CEOs and other senior corporate executives are seeking extra security after brazen killings United HealthcareCEO of New YorkAccording to a top risk management firm.
“CEOs, other senior executives and board members were in contact with us yesterday and today to enhance their own executive protection and personal security 24/7,” managing director Matthew Dumpert said. Kroll Enterprise security risk management.
“The senior executive is the face of the organization,” he said in an interview. “No matter what product or service is being sold, the CEO is a lightning rod for anger.
United Healthcare CEO killed Brian Thompson This comes at a time of increased threats to those working in the healthcare industry.
“The anger and hostility that our frontline health care workers experience every day in critical care settings in hospitals does extend to the insurance industry to some extent,” Templet said. “That’s because of many of the same red flags of potential violence.”
A division of thompson companies UnitedHealth Groupthe largest payer of health insurance benefits in the United States.
Police believe a gunman shot and killed Thompson, 50, outside a downtown Manhattan hotel on Wednesday morning as he walked unescorted to a UnitedHealth Group investor meeting.
Brian Thompson, CEO, UnitedHealthcare
Courtesy: UnitedHealth Group
But immediately after the shooting, the public speculated that Thompson was shot because of his company’s relatively high rate of denying beneficiary health care claims.
Shell casings found at the shooting scene had words like “deny,” “defend,” and “abandon” written on them, which may be a reference to the title of a 2010 book about insurance companies denying claims for benefits. As of Thursday afternoon, the shooter was still at large.
Chris Pearson, CEO black cloakThe company, which provides private digital security services to senior executives and their families, said Thompson’s killing was unprecedented in recent American history.
“The loss of life here…the impact on families, businesses, friends is overwhelming,” Pearson told CNBC.
“I personally haven’t seen anything like this,” he said. “I don’t think we’ve seen anything of this magnitude in the United States.”
Closed-circuit screenshots of the man wanted in the murder of United Healthcare CEO.
Source: NYPD
Pearson said Thompson’s killing could affect senior executive security arrangements and how protection companies assess their risks at public events, board meetings, conferences and speaking engagements, “where their physical presence is already a factor.” known or possibly expected.
“I think this is really a new risk that has to be considered today,” he said.
Unlike some other executives in the health insurance industry, Thompson does not have a dedicated security staff.
Dumpert said companies seeking additional protection from Kroll in the past 36 hours span a variety of industries.
According to recent proxy statements, 20% of S&P 500 companies list some kind of security benefit for their CEOs.
CNBC analysis of the data alpha sensing That number is about seven percentage points higher than a decade ago, market intelligence firms found.
UnitedHealth Group’s two most recent proxy statements do not show that any current or former senior executive received regular company-funded security services.
Most companies disclose private jet services to ensure the safety of their top executives, if at all.
In healthcare, Cigna, humana and UHG disclosed such benefits in its CEO’s proxy statement.
vaccine manufacturer modern and Pfizer It was revealed in 2023 that they each spent more than $1 million on executive security for the CEO.
In agency documents filed two days before the shooting, walgreens said it was providing home security services to the dispensary company’s CEO, Tim Wentworth.
“To protect Mr. Wentworth and his family from possible security threats, the company requires that Mr. Wentworth receive such personal security protection while serving as CEO,” Walgreens said in the filing.
“The company believes the cost of this security measure is appropriate and necessary, particularly given the heightened risk environment in the retail pharmaceutical industry,” Walgreens said.
CVS Health The company disclosed in its 2023 proxy statement that it required then-CEO Karen Lynch to use its business jets for business and personal travel “in accordance with executive security plans.”
“Similar to our approach with aircraft, Ms. Lynch uses company drivers as part of our executive safety program to minimize and more efficiently use travel time, protect the confidentiality of travel and our business, and enhance C.E.O. officer’s personal safety,” the document said.
David Joyner replaced Lynch as CEO in October.
—Additional reporting by CNBC Nick Wells
