The acquisition of the CUMIS Group Limited, once majority-owned by CUNA Mutual Group, was completed on Dec. 31, the company's buyers Canada-based Central 1 Credit Union and Co-Operators Life Insurance Co. said.
Announced on Sept. 17, 2009, the transaction will provide insurance products and services to Canadian credit unions and their members. Prior to the acquisition, the majority shareholder of CUMIS was CUNA Mutual. CUMIS became an affiliate of CUNA Mutual in 1977. Its principal companies are CUMIS Life Insurance Co. and CUMIS General Insurance Co. At the time of the acquisition announcement, CUNA Mutual President/CEO Jeff Post said the sale would help improve the company's financial strength and simplify its business while allowing it to pursue new avenues of growth.
Upon execution of agreements between Co-operators Life and Central 1, expected to be completed by March 31, the Co-operators group of companies will own approximately 73% and Central 1 will own approximately 27% of CUMIS, according to both companies.
With more than $10 billion in assets, Central 1 is the central liquidity facility and trade association for nearly 200 member CUs in British Columbia and Ontario, Canada. The Co-operators is a cooperative focused on insurance and investment products for consumers. It is owned by a group of Canadian cooperatives and CU centrals.