Capital stock and advances rise for US insurer FHLB members

Written by Adam Cadle

30/07/2025

Federal Home Loan Bank (FHLB) capital stock held by US insurers increased to $8.6bn at year-end 2024 from $7.7bn at year-end 2023, as capital tock holdings are required for FHLB membership and necessary to request an FHLB advance.

In the annual statement filings with the NAIC, US insurers reported about $160.6bn in book/adjusted carrying value (BACV) of outstanding FHLB advances at year-end 2024, an increase of 11% from year-end 2023.

As in previous years, funding agreements backed the majority of US insurers’ total FHLB advances at 84% of the total, which is the highest percentage over the last six years, according to the annual statement filings.

Also, as reported in the annual statement filings, total collateral pledged by US insurers to the FHLB system was $321bn at year-end 2024, representing a 15% increase from $275bn at year-end 2023.

Total US insurers’ direct investment in FHLB bonds decreased to $7.5bn in 2024 from $8.5bn in 2023, according to the annual statement filings.

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