Executive Compensation at Kaiser Permanente (2024)

Kaiser Permanente is one of many terms (Kaiser, Kaiser Health, etc) that refers to one of the nation’s largest not-for-profit health care insurers and providers with more than 12.5 million members (primarily in California but also in Hawaii, Colorado, Georgia, Oregon, Washington, Virginia, Maryland, and the District of Columbia). With 40 hospitals, more than 600 medical offices, and about 240,000 employees, Kaiser Health is considered one of the leaders in the industry.

Kaiser Health is comprised of the health plan (Kaiser Foundation Health Plan, Inc), the hospitals (Kaiser Foundation Hospitals) and the medical groups (Permanente Medical Groups) although there are numerous non-profits that make up the entire organization. The focus of this post is on the executive compensation reported on the Form 990 of the Kaiser Foundation Health Plan, Inc. (KFHP) because this organization reports the compensation for the key executives including the Chairman and CEO (as opposed to a related organization reporting compensation from a related organization).

Key financial information reported on the Form 990 (2024) includes the following:

Total revenue was $82 billion from three primary sources:  member dues, which appears to be the organizations within the Kaiser Health system ($57 billion); medicare ($21 billion), and other program services and supplemental revenue ($4 billion).

Expenses totaled $82 billion with the largest expenses reported to be:  basic contractual payments ($52 billion), supplies and purchased services ($22 billion), office-related expenses ($4 billion), and compensation ($4 billion).

Net assets were $11 billion a year-end 2024 (nearly $2 billion higher than the previous year (primarily because of changes in pension and retirement liabilities).

32,089 employees (about 2,000 more than in 2023) received $4 billion in compensation, which equates to an average compensation of about $140,000.  However, only 14,972 employees received more than $100,000 in compensation with 50 of the most highly compensated employees reported to be:

• $12,976,050:  Gregory Adams, Chairman and CEO
• $ 6,474,308:  Kimberly Horn, EVP, Group President, MOC
• $ 5,011,705:  Janet Liang, Regional President, Northern CA
• $ 5,004,087:  Kathryn Lancaster, EVP and CFO
• $ 4,354,878 :  Brandon Cuevas, EVP, Health Plan
• $ 3,822,029:  Yazdi Bagli, EVP, Enterprise Business Services
• $ 3,326,860:  Carrie Plietz, Regional President, NCAL
• $ 3,007,814:  Chuck Bevilacqua, SVP, Health Plan Service and Admin
• $ 2,671,910:  Gregory Holmes, SVP, Chief HR Officer
• $ 2,648,633:  Paul Swenson, EVP, Chief Admin Officer
• $ 2,623,191:  Vanessa Benavides, SVP, Chief Compliance and Privacy Officer
• $ 2,594,208:  Andrew Bindman, EVP, Chief Medical Officer
• $ 2,593,047:  Samuel Glick, EVP, Enterprise Strategy, Business Development
• $ 2,397,170:  Chandrika Bhalla, SVP, CFO – Hospital Markets and FP
• $ 2,318,030:  Michelle Gaskell, Regional President, SCAL & HI
• $ 2,128,599:  Pamela Shipley, SVP, Health Plan Innovation
• $ 2,128,422:  Thomas Henenburg, SVP, Ambulatory Operations
• $ 2,094,728:  Paul Minardi, EVP and CEO, KPMF
• $ 2,039,368:  Bechara Choucair, SVP, Chief Heath Officer
• $ 1,972,929:  Michael Rowe, SVP, Chief Business Development and Strategy Exec 
• $  1,811,075:  David Thomason, SVP, Corporate Controller and CAO
• $ 1,794,315:  Debra Cunningham, SVP, Enterprise Transformation
• $ 1,666,527:  Edmund Chan, SVP, Hawaii Market Leader
• $ 1,640,974:  Thomas Meier, SVP, Corporate Treasurer
• $ 1,638,349:  Thomas Curtin Jr, SVP, Commercial LOB
• $ 1,631,718:  Anthony Barrueta, SVP, Government Relations
• $ 1,625,180:  James Simpson, SVP, Enterprise Projects
• $ 1,461,303:  Alfonse Upshaw, SVP, CFO-NCAL
• $ 1,452,997:  Arlene Peasnell, SVP, HR and Labor Relations
• $ 1,443,642:  Mary Beth Lang, SVP, Chief Pharmacy Officer
• $ 1,384,859:  Linton White, SVP, CFO, SCAL and HI
• $ 1,251,472:  Laurel Junk, SVP, Market Operations Services
• $ 1,231,806:  Catherine Hernandez Tirey, SVP, Chief Communications Officer
• $ 1,120,683:  Arthur Southam, EVP, Health Plan Operations and CGO
• $ 1,105,868:  Philip Young Jr, Assistant Secretary
• $1,094,758:  Jalena Bingham, Asst Secretary
• $ 1,094,329:  Tina Weiss, SVP, Small Business/Individual Lob
• $ 1,092,558:  Diane Comer, EVP, Chief Info and Tech Officer
• $ 1,057,476:  Mark Zemelman, SVP, General Counsel and Secretary
• $ 1,037,029:  Christina Cooper, SVP, Gov’t Programs
• $ 1,006,905:  Jennifer Goldberg, Assistant Secretary
• $   948,874:  Julie Miller-Phipps, Regional President, Southern CA and HI
• $   928,411:  Marcus Hoffman, CFO – SCAL & Hawaii
• $   897,048:  Ryan Jenson, Interim Corp Controller and CAO
• $   799,053:  Greg Christian, Asst Secretary
• $   762,657:  Kristin Bear, Assistant Secretary
• $   798,297 :  Katherine Ritchey, Assistant Secretary
• $  697,966:   Christina Lockwood, Assistant Secretary
• $   561,698:  Wade Overgaard, SVP, Health Plan Ops – CA
• $   549,210:  Donald Orndoff, SVP, NFS

BOLD indicates the employee is new to the list in 2024.

As illustrated above, 50 of the most highly compensated employees received $108 million in compensation in 2024.  28 of the 50 (56%) of the most highly compensated employees are male while 22 (44%) are female.  4 of the 10 most highly compensated employees are female while 6 are male.

The most highly compensated employee was Gregory Adams who received nearly $13 million in 2024 and $95 million from 2017-2024, followed by Kimberly Horn who received more than $6 million in 2024 and $28 million from 2020-2024; Janet Liang who received $5 million in 2024 and $32 million from 2017-2024, and Kathryn Lancaster, who received $40 million from 2017-2024.  Collectively these 4 employees received nearly $200 million from 2017-2024:

Gregory Adams:  Total Compensation 2017-2024: $95 million

• 2024:  $12,976,050
• 2023:  $12,721,446
• 2022:  $13,697,450
• 2021:  $15,562,224
• 2020:  $17,268,060
• 2019:  $ 6,213,257
• 2018:  $10,226,544
• 2017:  $ 6,589,138

Kimberly Horn:  Total Compensation 2020-2024:  $28 million

• 2024:  $6,474,308
• 2023:  $4,751,551
• 2022:  $7,910,976
• 2021:  $4,725,013
• 2020:  $4,300,195

Janet Liang:  Total Compensation 2017-2024:  $32 million

• 2024:  $5,011,705
• 2023:  $4,507,213
• 2022:  $3,995,094
• 2021:  $4,939,343
• 2020:  $5,580,333
• 2019:  $3,542,706
• 2018:  $2,478,669
• 2017:  $2,003,262

Kathryn Lancaster:  Total Compensation 2017-2024:  $40 million 

• 2024:  $5,004,087
• 2023:  $5,061,302
• 2022:  $5,509,673
• 2021:  $5,027,913
• 2020:  $5,086,656
• 2019:  $6,720,335
• 2018:  $3,574,418
• 2017:  $3,723,333

The Form 990 also reports:

• First class or charter travel was paid for by KFHP. According to the 990 “first class travel is permissible as an ordinary business expense for all Board of Directors, Chief Executive Officers, and 13 other officers…”
• Travel for companions was paid for by KFHP, “as approved by senior management infrequently..”
• Personal services were paid for by KFHP.  Specifically, “car and security service is approved for senior management in connection with business related travel.  The CEO’s non business transportation is included in compensation tax indemnification and gross up payments.”
• KFHP made tax indemnification or gross up payments – “limited to partial tax gross up under relocation policy, CEO transportation, and security and as approved on a limited basis by senior management.
• For information on severance payments and supplemental non-qualified retirement plan contributions, see the Form 990, Schedule J, Part III, Supplemental Information.

2,748 independent contractors received more than $100,000 in compensation with the five (5) most highly compensated reported to be:

• $27 billion:  Kaiser Foundation Hospitals, of Pasadena, CA for medical services
• $16 billion:  The Permanente Medical Group, of Oakland, CA for medical services
• $13 billion:  S. California Permanente Medical Group, of Pasadena, CA for medical services
• $366 million:  Hawaii Permanente Medical Group, of Honolulu, HI for medical services
• $440 million:  Easter Seals Southern California, of Orange, California for medical services

As illustrated above, the highest compensated contractors appear to be related or affiliated with the organization.

To read the IRS Form 990 (2024), click here.