UnitedHealthcare CEO’s killing unleashes rage against insurers

Modern Healthcare – Friday, December 6, 2024
By Nona Tepper

UnitedHealthcare CEO Brian Thompson’s killing has unleashed a swell of criticism on social media about health insurers, with many seizing the moment to vent about the rising cost of coverage and insurers increasingly denying claims.

“If you want a difficult PR moment, just think about the team at UnitedHealthcare right now,” said Tim Calkins, associate chair of the marketing department at Northwestern University’s Kellogg School of Management. “Certainly, this was a tragic situation and totally unacceptable, but you can’t stop there because there’s a bigger story developing.”

Thompson, 50, was fatally shot Wednesday in what was described as a “brazen, targeted attack” outside the New York Hilton Midtown hotel in New York City, where the company was holding a day-long event for investors and financial analysts. Thompson’s wife, Paulette Thompson, told NBC News that her husband had received threats.

Officers recovered a cell phone along with shell casings inscribed with “delay,” “deny” and “depose” outside the hotel, according to multiple news outlets. The engravings could reference “Delay, Deny, Defend: Why Insurance Companies Don’t Pay Claims and What You Can Do About It,” a 2010 book critical of the industry.

“People are having their claims denied, they’re angry as hell and they’re not going to take it any longer,’” said Ron Culp, a professional in residence at DePaul University’s College of Communication.

Many social media users applauded Thompson’s death and posted screenshots of a December report by ValuePenguin, a personal finance website, that found UnitedHealthcare denied one in three claims last year, twice the industry average and the most of any major insurer.

Others used his death as an opportunity to voice frustration with the industry’s prior authorization requirements. Lawmakers and regulators have attempted to reign in the practice, which is designed to curb unnecessary spending while ensuring quality care.

Still others called out the high cost of health insurance. The average family premium for employer-sponsored coverage rose 7% to $25,572 this year, according to an October report by KFF, a health policy think tank. Nearly a quarter of those who receive coverage from their employer, or 23%, are underinsured, according to a November report by the Commonwealth Fund, a left-leaning policy group.

By Thursday afternoon, several large insurers had removed their staff pages or removed photos of their executives from their websites. UnitedHealth Group also disabled comments on its social media sites.

And Thursday evening, Centene announced its investor day, originally planned for next Thursday in New York City, would become a virtual event.

Mike Tuffin, CEO of health insurance trade group AHIP, denounced criticism of the industry and its executives.

“We condemn any suggestion that threats against our colleagues – or anyone else in our country – are ever acceptable,” Tuffin said in a statement.

The widespread venting online contradicts the findings of several polling firms, which report that most people view their health insurance coverage positively – at least until they need to use it.

Last year, 81% of adults surveyed by KFF said they viewed their health insurance carrier as “good” or “excellent.” The percentage dropped to 68% for those in fair or poor health.

Still, policyholder frustration continues to surface in various ways. In June, a former pharmaceutical executive was charged with cyberstalking after he threatened Aetna leaders and CVS Health administrators who had denied his medical claims.

Growing discontent could drive insurers to reflect on how they communicate with members about coverage denials, Culp said.

“Insurance companies have to learn good bedside manner, just as good physicians have,” he said.

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