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Chubb Announces Remarketing of 4.00% Senior Notes due 2007

WARREN, New Jersey, August 11, 2005 — The Chubb Corporation (NYSE: CB) announced today that it has priced the remarketing of $599,532,375.00 aggregate principal amount of its 4.00% Senior Notes due 2007 (CUSIP No. 171232AG6).  As a result of the remarketing, the annual interest rate on the Senior Notes will be reset to 4.934% per annum, paid quarterly, effective August 16, 2005.  The remarketed Senior Notes will be sold to investors at a price of 100.631%.  After the closing of the remarketing, the Senior Notes will no longer form part of Chubb’s Equity Units (NYSE: CBPRA) (CUSIP No. 171232309).  The remarketing will be conducted pursuant to the terms of the Equity Units and is expected to close on or about August 16, 2005.

The remarketing is being conducted on behalf of Equity Unit holders.  Proceeds from the remarketing will be used to purchase U.S. Treasury securities that will be pledged to secure the warrant obligations of the Equity Unit holders.  Holders of the outstanding Equity Units will receive, on or about August 16, 2005, the remaining proceeds from the remarketing, after deduction of the remarketing fee and the purchase price of the portfolio of U.S. Treasury securities, in an amount equal to $0.063 per $25 principal amount of such Senior Notes.

FORWARD-LOOKING INFORMATION

Certain statements in this release, and certain oral statements made by management from time to time, are "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995 (PSLRA).  These forward-looking statements are made pursuant to the safe harbor provisions of the PSLRA and include estimates and assumptions related to economic, competitive, regulatory, judicial, legislative and other developments.  These include statements relating to trends in, or representing management's beliefs about, our future strategies, operations and financial results, as well as other statements that include words such as "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "should," "will," or other similar expressions.  Forward-looking statements are made based upon management’s current expectations and beliefs concerning trends and future developments and their potential effects on us.  These statements are not guarantees of future performance.  Actual results may differ materially from those suggested by forward-looking statements as a result of risks and uncertainties, which include, among others, those discussed or identified from time to time in our public filings with the Securities and Exchange Commission and those associated with:

• the availability of primary and reinsurance coverage, including the implications relating to terrorism legislation and regulation;
• global political conditions and the occurrence of terrorist attacks, including any nuclear, biological, chemical or radiological events;
• the effects of the outbreak or escalation of war or hostilities;
• premium pricing and profitability or growth estimates overall or by lines of business or geographic area, and related expectations with respect to the timing and terms of any required regulatory approvals;
• adverse changes in loss cost trends;
• our ability to retain existing business;
• our expectations with respect to cash flow projections and investment income and with respect to other income;
• the adequacy of loss reserves, including:

• the impact of economic factors on companies on whose behalf we have issued surety bonds, and in particular, on those companies that have filed for bankruptcy or otherwise experienced deterioration in creditworthiness;
• the effects of disclosures by, and investigations of, public companies relating to possible accounting irregularities, practices in the financial services industry and other corporate governance issues, including:

• the effects of investigations into market practices in the U.S. property and casualty insurance industry and any legal or regulatory proceedings arising therefrom;
• the occurrence of significant weather-related or other natural or human-made disasters, particularly in locations where we have concentrations of risk;
• any downgrade in our claims-paying, financial strength or other credit ratings;
• the ability of our subsidiaries to pay us dividends;
• general economic conditions including:

• our ability to implement management’s strategic plans and initiatives.

Chubb assumes no obligation to update any forward-looking information set forth in this document, which speak as of the date hereof.