The brazen murder of United Healthcare’s chief executive in New York has prompted CEOs and other company executives to seek additional security protections, a leading risk management firm said.
“Yesterday and today, CEOs, other C-suite executives, and board members are making sure that executive protection and personal security are on the agenda 24/7,” said Matthew Dampert, Managing Director, Kroll Enterprise Security. They contacted us to step up.” Risk management.
“The executives are the face of the organization,” he said in an interview. “CEOs are lightning rods for anger, regardless of the product or service being sold.”
The killing of UnitedHealthcare CEO Brian Thompson comes amid growing threats to people in the health care industry.
“The anger and hostility that front-line health care workers experience every day in hospital critical care settings extends to some extent to the insurance industry,” Dumpert said. “And that’s because there are a lot of similar red flags that indicate the potential for violence.”
A division of the Thompson Company united health groupis the largest payer of health insurance benefits in the United States.
Police believe the gunman who shot and killed 50-year-old Thompson outside a midtown Manhattan hotel Wednesday morning may have somehow targeted him as he headed to a UnitedHealth Group investor meeting without security guards. There is.
Brian Thompson, UnitedHealthcare CEO
Provided by: UnitedHealth Group
However, shortly after the killing, public speculation arose that Mr. Thompson had been shot in connection with the company’s relatively high rate of denials of beneficiaries’ medical insurance claims.
The words “denied,” “defense,” and “abandonment” were engraved on the shell casings found at the scene of the shooting, possibly taken from the title of a 2010 book about insurance companies denying claims. There is. The gunman remained at large as of Thursday afternoon.
CEO Chris Pearson black cloakwhich provides private digital security to executives and their families, said Thompson’s killing appears to be unprecedented in recent U.S. history.
“The loss of life here… the impact of the family, the impact of the company, the impact of the friends, it’s just overwhelming, absolutely overwhelming,” Pearson said in an interview with CNBC.
“Personally, I’ve never seen anything like this,” he said. “I don’t think we’ve ever seen anything like this in the United States.”
Screenshot of private circuit of key person in United Healthcare CEO murder.
Source: New York City Police Department
Mr Pearson said Mr Thompson’s killing was due to security arrangements for senior executives and security at public events, board meetings, conferences and lectures where “a physical presence is known or likely to be expected”. It said it could impact the way companies assess risk.
“I think that’s exactly the new risk that needs to be assessed today,” he said.
Mr. Thompson, in contrast to other health insurance executives, did not have a dedicated security person.
Dumpert said a wide range of companies across industries have asked Kroll for additional protections in the past 36 hours.
According to recent proxy statements, 20% of S&P 500 companies cite some type of security benefit for their CEOs.
CNBC analyzes data from market intelligence firms alpha sense This is approximately 7 percentage points higher than 10 years ago.
UnitedHealth’s two most recent proxy statements do not indicate that current or former executives receive regular company-funded security services.
Most companies will disclose private jet services if they are provided to ensure the safety of their executives.
In healthcare, Signa, humana and UHG has disclosed such benefits in its power of attorney to its CEO.
vaccine manufacturer moderna and pfizer In 2023, it was revealed that they each spent more than $1 million on executive security for their CEOs.
In a power of attorney filed two days before the shooting, walgreens The company said it provides home security services to pharmacy company CEO Tim Wentworth.
“In order to protect Mr. Wentworth from possible security threats to Mr. Wentworth and his family, the company has implemented such personal security protections while Mr. Wentworth serves as CEO,” Walgreens said in its filing. We request that they be accepted.”
“We believe this security expense was appropriate and necessary, especially given the heightened risk environment in the retail pharmacy industry,” Walgreens said.
CVS Health revealed in its 2023 proxy statement that it required then-CEO Karen Lynch to use corporate aircraft “in accordance with the executive security program” for both business and personal travel. revealed.
“Similar to our approach to aviation, Ms. Lynch is committed to minimizing travel time, making more efficient use of it, protecting the confidentiality of travel and our business, and enhancing the personal safety of our CEOs.” , we use corporate drivers for business trips as part of our executive security program,” the filing said.
David Joyner replaced Lynch as CEO in October.
— Additional reporting by CNBC Nick Wells.
