MADISON, Wis. – TruStage said it expects to restore operations by mid-August as it continues recovering from the cyberattack that forced the insurer to shut down portions of its technology environment, with the company reporting progress in claims processing, lending, wealth management and life insurance services.
In a video update to credit unions, TruStage President and CEO Terrance Williams said the company has established a new, isolated technology environment separate from systems that were affected, potentially affected or remain under investigation, and has begun a phased restoration of enterprise technology capabilities.
“We are working with urgency while making sure safety, stability and security remain central to each step,” Williams said.
Williams said the company is not yet prepared to determine the full scope of any potential data compromise.
‘Premature to Draw Conclusions’
“Regarding data, it would be premature to draw conclusions about the full scope or impact of the incident,” he said. Williams added that TruStage will work directly with affected credit unions if it determines member or institutional data was compromised and will notify those institutions before any communication is made to members.
To assist credit unions, TruStage said it has released a member letter template, along with talking points and frequently asked questions, to help institutions respond to inquiries related to the cyberattack.
The company said it has restored some customer support capabilities, including claims reporting and telephone service. Williams said TruStage is now handling thousands of customer calls through a third-party contact center and has also resumed some outbound calling.
Business Lines Update
Williams outlined recovery efforts across several business lines:
- Lending: TruStage has begun testing a process with eight credit unions to resume recurring debt protection payments for claims approved before the outage. The company said it expects to expand the process for debt protection and credit insurance programs over the coming weeks.
- Wealth: Interim processes are now available for annuity customers to transfer funds, initiate death claims, complete partial withdrawals and process full surrenders. TruStage also said it has validated recovery procedures for retirement transactions and is preparing to restore participant access to certain retirement distributions, followed by employer contributions and other functions. The company said recurring annuity, pension and pension risk transfer payments have resumed, resulting in thousands of periodic disbursements to retirees and other customers.
- Life Insurance: Williams said TruStage expects to restore basic life insurance servicing, including billing and claims processing, during the first half of August. He cautioned that the life insurance platform relies on multiple interconnected systems that require additional rebuilding before full operations can safely resume.
Williams encouraged credit unions to continue using existing support channels and temporary procedures while restoration efforts continue.
“We remain committed to keeping you informed with clear, timely updates as recovery work continues,” Williams said.
