Plc		108	A-

Investments 6 Page 17

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

	Three months ended September 30, 2012									Nine months ended September 30, 2012
	Net Realized Gains			Net Unrealized Gains			Net			Net Realized Gains			Net Unrealized Gains			Net
	(Losses) (1)			(Losses)			Impact			(Losses)(1)			(Losses)			Impact
Fixed maturities	$	47		$	642		$	689		$	149		$	1,136		$	1,285
Fixed income derivatives		4			—			4			(3	)		—			(3	)
Total fixed maturities		51			642			693			146			1,136			1,282
Public equity		2			23			25			(2	)		52			50
Private equity		26			10			36			43			33			76
Total equity		28			33			61			41			85			126
Mark-to-market gains (losses) from derivative transactions(2)		(64	)		—			(64	)		(268	)		—			(268	)
Foreign exchange (losses)(2)		(50	)		—			(50	)		(64	)		—			(64	)
Other		—			4			4			1			5			6
Partially-owned entities(3)		(5	)		(4	)		(9	)		(11	)		(4	)		(15	)
Income tax expense		8			138			146			36			234			270
Net gains (losses)	$	(48	)	$	537		$	489		$	(191	)	$	988		$	797

(1) Other-than-temporary impairments for the quarter includes $10 million for fixed maturities. Year to date other-than-temporary impairments includes $18 million for fixed maturities, $7 million for private equity, and $5 million for public equity.

(2) Includes $64 million of realized losses from variable annuity reinsurance for the quarter which includes $83 million in mark-to-market gains from derivative transactions, net of $147 million of losses on applicable hedges. The variable annuity reinsurance foreign exchange losses for the quarter were $8 million. For the year, the $264 million of realized losses from variable annuity reinsurance includes $44 million in mark-to-market gains from derivative transactions and $308 million of losses on applicable hedges. The variable annuity reinsurance foreign exchange losses for the year were $2 million.

(3) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. The net income or loss is included in other income (expense).

	Three months ended September 30, 2011									Nine months ended September 30, 2011
	Net Realized Gains			Net Unrealized Gains			Net			Net Realized Gains			Net Unrealized Gains			Net
	(Losses) (4)			(Losses)			Impact			(Losses)(4)			(Losses)			Impact
Fixed maturities	$	20		$	81		$	101		$	143		$	244		$	387
Fixed income derivatives		(89	)		—			(89	)		(157	)		—			(157	)
Total fixed maturities		(69	)		81			12			(14	)		244			230
Public Equity		(2	)		(59	)		(61	)		9			(51	)		(42	)
Private equity		(24	)		(14	)		(38	)		6			42			48
Total equity		(26	)		(73	)		(99	)		15			(9	)		6
Mark-to-market gains (losses) from derivative transactions(5)		(704	)		—			(704	)		(774	)		—			(774	)
Foreign exchange gains (losses)(5)		20			—			20			(89	)		—			(89	)
Other		(5	)		(4	)		(9	)		(7	)		2			(5	)
Partially-owned entities(6)		(4	)		—			(4	)		(1	)		2			1
Income tax expense		2			52			54			8			112			120
Net gains (losses)	$	(790	)	$	(48	)	$	(838	)	$	(878	)	$	127		$	(751	)

(4) Other-than-temporary impairments for the quarter includes $19 million for fixed maturities and $1 million for public equity. Year to date other-than-temporary impairments of $32 million include $28 million for fixed maturities, $3 million for private equity, and $1 million for public equity.

(5) Includes $706 million of realized losses from variable annuity reinsurance for the quarter which includes $926 million in mark-to-market losses from derivative transactions, net of $220 million of gains on applicable hedges. The variable annuity reinsurance foreign exchange losses for the quarter were $26 million. For the year, the $773 million of realized losses from variable annuity reinsurance includes $925 million in mark-to-market losses from derivative transactions and $152 million of gains on applicable hedges. The variable annuity reinsurance foreign exchange losses for the year were $44 million.

(6) Partially-owned entities are investments where we hold more than an insignificant percentage of the investee’s shares. The net income or loss is included in other income (expense).

Investment Gains (Losses) Page 18

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

	September 30 2012			June 30 2012			March 31 2012			December 31 2011			December 31 2010
Total short-term debt(1)	$	1,402		$	1,401		$	1,531		$	1,251		$	1,300
Total long-term debt		3,360			3,360			3,360			3,360			3,358
Total debt	$	4,762		$	4,761		$	4,891		$	4,611		$	4,658
Total trust preferred securities	$	309		$	309		$	309		$	309		$	309
Total shareholders’ equity	$	26,963		$	25,762		$	25,431		$	24,332		$	22,835
Total capitalization	$	32,034		$	30,832		$	30,631		$	29,252		$	27,802
Tangible capital(2)	$	27,044		$	26,006		$	25,771		$	24,453		$	23,138
Leverage ratios
Debt/ total capitalization		14.9	%		15.4	%		16.0	%		15.8	%		16.8	%
Debt plus trust preferred securities/ total capitalization		15.8	%		16.4	%		17.0	%		16.8	%		17.9	%
Debt/ tangible capital		17.6	%		18.3	%		19.0	%		18.9	%		20.1	%
Debt plus trust preferred securities/ tangible capital		18.8	%		19.5	%		20.2	%		20.1	%		21.5	%

Note: As of September 30, 2012, there was $1.6 billion usage of credit facilities on a total commitment of $2.4 billion.

(1) Repurchase agreements in the amount of $550 million matured during the quarter, and there were new repurchase agreements in the amount of $551 million.

(2) Tangible capital is equal to total capitalization less goodwill and other intangible assets.

Capital Structure Page 19

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 September 30						Nine months ended September 30
	2012			2011			2012			2011
Numerator
Income to common shares, excl. net realized gains (losses)(1)	$	688		$	751		$	2,132		$	1,683
Net realized gains (losses), net of income tax		(48	)		(790	)		(191	)		(878	)
Net income (loss)	$	640		$	(39	)	$	1,941		$	805
Rollforward of Common Shares Outstanding
Shares—beginning of period		339,060,885			337,912,324			336,927,276			334,942,852
Repurchase of shares		—			(1,597,432	)		(100,000	)		(1,597,432	)
Shares issued, excluding option exercises		(86,962	)		(53,247	)		1,037,201			1,343,161
Issued for option exercises		761,186			128,648			1,870,632			1,701,712
Shares—end of period		339,735,109			336,390,293			339,735,109			336,390,293
Denominator
Weighted average shares outstanding		340,207,037			338,385,734			339,523,388			338,139,477
Effect of other dilutive securities		2,665,676			2,464,705			2,831,798			2,733,434
Adj. wtd. avg. shares outstanding and assumed conversions		342,872,713			340,850,439			342,355,186			340,872,911
Basic earnings per share
Income excluding net realized gains (losses)(1)	$	2.02		$	2.22		$	6.28		$	4.98
Net realized gains (losses), net of income tax		(0.14	)		(2.33	)		(0.57	)		(2.60	)
Net income (loss)	$	1.88		$	(0.11	)	$	5.71		$	2.38
Diluted earnings per share
Income excluding net realized gains (losses)(1)	$	2.01		$	2.20		$	6.23		$	4.94
Net realized gains (losses), net of income tax		(0.15	)		(2.31	)		(0.56	)		(2.58	)
Net income (loss)(2)	$	1.86		$	(0.11	)	$	5.67		$	2.36

(1) See Non-GAAP Financial Measures.

(2) For the three months ended September 30, 2011, weighted-average shares outstanding used to calculate net loss per share excludes the effect of dilutive securities. In periods where a net loss is recognized, inclusion of incremental dilution is anti-dilutive.

Earnings per share Page 20

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 common share is provided on page 23.

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). Life underwriting income includes net investment income and gains (losses) from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP.

Loss and loss expense ratio excluding the impact of catastrophe losses and prior period development (PPD) is a non-GAAP financial measure. The loss ratio numerator includes Losses and loss expenses adjusted to exclude catastrophe losses and PPD. The loss ratio denominator includes Net premiums earned adjusted to exclude the amount of reinstatement premiums (expensed) collected. In periods where there are adjustments on loss sensitive policies, these adjustments are excluded from PPD and net earned premiums when calculating this ratio. We believe that excluding the impact of catastrophe losses and PPD provides a better evaluation of our core underwriting performance and enhances the understanding of the trends in our property & casualty business that may be obscured by these items.

Combined ratio excluding catastrophe losses, PPD, and crop is a non-GAAP financial measure. The ratio numerator includes losses and loss expenses, policy acquisition costs, and administrative expenses adjusted to exclude catastrophe losses, PPD, and crop insurance. The ratio denominator includes net premiums earned adjusted to exclude the amount of reinstatement premiums (expensed) collected, net earned premium adjustments on loss sensitive policies and net premiums earned on crop insurance business. We believe that excluding the impact of catastrophe losses, PPD, and crop insurance provides a better evaluation of our core underwriting performance and enhances the understanding of the trends in our property & casualty business that may be obscured by these items.

Operating return on equity (ROE) or ROE calculated using income excluding net realized gains (losses) is an annualized non-GAAP financial measure. The ROE numerator includes income adjusted to exclude net realized gains (losses), net of tax. The ROE denominator includes the average shareholders’ equity for the period adjusted to exclude unrealized gains (losses) on investments, net of tax. To annualize a quarterly rate, multiply by four. Operating ROE is a useful measure as it enhances the understanding of the return on shareholders’ equity by highlighting the underlying profitability relative to shareholders’ equity excluding the effect of unrealized gains and losses on our investments.

Income excluding net realized gains (losses), net of tax, is a common performance measurement for insurance companies and non-GAAP measure. 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 entities 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. The following table presents the reconciliation of Net income (loss) to Income excluding net realized gains (losses):

	3Q-12			2Q-12			1Q-12		4Q-11		3Q-11			YTD 2012			YTD 2011			Full Year 2011
Net income (loss), as reported	$	640		$	328		$	973	$	735	$	(39	)	$	1,941		$	805		$	1,540
Net realized gains (losses)		(60	)		(394	)		260		83		(760	)		(194	)		(878	)		(795	)
Net realized gains (losses) in other income (expense)(1)		20			1			18		16		(28	)		39			8			24
Income tax expense on net realized gains (losses)		8			22			6		12		2			36			8			20
Income excluding net realized gains (losses)	$	688		$	743		$	701	$	648	$	751		$	2,132		$	1,683		$	2,331

(1) Realized gains (losses) on partially-owned entities, which are investments where we hold more than an insignificant percentage of the investee’s shares. The net income or loss is included in other income (expense).

Reconciliation Non-GAAP Page 21

ACE Limited Non-GAAP Financial Measures—2 (in millions of U.S. dollars, except ratios) (Unaudited)

Regulation G—Non-GAAP Financial Measures (continued)

The following table presents the reconciliation of effective tax rate to the effective tax rate on income excluding net realized gains (losses):

																YTD			YTD			Full Year
	3Q-12			2Q-12			1Q-12			4Q-11			3Q-11			2012			2011			2011
Tax expense, as reported	$	147		$	148		$	110		$	120		$	165		$	405		$	382		$	502
Tax expense on net realized gains (losses)		8			22			6			12			2			36			8			20
Tax expense, adjusted	$	139		$	126		$	104		$	108		$	163		$	369		$	374		$	482
Income before tax, as reported	$	787		$	476		$	1,083		$	855		$	126		$	2,346		$	1,187		$	2,042
Less: realized gains (losses)		(60	)		(394	)		260			83			(760	)		(194	)		(878	)		(795	)
Less: realized gains (losses) in other income (expense)		20			1			18			16			(28	)		39			8			24
Income excluding net realized gains (losses) before tax	$	827		$	869		$	805		$	756		$	914		$	2,501		$	2,057		$	2,813
Effective tax rate		18.7	%		31.0	%		10.2	%		14.1	%		131.9	%		17.3	%		32.1	%		24.6	%
Adjustment for tax impact of net realized gains (losses)		-2.0	%		-16.4	%		2.8	%		0.3	%		-114.2	%		-2.5	%		-14.0	%		-7.5	%
Effective tax rate on income excluding net realized gains (losses)		16.7	%		14.6	%		13.0	%		14.4	%		17.7	%		14.8	%		18.1	%		17.1	%
The following table presents the reconciliation of ROE to Operating ROE:
																YTD			YTD			Full Year
	3Q-12												3Q-11			2012			2011			2011
Net income (loss)	$	640											$	(39	)	$	1,941		$	805		$	1,540
Income excluding net realized gains (losses)	$	688											$	751		$	2,132		$	1,683		$	2,331
Equity—beginning of period, as reported	$	25,762											$	23,952		$	24,332		$	22,835		$	22,835
Less: unrealized gains (losses) on investments, net of deferred tax		2,166												1,574			1,715			1,399			1,399
Equity—beginning of period, as adjusted	$	23,596											$	22,378		$	22,617		$	21,436		$	21,436
Equity—end of period, as reported	$	26,963											$	23,581		$	26,963		$	23,581		$	24,332
Less: unrealized gains (losses) on investments, net of deferred tax		2,703												1,526			2,703			1,526			1,715
Equity—end of period, as adjusted	$	24,260											$	22,055		$	24,260		$	22,055		$	22,617
Average equity, as reported	$	26,363											$	23,766		$	25,648		$	23,208		$	23,584
Average equity, as adjusted	$	23,928											$	22,216		$	23,439		$	21,746		$	22,027
Operating ROE calculated using income excluding net realized gains (losses)		11.5	%											13.5	%		12.1	%		10.3	%		10.6	%
ROE calculated using net income		9.7	%											-0.7	%		10.1	%		4.6	%		6.5	%

Reconciliation Non-GAAP 2 Page 22

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

	September 30			June 30			March 31			December 31			September 30
	2012			2012			2012			2011			2011
Shareholders’ equity	$	26,963		$	25,762		$	25,431		$	24,332		$	23,581
Less: goodwill and other intangible assets		4,990			4,826			4,860			4,799			4,785
Numerator for tangible book value per share	$	21,973		$	20,936		$	20,571		$	19,533		$	18,796
Book value—% change over prior quarter(1)		4.7	%		1.3	%		4.5	%		3.2	%		-1.5	%
Tangible book value—% change over prior quarter(1)		5.0	%		1.8	%		5.3	%		3.9	%		-1.7	%
Denominator		339,735,109			339,060,885			338,653,382			336,927,276			336,390,293
Book value per common share	$	79.36		$	75.98		$	75.09		$	72.22		$	70.10
Tangible book value per common share	$	64.67		$	61.75		$	60.74		$	57.97		$	55.88
Reconciliation of Book Value
Shareholders’ equity, beginning of quarter	$	25,762		$	25,431		$	24,332		$	23,581		$	23,952
Income excluding net realized gains (losses)		688			743			701			648			751
Net realized gains (losses), net of tax		(48	)		(415	)		272			87			(790	)
Net unrealized gains (losses), net of tax		537			208			243			189			(48	)
Repurchase of shares		—			—			(7	)		(32	)		(100	)
Dividend declared on common shares		(168	)		(168	)		(200	)		(118	)		(117	)
Cumulative translation, net of tax		141			(79	)		56			(123	)		(105	)
Pension liability		(2	)		—			(1	)		6			3
Other (2)		53			42			35			94			35
	$	26,963		$	25,762		$	25,431		$	24,332		$	23,581

(1) At September 30, 2012, book value increased 10.8% and tangible book value increased 12.5% from December 31, 2011.

(2) Other primarily includes proceeds from exercise of stock options and stock compensation.

Reconciliation Book Value Page 23

  ACE Limited Glossary

ACE Limited Consolidatedcomprises all segments including Corporate and Other.

Operating return on equity (ROE) or ROE calculated using income excluding net realized gains (losses):Income excluding net realized gains (losses), net of tax, divided by average shareholders’ equity for the period excluding unrealized gains (losses) on investments, net of tax. To annualize a quarterly rate multiply by four.

Book value per common share: 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 on income excluding net realized gains (losses):Income tax expense excluding tax expense (benefit) on net realized gains (losses) divided by income excluding net realized gains (losses) before tax.

G7:A group of seven industrialized nations including Canada, France, Germany, Italy, Japan, United Kingdom, and the United States.

Life underwriting income:Net premiums earned and net investment income less policy benefits, acquisition costs, and administrative expenses. In addition, Life underwriting income includes gains/losses from fair value changes in separate account assets that do not qualify for separate account reporting under GAAP.

NM: Not meaningful.

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

Tangible capital:Total capitalization less goodwill and other intangible assets.

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

Glossary Page 24