Executive Compensation at Harvard Pilgrim Health (2023)

Harvard Pilgrim Health is often referred to as “Pilgrim Health,” a tax-exempt non-profit company that provides health insurance plans in the New England area as part of the Point32Health organization (which was formed when Harvard Pilgrim Health and Tufts Health Plan merged in 2021).  It is important to point out Pilgrim Health has 6 related tax-exempt organizations, 6 related organizations taxable as a partnership, and 12 related organizations taxable as a corporation or partnership. Collectively, the entire network serves approximately 2 million people with about 1 million associated with Pilgrim Health and 1 million with Tufts Health plan.

In 2023, Pilgrim Health reported $2.2 billion in revenue, most of which came from member premiums and fees.  Expenses totaled nearly $2.3 billion with the organization reporting a $40 million loss (the non-profit organization reporting the loss had more than $600 million in net assets to cover the loss).  The largest expenses were benefits paid to members ($1.8 billion) followed by office expenses ($158 million) and compensation ($148 million).

Although Pilgram Health reported only having 8 employees who received $148 million, this appears to be incorrect.  The highly compensated employees below are compensated by Point32Health Services, Inc – a related Delaware taxable corporation:

• $4,246,459:  Cain Hayes, President and CEO
• $1,952,588:  Philip Barr, EVP, President Markets
• $1,672,334:  Patricia Howard, COO (end 5/3)
• $1,621,244:  Umesh Kurpad, CFO (end 7/4)
• $1,548,068:  Pete Church, Chief People Officer
• $1,469,774:  R Scott Walker, CFO (start 7/5)
• $1,466,203:  Tisa Hughes, Clerk/Secretary
• $1,343,146:  Tracey Carter, SVP, Chief Actuary
• $1,260,256:  Selma Ferhatbegovic, SVP, CIO
• $1,222,453:  Mark Porter, Treasurer (start 10/12)
• $1,211,996:  Patricia Blake, SVP, President Medicare
• $1,187,178:  Kristen Lewis, Chief Public and Community Affairs Officer
• $  866,154:  Michael Carson, Former President (end 10/1/2021)
• $  717,571:  Susan Kee, Clerk/Secretary (start 12/11)
• $  675,379:  Roland Price, Treasurer (end 10/11)
• $  621,650:  Thomas Croswell, Former CEO
• $  178,912:  Deborah Norton, Former SVP, CIO

The 17 highly compensated employees listed above received $23 million in compensation in 2023.  9 of the highly compensated employees are male while 8 are female (note:  the Form 990 does not disclose gender; instead name and google searches were relied on).

156 independent contractors received more than $100,000 in compensation in 2024.  The five most highly compensated were reported to be:

• $6.4 million:  Deloite Touche, of Dallas, TX for consulting services
• $2.5 million:  SEI- Boston, of Cincinnati, OH for consulting services
• $1.8 million:  Merkle, Inc of Chicago, IL for digital marketing
• $1.1 million:  Loeb Loeb, of LA, CA for legal services
• $0.6 million:  Ropes Grey, of Newark, NJ for legal services

To read the Form 990 (2023), click here.