Brian Thompson, CEO of UnitedHealthcare, was fatally shot on Wednesday, Dec. 4, 2024, outside the New York Hilton Midtown in Manhattan, where the insurance company was holding an investor day event.
The masked gunman, who is reported to be still at large, carried out a “brazen, targeted attack” that was “premeditated,” according to NYPD Commissioner Jessica Tisch during a news conference. It was also reported that Thompson had an in-house security detail assigned to him during his trip to New York City, according to a source familiar with the company’s security, but the detail wasn’t with him when he was shot and killed in front of the hotel in the early morning hours. The motive for the shooting remains unknown, police reported.
It’s common for top executives of major corporations to have personal security provided by their companies. Those measures are often significant expenses listed in corporate filings, though UnitedHealth Group, UnitedHealthcare’s corporate parent, did not disclose the cost in its own financial filings.
Over the years, the need to safeguard the safety of top executives and its associated costs have increased, especially for high-profile leaders in industries that frequently face controversy or criticism, like healthcare. Many companies highlight the potential risk of losing a top executive—whether due to death or other less dramatic departures—as a key factor for investors to consider.
Multiple major healthcare providers began increasing personal protection around top executives following Thompson’s shooting, security industry sources told CNN.
READ: UnitedHealthcare CEO assassinated, massive manhunt for suspect underway (December 6, 2024)
The rising cost of security
Arguably, one of the most high-profile and controversial corporate executives in today’s North America is Elon Musk. Tesla, his one publicly traded company that files financial reports, reported that it spent $2.4 million on his security in 2023 and another $500,000 in just the first two months of this year. The money was paid to a security company owned by Musk himself.
Musk has written about threats he faced on his social media platform X. “Dangerous times ahead. Two people (separate occasions) have already tried to kill me in the past 8 months. They were arrested with guns about 20 mins drive from Tesla HQ in Texas,” he posted in July.
Many companies have reported substantial expenditures on safety and security for their top executives. While many include the cost of private jet travel or drivers in these figures, these measures often serve not only for security but also for convenience, time management, and privacy.
CNN reported that in 2023, artificial intelligence chipmaker Nvidia, one of the world’s most valuable companies, spent $2.2 million on residential security, consultation services, security monitoring, and car and driver services for its CEO, Jen-Hsun Huang.
Apple allocated $820,000 for private security for CEO Tim Cook, with an additional $1.6 million spent on his personal air travel aboard the company’s private jet.
Alphabet, the parent company of Google, spent $6.8 million on personal security for its CEO, Sundar Pichai. Meta Platforms, the owner of Facebook, spent $9.4 million on personal security for CEO Mark Zuckerberg, who also receives an annual pre-tax allowance of $14 million to cover security for his family.
Corporate filings reveal that 138 of the 500 companies in the S&P 500 report their spending on CEO security, according to research firm Equilar, which tracks executive compensation data. The median amount spent by these companies in 2023 was $98,000, with half spending more and half less. Notably, this median amount has more than doubled in just two years, from $47,600 in 2021. But it seems that these costs are justified, as attacks on top executives are not as rare as one might think.
READ: NewRocket Names Harsha Kumar as CEO (November 18, 2024)
Several CEOs of prominent companies have faced assassination attempts or extreme acts of violence over the years. Here are a few notable examples:
1. Lee Iacocca (Chrysler)
In the 1980s, Lee Iacocca, the famous CEO of Chrysler, was the target of an assassination attempt. A hitman was hired to kill him, allegedly by a rival businessman. The plot was foiled before it could be carried out, and Iacocca continued his leadership of Chrysler, famously saving the company from bankruptcy.
2. Juan Pablo Pérez Alfonso (Venezuelan Oil Industry)
While not a traditional CEO of a single company, Pérez Alfonso was an influential figure in Venezuela’s oil industry and served in government positions. He survived an assassination attempt in the 1970s by individuals connected to the nation’s oil wealth, though he was not primarily a corporate CEO.
3. Gustavo Cisneros (Cisneros Group of Companies)
Allegedly, in the late 1990s, Gustavo Cisneros, a billionaire businessman and the head of the Cisneros Group, was targeted in an assassination plot. He was reportedly the target of a kidnapping and assassination attempt by political enemies in Venezuela, though details on the outcome are scarce.
4. Carlos Slim (America Movil)
Allegedly, Carlos Slim, the Mexican billionaire and CEO of America Movil, has faced several threats, including kidnapping attempts. In the mid-1990s, a prominent kidnapping ring in Mexico City targeted several high-profile individuals, including Slim, though he was not harmed.
5. Mohamed Al-Fayed (Harrods)
Mohamed Al-Fayed, the Egyptian businessman who owned Harrods, faced numerous threats throughout his life, especially after the controversial circumstances surrounding the death of his son, Dodi Al-Fayed, and Princess Diana. While not a direct assassination attempt, the threats and the events surrounding his family were seen as violent acts against his leadership.
6. Vladimir Gusinsky (Media-Most)
The Russian media mogul and CEO of Media-Most was the subject of an assassination attempt in the late 1990s. Gusinsky was involved in controversial media ownership and had political enemies, which led to various threats on his life.
These cases highlight the dangerous intersections between power, wealth, and political or business rivalry that sometimes lead to violent actions against CEOs. The rising number of assassination attempts on top executives and the escalating costs of providing security have become significant concerns for companies.
As high-profile leaders face growing risks due to their visibility and the controversies surrounding their industries, businesses are increasingly investing in advanced security measures. From personal protection to private air travel and residential security, the expenses associated with safeguarding these executives have surged.
In response to these threats, many corporations now include security as a major part of their operations, reflecting the high stakes of keeping their leaders safe. As public backlash mounts against recent decisions made by corporations against the interest of the people, only time will tell if these violent and unconventional ways might become more common in the future for the people in positions of power.