Oxford Health Plans, Trumbull, Conn., announced that Norman Payson, who is widely credited with bringing the health insurer back from the brink of insolvency, intends to retire as chairman and CEO by year-end.
Oxford's president and COO, Charles Berg, was named CEO-elect and director. Kent Thiry, an Oxford board member and CEO of kidney-dialysis company DaVita, will become chairman.
Payson, 53, took Oxford's helm in May 1998, when employers and doctors were refusing to do business with the beleaguered company. That year, Oxford lost nearly $600 million, largely due to a new computer system that caused officials to lose track of costs, delay reimbursements and undercharge for services.
Last year, Oxford earned $322.4 million on $4.3 billion in revenue. --Laura B. Benko