A program designed to grow payment protection revenue for credit unions is celebrating its 10-year anniversary, said CUNA Mutual Group, the program's creator.

Launched in 2003, the 61 charter credit unions of the Lender Development Program have experienced an average payment protection participation lift of 20 percentage points, according to CUNA Mutual in Madison, Wis.

In addition, through the charter credit unions, more than $250 million in claims payments have been paid to members and program participants have earned an average of seven times more revenue from CUNA Mutual's payment protection products in 2012 compared with credit unions not on the program, the company said.

Today, more than 900 credit unions use LDP techniques and resources to grow their financial results and enhance their member experience, CUNA Mutual said. As a group, they have earned five and a half times more revenue from the company's payment protection products than credit unions not on the program and experienced a 19.4% increase on their entire credit insurance book of business within the first three years of the program.

Additionally, the credit unions have earned 40 more basis points in fee and other income than credit unions not on the program, according to CUNA Mutual.

The $594 million Potlatch No. 1 Federal Credit Union in Lewiston, Idaho, was the first credit union to serve as a participant in the LDP program in 2003.

“Before LDP, we'd just throw out a payment protection goal and try to figure out how to meet it,” recalled Chris Loseth, CEO of Potlatch No. 1 FCU, in a statement. “LDP brought focus to the credit union. It helped us build an understanding of how the protection products benefit our members and why they are good for the credit union.”

Over the years, P1FCU has increased its noninterest income for insurance products by 344%, which directly correlates with more members having coverage, Loseth said.

The credit union's level of noninterest income for CUNA Mutual debt protection and other related insurance products, at the 42 to 45 percentage rates, has resulted in an increase from approximately $238,000 to $1,055,000 annually, he added.

“At the end of the day, we're all working together so our credit union members have that good, old peace of mind that everybody talks about,” said Loseth.

The LDP was developed on the best practices of high-performing, results-driven credit unions, said Karim Habib, director of lending, CUNA Mutual.

“As changing needs arise, the program's multi-discipline approach continues to evolve to help enhance credit unions' financial results through deeper member relationships that uncover and meet more member needs,” Habib said.