UnitedHealth CEO Sees Decline in Total Compensation

By Josh Beckerman 

UnitedHealth Group Inc. said Chief Executive Stephen Hemsley's total compensation package was valued at $14.5 million last year, down from $14.9 million in 2014.

The largest component was $7 million of stock awards. Mr. Hemsley's base salary rose to $1.35 million from $1.3 million.

UnitedHealth, the nation's largest health insurer, said its compensation committee found the CEO's performance "outstanding and distinctive." His non-equity, incentive-plan compensation totaled $3.67 million.

Among its incentive goals, UnitedHealth said it significantly exceeded enrollment and revenue targets. Operating income was below target, primarily because of the performance of its insurance-exchange products.

On Tuesday, the company said it would pull out of nearly all of the Affordable Care Act's exchanges, signaling continued instability in the law's signature marketplaces as they head toward their fourth year. After losses on the exchanges, UnitedHealth will reduce its presence from 34 states this year to "only a handful" in 2017, Mr. Hemsley said.

Write to Josh Beckerman at [e-mail]

(END) Dow Jones Newswires

April 22, 2016 17:41 ET (21:41 GMT)

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