It's believed that the first people who came to the area, were from Vilhelmina to the south and settled here around 1741. The place became known as 'Luspen', derived from a local river of the same name. Until 1912, the population of the village was about 40 inhabitants living in 8 farms, but that changed when a railway station was built (Inland Line) around 1924. The village quickly grew and became known as an important centre for hydroelectric power and the timber industry. It later became a popular tourist spot as well.
The heraldic shield (the weapon of the town) is a Wild man, based on the name of the village and the symbols of the strength and determination of the people of Lapland. A legend says that the first person who came here was a wild man or his name was Storuman.