Centene President Ken Fasola will exit the company next summer.
Fasola will hand off his duties before the end of the year and retire from Centene on July 1, the health insurance company announced in a Tuesday Securities and Exchange Commission filing. He will remain as a strategic advisor to CEO Sarah London until his departure, the SEC filing said.
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"The company extends its sincere gratitude and congratulations to Mr. Fasola on the success and impact of his 40-year career in healthcare," the SEC filing said.
Centene did not immediately respond to an interview request.
Centene promoted Fasola from executive vice president of healthcare enterprises to president in December 2022. He came aboard the company in 2021 through its $2.2 billion acquisition of Magellan Health, where he served as CEO.
The insurance company has spent the last few years implementing a value-creation plan, driven by activist investor Politan Capital Management. It has also focused on increasing its Medicare performance after losing big Medicare Advantage star ratings bonuses and experiencing an unexpected spike in medical expenses.
Centene sued the Centers for Medicare and Medicaid Services last month, alleging regulators improperly reviewed its call center services and depressed its star ratings. Separately, the insurer alleges insufficient rates from state Medicaid agencies are pressuring its profit margins.
Centene generated $713 million in net earnings during the third quarter, up 52% from the same time last year. Revenue grew 10.5% to $42 billion. Higher Medicare Part D prescription drug coverage and exchange enrollment boosted Centene's health insurance membership 2.4% to 28.6 million.
