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January 31, 2022 02:42 PM

Cigna chooses new leader over Medicare Advantage expansion efforts

Mari Devereaux
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    Charles Berg
    Cigna
    Charles Berg

    Cigna has chosen Charles Berg to serve as the president of its U.S. government business and senior advisor, overseeing the growth of Cigna's Medicare Advantage and individual & family plan businesses.

    Berg is also joining Cigna's Enterprise Leadership Team and working under Cigna chairman and CEO David Cordani, the insurer announced on Monday.

    "Under Chuck's leadership, we will bring a sharp focus on our strategy through continued geographic expansion, leveraging Evernorth's industry-leading capabilities, and product suite enhancements to help people achieve their health and well-being goals," Cordani said in a news release.

    Prior to his new role at Cigna, Berg served as the executive chair of value-based DaVita Medical Group from 2016 to 2017. From 2011 to 2013, he was the executive chairman of WellCare Health Plans, which provides managed care services through Medicaid, Medicare Advantage and Medicare Prescription Drug plans.

    He also held the role of CEO of Oxford Health Plans, and became an executive at UnitedHealth Group in 2004 after it acquired Oxford.

    Download Modern Healthcare’s app to stay informed when industry news breaks.

    Currently, Berg is on the board of directors for DaVita, CareCentrix and Talkspace in addition to other healthcare companies. Additionally, he is a member of the healthcare-oriented private equity firm Operating Council of Consonance Capital Partners.

    "I am excited to be joining Cigna at this pivotal time to lead the company's government-sponsored healthcare businesses, building on the strength of their deep network of provider relationships, high consumer ratings, and a wide range of best-in-class, affordable products for seniors and local market exchange customers," Berg said in a news release.

    Cigna is lagging behind United Healthcare, Aetna and others in terms of Medicare Advantage members as it was the only commercial payer that ended the 2022 open enrollment period with fewer Medicare Advantage policyholders than the year before.

    Some startup health insurers were even able to increase their Medicare Advantage membership during the sign-up period by taking market share from larger competitors like UnitedHealth Group, Humana and Cigna.

    Cigna attributed its lack of growth in the Medicare Advantage market to rivals aggressively underpricing premiums for government-sponsored plans.

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