Medibank (ASX:MPL) begins CEO handover

Company News

by Michael Luu

Health insurer Medibank (ASX:MPL)’s reshuffle of chief executives will begin today, as Craig Drummond hands over his boss duties to his successor David Koczkar.

Mr Drummond’s 6-year stint at the helm of the $8.2 billion firm will officially come to an end on June 30. The transitional period will span one and a half months, during which the outbound executive will assist the new boss in getting acquainted with the new responsibilities.

Meanwhile, David Koczkar is officially instated today as CEO Medibank, following previous executive roles at the company to which he has dedicated over seven years. These posts included chief customer officer and chief operating officer.

The new boss emphasised the intention to capitalise on the $500 billion government budget for health, as he expects to pivot the medical insurance company’s growth strategy towards digitisation.

Mr. Koczkar believes digital healthcare solutions are the answer to the increasing expenses in medical services, as he shares the same perspective with his predecessor that these costs will cause health insurance to lose affordability and accessibility.

Craig Drummond will depart the company with $3.9 million worth of Medibank’s issued capital. On top of that, the outgoing boss is entitled to 2.2 million performance rights for his contributions to Medibank under the past two years’ incentive plans .

Shares in Medibank Private (ASX:MPL) are trading 1.3 per cent higher  $3.02