TruStage Cybersecurity Incident

TruStage reports that approximately 90% of lending claims received before the cybersecurity incident have now been processed. Teams continue working through a significant backlog, including claims filed since the incident, and payment processing may take longer than normal.

Digital First Notice of Loss (FNOL) capabilities are now available, allowing credit unions to submit lending claims in bulk. An improved member-facing submission form is also available to collect more complete information upfront and reduce manual processing and follow-up requests.

Additional lending and protection capabilities continue to return in phases. TruStage plans to begin piloting lending enrollment with select credit unions in early November, with broader availability to follow. Participating credit unions will receive direct guidance regarding timing and required steps.

TruStage reports that October recurring benefit payments have been issued for previously approved Credit Disability and Debt Protection claims. Payments on previously approved claims are continuing, although significant backlogs remain for claims awaiting decisions, particularly those filed since the cybersecurity incident.

TruStage advises credit unions not to submit claims under their Plastic Card Policy at this time. The claim-submission timeframe will be extended by the number of days submissions are on hold so policyholders are not disadvantaged during the disruption.

Credit unions should not email Personally Identifiable Information (PII), including credit card numbers, to TruStage. Additional information regarding a secure submission process and revised deadlines will be provided by TruStage as it becomes available.

TruStage reports continued progress in restoring annuity servicing capabilities. Current support includes direct-deposit servicing, application cancellations, withdrawal and surrender request processing, and continued support for annuity death claims. Teams are preparing for the phased return of additional annuity business capabilities while expanding current servicing options.

TruStage continues to report that annuity account balances and benefits were not affected by the cybersecurity incident.

Advisors are beginning to see annuity contract values updated through their broker-dealer systems, although these values may not yet be current. TruStage has also begun processing a backlog of annuity applications received before and during the cybersecurity incident, with additional processing expected over the coming weeks.

BenefitsForYou online account access has been restored in phases, allowing participants with previously established accounts to view certain retirement account information. Participants may be prompted to reset their passwords using the standard “Need Help?” process.

TruStage reports that approximately 97% of participants are on its OMNI platform and can view current account balances. Participants on the Beacon platform (approximately 3%) can view balances that may not yet be current. Displayed balances may not include all recent contributions, earnings adjustments or pending transactions.

Plan sponsors, advisors and third-party administrators are also gaining access to defined contribution participant balances. Retirement assets remain invested and were not affected by the cybersecurity incident, although contribution processing, withdrawals and other transactions may continue to experience delays.

Depending on their plan, eligible participants may request loans, withdrawals, distributions and certain investment changes through TruStage’s retirement servicing channels. However, substantial loan and distribution backlogs remain, and requests may take longer than normal to process. Broader online transaction capabilities are still being restored.

Plan sponsors and administrators may contact TruStage Retirement Services at 844-999-2677. Participants seeking account balances, withdrawals or loan information may call 800-999-8786.

Employer Contributions & Payroll

TruStage continues processing employer contributions through interim processes and reports that it has received more than 10,000 employer contribution files. The company is implementing a more efficient contribution-processing approach intended to improve throughput and better align processing with plan sponsors’ normal payroll schedules.

Participants may not immediately see all recent payroll contributions reflected in their account balances. TruStage says contributions and related earnings adjustments may appear at different times as accounts are updated and has engaged an independent third-party auditor to validate its earnings-adjustment calculation methodology.

TruStage has also introduced an Auditor Toolbox that allows eligible plan sponsors and auditors to securely access certain regulatory and compliance documents, including draft Form 5500. Eligible plan sponsors received access instructions from TruStage on Sept. 15.

TruStage has established a temporary process for providing month-end account values for Executive Benefits, Total Benefits Pre-Funding, and Charitable Donation Account plans while BenefitsForYou capabilities continue to be restored in phases.

Affected customers are expected to receive a secure email containing available month-end account value information. TruStage notes that some account balances may not yet be available and advises customers with questions to contact their Executive Benefits representative.

The TruStage Auto & Home Insurance Program remains available for both new sales and servicing. Through TruStage’s relationships with Liberty Mutual and Polly, members continue to have access to quoting, policy servicing, and claims support from more than 40 insurance carriers.

Members receiving Polly-branded direct-mail offers may use the QR code or web address included in the mailing to access a dedicated Polly/TruStage online quoting experience. Other members may continue to receive phone-based support.

TruStage’s Claims Contact Center is now open Monday through Friday, 8:00 a.m.–5:00 p.m. CT, at 800-356-2644. Members and credit unions can report a new claim, provide claim-related information, confirm receipt of claims submitted after the outage, and receive guidance on the claims process and next steps.

TruStage reports that Individual Life claims are being processed at an increased pace as access to beneficiary information, staffing and workflows improve. Teams continue working through outstanding claims received before the cybersecurity incident, although significant backlogs remain and individual processing timelines may vary.

TruStage reports that it now has processes in place to remove Life and AD&D customers from automatic recurring billing when they request a policy cancellation or surrender. Because a processing backlog remains, there may be a delay between receipt of a cancellation request and removal from the recurring billing file. TruStage has also begun processing the backlog of Life insurance surrender requests, although processing may take longer than normal while recovery continues.

TruStage’s Contact Center can now facilitate electronic signatures for Life insurance policy cancellation requests, simplifying the cancellation process for customers.

TruStage has resumed recurring ACH and certain recurring credit card payment processing for eligible Life and AD&D customers using payment information already on file.

Some payment capabilities remain unavailable, including online and telephone one-time payments. Customers who wish to make a payment may mail a check or money order using the instructions available through TruStage’s outage hub.

TruStage has resumed mailing paper bills directly to AD&D policyholders who are not enrolled in recurring ACH or credit-card billing. Customers receiving these bills should follow the payment instructions provided. One-time payments by phone or online remain unavailable.

TruStage is also reviewing policies to identify premiums that may have been collected in error during its continuity operations and determine where refunds are appropriate. This review is ongoing.

TruStage says customers will not lose coverage because they were unable to make a payment during the service disruption, and coverage protections and grace-period accommodations remain in place.

TruStage is not currently sending delinquency notices, recommending new policies through other companies, or requesting payment through unsolicited communications. Members should use official TruStage resources and exercise caution with unexpected communications requesting payment or personal information.

Members who need to file a claim may visit trustage.com/startclaim or call 800-356-2644. Members who have already submitted a claim should not submit a duplicate

TruStage’s servicing contact centers remain available Monday through Friday, 8:00 a.m.–5:00 p.m. CT, with temporary Saturday support from 9:00 a.m.–1:00 p.m. CT.

Representatives can answer many basic policy questions, direct members to available service forms and continuity processes, explain available servicing options and next steps, and escalate concerns when needed.

Some requests (including policy, beneficiary and ownership changes, cancellations, and certain disbursement requests) continue to require manual or offline processing. Representatives may also have limited access to account information and may not be able to confirm the status of specific transactions, requests, payments, or policy updates.

TruStage says requests submitted during the outage will continue to be honored based on the date they were originally received.

TruStage reports that Business Protection policy issuance and additional servicing capabilities are beginning to return in phases. Credit unions should continue using TruStage’s current support channels and watch for additional guidance regarding available services and any remaining limitations.

TruStage has provided materials credit unions may use when responding to member questions about the cybersecurity incident. Credit unions should review and adapt these materials as appropriate for their own communication needs and internal approval processes.

• Member Letter Template: A customizable letter credit unions can use to share current information with members.
• Talking Points and FAQs: Approved talking points and frequently asked questions for credit union staff who may receive questions from members.

Credit unions should continue to:

• Use TruStage’s current support channels and temporary processes, and prepare employees and members for service limitations.
• Collect and maintain required claims documentation and follow TruStage’s submission guidance.
• Monitor TruStage communications, including spam and email-filtering systems, and share relevant updates as appropriate.
• Direct product-, account-, and claim-specific questions to their usual TruStage contacts.
• Follow established security, vendor-management, compliance, and business-continuity procedures.

CrossState will continue monitoring the situation and sharing material updates and resources as information becomes available.

Credit unions with questions about their specific TruStage relationship, products, claims, or services should contact their usual TruStage representative or use the appropriate business support channel.

New Jersey and Pennsylvania credit unions can also reach out to our Compliance Hotline to speak with our BSACS and CUCE-certified compliance officers by calling 800-932-0661, option 3, or emailing compliance@crossstate.org.