Operating insurance companies in the Life, Health, P&C, and Specialty sectors in Illinois or Wisconsin can join the FHLB Chicago. To insurance companies, a partnership with the FHLB Chicago means ready and reliable access to low-cost, short- and long-term funding. We offer our insurance company members the same wide range of products that we offer member banks, thrifts, and credit unions. Yet, our products are flexible enough to suit the unique needs of insurers.
With maturities ranging from one day to 10 years or longer at competitive rates, these products take the form of fixed- and adjustable-rate loans, known as "advances," standby letters of credit, and off-balance sheet instruments.
FHLB Chicago advances can be used to:
- Diversify sources of funding
- Provide stop-gap liquidity in times of financial disruptions
- Enhance investment yields through more robust liquidity management
- Support match-funding programs
FHLB Chicago in the News
The Federal Home Loan Banks in the News
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What Others are Saying about FHLB Membership
“We view capital access from the FHLB and an insurer’s ability to convert illiquid to liquid assets through the FHLB system at reasonable economic terms as largely favorable. As for measuring insurers’ financial leverage, we do not consider as debt advances from the FHLB for purposes of matched programs because of the corresponding offset.”
- Standard and Poor's, May 2013
“Federal Home Loan Bank advances made to insurance companies, especially life insurers, have risen exponentially in recent years, as insurers seek stable funding sources.”
- SNL Financial, April 28, 2009
“During the credit crisis, [the FHLBanks] provided much needed liquidity to their member banks, while other liquidity providers experienced deteriorating financial strength. The FHLBanks were able to provide liquidity while maintaining high stand-alone ratings.”
- Moody’s Resi Landscape, September 17, 2009