Interim Humana CFO made permanent

Dive Brief:

Susan Diamond, interim CFO and home business segment president of publicly traded insurance company Humana, has transitioned to permanent CFO, effective immediately, the company has announced.
Diamond was named to the interim role in March, when the Louisville, Kentucky-based insurer’s then-CFO of seven years, Brian Kane, announced plans to step down.
“Susan [has] deep operating experience from her leadership of key areas of our retail business, and most recently, her leadership of our home business, growing it into the largest offering of its kind,” Bruce Broussard, Humana CEO, said in a statement. “Given the strategic nature of the CFO role, Susan also will be able to continue [contributing] to our home health business, a key component of our overall company strategy.”

Dive Insight:

Diamond joined Humana in 2006 as a strategy advisor and has since served in leadership roles across the organization.

She spent eight years on the Medicare leadership team and two years on Kane’s team, where she oversaw enterprise planning and forecasting. She also oversaw the CFOs and controllers of Humana's lines of business CFOs.

Kane led Humana’s finances during a period of industry consolidation, the Wall Street Journal reported. In 2017, the company withdrew from a merger with Aetna after it was blocked in federal court on antitrust grounds. Kane also helped oversee Humana’s expansion into the hospice and home healthcare business, including through acquisitions in 2018 of Curo Health Services and Kindred Healthcare, the Journal reported.

The company didn’t give a reason for Kane’s departure other than to say he was pursuing broader career opportunities. He will remain in an advisory capacity until the end of the year.

As part of the transition period, Kane will continue to receive his salary, annual incentive plan opportunity and benefits through the end of the year, Humana said in a filing with the Securities and Exchange Commission and reported by Fierce Healthcare.

When he does leave the role, he will earn severance pay and stock incentives he would otherwise secure in a "position elimination," Fierce reported.

The company’s net income last year was $3.37 billion, up 24% from a year earlier, the Journal reported.

PwC background

In her capacity as home business president, Diamond led the acquisition of the remaining 60% interest in Kindred at Home, valued at $5.7 billion, the largest acquisition in Humana’s history. She also led the acquisition of home-based services provider onehome.

Before joining Humana, Diamond led finance at Smoothstone IP Communications and Prosperitas Investment Partners. She began her career as an accountant at PricewaterhouseCoopers.

Humana originally planned to fill Kane’s seat with an external hire. "We expect there will be plenty of interest from top industry talent to interview for the seat," Scott Fidel, an analyst with Stephens Inc., told The Wall Street Journal in March.

As Humana conducts a national search for its next home business segment president, Greg Sheff, the segment’s senior vice president and chief medical officer, will serve as interim leader.

With Diamond officially instituted as CFO, Humana will be releasing its second quarter earnings on July 28.