Cigna Shakes Up Management Ranks Amid Rising Costs

The Cigna Group, a major player in the healthcare industry, recently announced significant leadership changes in response to rising healthcare costs and pressure from employer clients to control spending. This move comes as the company seeks to navigate the challenges of a rapidly evolving healthcare landscape.

One of the key changes is the appointment of Brian Evanko as president and chief operating officer of The Cigna Group. Evanko, who has been leading the company’s health insurance business, Cigna Healthcare, will now oversee all business lines reporting directly to Chairman and CEO David Cordani. This strategic decision aims to streamline operations and align the company’s various business units for continued growth and success.

In addition to Evanko’s appointment, Ann Dennison has been named executive vice president and chief financial officer of The Cigna Group. Dennison, who brings a wealth of financial expertise from her previous role as chief financial officer at Nasdaq, will be responsible for overseeing all enterprise financial operations and functions. This move underscores the company’s commitment to sound financial management and accountability.

Furthermore, Nicole Jones, chief administrative officer and general counsel, will now also take on oversight of enterprise marketing. By integrating marketing with other key functions under Jones’s leadership, The Cigna Group aims to enhance its overall marketing strategy and better align it with the company’s broader goals and objectives.

However, amidst these changes, the company will bid farewell to Eric Palmer, who has been instrumental in leading Cigna’s Evernorth Health Services business. Palmer, who has served as president and CEO of Evernorth Health Services, will be leaving the company at the end of April. His departure marks the end of an era and highlights the company’s ongoing evolution and adaptation to meet the evolving needs of its customers and patients.

Despite these changes, Cigna reported strong financial performance in 2024, with over $3.4 billion in net income, including $1.4 billion in the fourth quarter alone. However, the company has faced challenges in controlling costs, particularly in its employer plans, due to higher medical expenses and increased claims. This trend is reflective of broader industry challenges faced by health insurers grappling with rising healthcare costs and shifting patient demands.

In conclusion, The Cigna Group’s recent leadership changes reflect its commitment to adapt and thrive in a rapidly changing healthcare landscape. By reorganizing its management team, the company aims to enhance its operational efficiency, financial management, and overall strategic direction. These changes position Cigna for continued growth and success as it navigates the complexities of the healthcare industry.