A large managed care company says it is serious about trying to maintain reasonable compensation levels for directors and senior executives.
UnitedHealth Group Inc., Minnetonka, Minn., has tried to make lasting, institutional changes by requiring that all members of the board audit committee be financial experts; limiting company directors to serving on 6 boards; and establishing a board committee that will focus on public responsibility.
The company also has discontinued stock-based awards for the company’s most senior executives, including Dr. William McGuire, the company’s chairman; capping supplemental retirement plans for executive officers; and eliminating perks such as life insurance and disability insurance premium payments for the most senior executives.