FOUL PLAY
Insurance company mistreatment
In 2006, UnitedHealth CEO William McGuire found himself in hot water with the Security and Exchange Commission over a stock options backdating scandal. Facing legal troubles—and questions from U.S. Senators—he forfeited $620 million in stock option and retirement compensation and resigned. But he still made away with stock options valued at $800 million and took home $530 million in compensation between 1991 and 2006.
In 2004 alone, McGuire was the third-highest-paid CEO on the Forbes list. His pay that year was $124.8 million.
But it’s not just the giant corporation where execs rake in exorbitant pay. In 2003, Blue Cross and Blue Shield of Montana’s CEO, Peter Babin, told the public not to fuss over his $1.4 million compensation package, including dog-sitting services, first class travel for him and his wife, and a $2,500 dining expense account (instead of country club membership). He called public questioning of his compensation “petty”—and later resigned.
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LATEST SCORECARD
Fifty-eight percent of primary care doctors in the U.S. report their patients often have difficulty paying for medications and care, and half of U.S. doctors spend substantial time dealing with restrictions insurance companies place on their patients’ care, according to the 2009 Commonwealth Fund International Health Policy Survey.
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Families saw their premiums for job-based health insurance rise to an average of $13,375 annually in 2009, with workers paying an average share of $3,515 and employers paying $9,860.
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