Stephen Hemsley, the chief executive who oversaw extraordinary growth in more than a decade running UnitedHealth Group, is leaving the job next month and will be succeeded by Dave Wichmann, the company's president.
Minnetonka-based UnitedHealth Group announced the Sept. 1 move on Wednesday, with Hemsley saying in a statement that it's "the right time for this transition to take place."
UnitedHealth Group is the nation's largest health insurer and Minnesota's largest publicly traded company. Hemsley will take the new job of executive chairman of the board of directors, while current board chairman Richard Burke will become lead independent director.
Wichmann grew up in Iowa, graduated with a degree in accounting from Illinois State University and followed Hemsley to UnitedHealth Group nearly 20 years ago from the accounting firm Arthur Andersen.
"Today's action is the culmination of almost four years of discussion, careful planning, leadership development and execution," Burke said in a statement. "Dave Wichmann was one of Steve Hemsley's first hires at our company and has been preparing for the CEO role for many years."
Hemsley, 65, became chief executive in December 2006, succeeding William McGuire, who left over allegations of stock-option backdating.
During Hemsley's tenure, UnitedHealth's workforce grew from 58,000 to more than 260,000, including 17,000 in Minnesota. Revenue grew from $71.5 billion to an estimated $200 billion this year. At the end of June, more than 49 million people had health insurance coverage from UnitedHealth Group.
Before taking the top job, Hemsley was chief operating officer and guided the company's reorganization into the two key businesses it operates today — the legacy health insurance business called UnitedHealthcare and the fast-growing health services business called Optum.