Business

WellPoint reorganizes

NEWS IN BRIEF — Posted Oct. 2, 2006

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WellPoint announced it's adapting a new corporate structure that will divide the company into two separate business units as the insurer said it plans to bring focus to local markets, reduce overhead expenses and bring emphasis to the company's consumer-directed health plans.

Beginning Nov. 1, the company will be organized around the commercial and consumer business, and the specialty, senior and state-sponsored business units.

Three regional business units and the national-accounts unit will be combined into the new commercial and consumer organization.

John S. Watts Jr., currently president and chief executive officer of the national accounts division, will become president and chief executive officer for the commercial and consumer business division. Joan E. Herman, president and chief executive officer for specialty, senior and state-sponsored business, will continue to oversee WellPoint's state-sponsored and senior business.

Note: This item originally appeared at http://www.ama-assn.org/amednews/2006/10/02/bibf1002.htm.

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