CVS CEO Karen Lynch assumes direct control of underperforming Aetna insurance business, announces $2B cost-saving effort.
CVS Health CEO Karen Lynch has taken direct ownership of the company's underperforming Aetna insurance business after it missed quarterly expectations. Lynch, who previously managed Aetna before becoming CVS president and CEO, will take over management of the business. Aetna President Brian Kane is leaving his role, and the company has announced a $2 billion cost-saving effort that includes accelerated AI adoption and increased process optimization. CVS is also cutting its full-year guidance due to the Aetna unit's challenges with elevated utilization.
August 07, 2024
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