MADISON, Wis. — TruStage said it has paid more than $69 million in insurance and related claims since the cyberattack that disrupted its operations in mid-July, as the company reported additional progress restoring services while acknowledging that significant limitations remain.
In its latest recovery update from Chief Administrative Officer Greg Holman, TruStage said more members are now able to reach the company, more claims are moving through processing and more transactions are being completed than just several weeks ago.
The company said its recovery efforts are increasingly shifting from restoring basic access to processing claims, payments and service requests.
Among the most significant developments, TruStage said it has paid more than $36 million in individual life insurance claims since the cyberattack, representing about 45% of its pre-attack volume. It also has paid more than $33 million in lending and property-and-casualty claims.
Claims for credit insurance, debt protection and guaranteed asset protection, or GAP, products continue to be accepted and processed. TruStage also continues to review GAP claims submitted after July 11.
Retirement, Annuity Services Expand
TruStage said it also is making progress restoring retirement and annuity servicing.
Through its call center, many retirement plan participants can obtain account balances and receive assistance with loans and distributions for eligible plans. Investment-change requests also are available for some plans.
Employer contribution processing is continuing through temporary systems while TruStage works to increase processing capacity.
The company said restoring digital access remains a top priority, but the functionality is expected to return in phases and ultimately include services for both plan participants and plan sponsors.
For annuities, TruStage said it has restored or expanded several functions, including:
- Direct-deposit servicing.
- Application cancellations.
- Processing of withdrawal and surrender requests.
- Support for annuity death claims.
Additional annuity capabilities also are being prepared for a phased return.
Billing Partially Restored
Billing capabilities also remain only partially restored.
Recurring ACH payments and some recurring credit card payments have resumed for eligible life and accidental death and dismemberment customers whose payment information was already on file.
TruStage said customers will not lose coverage because they were unable to make payments during the service disruption, and applicable grace-period protections remain in place.
Some payment methods, however, are still unavailable, including one-time payments by phone. Some customers who normally receive paper billing statements also may not yet be receiving new statements, according to the company.
TruStage also warned credit unions and members to remain alert for fraud. The company said it is not currently sending delinquency notices, recommending replacement insurance policies from other companies or seeking payments through unsolicited communications.
Significant Limitations Remain
Despite the progress, TruStage cautioned that its operations have not returned to normal.
The company said it still cannot provide specific timelines for when individual life insurance claims will be reviewed, adjudicated or paid. Some servicing requests require manual processing, and representatives may be unable to confirm the status of all transactions, payments or other requests.
One-time payments by phone and online remain unavailable, along with some paper billing functions. Some operations also continue to rely on interim processes while permanent systems are restored.
TruStage said the recovery is occurring in phases and cautioned that restoring an individual capability does not mean the entire underlying process has returned to normal.
Much of the remaining work involves increasing capacity, reducing reliance on manual processing and creating sustainable operating processes, the company said.
Claims, Service Centers Operating
The company’s Claims Contact Center is available from 8 a.m. to 5 p.m. Central time Monday through Friday. Members can report new claims, provide additional information, confirm receipt of claims submitted after the outage and obtain guidance on the claims process.
TruStage said members who have already submitted claims should not file duplicate claims.
Servicing support also is available during the week, with additional Saturday hours from 9 a.m. to 1 p.m. Central time. Representatives can answer many basic policy questions, direct members to service forms and temporary processes, explain available servicing options and escalate complaints or concerns.
Holman told credit union partners that the company’s measure of recovery is increasingly shifting toward whether members are getting results rather than simply whether systems are accessible.
“Recovery is increasingly being measured by outcomes rather than access,” Holman said. “Our focus remains on improving the experience for customers, members, and credit unions while continuing to restore capabilities safely and responsibly.”
