Highmark CEO's pay tops $9.47 million in 2022

Highmark President David Holmberg took home about $9.47 million in 2022, an increase of 9.6% over his compensation in the previous year, according to financial statements filed Friday.

For Holmberg, who also serves as board chairman, that pay package includes a base compensation of about $1.57 million and bonuses and incentives of $7.02 million, annual documents filed with the IRS show.

The remainder of his compensation came in the form of non-taxable benefits, retirement benefits and other deferred compensation.

Holmberg was paid $8.64 million in 2021.

During the height of the covid-19 pandemic in 2020, Holmberg’s total compensation dropped by $325,000 to $7.82 million.

Karen Hanlon, executive vice president and chief operating officer of the Pittsburgh-based health care giant, made $4.35 million in total compensation.

Here’s a look at the pay package of other top executives at Highmark in 2022:

• Saurabh Tripathi, executive vice president, chief financial officer and treasurer: $3.42 million;

• Larry Kleinman, executive vice president, human resources officer: $2.54 million;

• Carolyn Duronio, executive vice president, chief legal officer, secretary: $2.5 million;

• Tony Farah, executive vice president, chief medicine and clinical transformation officer: $2.48 million;

• James Benedict, Highmark executive vice president, living health partnerships, and Allegheny Health Network director and chief operating officer: $2.17 million.

Highmark Health is the parent company of Allegheny Health Network.

AHN, the provider network, has 14 hospitals, including Allegheny General Hospital in Pittsburgh’s North Side, Allegheny Valley Hospital in the Natrona Heights neighborhood of Harrison, Jefferson Hospital in Jefferson Hills,and Forbes Hospital in Monroeville.

Highmark is the parent of insurance provider Highmark Health Plan.

During 2022, Highmark’s consolidated financial report showed a net loss of $346 million on $26 billion in revenue. Excluding investment losses, the organization reported net earnings of about $47 million.

Meanwhile, the Pittsburgh-based health system realized an operating gain of $440 million.

Highmark attributed the loss to inflation, supply chain woes and staffing challenges, which took a bite out of Highmark Health’s finances last year.

In its most recent IRS filings, rival health care system UPMC reported that for the fiscal year ended June 30, 2022, Leslie Davis received $4.2 million in total compensation in calendar year 2021. Davis was named president and CEO on Aug. 1, 2021.

According to UPMC, her total pay package for the calendar year represents her time serving as executive vice president, chief operating officer, Health Services Division, and later as president and CEO. Davis succeeded James Romoff in 2021.