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 to the right). Overall, the Federal Home Loan Bank System (FHLBanks) has over 400 insurance company members, while the percentage of all FHLBanks borrowings by insurance companies has more than quadrupled between 2007 and 2018.

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 2018 income, we returned $417.6 million in dividends to our members for a full-year dividend rate of 6.76%. This high performance is a testament to our dedication to provide value to our members.

FHLBNY Insurance Company Members

Show Members List

American Home Assurance Company

Ameritas Life Insurance Corp. of NY

AXA Equitable Life Insurance Company

Build America Mutual Assurance Company

Cumberland Mutual Fire Insurance Company

Everest Reinsurance Company

Genworth Life Insurance Co. of New York

Guardian Life Insurance Co. of America

Horizon Healthcare of New Jersey, Inc.

Horizon Healthcare Services, Inc.

Kingstone Insurance Company

Merchants Mutual Insurance Company

Metropolitan Life Insurance Company

MONY Life Insurance Company

New Jersey Manufacturers Insurance Co.

New York Life Insurance Company

Prudential Insurance Co. of America

Security Mutual Life Insurance Co. of NY

Selective Insurance Company of America

Selective Insurance Company of New York

Stratford Insurance Company

Teachers Ins. & Annuity Assoc. of America

The US Life Ins. Co. in the City of NY

Ticonderoga Insurance Company

Transamerica Financial Life Insurance Co.

Transatlantic Reinsurance Company

Triple-S Salud, Inc.

Triple-S Vida, Inc.

Tudor Insurance Company

Utica Mutual Insurance Company

Western World Insurance Company

Key Contacts

Relationship Managers:
(212) 441-6700
[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

Whitepapers

Insurers’ Funding Agreements With Federal Home Loan Banks Likely to Increase
Business Wire
Best’s Special Report

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

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

Membership Eligibility Requirements

In order to be eligible for membership, your company will 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

Tools to Help you Determine Eligibility

Eligibility Worksheet (HLB-009)

This worksheet will help calculate:

Eligibility

Initial FHLBNY Stock Subscription Amount

Financial Ratios & Real Estate Collateral Ratios

Contact a dedicated Relationship Manager that will help determine your insurance company’s membership needs (212) 441-6700

Key Contacts

Relationship Managers:
(212) 441-6700
[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

Whitepapers

Insurers’ Funding Agreements With Federal Home Loan Banks Likely to Increase
Business Wire
Best’s Special Report