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UnitedHealth Group announced a new chief executive officer on Tuesday, after a tumultuous year that saw the CEO of its UnitedHealthcare subsidiary fatally shot in Manhattan.
The company has been the source of criticism over problems in the insurance industry and has seen its stock value plummet in the past year.
Stephen J. Hemsley was appointed as the new CEO effective immediately after Andrew Witty decided to step down as CEO for unspecified “personal reasons.”
Hemsley served as the company CEO from 2006 to 2017, and will remain chairman of the company’s Board of Directors. Meanwhile, Witty will serve as a senior adviser to Hemsley, the company said in a news release.
The company said in a statement that it has suspended its annual outlook for 2025, as “the medical costs of many Medicare Advantage beneficiaries new to UnitedHealthcare remained higher than expected.”
“The company expects to return to growth in 2026,” the statement added.
In December 2024, the CEO of United Healthcare, Brian Thompson, was fatally shot in what police described as a “premeditated, preplanned targeted attack” in midtown Manhattan as he was walking to an investors’ conference.
Luigi Mangione, now 27, was arrested after a five-day manhunt and hit with federal and state charges in New York and Pennsylvania in connection with the shooting. He has pleaded not guilty to the murder and terrorism charges in New York, and not guilty to federal stalking and murder charges.
