For the year, Chubb said it increased asbestos claims loss reserves to $700 million.

For the fourth quarter ending Dec. 31, 2002, Chubb reported net income of $56.6 million compared to $28.7 million for the same period of 2001, up 97 percent or $27.9 million. This was on an increase of 33 percent, or $605.6 million, of net premium written, going from $1.8 billion in 2001 to $2.4 billion in 2002.

Earnings per share for the quarter increased 17 cents, from 16 cents a share for the fourth quarter of 2001 to 33 cents in 2002.

For the year, Chubb reported net income increased 100 percent, or $111.4 million, going from $111.5 million in 2001 to $222.9 million for the year ending 2002.

Net premium written increased by $2.1 billion, or 30 percent, going from $6.96 billion in 2001 to $9.05 billion for 2002.

Earnings per share for the year increased 105 percent, rising from 63 cents a share in 2001 to $1.29 a share in 2002.

Combined loss and expense ratio dropped in the fourth quarter from 111.9 percent in 2001 to 101.2 percent. For the year, the ratio ended at 106.7 percent compared to 113.4 percent in 2001.

The ratios, the company said, reflected the net losses related to the $700 million asbestos reserving.

In a conference call, John D. Finnegan, the carrier's president and chief executive officer, said the $75 million increase was the result of a review of its asbestos exposure. While the company's exposure has not increased, the review took "a more conservative view" of its reinsurance resulting in the reserved increase, he said.

The company also increased its loss reserves in Europe by $100 million for its directors and officers and errors and omissions liability lines. The action was taken to account for increased litigation and losses related to U.S. security class litigation, Mr. Finnegan said.

He added that underwriting has been strengthened in Europe, and policyholders are seeing the same premium increases and re-evaluation to exposure that has been the practice in the United States for the past two years.

Chubb said for 2003 it expects to see a combined ration between 96 to 99 percent and net premium written increases of 20 to 25 percent.