Dividend Aristocrats In Focus: Chubb Ltd.

Updated on January 30th, 2026 by Bob Ciura

Only companies in the S&P 500 Index, with at least 25 years of dividend growth, can claim the title of being a Dividend Aristocrat.

This club is so exclusive that there are only 69 such companies in the S&P 500 Index.

As a result, Dividend Aristocrats are relatively rare among the broader S&P 500.

With this in mind, we created a list of all 69 Dividend Aristocrats, along with important financial metrics like price-to-earnings ratios and dividend yields.

You can download an Excel spreadsheet with the full list of Dividend Aristocrats by clicking on the link below:

Disclaimer: Sure Dividend is not affiliated with S&P Global in any way. S&P Global owns and maintains The Dividend Aristocrats Index. The information in this article and downloadable spreadsheet is based on Sure Dividend’s own review, summary, and analysis of the S&P 500 Dividend Aristocrats ETF (NOBL) and other sources, and is meant to help individual investors better understand this ETF and the index upon which it is based. None of the information in this article or spreadsheet is official data from S&P Global. Consult S&P Global for official information.

Chubb Ltd. (CB) has increased its dividend for 33 consecutive years. Chubb yields 1.3% right now, which is not a high dividend yield.

While Chubb is not a high-yield dividend stock, it does provide consistent dividend increases each year, backed by a strong business model.

Business Overview

Chubb is based in Zurich, Switzerland, and provides insurance services, including property & casualty insurance, accident & health insurance, life insurance, and reinsurance.

The company operates in over 50 countries and territories. It is the world’s largest publicly traded P&C insurance company and the largest commercial insurer in the U.S.

For its fiscal third quarter, Chubb Ltd reported net earned premiums of $14.4 billion, which was 7% more than the net earned premiums that Chubb generated during the previous year’s quarter.

Net written premiums were up 7% year-over-year as well, mainly thanks to growth in the P&C insurance business. Chubb was able to generate net investment income of $1.65 billion during the quarter, or $1.78 billion after adjustments, which was up by a nice 8% compared to the previous year’s period.

Chubb generated earnings-per-share of $7.49 during the third quarter, which was a hefty 31% above the previous year’s quarter’s level and which represents a new quarterly record.

Chubb’s above-average profitability during the quarter can be explained by strong premium growth and moderate catastrophe losses that did not cause high costs compared to other quarters.

Thanks to written premium growth and tailwinds from share repurchases, Chubb’s profits could be strong in the coming quarters, unless the company feels an impact from above-average catastrophe losses, which generally aren’t predictable.

Chubb’s book value was up slightly during the period, ending the quarter at $182.22.

Growth Prospects

Chubb has created significant value for shareholders in terms of growing its book value per share, a key metric for insurance companies. Since 2009 the company’s book value has grown at a compound average growth rate of ~7% per year.

As an insurance company, Chubb has a large pool of accumulated premium income that has not been paid out in claims to customers. This is known as float. Insurers invest premiums as soon as they are collected to earn interest or other income.

Strong written premium growth and tailwinds from higher interest rates for Chubb’s investment income should be growth drivers for the company’s profitability in the long run, although investors will have to live with fluctuations in the company’s profitability on a year-over-year basis.

Those are caused by catastrophe losses that are higher in some periods, depending on how many natural disasters strike in what areas, while catastrophe losses will be smaller in other years.

Competitive Advantages & Recession Performance

Chubb’s competitive advantages are its leading industry position as well as its financial strength.

First, Chubb is the world’s largest publicly traded property and casualty insurance company and the largest commercial insurer in the United States. It has a dominant position across its product categories, which helps it to retain customers.

It is also in a strong financial position. Chubb is rated A by Standard & Poor’s and Aa3 by Moody’s, the major U.S. credit rating agencies.

Its healthy balance sheet and high credit rating provide the company with financial strength that helps retain clients and invest for growth.

The insurance industry can be cyclical. As the economic strengths, people tend to have more discretionary capital that can be used to add to their insurance policies.

If the economy weakens, customers may pull back on their spending. This occurred during the Great Recession for Chubb.

2007 earnings-per-share of $8.07
2008 earnings-per-share of $7.72 (-4.3% decrease)
2009 earnings-per-share of $8.17 (5.8% increase)
2010 earnings-per-share of $7.79 (-4.7% decrease)
2011 earnings-per-share of $6.96 (-10.7% decrease)

Although Chubb didn’t see quite as severe profit declines as many other financial firms, earnings-per-share did experience some variability.

However, Chubb remained highly profitable during the Great Recession, which allowed it to continue raising its dividend even through the steep economic downturn. Chubb also remained highly profitable in 2021, even during the coronavirus pandemic.

While earnings-per-share may fluctuate from year to year, the company’s book value has increased more consistently.

Valuation & Expected Returns

Using Chubb’s most recent share price of ~$3.04 and earnings-per-share of $23.50 per share expected for 2025, the stock trades for a P/E of 13.0, which is above our fair value P/E of 12.

Expansion of the valuation multiple could boost annual returns by 0.1% per year over the next five years.

Taking the company’s expected EPS growth rate of 4%, dividend yield of 1.3%, and valuation changes collectively leads to total expected returns of 5.3% per year over the next five years.

Final Thoughts

While Chubb is a well-managed and diversified insurance stock with a long history of growing book value, we believe the stock will generate low total returns in the coming years.

This is due to the high valuation of the stock compared to its 10-year average and the low dividend yield due to the rising share price.

The stability in a cyclical industry is noteworthy, as is the exceptional dividend growth record, but the current valuation makes us lean toward a hold recommendation.

Additionally, the following Sure Dividend databases contain the most reliable dividend growers in our investment universe:

The Dividend Champions: Dividend stocks with 25+ years of dividend increases, including those that may not qualify as Dividend Aristocrats.
The Dividend Achievers: dividend stocks with 10+ years of consecutive dividend increases.
The Dividend Kings: considered to be the ultimate dividend growth stocks, the Dividend Kings list is comprised of stocks with 50+ years of consecutive dividend increases

If you’re looking for stocks with unique dividend characteristics, consider the following Sure Dividend databases: