As you saw from the numbers, Chubb had an outstanding quarter, highlighted by record operating earnings and underwriting results, expanded margins and double-digit premium revenue growth globally, the best in over 15 years, powered by commercial P&C and supported by continued robust commercial P&C rate movement.
We have averaged double-digit commercial P&C growth over the past 10 quarters.
Core operating income in the quarter was $1.62 billion or $3.62 per share, again, both records.
The published P&C combined ratio was 85.5% and current accident year was 85.4% compared to 87.4% prior year.
Current accident year underwriting income of $1.2 billion was up 27%.
While on the other side of the balance sheet, adjusted net investment income of $945 million, also a record, was up nearly 9.5% from prior year.
P&C premiums were up 15.5% globally, with commercial premiums, excluding agriculture, up nearly 21%.
The 15.5% growth for the quarter and 12.6% for the first six months were the strongest growth we have seen since 2004.
In North America, Commercial P&C net premiums grew over 16%.
New business was up 24%, and renewal retention remained strong at 96.5% on a premium basis.
In our North America major accounts and specialty commercial business, net premiums grew over 13%, with each division, major accounts, Westchester and Bermuda having its largest quarter in history in terms of written business.
And the standout was our middle market and small commercial division, which had the biggest quarter in about 20 years, driven by record new business growth and strong retentions.
Overall rates increased in North America commercial by a strong 13.5%, which is on top of a 14.7% rate increase last year for the same business, making the two-year cumulative increase over 30%.
Loss costs are currently trending about 5.5% and vary up or down depending upon line of business.
General commercial lines loss costs for short-tail classes are trending around 4%, while long-tail loss costs, excluding comp, are trending about 6%.
In major accounts, rates increased in the quarter by about 16% on top of almost 18% prior year for the same business, making the two-year cumulative increase over 36%.
Risk management-related primary casualty rates were up almost 9%.
General casualty rates were up 21% and varied by category of casualty.
Property rates were up nearly 12% and financial lines rates were up almost 20%.
In our E&S wholesale business, the cumulative two-year rate increase was 39%, comprised of an increase of circa 18% this quarter on top of 18% prior year second quarter.
Property rates were up about 16.5%.
Casualty was up about 21%, and financial lines rates were up over 21%.
In our middle market business, rates increased in the quarter over 9.5% on top of over 9% last year, making the two-year cumulative increase 20%.
Rates for property were up over 10.5%.
Casualty rates were up 11%, excluding workers' comp, and comp rates were down at about 0.5%.
Financial Lines rates were up over 17.5% in our middle market business.
Commercial P&C premiums grew an astonishing 33% on a published basis or 24% in constant dollars.
International retail commercial grew 27% and our London wholesale business grew 60%.
Retail commercial P&C growth varied by region, with premiums up 36.5% in our European division, with equally strong growth in both the U.K. and on the continent.
Asia Pacific was up over 29%, while our Latin America commercial lines business grew over 14.5%.
In our international retail commercial P&C business, the two-year cumulative rate increase was 35% comprised of increases this quarter and prior year of 16% each.
In our U.K. business, rates increased in the quarter by 18%, on top of a 26% rate increase prior year for the same business, making the two-year cumulative increase 48%.
In Australia, the two-year cumulative rate was 42%, comprised of an increase of 23% this quarter, on top of 16% prior year.
In our London wholesale business, rates increased in the quarter by 13%, on top of a 20% rate increase prior year, so making the two-year cumulative 36%.
Outside the U.S., loss costs are currently trending 3%, so that varies by class of business and country.
Our international consumer business grew 13% in the quarter, and that's on a published basis.
It grew 5% in constant dollars.
Breaking that down for you, international personal lines grew 20% on a published basis, while our international A&H grew 6.5%, but it was essentially flat in constant dollar.
Net premiums in our North America high net worth personal lines business were up over 2.5%.
Our network client segment, the heart of our business, grew almost 8% in the quarter.
Overall retention remains strong at over 94%.
And we achieved positive pricing, which includes rate and exposure of 13% in our homeowners portfolio.
Loss cost inflation in homeowners is currently running about 11%.
Lastly, in our Asia-focused international life insurance business, net premiums plus deposits, were up 55% in the quarter, while net premiums in our Global Re business grew up -- grew over 32%.
We have over $75 billion in capital and a AA-rated portfolio of cash and invested assets that now exceeds $123 billion.
Our record underwriting and investment performance produced strong positive operating cash flow of $3.1 billion for the quarter.
Among the capital-related actions in the quarter, we returned $2.3 billion to shareholders, including $1.9 billion in share repurchases and $352 million in dividends.
Through the six months ended June 30, we returned $3.1 billion, including $2.4 billion in share repurchases and dividends of $704 million.
We recently announced a onetime incremental share repurchase program of up to $5 billion through June 2022.
As Evan said, adjusted pre-tax net investment income for the quarter was a record $945 million, higher than our estimated range, benefiting from increased corporate bond call activity and higher private equity distributions.
We increased the size of our investment portfolio by $2.4 billion in the quarter after buybacks due to strong operating cash flow and high portfolio returns, including $694 million in pre-tax unrealized gains from falling interest rates.
At June 30, our investment portfolio remained in an unrealized gain position of $3.3 billion after tax.
Based on the current interest rate environment and a normalization of bond calls and private equity distributions, we continue to expect our quarterly run rate to be approximately $900 million.
Our annualized core operating ROE and core operating return on tangible equity were 11.5% and 17.7%, respectively, for the quarter.
The gain from the fair value mark this quarter of $712 million after tax, we have increased core operating ROE by five percentage points to 16.5% and core operating income by $1.59 per share to $5.21.
Book and tangible book value per share increased by 4.2% and 5%, respectively, from the first quarter due to record core operating income and realized and unrealized gains of $1.4 billion after tax in our investment portfolio, which again primarily came from declining rates and mark-to-market gains on private equities.
The increase in book value per share also reflects the impact of returning over $2 billion to shareholders in the quarter.
Our pre-tax P&C net catastrophe losses for the quarter were $280 million, principally from severe U.S. weather-related events.
We had favorable prior period development in the quarter of $268 million.
This included a charge from molestation claims of $68 million pre-tax compared with $259 million in the prior year.
Excluding this charge, we had favorable prior period development in the quarter of $336 million pre-tax, split approximately 30% in long-tail lines, principally from accident years 2017 and prior and 70% short-tail lines.
For the quarter, our net loss reserves increased $1.1 billion in constant dollars and our paid-to-incurred ratio was 80%.
Our core operating effective tax rate was 15.8% for the quarter, which is within our expected range of 15% to 17% for the year.

Summary:
As you saw from the numbers, Chubb had an outstanding quarter, highlighted by record operating earnings and underwriting results, expanded margins and double-digit premium revenue growth globally, the best in over 15 years, powered by commercial P&C and supported by continued robust commercial P&C rate movement.
Core operating income in the quarter was $1.62 billion or $3.62 per share, again, both records.
The published P&C combined ratio was 85.5% and current accident year was 85.4% compared to 87.4% prior year.
P&C premiums were up 15.5% globally, with commercial premiums, excluding agriculture, up nearly 21%.
The 15.5% growth for the quarter and 12.6% for the first six months were the strongest growth we have seen since 2004.
Our pre-tax P&C net catastrophe losses for the quarter were $280 million, principally from severe U.S. weather-related events.