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INSURANCE COMPANIES

Your Key to Reliable Liquidity

Insurance companies play a key role within the U.S. housing market. The Federal Home Loan Bank of New York (FHLBNY) promotes housing and economic development by providing low-cost, flexible liquidity to member financial institutions. This closely aligns with our insurance company members’ significant investments and participation in the mortgage market along with their economic development initiatives. Our insurance company members count on us to be a reliable and stable source of liquidity in any market condition.

Membership and advances by insurance companies have increased exponentially as more and more realize the integral role the FHLBNY plays to insurers looking to converge liquidity and working capital needs (as shown in the chart below). Overall, the Federal Home Loan Bank System (FHLBanks) has over 570 insurance company members, and the sum of borrowings by insurance companies at all FHLBanks has increased from $4.6 billion to $37.7 billion between 2007 and 2023.

Insurance companies typically capitalize on their membership to satisfy contingent and strategic funding needs, in addition to financing capital, acquisition costs, and new facilities. This enables them to manage their liquidity positions and obtain affordable financing to support lending, investing, daily operations and grow their business in order to support the housing markets and the communities they serve.

Since the FHLBNY is structured as a cooperative, our members are shareholders. Paid from 2023 income, we returned $547.4 million in dividends to our members for a full-year dividend rate of 8.88%. This high performance is a testament to our dedication to provide value to our members

 

FHLBNY Insurance Company Members

Show Members List

AIG Insurance Company – Puerto Rico New York Life Insurance Company
American Home Assurance Company Prudential Insurance Company of America, The
Ameritas Life Insurance Corp. of New York SBLI USA Life Insurance Company, Inc.
Anthem HealthChoice Assurance, Inc. SCOR Reinsurance Company
Build America Mutual Assurance Company Security Mutual Insurance Company
Chubb Insurance Company of Puerto Rico Security Mutual Life Insurance Company of New York
Cooperativa de Seguros Múltiples de Puerto Rico Selective Insurance Company of America
Cumberland Mutual Fire Insurance Company Selective Insurance Company of New York
Equitable Financial Life Insurance Company Spinnaker Insurance Company
Everest Reinsurance Company Sterling Insurance Company
Excellus Health Plan, Inc. Stratford Insurance Company
Genworth Life Insurance Company of New York Teachers Insurance and Annuity Association of America
Gerber Life Insurance Company The United States Life Insurance Company in the City of New York
Guardian Insurance Company, Inc. Trans-Oceanic Life Insurance Company
Guardian Life Insurance Company of America, The Transamerica Financial Life Insurance Company
Horizon Healthcare of New Jersey, Inc. Transatlantic Reinsurance Company
Horizon Healthcare Services, Inc. Triple-S Advantage, Inc.
Kingstone Insurance Company Triple-S Salud, Inc.
Lincoln Life & Annuity Company of New York Triple-S Vida, Inc.
MAPFRE PRAICO Insurance Company Tudor Insurance Company
Merchants Mutual Insurance Company United Surety and Indemnity Company
Metropolitan Life Insurance Company Universal Insurance Company
Metropolitan Tower Life Insurance Company Utica Mutual Insurance Company
MONY Life Insurance Company Western World Insurance Company
New Jersey Manufacturers Insurance Company Wilton Reassurance Life Company of New York

Benefits of Partnering with the FHLBNY

Flexible Funding Source

Membership at the FHLBNY affords insurance companies access to a wide range of liquidity tools through the use of our various credit products called “advances.”

Members can gain access to low-cost, wholesale funding for financial flexibility and backup liquidity to help meet unexpected cash flow needs and manage risk and profitability.
Explore FHLBNY funding solutions to:

  • Meet liquidity and working capital needs
  • Augment income streams
  • Benefit from letters of credit and other products to enhance operating leverage

View our Credit Products

Key Benefits

  • Increase earnings through strategic liquidity management and quarterly dividends
  • Finance capital, acquisition costs, or new facilities without liquidating earning assets
  • Manage cash flow needs
  • Grow investment income by reducing short-term liquidity balances and increasing invested asset balances
  • Fill liability maturity gaps and support match funding programs
  • Enhance operating leverage and liquidity with letters of credit as an alternative form of collateral
  • Secure grant money for low-income housing or community development projects
  • Access discounted community investment funds
  • Demonstrate an enhanced liquidity position to regulators and rating agencies

How are Insurance Companies Taking Advantage of Membership?

They typically use membership to fulfill the following needs:

  • Contingent and strategic liquidity
  • Match funding or pool funding
  • Asset and liability management

We also offer exclusive resources to our members for beneficial insight and education

Visit our Resource Center

Membership Eligibility Requirements

In order to be eligible for membership, your company should be:

  • Duly organized by law
  • Subject to inspection and regulation
  • Of sound financial condition
  • Committed to ensuring sound and economical financial policies
  • Able to purchase membership stock upon approval as outlined in the membership application

Worksheets are available here to help you determine membership eligibility and calculate the initial FHLBNY membership stock amount. These tools are also provided above under Related Links.

 

Key Contacts

Alex Sornoza
VP, Member Relations and Senior Business Development Officer
(212) 441-6708
[email protected]

You have a vision for your financial future.

Our partnership can play a key role to help get you there.

DOWNLOAD THE MEMBERSHIP APPLICATION

Related Links

Insurance Companies Overview Factsheet

Application Process Checklist

Forms & Agreements for New Members

About the Federal Home Loan Banks

HLB 009 HIC – Health Insurance Companies Eligibility Worksheets

HLB 009 LC – Life Insurance Companies Eligibility Worksheets

HLB 009 PC – Property & Casualty Insurance Companies Eligibility Worksheets

Whitepapers

Business Wire
Best’s Special Report:

Insurers’ Funding Agreements With Federal Home Loan Banks Likely to Increase