MADISON, Wis. (2/17/16)--CUNA Mutual Group Tuesday reported strong 2015 operating results, which the company said will create additional momentum to help invest in products and services that help make credit unions the best financial alternative for consumers.
CUNA Mutual Group’s total revenue rose to $3.1 billion in 2015, with growth in its core strategic business units up 5.5% for the year. The company’s TruStage life, health, auto, and home insurance products and programs as well as wealth management retail annuities led the growth.
“CUNA Mutual Group is financially strong and growing, and our investments will be channeled in the direction of our customers and the marketplace,” said Robert N. Trunzo, CUNA Mutual Group president/CEO. “It’s clear we're in an industry of shifting consumer decision-making, so using our resources to align with the shifting needs of the marketplace and our customers remains our top priority.”
CUNA Mutual Group recorded $217 million of generally accepted accounting principles (GAAP) net income in 2015, compared with $206 million in 2014. That improvement reflects growth in core business units, low catastrophe losses and positive claims experience, as well as strong net investment income performance.
In 2015, CUNA Mutual Group paid $1.1 billion in total benefits to policyholders or their beneficiaries.
Statutory total adjusted capital of CMFG Life Insurance Co.--CUNA Mutual Group’s lead life insurance company--grew to $2.2 billion in 2015, up 13% from 2014. The company’s consolidated GAAP surplus ended the year at $2.7 billion and was flat to the prior year as strong core earnings were offset by a reduction in the aggregate unrealized gain position of the investment portfolio.
CUNA Mutual Group’s total cash and investment holdings were $12.8 billion as of Dec. 31 and contributed $525 million of net investment income for the year. The company’s investment portfolio is well diversified with an average credit quality of “A.” The company also had its financial strength affirmed by both Moody's and A.M. Best.
The company continued its strong advocacy for the credit union system in 2015, contributing $41 million to support credit union leagues, related organizations and other industry efforts. As a committed industry leader, the CUNA Mutual Foundation also contributed $2 million to important nonprofit causes in the communities where CUNA Mutual Group operates.