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WellPoint meeting ends abruptly as Bush collapses

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Shareholders approved a measure to give them input on executive pay at WellPoint Inc. in a contentious annual meeting that ended when board member William “Bucky” Bush collapsed in a chair.

Bush, the brother of President George H.W. Bush and uncle of President George W. Bush, appeared to be OK after the meeting. Dr. Rob Stone, an emergency room physician from Bloomington, said Bush, 71, had passed out.

An ambulance crew arrived at the Hilton Hotel in downtown Indianapolis, where the Indianapolis-based health insurance company was holding its annual shareholder meeting. As they took Bush out on stretcher, he was sitting up and breathing through an oxygen mask. He was taken to Methodist Hospital, where a spokeswoman said he was stable and alert.

When WellPoint Chairman and CEO Angela Braly realized that something was wrong with Bush, she abruptly adjourned the meeting before finishing a tense question-and-answer session with shareholders.

That sparked immediate protest from shareholders waiting to ask questions of Braly.

“I don’t think Angela’s a nurse. Let us speak with the chairman. That’s what she gets paid to do,” said Julia Vaughn, a WellPoint shareholder and health policy staff member at the Citizens Action Coalition of Indiana. Vaughn is one of the organizers of a protest set to take place Tuesday morning outside WellPoint’s headquarters on Monument Circle.

Sam Blair, network director for the Main Street Alliance of small business owners, who had flown to the WellPoint meeting from Seattle, also shouted for Braly to still answer shareholders questions. He said afterward he thought Braly used Bush’s medical emergency as a convenient reason to end the meeting.

Two shareholders brought to the meeting by Blair did make comments to Braly and asked her questions. One, an optometrist from Virginia, said he and his family were denied coverage from Anthem even though his practice is a provider in Anthem’s network.

The other, an attorney from Missouri, complained about a 41-percent increase in premiums for her WellPoint insurance plan this year, the biggest in a string of increases.

“My business simply cannot sustain that kind of constant increase,” said Arlene Zarembka, from Clayton, Mo. “ I do not want to lose my employee. I do not want to be forced out of business.”

President Barack Obama criticized WellPoint earlier this year for large premium increases on its individual customers in California—increases that were mirrored in other states and by other health insurers.

Shareholders did approve a proposal that would allow them to make a non-binding vote every year on the executive pay of WellPoint’s highest-paid executives. That proposal had failed the previous two years, but had received 46 percent and 47 percent of votes, respectively.

Vote totals from this year’s meeting were not available immediately after the meeting. But the proposal, made by the Connecticut Retirement Plans and Trust Funds, was approved.

In a statement opposing the proposal before the meeting, WellPoint’s board of directors said, “The Board continues to believe that the adoption of this proposal is both unnecessary and contrary to our best interests and the best interests of our shareholders because executive compensation is already linked to our performance, shareholders already have avenues for communication with the Board about compensation issues and the proposed advisory vote would not provide the Board with meaningful information.”

Three other shareholder proposals failed to pass. One, introduced by Dr. Stone of Bloomington, would have required WellPoint to conduct a feasibility study about returning the company to not-for-profit status. Another would have required WellPoint to publicly disclose all its lobbying expenses. And the last one would have required WellPoint to change its state of incorporation from Indiana to Delaware.

Vote totals on those proposals were also not available immediately after the meeting.

Braly, in a presentation about the company, said the company does not know how it will be affected by the health reform law Obama signed in March, but that it is actively engaged with his administration in writing the regulations that flesh out the law.

She gave an optimistic outlook for WellPoint’s business.

“Despite a very difficult year in 2009, our company performed well,” Braly said, adding, “Our business should benefit as the economy improves.”

Later Tuesday morning, some of the shareholders who had been at the meeting spoke at a protest outside WellPoint’s corporate headquarters on Monument Circle. The rally was the fourth consecutive organized by advocates of a “Medicare-for-all” program of government-paid health insurance.

About 70 people gathered, at one point chanting, “Hey, hey, ho ho, Angela Braly’s got to go.” Some in the crowd carried signs, reading, “For-profit health insurance companies are hazardous to your health.”

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  • HIPAA
    Wasnt there a HIPAA violation here by saying what hospital Bush went to? He is a private citizen and his health is nobody's business but his. Double standard here?
  • profits??
    If insurance companies were so profitable, and the free markets were allowed to prevail, logic would say many new insurance companies would be springing up. That is obviously not the case, and people either need to accept the fact that they settle for less quality or less quantity in their healthcare choices, shut up and pay, or go without insurance if they desire.
  • hmmm
    Alot of people after the insurance companies,just what Obama and the libs want you to focus on. Health care is expensive - Alan, no one is forcing you to buy healthcare currently. If Braly made 100 million and gave it all back to decrease premiums it in the big picture wouldnt lower you premium 5 cents. If you want cheap premiums, don't complain about European quality healthcare given out on a rationed basis.
  • Health Care?
    Personally I believe the problem is one of priority. Do we want health care, real health care that will provide sick and aging people (actually age is not a consideration) with the proper and needed care OR do we want to be the capitalist society where maximizing profit is the ultimate goal in business. Even Mickey Maurer wrote in IBJ that maximizing profit was good and that Braly had every right, no, responsibility to the stock holders, to do so. If this country wants to guarantee proper health care for everyone, no matter who or how rich or how old, then we need to remove the profit goal from the equation. A profit goal is not working if you consider the people who are denied coverage at a time when most needed. You only have to believe that our social responsibilities are more important than the notion that we are a nation of pioneers, hard working, indepentent, and self reliant. The truth is that we don't live in the wilderness any more, we all live in a close society. We should recognize this and also recognize changing needs. Profit is good, but at what cost? What amount of profit is reasonable?
  • Be careful what you ask for!
    Who do you have in mind to replace CEO Braly? Even Berkshire Hathaway has bailed out of the health insurance arena.

    As most know, CEO Braly and WellPoint Counsel testified before Congress recently. I commend them for their composure before a committee that included hostile and ill prepared representatives. They answered directly, succinctly and in considerable detail. Together they explained health insurance with facts and sound reasoning.

    Premium income must be sufficient to pay claims. The aging of our population, rising health care costs, loss of employer provided health insurance and adverse economic conditions are external factors that drive premium increases. Rates might benefit only slightly by mutualization.

  • Break WellPoint Up
    It is indeed good to see Ms. Braly at least learning to stop hiding in her office. And kudos to Dr. Stone for some very good proposals. WellPoint has simply become too big, too powerful. Honestly, I can't tell the difference between WellPoint executive management and a roomful of gangsters.
  • wow!
    Sounds like a political board! Guess the company should have remained a mutual company.
  • but...
    but aren't we all working to pay for a service we will not receive when we need it?
  • A Bush does it again
    It seems all the information we are hearing from the Obama administration is true. It seems that Anthem cannot defend itself and rather than meet with share holders and answer questions, they use some ruse to end the meeting. He was a Bush, and is all the more suspect. I hope the Administration puts into place actions that Anthem will not be able to hide behind.
  • Not for Profit
    I have 2 families on my Blue Cross health plan. My cost is $40,000/year for high deductible plan. This is ridiculous. It is forcing me out of business if it continues. Go back to not for profit.
  • Benefit
    Yes, the company should benefit! They raised my premiums about 48% since last December and they've never paid a claim because I've never even reached my deductible.

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  1. Cramer agrees...says don't buy it and sell it if you own it! Their "pay to play" cost is this issue. As long as they charge customers, they never will attain the critical mass needed to be a successful on company...Jim Cramer quote.

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