WASHINGTON-CUNA Mutual will report total adjusted capital of 2009 of approximately $1.24 billion, an increase of $114 million over 2008; a GAAP surplus of $1.599 billion, an increase of $395 million over 2008, and a risk-based capital ratio of 330%-340.
• CUNA Mutual paid $883.1 million in claims in 2009, up from $852 million one year earlier.
• 2009 saw "good performance" in both CUNA Mutual's life insurance programs and crop insurance.
• 2009 was an "excellent year" for its 401(k) business, as many losses in 2008 bounced back last year. During 2009, CUNA Mutual acquired CPI Qualified Plan Consultants, Inc., of Great Bend, Kan., which provides retirement plan administrative services to more than 3,600 clients nationwide, and has been working to expand that option across a number of platforms with a goal of selling directly to small businesses that, in turn, can then be sold on credit union membership, too.
• CUNA Mutual has been selling its MemberConnect platform "as fast as we can install it," and some 40-million members are now represented by participating CUs.
"There is a ton of stuff we are trying to do to drive revenue to credit unions," said Post, reminding that indirect income at CUs is just 15% of overall income. "Even if we double it it's no panacea."
• CUNA Mutual has wound a pilot program expanding relationships with members who join a CU via indirect loan, and a student lending pilot in which is sought to securitize loans as a way to get them off the CU's balance sheet, as there is no secondary market. But Post said all of the research and lessons learned during both programs is available to credit unions.
• CUNA Mutual does have potential exposure in the ongoing CU National Corp. fraud case. The key there, said Post, is getting Fannie Mae to the table to work out a settlement in the $140 million case.
• For 2010, Post said CUNA Mutual will continue to "try ot provide a stable platform" for its bond, while also working to assist small CUs in finding insurance, "which is not easy today. We are also looking for ways to partner with CUs and help out with revenue reimbursement."
