Executive Compensation at Priority Health (2018)
Priority Health (PH) is a tax-exempt, non-profit health insurer with a million members throughout Michigan. With three shareholders (Spectrum Health System (93.3%), Munson Healthcare (5.5%), and McLaren Northern Michigan (0.6%), PH reports having no employees although the organization is staffed with employees at Spectrum Health System who are leased back to PH. Compensation is allocated to PH via a management fee. However, the 21 most highly compensated employees (note: part or all of compensation is paid by Priority Health and/or an affiliated/related organization including Spectrum Health System) are listed on Schedule J of the Form 990 and are reported as follows:
- $4,810,913: Richard Breon, Director, Part Year
- $3,933,085: Michael P Freed, Former President and CEO
- $2,993,236: Christina Freese Decker, Director
- $2,273,205: Joan A Budden, President and CEO
- $1,907,462: Seth Wolk, Director, Part Year
- $1,296,243: Pamela Ries, Former VP, System Total Value
- $ 827,315: Mary Anne Jones, Treasurer and SVP, Finance
- $ 763,964: Michael Koziara, SVP, Provider Network
- $ 733,3015: Jianhua Yu, SVP, Advanced Analytics/Chief Actuary
- $ 732,771: Michael Vrendenberg, Director
- $ 721,006: Kimberly L Thomas, Secretary
- $ 695,358: Marti Lolli, SVP Cons/Gov’t Marketing and CMO
- $ 690,348: James Forshee, SVP, Chief Medical Officer
- $ 686,145: Jay Labine, Former SVP, Chief Medical Officer
- $ 564,673: John L Fox, VP, Assoc Chief Medical Officer
- $ 541,532: Christopher Crook, SVP, Information Services
- $ 527,767: Rick Morrone, SVP, Employer Solutions
- $ 506,109: Eugene Cronin, VP, New Gov’t Markets
- $ 495,402: Ines Vigil, VP, Advanced Analytics
- $ 459,670: Sherwin Robinson, VP, Chief Underwriter
- $ 451,461: Brian Krupiczewicz, SVP, Human Resources
13 of the 21 (62%) most highly compensated employees are male while 8 of the 21 (38%) are female.
PH paid for health club dues for 10 executive employees.
PH has a supplemental non-qualified retirement plan:
- $3,933,085: Michael Freed
- $2,294,061: Richard Breon
- $ 807,444: Christina Freese Decker
- $ 602,765: Seth Wolk
- $ 576,734: Joan Budden
- $ 323,331: Pamela Ries
- $ 52,068: Jay Labine
- $ 46,866: Mary Anne Jones
- $ 44,363: Jianhua Yu
- $ 41,606: Eugene Cronin
- $ 40,783: Kimberly Thomas
- $ 34,405: Marti Lolli
- $ 32,046: Sherwin Robinson
- $ 27,429: Michael Koziara
- $ 27,252: Inis Vigil
- $ 14,852: Brian Krupiczewicz
Michael Vredenburg, a director, received a loan in the amount of $27,000 for tuition assistance. The balance due is $13,586. It is unclear why a director who was compensated more than $700,000 in 2018 needed a $27,000 loan for tuition assistance.
Transactions with Interested Persons include:
- Wendy Walker, a board member owning more than 35% of an entity (Physician Support Services) doing business (purchasing health insurance from PH for $309,925).
- Michael Breon, son of Richard Breon, a part-year member of the board of directors, received $180,164 as compensation for employment.
- Matthew Koziara, son of Michael Koziara, a key employee, received $51,102 as compensation for employment.
- Molly Stephanak, daughter of James Stephanie, a board member, received $26,675 as compensation for employment.
To read the IRS Form 990 (2018) for PH, click here.