In brief: Donegal Group insurer joins home loan bank
One of the Donegal Group Inc.'s member insurance companies has joined the financial services cooperative of the Federal Home Loan Bank of Pittsburgh.
Atlantic States Insurance Co. is a wholly owned subsidiary of the insurance holding company, which is based in East Donegal Township outside Marietta. The bank announced Atlantic States' membership Nov. 8.
The Federal Home Loan Bank of Pittsburgh is a wholesale bank that provides low-cost funding and other services to nearly 300 owner-members in Delaware, Pennsylvania and West Virginia. One of 12 such banks, it is privately capitalized, with assets of about $60 billion.
Atlantic States' membership "will provide us with a low-cost source of liquidity to enhance our financial flexibility," Donald Nikolaus, Donegal Group Inc. CEO, said in a statement.
Donegal subsidiary Union Community Bank, previously Province Bank, has been a Federal Home Loan Bank member since 2000, the Pittsburgh bank said.