Krista Nelson Appointed as CEO of Optum Health
Leadership Transition Announcement
Optum Health, the care delivery segment of UnitedHealth, has appointed Krista Nelson as its new Chief Executive Officer, effective immediately. Nelson revealed this change in the C-suite through a LinkedIn post last week.
Krista Nelson’s Background
Nelson has had an extensive career with UnitedHealthcare, UnitedHealth’s insurance division, intermittently since 2009. Prior to her new role, she was responsible for overseeing the growth of government programs. In May, she transitioned to Optum, where she served as Chief Operating Officer of Optum Health.
Successor to Dr. Patrick Conway
Krista Nelson succeeds Dr. Patrick Conway as the CEO of Optum Health. Conway had been leading Optum since May and took charge of Optum Health in June. Following this leadership change, he will continue in his role as CEO of Optum.
Context of Leadership Changes at UnitedHealth
This reshuffling comes as UnitedHealth seeks to restore investor confidence amid challenges related to high medical costs and financial performance that fell short of expectations. The company has been making several rapid executive changes this year.
Recent Executive Changes
For instance, Roger Connor was appointed CFO of Optum in May but left the company in early November. He has been succeeded by Ben Eklo, a finance veteran within Optum. Additionally, the CEO position of Optum Insight, UnitedHealth’s data and analytics division, has changed hands twice since May.
Challenges Faced by Optum Health
Optum Health recently reported underperformance in its third-quarter earnings, prompting concerns among investors. During a recent earnings call, Dr. Conway noted that the division faced challenges due to rapid network expansions and reimbursement cuts associated with the Biden administration. The new leadership will focus on stabilizing the organization, including implementing a direct physician employment model and eliminating unprofitable members.