MADISON, Wis. – CUNA Mutual Group said yesterday it is forming an alliance with State National Companies to offer collateral protection insurance to credit unions.
The combination maximizes CUNA Mutual’s expertise in serving credit unions with State National’s specialization in CPI. State National is the only company that provides CPI as its core focus.
State National is assuming the insurance tracking, underwriting, claims processing and customer service for CUNA Mutual’s tracked consumer CPI business. CUNA Mutual will continue to offer its other collateral protection products, including blanket, immediate issue, real estate, title tracking and several optional coverages.
CPI is a commercial product that protects the collateral on credit unions’ loan portfolios against uninsured physical damage exposures. Tracked programs generate notices to members who aren’t in compliance with their loan agreement to maintain a minimum level of physical damage insurance. When proof of insurance is not provided, a policy is placed on the collateral to protect the credit union should the collateral become damaged and have to be repossessed.
Combined, CUNA Mutual and State National will serve the CPI needs of more than 700 credit unions.
Policies will be underwritten by State National Insurance Company. CUNA Mutual customers will maintain their CUNA Mutual sales executive as their primary point of contact with specific tracked collateral protection product expertise and support from a State National expert. Representatives of both companies will deliver credit union staff training.
