### UnitedHealth CEO Andrew Witty Steps Down Amid Rising Medical Costs, Shares Plunge

UnitedHealth Group, the largest health insurer in the United States, finds itself at a critical juncture as its CEO, Andrew Witty, steps down for personal reasons. Alongside this leadership change, the company has also suspended its full-year financial outlook due to unexpectedly high medical costs. This financial instability follows UnitedHealth's first quarterly earnings miss in over a decade and a recent reduction in its 2025 forecast.

The Minnesota-based company announced that its Chairman, Stephen Hemsley, will take over as CEO effective immediately. Hemsley previously served as CEO of UnitedHealth Group from 2006 to 2017 and will continue in his role as chairman of the board. Witty will remain with the organization, transitioning to a senior adviser role for Hemsley.

“I’ve been greatly honored to lead UnitedHealth Group, working with its incredible people who strive daily to improve the healthcare system,” Witty said in a statement.

UnitedHealth also addressed its revised 2025 outlook, attributing the change to higher-than-expected medical costs among new Medicare Advantage beneficiaries. UnitedHealthcare is the nation's leading provider of Medicare Advantage plans, covering over 8 million individuals — primarily those aged 65 and older.

With more than 50 million insured members, UnitedHealth Group also operates a significant pharmacy benefit manager and the rapidly expanding Optum segment, which provides medical care and technical support.

The company’s shares have been on a downward trajectory, plummeting 38% since the deadly attack on UnitedHealthcare executive Brian Thompson in early December in Manhattan. On the news of Witty's resignation, the shares fell an additional 8% in pre-market trading on Tuesday.

UnitedHealth also continues to navigate the legal and media fallout from the high-profile murder of Thompson. Luigi Mangione was indicted on a federal murder charge last month, adding to the company's tumultuous period.

As UnitedHealth Group moves forward under Hemsley's leadership, the company aims to stabilize and revitalize both its financial outlook and public image.