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UnitedHealth

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FY2009 Annual Report · UnitedHealth
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Modernizing Health Care

UnitedHealth Group Center
9900 Bren Road East
Minnetonka, Minnesota 55343

unitedhealthgroup.com

2009 Summary Annual Report

100-9409 4/10

Table of contents

Introduction   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 1

Letter to Shareholders  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 2

Responsive, Efficient Service .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 6

Increasing Access   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 10

Containing Costs   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 14

Personalizing the Experience  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 16

Strengthening the  

Physician-Patient Relationship   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 18

Improving Quality  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 20

Transformative Technology   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 22

Business Summary .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 26

Foundations  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 33

2009 Financial Results  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 34

Officers and Board Members  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 38

Forward-Looking Statements .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 39

Investor Information .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 40

Mission and Values  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . inside back cover

The names and health information for individuals included in this report 
have been used with their express permission.

Our mission is to help people live healthier lives.

Mission statement 

We seek to enhance the performance of the health system and improve the 

overall health and well-being of the people we serve and their communities. 

We work with health care professionals and other key partners to expand access 

to quality health care so people get the care they need at an affordable price. 

We support the physician/patient relationship and empower people with the 

information, guidance and tools they need to make personal health choices  

and decisions. 

Our values 

We serve people through a value and performance culture based on integrity, 

quality, innovation, diversity and social responsibility. The best way we can satisfy 

the millions of people we serve — our customers and members, employees, 

shareholders and partners — is to execute on the fundamentals of our business  

to the very best of our abilities, each and every day. That means as an organization, 

we are accountable for adding value to the health care system. 

For more information on how our 80,000 people work to fulfill our mission every 

day, please see our Social Responsibility Report at  

www.unitedhealthgroup.com/2009-social-responsibility-report

10%

BV-COC-940655

BV-COC-940655

This annual report is printed on recycled 
papers certified by Bureau Veritas per FSC 
(Forest Stewardship Council) standards for 
Chain of Custody ensuring environmentally 
responsible, socially beneficial and 
economically viable forest management, 
and also uses reduced VOC (Volatile 
Organic Compounds) vegetable-based inks.

UnitedHealth Group 2009 Summary Annual Report

UnitedHealth Group is a leading health care company, serving  

more than 70 million people. Our family of companies touches nearly 

every aspect of health care, helping people live healthier lives.

We help people find and receive the best care possible. We work to provide them  

with access to the quality care they need at an affordable cost. And we provide 

information, guidance and tools to help people make more informed decisions about 

their health, health care and well-being. These decisions have lifelong, sometimes 

life-defining, consequences. We embrace this position of trust and the critical social 

responsibility we have to serve people’s health care needs in the United States 

and worldwide. UnitedHealth Group plays a unique role in modernizing the health 

care system and making it work better for everyone, through innovation, advanced 

technology and careful stewardship of our unparalleled resources and capabilities.

UnitedHealthcare provides comprehensive commercial health benefits for individuals, 

small- and medium-sized businesses and large national and international companies.  

In partnership with AARP, Ovations delivers health care services tailored to the needs 

of people over 50, serving one in five Medicare beneficiaries nationwide. AmeriChoice 

is the largest U.S. company serving low-income families through programs like 

Medicaid and the Children’s Health Insurance Program (CHIP). OptumHealth works 

with health plans, employers and the public sector to bring together information, inter-

ventions and holistic solutions that help people make better decisions, achieve their 

health and well-being goals and finance their health care needs. Ingenix develops health 

information and technology that improve health system performance and stream line 

administration. Through Prescription Solutions we are a leader in the management  

of pharmacy benefits.

UnitedHealth Group 2009 Summary Annual Report

1

Letter to Shareholders

Dear shareholders:  

In 2009, the people of UnitedHealth Group delivered a strong 

As a result, we entered 2010 a much 

performance while advancing our mission to help people live 

stronger enterprise. We are positioned 

for the next generation of growth, in 

healthier lives, despite a very difficult economy. We demonstrated 

both health benefits and health services. 

consistency in effectively managing medical costs and continued 

While we cannot predict what changes 

ultimately will be introduced to the health 

to reduce our own operating costs. Our businesses again steadily 

care system, we understand that in any 

delivered in service and practical innovation. We continued to 

combine national scale with local responsiveness and further 

diversified our products, services and markets. We built stronger 

relationships with the people we serve across the health care 

setting we must combine consistent 

fundamental execution with our proven 

ability to adapt to core market demands 

and continuously innovate in practical 

ways across the health care experience.

The extraordinary, national debate over 

community. Our balance sheet grew stronger — our investments 

the future of health care in the United 

performed well and our leverage decreased.

States serves to shine a spotlight on a 

key challenge: How do we modernize 

the health care system, in a fiscally 

responsible manner, to make quality 

health care accessible and affordable  

for all Americans?

Finding innovative, practical and 

financially responsible answers to that 

question has been our objective for 

more than two decades. This annual 

2

For online access: www.unitedhealthgroup.com/2009-annual-report

Quite simply, we are helping to create the 
infrastructure and capabilities that will enable  
a modernized American health care system  
to take root and function more effectively for  
all participants.

The changes we envision include:

•   Americans will become better  

•   Common administrative standards and 

informed consumers of health services, 

enabling technology will connect and 

unify patients, health care providers, 

because there will be personalized 

motivations to be engaged, including 

health benefit plans and the entire 

financial incentives.

health care sector. Actionable informa-

•   Better management of care, driven  

tion will be available electronically to 

by education, adherence to evidence-

help physicians and patients make  

based medicine and aligned incentives 

better decisions together.

for patients and health care providers, 

•   Evidence-based medicine will become 

widely accepted and consistently 

practiced, improving care quality and 

helping to control costs.

•   Transparency, performance account-

ability and comparative effectiveness 

along with supporting information and 

technologies, will become ubiquitous 

to health care, built right into the  

core of how medicine is practiced 

rather than existing as a parallel 

“administrative” function as it is today.

will be adopted across all care services, 

•  Health care will adopt a culture of 

just as they are in other sectors of  

the economy.

prevention that promotes good health 

rather than simply treating illnesses 

as they are presented in the doctor’s 

office or the emergency room.

report highlights just a handful of the 

many ways we are helping create a 

more modern and effective health care 

system. We continue to make it easier 

for people to get the care they need,  

to personalize and simplify their health 

care experience, to strengthen the bonds 

between patients and their physicians,  

to foster the introduction of modern 

technology and to find new ways to 

control the rising costs of health care. 

These advances are critically important. 

As we move into the next decade, we 

believe positive, competitive pressures 

and ever-growing demands from 

individuals and employers, physicians 

and medical facilities and state and 

federal govern ments will open the health 

care system to even greater change …

change that will accelerate the evolution 

of new products and services and cost- 

effective new technologies, spurring 

even more rapid modernization of our 

health care system.

UnitedHealth Group 2009 Summary Annual Report

3

Letter to Shareholders

•  There will be a new focus on the 

range of capabilities, market positions,  

As we have for a decade, we continue 

challenges of helping people cope 

capital strength and experience of 

to develop and enrich our three core 

with chronic disease, as well as the 

UnitedHealth Group. Our business 

competencies, which are the building 

importance of health and wellness 

model and philosophy are designed to 

blocks of a better health care system:

programs that can prevent the onset  

align with and help enable this national 

of those conditions for many years  

path into a better health care future. 

• Information — to guide and lead; 

•  Technology — to enable, simplify  

or a lifetime. 

•  Health care will be purchased based  

on the effectiveness of achieving  

health outcomes, not the volume of 

services rendered. 

We are already delivering many of  

and modernize; and

these modernizations to the marketplace.  

•  Expertise in clinical access and 

We have developed and invested in  

management — to consistently 

innovative technologies that bring the 

deliver higher quality, lower cost and 

health care sector into the 21st century. 

consumer affordability in health care.

•  All health care transactions will follow 

We pioneered the financial services 

the lead of the financial industry and 

market for health care. We are a leader 

become totally electronic. 

in the introduction of consumer-focused 

•  Public health plans, like Medicare  

benefits and services, and we have 

and Medicaid, will be modernized to 

more integrated and performance-based 

become more economically viable for 

care delivery payment relationships than 

the long term and enable better care. 

anyone else in health care.

We leverage these competencies to 

help the health care system perform  

to its potential. Quite simply, we are 

helping to create the infrastructure and 

capabilities that will enable a modernized 

American health care system to take 

root and function more effectively for  

all participants.

We will remain focused on executing on the 
fundamentals, prepared to further elevate  
our performance in medical and operating  
cost management and deliver an even better 
experience and value to the markets we serve.

The modernization of Medicare is per-

haps the greatest area of opportunity 

to positively influence health care 

nationally, as well as to improve our 

financial outlook as a nation.

These changes to our health care 

system will promote a positive health 

agenda for our nation and a positive 

growth agenda for a company with the 

4

UnitedHealth Group is ready to help make 
health care more accessible and affordable, 
and take a leading role in our nation’s efforts 
to modernize health care.

Over the next year, you will see our 

The U.S. health care market will move 

benefits businesses become even more 

forward and grow, driven by the need 

integrated within a more streamlined 

of our society for sustainable care, for 

organization with razor-sharp cost and 

even more effective cost controls and 

price sensitivities. Our benefits offerings 

for better overall system performance. 

will become more tightly aligned behind 

UnitedHealth Group is ready to help 

And as we help lead and adapt to 

change, we are meaningfully deepening 

our culture as a company to better 

serve the vital social needs of health 

care. This is apparent in externally 

measured satisfaction levels among 

key stakeholders and in the trust we 

continue to build with those we touch  

in the health care community. 

Engagement among our employees 

the strong UnitedHealthcare brand name, 

make health care more accessible and 

increased significantly in 2009, on top  

while the businesses themselves remain 

affordable, and take a leading role in 

of substantial gains in 2008. Set against 

distinct, market-facing organizations, 

our nation’s efforts to modernize health 

the challenging business and political 

dedicated to the differing needs of the 

care. In the years to come, it will be 

climate this year, this is a testament to 

benefit markets we serve — commercial, 

our progressive adaptability that will 

the spirit and commitment of our people 

senior and public benefits.

translate into high performance and 

to our mission.

In 2010 we plan to further strengthen 

concentrate on helping the whole health 

Our health services businesses will fully 

distinctive value for our customers and 

our shareholders.

and diversify our competitive capabilities 

system modernize and perform better. 

Sincerely, 

to deliver more consistent organic growth 

These businesses have been expanding 

and further market expansion across our 

to address the needs of the care delivery 

businesses. We will remain focused on 

side over the past two years. We expect 

executing on the fundamentals, prepared 

the pace of this expansion will accelerate. 

Stephen J. Hemsley  
President and Chief Executive Officer

to further elevate our performance in 

medical and operating cost management 

and deliver an even better experience 

and value to the markets we serve.

UnitedHealth Group 2009 Summary Annual Report

5

Responsive, Efficient Service

Service you can trust – transplant 
patient says, “One call … and I never 
worried again”

For virtually his entire life,  

Afterward, his doctors told him his heart 

David Reoch suffered from 

problems were primarily caused by 

diabetes. Diagnosed at age 7  

complications of diabetes, and referred 

after he fell into a coma, David 

him for pancreatic transplant surgery to 

has been through more medical 

eliminate the diabetes and halt further 

procedures than he can remember. 

progression of the many complications 

His friends jokingly call him the 

he was already experiencing. Because 

“Bionic Man.” 

Several years ago he visited the doctor 

because he was feeling increasingly 

fatigued. David says that his physician 

had him take a cardiac treadmill test. 

After about 30 seconds the doctor  

asked if David carried nitroglycerin. 

David said, “No, why?” The doctor 

of the seriousness of his condition, he 

moved quickly through the preparations 

for possible transplant surgery. But then 

David switched jobs and his health care 

coverage changed to UnitedHealthcare. 

David worried that this change might 

slow his progress toward, or perhaps 

even block, the transplant.

replied, “Well, get off the treadmill and 

He called UnitedHealthcare’s toll-free 

put this pill under your tongue, because 

number to review his coverage with 

you’re about to have a heart attack.”

an employee who assists customers 

Subsequent tests showed that David 

had recently suffered a mild heart attack, 

and he had more blockages in his heart. 

He required immediate bypass surgery. 

with questions about benefits and 

health coverage. Within a day, he 

received a call from a registered nurse 

at UnitedHealthcare who conducted 

Within a day, he received a call from  
a registered nurse at UnitedHealthcare  
who conducted an interview. She told  
him everything would be taken care of.

6

Melissa and David Reoch

UnitedHealth Group 2009 Summary Annual Report

7

Responsive, Efficient Service

an interview. She told him everything 

As David recovered, the next year 

Consumer call centers continued to 

would be taken care of. Confused, 

was perhaps the most difficult in 

deliver excellent results. Call center accu-

David sheepishly asked, “I’m not sure I 

his life, but his nurse specialist from 

racy remains strong. All UnitedHealthcare 

understand you correctly. Am I going to 

UnitedHealthcare was in constant 

customer service call sites are located in 

have coverage with UnitedHealthcare?”

contact with him, asking what she could 

the United States. With 14 service sites 

“Yes,” he was assured. “It’ll be fine.”

do to help address his health care needs. 

across the nation, employees can easily 

David jokes that UnitedHealthcare was 

support unexpected surges in call volume 

“I thought for sure I’d have a stack of 

checking on his progress almost as 

or site outages. Satisfaction scores in 

papers in the mail the next day to fill out, 

frequently as the transplant team.

2009 rose to 92.7 percent with the 

but it was pretty much one phone call, a 

return phone call from UnitedHealthcare 

and I was done, and I never worried 

about it again,” said David.

When people ask David how he got 

through major transplant surgery, he  

has a simple answer, “I’ve had a great 

insurance company that took care of  

When a new pancreas became available, 

me. It might sound silly for a guy to say,  

David traveled to a hospital with a 

‘Oh, my health care company is a huge 

average time to answer calls remaining 

below 30 seconds. Employees at call 

centers can immediately transfer complex 

benefit questions to experts who have 

the information and authority to resolve 

them on the phone.

program specializing in the procedure 

part of my life,’ and it might sound  

UnitedHealthcare also offers its health 

and underwent surgery. It was a “life-

like some advertisement that nobody 

advisor service. Health advisors serve as 

changing experience,” according to 

believes when you see it on TV, but  

a person’s advocate and single point of 

David. “Every moment is different  

it’s categorically true.”

contact in helping them understand their 

now because with a new, functioning 

pancreas I’m not planning my life 

around diabetes.”

UnitedHealth Group works hard to earn 

this kind of trust in the dependability of 

our service with everyone we touch and 

who touches us. In 2009, the company 

continued to enhance service by making 

it even easier, simpler and more personal.

“ Every moment is different now because with  
a new, functioning pancreas I’m not planning  
my life around diabetes.”  — David Reoch

health care options and resolve issues 

across medical, pharmacy and financial 

products. Each health advisor is respon-

sible for full resolution of a patient’s issue 

and will follow up with that person once 

resolution is complete. When appropriate, 

advisors help educate consumers about 

relevant programs to help them use their 

benefits most effectively and will even 

help them in setting up appointments 

with care providers or with a billing 

dispute. Health advisors have the highest 

customer satisfaction rating within 

UnitedHealthcare at 94.8 percent. 

8

www.uhc.com

Consumer call centers continued to deliver excellent 
results. Call center accuracy remains strong. 

Call center supervisor Shirlee Brown, 
UnitedHealthcare

Claims processing accuracy climbed  

to 99.6 percent in 2009 with the  

great majority of claims processed 

automatically and 96.6 percent of  

all claims processed within 10 days. 

UnitedHealthcare also supplies 

physicians with real-time processing  

of claims in their offices, delivering 

accurate results in seconds that provide 

patients with details of claim benefits 

and their financial responsibility.

A 2009 survey of health benefit plan  

consultants who work with large U.S. 

employers found that their satisfaction 

with UnitedHealthcare’s sales force  

and client management staff continued 

to increase. Health and wellness  

and consumer engagement products 

directly impacting customers, and the 

breadth and quality of UnitedHealthcare’s 

network, claims processing and  

customer service were positively noted 

by those consultants.

UnitedHealthcare is also making service 

to brokers, consultants and employer 

2009 call center scores

groups easier to access, simpler and 

more personal with its Service Hotline, 

United eServices® and Employer 

eServices® Web sites, and dedicated 

client service managers who track 

94%  
first call resolution

92.7%  
satisfaction scores

issues end-to-end, providing updates on 

progress and ensuring client agreement 

99.6%  
claims dollar accuracy

with resolutions.

82.2%  
claims automatically processed

97.9%  CALL ACCURACY

96.6%  
claims processed within 10 days 

Under 30 seconds  
average time to answer consumer 
calls remains below 30 seconds

UnitedHealth Group 2009 Summary Annual Report

9

10

Increasing Access

“21st century house call” delivers  
care to communities in need

One of the most fundamental 

telecommunications and medical 

ways to increase access to the 

technology to deliver a virtual doctor’s 

health care system is making 

visit to patients wherever they are — 

sure people simply have the 

through mobile units that travel to 

opportunity to see a doctor  

patients, on-site units in the workplace 

when they need to.

and in retail locations, and eventually 

Today, millions of people in rural and 

through home-based devices. 

underserved urban communities do  

Linked via high-definition video confer-

not have adequate access to primary 

encing, the doctor “sees” patients in a 

physicians, much less to medical 

soundproof office with assistance from 

specialists. The nearest doctor may be 

an on-site nurse. Physicians can then 

many hours away and a trip to consult  

perform examination procedures 

a medical specialist could require a  

remotely, such as taking blood pressure 

plane flight. The Association of American 

and checking a patient’s ears, nose and 

Medical Colleges estimates that the 

throat, and treat a wide variety of acute 

United States is facing a shortage of 

159,000 primary care physicians by 2025, 

which will compound the problem. 

UnitedHealth Group has partnered with 

Cisco to build the first national telehealth 

network, which will give patients access 

to physicians when in-person visits are 

159,000

    pOtentiAL sHORtAge OF 

pRiMARY CARe pHYsiCiAns  

not possible. This program uses modern 

BY 2025

Today, millions of people in rural and 
underserved urban communities do not  
have adequate access to physicians …

UnitedHealth Group 2009 Summary Annual Report

11

Increasing Access

UnitedHealth Group’s collaboration with 
Project HOPE will provide underserved 
communities in rural New Mexico access  
to much needed health services.

and chronic conditions. This advanced 

Forty-five percent of New Mexico’s 

telehealth program can provide specialist 

population is of Hispanic origin — a 

consultations and checkups for more 

group that is highly predisposed toward 

complicated condi tions like diabetes, 

type 2 diabetes, according to the Centers 

hypertension and heart disease. Through 

for Disease Control and Prevention.  

telehealth technology, doctors are  

The mobile clinic will provide health 

able to consult with their colleagues 

screenings and treatment for diabetes, 

about specific cases and share critical 

pre-diabetes and other chronic  

information and expertise.

conditions, such as high blood pressure 

UnitedHealth Group launched its first 

mobile telehealth clinic in 2009 in an 

18-wheel tractor trailer, showcasing the 

technology and connectivity available 

through the network. 

Collaboration with project HOpe  
in new Mexico 

One of the first telehealth initiatives  

is an ongoing collaboration with Project 

HOPE — the world-renowned health 

education and assistance organization — 

using UnitedHealth Group’s mobile clinic 

to provide underserved communities in 

rural New Mexico access to much needed 

health services and to educate residents 

about the risks of chronic diseases.

and heart disease.

Collaboration with Meharry  
Medical College in tennessee

AmeriChoice, UnitedHealth Group’s 

business dedicated to state Medicaid 

and other programs for the underserved, 

is collaborating with Meharry Medical 

College in Nashville to provide people 

in rural and underserved areas of 

Tennessee access to Meharry Medical 

Group physicians by using telehealth 

technology. Individuals seeking adult 

specialty medical services will be 

able to consult specialists located in 

Meharry’s Nashville offices, such as a 

dermatologist or neurologist, through 

UnitedHealth Group’s mobile telehealth  
clinic uses modern technology to deliver a 
virtual doctor’s visit to patients wherever 
they are located.

12

www.connectedcareamerica.com

Dr. Wayne J. Riley, president and CEO,  
Meharry Medical College, Nashville, Tenn.

telehealth technology by visiting one  

of the approximately 80 community 

health centers across the state.

Meharry Medical Group is composed  

of physicians who serve on the faculty  

of Meharry Medical College, the nation’s 

largest private, independent, historically 

black academic health education and 

research center. Dr. Wayne J. Riley, 

president and CEO of the college, said, 

“Meharry Medical College has a rich 

tradition — stretching back over a 

hundred years — of delivering quality 

health care to people in poor, minority 

communities and underserved 

communities. UnitedHealth Group’s 

telehealth technology will help Meharry 

physicians provide care to even more 

who are in need. We take great pride  

in being on the cutting edge, providing 

opportunities to people of color and 

individuals from disadvantaged back-

grounds, regardless of race or ethnicity; 

delivering high quality health services; 

and conducting research that fosters the 

elimination of health disparities. Through 

this innovative telehealth program, we 

can extend the benefits of our research 

and medical expertise to more people, 

more effectively.” 

“ Through this innovative telehealth program,  
we can extend the benefits of our research and 
medical expertise to more people, more effectively.”

— Dr. Wayne J. Riley

UnitedHealth Group 2009 Summary Annual Report

13

 
Containing Costs

Changing lives and saving money  
in the fight against diabetes

in 2009, the United states spent 

UnitedHealth Group is focused on 

$2.5 trillion on health care, which 

finding new and innovative ways to 

is approximately 17 percent of our 

promote better health while controlling 

nation’s gross domestic product. 

costs — saving lives and saving money. 

By 2019, that number may surpass 

Modernizing health care by embedding 

$4.5 trillion and is expected to 

preventive medicine in the system is  

continue to rise. these costs  

an important key to this effort. 

According to Dr. Deneen Vojta, senior 

vice president, UnitedHealth Group  

and a leader in the development of the 

Diabetes Health Plan, “The design of 

UnitedHealthcare’s Diabetes Health Plan 

meaningfully engages people based  

on their individual health needs. We’re 

finding that once people have the tools, 

support and incentives to make simple 

changes, the response is phenomenal. 

There is a massive, untapped opportunity 

have real world effects: forcing 

businesses to reduce coverage 

and placing unneeded hardship 

on families that lose access to 

care, while diminishing our 

nation’s global competitiveness  

in challenging economic times. 

UnitedHealthcare studies show  
the average annual cost for treating 
individuals with diabetes and  
pre-diabetes as:

pre-diabetes 

Undiagnosed diabetes 

Diabetes without  

complications 

$  5,000

$12,000

$10,000

The company is currently using this 

for millions of Americans to slow the 

approach to combat diabetes, a 

progression of diabetes and avoid life-

devastating chronic disease that afflicts 

threatening complications. The added 

an estimated 24 million adults in the 

bonus is that progress in combating  

United States alone. Another 57 million 

diabetes could save U.S. employers  

people are considered pre-diabetic. 

billions of dollars in health care costs.”

Though diabetes can often be controlled 

with effective care, research from  

the Centers for Disease Control and 

Prevention shows that 60 percent of 

people with diabetes do not follow their 

physicians’ advice on how to manage 

the disease. 

The plan was piloted with General 

Electric, Hewlett-Packard and Affinia in 

2009. All three companies have renewed 

or expanded their participation in the 

program and a number of other groups, 

including the city of New Orleans and 

the American Postal Workers Union 

In UnitedHealthcare’s Diabetes Health 

Health Plan, will offer the plan in 2010. 

Plan, those suffering from diabetes or  

pre-diabetes, along with their family 

members, are guided toward physicians 

Diabetes with complications  

$30,000

who have documented success in treating 

$174B

          2007 COst OF DiABetes  

the disease. Participants are educated 

about chronic disease, how to manage  

it and the importance of routine care. 

Out-of-pocket expenses for individuals 

are reduced and enhanced benefits  

tO tHe U.s. eCOnOMY

are offered in exchange for compliance  

with preventive care guidelines.

14

Dr. Robert S. Galvin’s work as General 

Electric’s executive director of Health 

Services and chief medical officer, is 

focused on keeping 300,000 employees 

healthy. He is one of the nation’s leading 

proponents of innovation in health  

care management. Dr. Galvin says  

that General Electric was interested in 

participating in the Diabetes Health Plan 

pilot because it is one of the few new 

Dr. Deneen Vojta, senior vice president, UnitedHealth Group 
and a leader in the development of the Diabetes Health Plan

programs that combines innovation, 

company’s investment in the program. 

treatment. And health care providers 

incentives and accountability. As he 

To get enhanced benefits, employees 

must agree to follow evidence-based 

puts it, the Diabetes Health Plan “really 

have to go see their doctors regularly, 

medicine to receive a performance 

connects the dots.

make sure they get their lab tests and 

bonus and an increased volume of 

“Everybody participating in this  

program has to do something differently. 

Everybody has to take their share of 

the responsibility for making it work 

successfully,” says Dr. Galvin. “The 

employer has to be willing to waive or 

lower the copay as incentive for their 

employees and take the risk on the 

follow their physicians’ plans for their 

patients directed to their practices.”

“ We’re finding that once people have the tools, 
support and incentives to make simple changes,  
the response is phenomenal.”  — Dr. Deneen Vojta

www.uhc.com

UnitedHealth Group 2009 Summary Annual Report

15

Personalizing the Experience

One-on-one: guiding a cancer patient  
to better care and a brighter future

Cancer is the second most com-

OptumHealth works with cancer centers 

mon cause of death in the United 

clinically proven to provide exceptional 

states, exceeded only by heart 

care for patients with complex cancers. 

disease. A cancer diagnosis is 

Treatment at these Centers of Excellence 

frightening and the decisions that 

can result in a more consistently 

“Patty spent a lot of time with me, 

explaining all the different kinds of 

breast cancers and what each kind of 

diagnosis meant,” said Nancy. “When 

I received my pathology reports, Patty 

reviewed them with me, line by line, 

to make sure that I understood exactly 

what I was dealing with.” 

must be made can seem over-

accurate diagnosis; care that is planned, 

After undergoing her first round of tests, 

whelming. UnitedHealth group 

coordinated and provided by a multi-

Nancy was told the cancer had spread — 

offers a program that provides  

disciplinary team of experts who specialize 

and she was facing a terminal diagnosis. 

a unique service to customers  

in the patient’s specific kind of cancer; 

Despite the grim news, Patty encouraged 

and their families who are facing 

appropriate therapy; fewer complications 

her to stay positive and get a second 

cancer: the OptumHealth Cancer 

and higher survival rates; and shorter 

opinion. She arranged for Nancy to see a 

support program, a highly per-

hospitalizations and lower costs.

cancer specialist at one of the program’s 

sonalized source of information 

and support.

Patty Migler, RN, BSN, OCN, case manager, 
Cancer Support Program, OptumHealth

In addition, experienced nurse advocates 

Cancer Centers of Excellence. 

help patients make informed decisions 

The second opinion disputed the first 

about their cancer care and navigate 

diagnosis and Nancy began treatment, 

the health care system. They help pre-

which included surgery, radiation and 

vent and manage symptoms and side 

chemotherapy. Patty was there to 

effects to reduce inpatient admissions 

support Nancy throughout each step, 

and emergency room visits. They also 

explaining symptoms or often just 

collaborate with treating physicians, help 

placing a friendly phone call to see  

manage pharmacy costs and educate 

how Nancy was feeling. 

patients regarding hospice services and 

palliative care.

Today, Nancy is cancer-free for more 

than three years and she credits Patty 

Nancy Mack is a director of project 

for getting her through the experience. 

management in UnitedHealth Group’s 

Information Technology department. 

When she was diagnosed with breast 

cancer, the news made her and her 

family fearful and uncertain about the 

future. She turned to OptumHealth’s 

Cancer Support Program. Nancy was 

connected to Patty Migler, one of  

59 clinicians who staff the program.

“Without Patty, I don’t think I would 

be here today. She was the one who 

encouraged me to get the second 

opinion. She helped me take control  

of the situation and fight for my life,  

so that I’ll be around for a long time. 

I think that she’s a great gift to this 

company and this community.” 

16

www.optumhealth.com

Today, Nancy is cancer-free for more than 
three years and she credits Patty for getting 
her through the experience.

Nancy Mack

UnitedHealth Group 2009 Summary Annual Report

17

Strengthening the  
Physician-Patient Relationship

Welcome to the  
Patient Centered Medical Home

in a modernized health care 

The Patient Centered Medical Home 

system, everyone should have 

offers a holistic and well-integrated 

a strong relationship with his 

approach to providing patients with safe, 

or her primary care physician 

effective, comprehensive care — an 

— a “medical home” where the 

antidote to what is too often fragmented 

patient and doctor work together 

and episodic care from various health 

to coordinate comprehensive 

care providers and facilities.

care with an emphasis on overall 

wellness and preventing disease, 

improving the care of chronic 

conditions, behavioral health 

support and patient education. 

“The medical home model goes beyond 

simply the diagnosis and treatment of 

injury and illness,” said Dr. Sam Ho, 

chief medical officer, UnitedHealthcare. 

“The Patient Centered Medical Home 

In 2009, UnitedHealthcare launched 

provides an overarching context for care, 

Patient Centered Medical Home (PCMH) 

strengthening the bond between doctor 

projects in collaboration with select 

and patient because the doctor has a 

primary care physician practices in 

better understanding of each patient’s 

Arizona, Colorado, Ohio, Rhode Island 

needs and preferences. We believe that 

and New York.

moving to this model for the delivery of 

Dr. Jeffrey I. Selwyn, internist and 

president of New Pueblo Medicine in 

Tucson is an enthusiastic participant.  

“To try to be on the cutting edge of 

primary care will result in higher quality, 

more effective care, while improving 

medical outcomes and reducing health 

care costs.” 

patient-centered awareness and practice 

Dr. Selwyn explained, “It is truly a  

is a tough task, but it’s something that 

team-based model where there’s a very 

has been a passion of mine,” he said.  

significant bond between the patient and 

“I’m very pleased to see this passion 

the physician. It’s a 50-50 partnership. 

finally coming to fruition.”

We engage our patients to really be 

Dr. Sam Ho, chief medical officer, 
UnitedHealthcare

29% FeWeR eMeRgenCY ROOM Visits

Early results from the  
Patient Centered Medical Home 
project are promising

29% fewer emergency room 

visits, 11% fewer preventable 

hospitalizations and 6% fewer  

visits to the doctor’s office

“ The Patient Centered Medical Home will result in 
higher quality, more effective care …”  — Dr. Sam Ho

involved in their own care.” 

UnitedHealthcare provides the technology 

and infrastructure support to improve 

information systems and adherence to 

18

evidence-based medicine. Furthermore, 

physicians also stand to receive enhanced 

reimbursement in recognition of superior 

care coordination, improved access, 

better patient communications, delivery 

of preventive and chronic care and 

improvements in patient experience  

and satisfaction. Increased compensation  

can be funded by the medical cost 

savings from improved health outcomes 

resulting in fewer hospitalizations, better 

coordination with specialists, fewer 

emergency room visits and more cost-

effective medication use.

“What UnitedHealthcare is doing allows 

benefits for the private physician, the 

patient and plan sponsors,” Dr. Selwyn 

said. “Better health care, better outcomes 

for patients and less expenditure.”

The PCMH model was developed by 

primary care physicians in the United 

States, including the American Academy 

of Family Physicians, the American 

College of Physicians, the American 

Osteopathic Association and the 

American Academy of Pediatricians. 

UnitedHealthcare’s pilot program in 

Arizona is available to customers in 

employer-sponsored benefit plans and 

Medicare Advantage and Medicaid 

health plan customers. 

“ It is truly a team-based model where there’s  
a very significant bond between the patient  
and the physician.” — Dr. Jeffrey I. Selwyn

Dr. Jeffrey I. Selwyn, internist and president, 
New Pueblo Medicine, Tucson, Ariz.

www.uhc.com

UnitedHealth Group 2009 Summary Annual Report

19

tracking prescriptions for 
dangerous interactions

Many people see more than one 

doctor or fill prescriptions at more 

than one pharmacy for a broad range 

of medical conditions. This is true 

particularly for patients with multiple 

medical challenges and the elderly who 

often are facing a number of common 

chronic conditions. This can mean that 

physicians and pharmacists are unaware 

of all the medications a patient has 

been prescribed, which may lead to 

dangerous drug interactions that are 

harmful to patients, costly for the health 

care system and largely avoidable. 

Prescription Solutions, UnitedHealth 

Group’s pharmacy benefit management 

business, has developed the Drug 

Interaction Alert Program (DIAP), an 

innovative program to specifically identify 

potentially dangerous drug interactions. 

Heidi Lew, Pharm. D., Prescription 

Safety and support for the most 
vulnerable in a complex health system

the U.s. health care system’s complexity and often fragmented delivery 

Solutions vice president, Clinical Programs, 

of care can negatively impact quality. UnitedHealth group uses technology 

explained, “First, we collaborated with 

to help organize care and make it safer; and the company provides expert 

an advisory group of physicians to 

guidance to help individuals navigate a confusing and sometimes 

identify drug interactions most likely to 

contradictory system. Here are two examples of how UnitedHealth group 

result in serious harm to patients. The 

is modernizing health care to improve quality.

The Drug Interaction Alert Program is an 
innovative program that specifically identifies 
potentially dangerous drug interactions.

drug interaction alert system monitors  

the millions of prescriptions filled by 

pharmacies for customers every month 

to identify instances where a person 

may be receiving multiple medications 

that could cause them harm. When 

possible drug interactions are identified, 

20

www.prescriptionsolutions.com

Improving Quality

patient-specific notifications that set  

out the potentially clinically significant 

guiding a caregiver  
through the health care maze

and challenging time. It was great to 

have the opportunity to help make a 

drug-to-drug interactions are sent to  

Rhonda Burcham, RN, is a care manager 

difference in their lives.”

alert prescribing physicians promptly, 

in SecureHorizon’s Post Acute Transition 

often within 24 hours.”

Physicians report that the drug interaction 

alert system helps them take better  

care of their patients. Dr. Alan Nili runs  

a family practice in Irvine, California. His 

patients range from 12 to over 90 years 

of age, with geriatric patients now 

comprising more than 50 percent of  

the patients he sees. 

Team, a clinical program offered by 

Ovations to Medicare recipients. She 

first contacted Richard Radlinger 

when his wife Mary Jane had just been 

admitted to an acute care facility after 

suffering a stroke. Rhonda said that 

Richard was full of questions and very 

worried: What did their insurance cover? 

How would he find the treatments his 

wife needed? How could he ever take 

Dr. Nili stated, “Some seniors are 

care of her on his own?

taking 10 to 12 different medications, 

so it can be very difficult to keep track 

of the interactions. My patients could 

be receiving prescriptions from other 

specialists, such as cardiologists and 

orthopedists, without my knowledge. 

As Richard explained, “You walk into 

that situation and you just don’t know 

where to turn, and that’s where I was. 

I’m the only caregiver. We’ve been 

married 48 years and I’m 73.”

Receiving a notification from Prescription 

Rhonda went to work immediately, 

Solutions alerts me to either switch 

helping to arrange proper speech, 

medications to a different group or to  

occupational and physical therapy in 

let the patient know there might be  

preparation for discharge from the 

side effects with specific combinations 

facility. She recommended home care 

of medications.” 

Research shows that the drug interaction 

alert system not only reduces the risk 

of adverse drug reactions and harm to 

patients, it provides significant savings 

to the health care system. Depending on 

the type and severity of drug interaction, 

the drug interaction alert system can 

potentially reduce medical costs up to 

$13,000 for treatment of a patient at risk.

for a time and helped expedite out-

patient speech therapy. Rhonda found 

answers to all their questions related to 

their insurance. She said, “I spent a lot 

of time with both of them throughout 

Ms. Radlinger’s stay, and at discharge 

he was comfortable with taking her 

home.” Rhonda admired their courage. 

“They are a really awesome couple 

who have been through a very difficult 

The admiration was mutual, as Richard 

stated, “I think the world of Rhonda. 

I’m not trying to unduly put a burden 

on anybody, but I can’t do all the stuff 

myself. The mental health of the 

caregiver is important, because it’s 

such a dramatic change in our lifestyles.  

Rhonda was a blessing to us. That’s all  

I can tell you.”   

Rhonda Burcham, RN, care manager, 
SecureHorizon’s Post Acute Transition Team, 
helps guide customers through a sometimes 
confusing health system.

315MpResCRiptiOns  

pROCesseD AnnUALLY BY  

pResCRiptiOn sOLUtiOns

www.ovationshealth.com

UnitedHealth Group 2009 Summary Annual Report

21

Transformative Technology

Information: the lifeblood of health care

information technology has  

Those kinds of records, combined with 

the power to transform health 

information on the activities of other 

care. UnitedHealth group built  

health consumers, allows Ingenix to 

a $2 billion business, ingenix, 

make important observations about how 

around that idea. ingenix is 

doctors practice medicine; what happens 

committed to using the power  

to the patients in their practice; why 

of health information and  

some patients get better and some don’t; 

analytics to help save lives, 

and the correlation of health outcomes 

improve care and modernize  

to how often physicians and other health 

the health care system.

care professionals do or do not follow 

To begin to address the inefficiencies 

evidence-based guidelines for care.

plaguing the health care system, Ingenix 

Ingenix organizes these vast data 

starts with large and robust resources of 

resources, analyzes the information and 

health care data, including 32 terabytes 

puts the results into action throughout 

of information covering more than  

the health care system — all while 

90 million people, and the performance 

ensuring that the privacy and security  

of 600,000 physicians and other health 

of patient information is protected.

care providers.

Health care information is abundant. 

Every time a person goes to a doctor’s 

office or a hospital, gets a lab result, 

orders a prescription or interacts with 

the health care system in any way, a 

record is created.

ingenix’s natural History  
of Disease solution 

Ingenix’s Natural History of Disease 

solution and its application to the 

analyses of diabetes provides one 

example of how this works. Ingenix 

looked at data — which had been 

Ingenix organizes these vast data resources, 
analyzes the information and puts the results  
into action throughout the health care system.

22

www.ingenix.com

UnitedHealth Group 2009 Summary Annual Report

23

Transformative Technology

Based on a person’s health profile, 
UnitedHealth Group can create a 
personalized blueprint for healthy living and 
customized outreach, including by telephone, 
direct mail, online and mobile device.

de-identified to protect individual 

their diagnosis. For example, Ingenix 

With the insights gained from this work, 

privacy — related to people suffering 

discovered that many of these patients 

Ingenix moves from being able to identify 

from diabetes. The company studied 

suffered either from insomnia or sleep 

and suggest treatment for patients with 

treatments that are successful and the 

apnea. The company found patients with 

pre-diabetes to helping treat people who 

results of non-treatment. Ingenix also 

these symptoms are 30 percent more 

are at risk for developing pre-diabetes. 

closely considered the factors leading 

likely to become diabetic in the future,  

Patients can be educated about potential 

up to the diagnosis of diabetes: What 

if nothing changes. Additionally,  

risks to their health much earlier, and 

characteristics did these people share? 

their chances of developing diabetes 

helped to take measures to protect 

What early warning signs might there be 

increases in the presence of obesity  

themselves, potentially reducing or 

that would enable health interventions 

or certain other signals. Ingenix looked  

avoiding the life-changing impacts of 

that would help patients in the future  

at patients from this group who went  

chronic disease. 

to avoid diabetes altogether? 

on to suffer from diabetes and those 

Research indicated an array of symptoms 

diabetes patients experience long before 

who did not — and the difference in  

how these two groups were treated.

Understanding these potential links and 
consequences is a powerful way to help improve 
health and dramatically reduce costs.

24

Ingenix can also compare the difference  

in the cost of caring for these patients. 

Because untreated diabetes is linked  

to cardiovascular disease, the cost 

difference between patients who follow 

their treatment plan and those who do 

not can be staggering. Understanding 

these potential links and consequences 

is a powerful way to help improve health 

e-mail, personal Web portals, fax and 

of actionable, high-priority steps that can 

and dramatically reduce costs.

mobile device. 

be taken to help a patient manage his or 

Based on average costs, the difference 

The eSync Platform constantly reviews 

in the cost of care for treated and 

data to identify opportunities to engage 

untreated patients for the group Ingenix 

with patients and care providers to help 

studied was more than $340 million per 

improve health. eSync concentrates  

year. Applied across the U.S. population, 

on four key areas: choosing the right  

that bill adds up to billions of dollars. 

provider, making decisions about the 

right care, taking the right medication 

her health. And at critical junctures in a 

patient’s care or in medical emergencies, 

eSync’s care provider and patient alerts 

and the integrated personal health 

information eSync has available online 

can make a crucial difference in a 

patient’s care.

the esync platformsM

To apply information and analytics 

capabilities and make them more relevant 

for individual patients and their care 

providers, as well as for UnitedHealth 

Group’s clinical engagement teams, 

OptumHealth worked with Ingenix to 

launch the eSync Platform.

eSync helps create a holistic view of a 

patient’s medical history by organizing an 

individual’s appropriate health care data, 

such as laboratory and claims information, 

prescription drug use and recent medical 

procedures and behavioral health, plus 

the information each person wishes to 

add about himself or herself and basic 

demographic information. 

Then, using each individual’s health 

profile, the eSync Platform creates a 

practical blueprint for healthy living that 

allows UnitedHealth Group to offer 

recommendations, opportunities to 

improve health and tips for healthy living.  

Outreach methods can be customized  

to fit patients’ and care providers’ needs, 

including telephone, direct mail, secure 

and engaging in the right lifestyle.

Today, OptumHealth is using eSync 

If needed, eSync also informs an 

OptumHealth personal care consultant 

to help deliver personalized health 

management programs to approximately 

22 million consumers.

Information matters

37%

CHAngeD  

pHYsiCiAns

Better Decisions: 37 percent of consumers in the 

treatment decision support program changed  

to a quality-rated physician best suited for their  

health needs.

Better Health: Quality-designated surgeons have a 23 percent lower 

rate of medical complications and a nearly 20 percent lower cost.  

64%

  ReDUCtiOn in 

ReADMissiOn RAtes

One specific example: UnitedHealth group  

has seen a 64 percent reduction in readmission  

rates when high-risk pregnant moms deliver  

at a Center of excellence.

Better Economics: transplant Centers  

of excellence produce a 57 percent lower 

average cost per transplant.

57%

  LOWeR AVeRAge COst 

peR tRAnspLAnt

www.optumhealth.com/eSync

UnitedHealth Group 2009 Summary Annual Report

25

Business Summary

UnitedHealth Group focuses on improving the nation’s health 

UnitedHealth Group has achieved 

care system, helping to make quality care more accessible 

market leadership by providing value  

to our customers through:

and affordable for all Americans. Our family of businesses 

•  A sustained focus on advancing  

today provides more than 70 million individuals with a highly 

diversified and comprehensive array of health and well-being 

health and well-being;

•  A commitment to operational 

excellence;

products and services. We are dedicated to helping people 

• Product and service innovation; 

live healthier lives.

By developing innovative solutions to the 

care landscape and make important 

challenges of health care and harnessing 

health and lifestyle decisions.

•  Advancement of practical technology 

applications to engage consumers and 

simplify the health care experience; 

•  The analytic use of information to 

enhance service, quality and patient 

the power of modern technology, we 

create new health care options for 

customers. Our products and services 

expand consumer choice, engage people 

more directly in their own health care and 

strengthen patient-physician relationships. 

Through our extensive network of health 

safety; 

care providers and facilities, we purchase 

more than $120 billion in health care  

per year for our customers from roughly 

700,000 physicians and other care 

providers, 5,200 hospitals and all major 

•  Support of science as the cornerstone 

of optimum health care delivery; and

•  Diversification of businesses and 

product offerings.

We offer health benefits in the 

drug and device companies. We process 

At UnitedHealth Group, we value the 

commercial market for employer and 

more than 800 million claims, respond to 

personal nature of our relationship with 

individual customers, and hold market 

more than 80 million phone calls, execute 

our customers, understanding that 

leading positions in the public and senior 

more than three quarters of a billion 

individuals and families often rely on our 

sectors. We provide health services 

Internet transactions and support more 

services at crucial moments in their lives. 

to the participants in the health care 

than 24 million electronic personal health 

system itself, ranging from employers 

records. We maintain the only major 

and health plans, to physicians and life 

chartered health care bank, manage 

sciences companies. 

We are a valuable partner in supporting 

the health and financial needs of our 

customers, and we serve as a trusted 

source of information for patients as 

they navigate today’s complex health 

almost $1 billion in assets, service nearly 

2 million consumer health care accounts, 

and process $36 billion in electronic pay-

ments to providers annually. Our health 

care data assets are some of the most 

robust in the nation.

Because health care is delivered and 

accessed locally by the people we serve, 

UnitedHealth Group closely aligns our 

businesses with local communities 

and markets. This focus, combined 

with the company’s national scale and 

breadth of resources, provides effective, 

responsive health care service, greater 

access and higher quality coast-to-coast.

Fast facts

$120B

        in HeALtH CARe  

pURCHAseD peR YeAR

26

www.unitedhealthgroup.com

700,000

pHYsiCiAns & CARe pROViDeRs  
in netWORk

5,200 

HOspitALs in netWORk

Our strong capital structure and asset 

base enable us to invest in research 

and development activities, which in 

turn stimulate business innovation and 

opportunity while providing stability 

and security for customers, business 

partners and our investors.

UnitedHealth Group performed well 

in 2009 with just over $87 billion in 

revenues — 7 percent year-over-year 

growth — and earnings of $3.24 per 

share. Satisfaction levels improved for 

every key constituency — consumers, 

physicians and other care providers; 

employers and benefit sponsors; and 

brokers and consultants.

We managed through many unforeseen 

obstacles to achieve these results, 

including significantly higher unemploy-

ment, anemic short-term investment 

yields, the H1N1 outbreak, slower 

buying behaviors in the market for health 

Health Benefits

in 2009, revenues in Health Benefits increased $5.5 billion, or 7 percent, to  

$81.3 billion, driven by the addition of nearly 1.1 million customers across 

the public and senior markets, as well as rate increases reflecting underlying 

medical cost trends. this growth was offset by a decrease of 1.7 million people 

served in the commercial benefits market, reflecting the significant decline  

in U.s. employment in 2009. Health Benefits earnings from operations for the  

full year were $4.8 billion. 

•  Services that empower consumers  

to take active control of their health 

care needs and drive down costs; and

•  Meaningful economic discounts and 

innovative clinical advocacy programs 

that promote quality care. 

In 2009, UnitedHealthcare posted  

a gain of 115,000 people participating  

in consumer-driven health plans, 

strengthening its position as the leader 

in the consumer-driven health plan 

services, COBRA benefit extensions, 

More than 24 million customers 

market segment. 

unexpected state tax actions on 

insurance premiums and more.

While cautious about the expected  

economic recovery and the uncertainty 

surrounding health reform, we are  

well positioned to capture the growth 

opportunities that are likely to accompany 

receive a comprehensive array of 

consumer-oriented health benefit plans 

and services from UnitedHealthcare, 

which serves the full spectrum of the 

commercial benefits market, from 

individual consumers to Fortune 500 

companies. 

the continuing modernization of the U.S. 

UnitedHealthcare’s national scale allows 

Initiatives like UnitedHealthcare’s 

Premium® designation program drive 

better and more efficient health decisions 

by encouraging use of physicians who 

meet quality and efficiency standards 

through benefit design incentives. 

health care system. 

We also continue to expand internationally 

in select markets as other industrialized 

nations confront challenges similar to 

those UnitedHealth Group helps resolve 

for Americans.

it to provide employers and consumers 

innovative, personalized and cost-effective 

solutions geared toward their changing 

health care needs. These include:

•  Consumer-driven health plans; 

•  Flexible benefit plans, like the  

Multi-Choice suite of offerings tailored 

to meet the needs of small businesses; 

Delivering a comprehensive 
array of consumer-oriented 
health benefit plans and 
services to more than  
24 million customers.

www.uhc.com

UnitedHealth Group 2009 Summary Annual Report

27

 
Business Summary

SimplyEngaged ® is a product for mid-

sized employers who are seeking to 

engage employees in their own health 

care and promote personal accountability. 

It includes a national biometric screening 

network and reinforces the value of 

healthy actions and outcomes through 

financial incentives and increased 

consumer awareness. 

Ovations is the largest business in 

UnitedHealthcare leverages consumer-

America dedicated to the health and 

centric innovations to integrate clinical, 

well-being of individuals over the age  

behavioral, financial, administrative and 

of 50 — the fastest growing segment  

claims data in practical ways. 

of the health care market. 

on customers and affordability. The 

company has a deep understanding of 

its customers’ needs, and offers health 

benefit products that ensure predictability, 

stability and financial protection. Ovations 

offers its customers access to a broad 

network of doctors, individualized health 

and wellness programs, care coordination 

services and products explained in 

“plain language” that promote informed 

decision-making. The business has 

expanded its retail presence, improved 

relationships with brokers and bolstered 

its direct-sales channels. Ovations’ 

In 2009, UnitedHealthcare introduced 

Through a diversified range of products 

relationship with AARP is built not only on 

two new programs that illustrate the 

and services, the company makes it 

providing affordable, quality products, but 

company’s focus on personalized and 

easier for more than 8 million seniors — 

also on driving innovation and advances 

cost-effective care. The Diabetes Health 

or one in five Medicare beneficiaries —  

in the delivery of senior health services. 

Plan is a first-of-its-kind benefit program 

to manage their health care needs.

that gives people with diabetes and pre-

diabetes tools designed to help them 

avoid the complications of the disease. 

The plan focuses on early identification 

of diabetes and provides incentives for 

patients to follow a health care plan that 

lessens its effects. 

Ovations is a market leader in delivering 

Medicare Advantage health benefits 

products, serving nearly 1.8 million people 

across the United States. In association 

with AARP, the company serves nearly  

4 million people with specialized pro-

ducts for the senior health care market, 

Making it easier for more 
than 8 million seniors —  
or one in five Medicare 
beneficiaries — to manage 
their health care needs.

The second new program is Patient 

including operating the nation’s largest 

Centered Medical Home, which creates 

Medicare Supplement business. It also  

a close partnership between patients 

is the nation’s largest Medicare Part D 

and physicians to improve con sumer 

pre scription drug plan provider, serving  

access and quality at lower cost.  

4.3 million individuals on a stand-alone 

Patient Centered Medical Homes use 

basis and another 1.6 million through 

Ovations delivers affordability through  

a combination of effective medical man-

agement and administrative discipline.  

It has a 20-year track record of proficient 

adaptability to market and competitive 

the latest health-information technology 

Medicare Advantage Part D plans.  

challenges. 

to ensure people receive comprehensive, 

In addition, the business is a national 

coordinated and information-based  

leader in providing health care planning, 

care from their primary care physicians, 

coordination and benefits to individuals 

rather than fragmented care from a 

residing in skilled-nursing facilities. 

•  Revenues grew $4.1 billion, or  

15 percent, to $32.1 billion in 2009.  

This strong growth included revenue 

advances in the Medicare Advantage, 

range of providers. 

Ovations’ success in the senior  

market is defined by an intense focus  

28

www.ovationshealth.com

Medicare Supplement and Part D 

AmeriChoice programs are specially 

chronic or end-of-life diseases, including 

prescription drug businesses. 

designed to address the complex  

the disabled and those living in a long-

Medicare Advantage enrollment 

set of medical and social needs that 

term care setting. 

increased 20 percent, or nearly 

confront this population, going beyond 

300,000 seniors, while the number  

the immediate medical issues to focus  

of seniors served by Medicare 

on the social, behavioral and economic 

Supplement products grew by  

barriers that impede healthier living. 

In 2009, AmeriChoice revenues of  

$8.4 billion increased $2.4 billion, or  

40 percent from 2008, driven by strong 

organic growth as well as the full  

6 percent or 140,000 individuals. At 

December 31, 2009, approximately  

4.3 million people participated in  

the company’s stand-alone Part D 

prescription drug plans, including 

growth of 240,000 people in 2009. 

Working with states, municipalities 

and other government agencies, 

AmeriChoice provides assistance  

to those Americans in greatest need 

— the economically disadvantaged,  

the medically underserved and those 

who lack access to employer-funded 

health care coverage. 

This business is focused on supporting 

and managing the health care needs 

for nearly 3 million Americans who turn 

to Medicaid and other public health 

programs for care. 

The cornerstone of the company’s 

year benefit of a mid-2008 acquisition. 

efforts is the AmeriChoice Personal 

Growth highlights in 2009 included 

Care Model™. This Personal Care Model 

expanding to Hawaii and completing 

program creates an ongoing relationship 

program implementations in Connecticut, 

between health care professionals and 

Tennessee and New Mexico. 

Focusing on supporting and 
managing the health care 
needs for nearly 3 million 
Americans who turn to 
Medicaid and other public 
health programs for care.

individuals with serious and chronic 

illnesses, including asthma, diabetes, 

congestive heart failure, HIV/AIDS, 

hypertension and high-risk pregnancies. 

The Personal Care Model provides 

outreach and education programs to 

help patients and their families manage 

these conditions. Other long-term 

care programs focus on dementia, 

depression, coronary disease and 

functional deficiencies. 

The company also offers government 

agencies a broad array of management 

tools designed to help them effectively 

administer their distinctive health care 

delivery systems. These include clinical-

care management and consulting, 

disease and conditions management, and 

administrative and technological services.

AmeriChoice expanded beyond its 

traditional focus on mothers and children 

by differentiating its programs across 

three other primary groups: low-income 

families, childless adults and people with 

www.americhoice.com

UnitedHealth Group 2009 Summary Annual Report

29

Business Summary

Health Services 

in 2009, Health services combined revenues increased $2.5 billion, or 13 percent, 

to $21.8 billion. the revenue advance was driven by strong growth in consumers 

served, particularly through pharmaceutical benefit management programs,  

as well as higher revenues from public sector specialty benefit offerings and 

health care technology software and services. Health services earnings from 

operations for the full year were $1.6 billion.

• Complex condition management;

synchronized approach that allows 

OptumHealth to leverage many different 

types of outreach, including telephonic, 

fax, text messaging, mail, e-mail and 

personal Web portals. 

OptumHealth Financial Services 

operates the only major bank dedicated 

exclusively to the health care industry. 

OptumHealth is also a leader in the 

promotion of paperless payment and 

statement solutions. The company 

• Physical health networks; 

connects almost 500,000 health care 

•  Mental health and substance abuse 

management; and

• Employee assistance programs. 

Through myoptumhealth.com, as well 

as more than 1,500 private health portals 

(serving 36 million consumers), the 

company is also a leading provider of 

consumer health information. Every 

day, thousands of calls are received 

by OptumHealth’s NurseLineSM and 

employee assistance programs, which 

provide customers with personalized 

health and wellness information.

OptumHealth’s innovative eSync 

PlatformSM is a cutting-edge clinical tech-

nology capability. It provides a holistic 

view of a patient’s medical history by 

combining all pertinent data, such as  

providers and electronically transmits 

more than $3 billion of claim payments 

per month.

Providing health  
information and services 
through four businesses — 
Care Solutions, Financial 
Services, Behavioral Solutions 
and Specialty Benefits.

In 2009, OptumHealth continued to 

identify new ways to integrate its robust 

product offerings, while creating a more 

personal ized patient experience and 

closely partnering with care providers. 

The result is a meaningful and powerful 

lab and claims information, prescription 

consumer franchise that is serving health 

drug use, recent medical procedures, 

needs for one out of every five Americans. 

OptumHealth provides essential  

health information and services to 

nearly 58 million Americans. 

Through its four businesses — Care 

Solutions, Financial Services, Behavioral 

Solutions and Specialty Benefits — 

OptumHealth helps Americans more 

effectively navigate the health care 

system, make better informed health 

decisions, finance their health care needs 

and access the best health services. 

OptumHealth is a recognized leader in:

•  Wellness, disease and care 

management programs; 

•  Care advocacy and decision support 

behavioral information and self-reported 

information. eSync’s analytic software 

pores through this data and proactively 

sends out care recommendations, 

reminders to schedule annual exams  

and information about upcoming 

medical procedures. It’s an integrated, 

In 2009, OptumHealth revenues 

increased $303 million, or 6 percent, 

to $5.5 billion. The year marked 

OptumHealth’s best overall external 

growth year in its history. 

services; 

 1.9M

      COnsUMeR ACCOUnts 

seRVeD in 2009

30

www.optumhealth.com

OptumHealth’s public sector business 

advanced analytics to strengthen clinical 

350 federal and state agencies and  

continued to grow strongly in 2009, 

decision support, expand the use of health 

135 United Kingdom government payers.

with significant new sales for services, 

information technology, improve health 

including five state programs serving 

care administration — and ultimately help 

a total of nearly 1 million people. 

to improve health outcomes.

Over the past decade, revenue growth 

for Ingenix has averaged approximately 

20 percent annually. Market demand 

OptumHealth Financial Services ended 

the year serving 1.9 million consumer 

accounts, up 10 percent from 2008. 

Assets under management grew  

31 percent to $860 million in 2009. 

In 2009, Ingenix brought its ability to 

for many of Ingenix services is on the 

innovate and its commitment to health 

rise with innovation driving growth. The 

privacy and security to an array of 

American Recovery and Reinvestment 

opportunities to address major health 

Act of 2009 is already accelerating 

care outcomes and economics issues for 

demand for industry-leading health care 

clients. With more than 10,000 knowledge 

technology like Ingenix CareTracker, 

workers in more than 50 countries, Ingenix 

Ingenix’s Web-based solution that 

made an impact in some important 

modernizes and integrates all the 

arenas, including:

•   Administrative simplification;

functions of a physician practice, 

including electronic health records.

•  Electronic health records and health 

information exchanges;

•  Clinical decision support and analytics;

•  Performance management and 

consumer transparency;

•  Risk management, trend forecasting 

and underwriting;

•  Comparative effectiveness research;

As one of the largest global  

health information technology and 

consulting companies in the world, 

Ingenix is a leading supplier of 

information-based solutions to the 

•  Public health policy analysis; and

•  Clinical and information services for life 

sciences companies, improving clinical 

effectiveness, safety and outcomes. 

CareTracker modernizes  
and integrates all the 
functions of a physician 
practice, including electronic 
health records. 

In collaboration with Intuit, a leader 

in financial software, Ingenix helped 

develop the Quicken Health Expense 

TrackerSM, combining Intuit’s experience 

building consumer-friendly financial 

health care market. 

Included are those who diagnose and 

treat patients (doctors and hospitals), 

those who develop cures for disease 

(the life sciences industry) and those 

who pay for care (governments, com-

mercial health plans and employers). 

Relying on vast and robust health 

information resources, including  

32 terabytes of information covering  

the health experiences of more than  

90 million people, Ingenix uses the 

power of health information and 

Ingenix offers clients software, services, 

consulting and outsourcing solutions. 

These solutions are provided to nearly 

management tools with innovative 

Ingenix health care technology and 

experience. This Web-based tool 

every major participant in the U.S. health 

guides consumers through the process 

care system and a growing number of 

international systems. Clients include 

of understanding and managing their 

health care finances. Quicken Health 

approximately 6,000 hospitals, 245,000 

Expense Tracker will be widely available 

physicians, 2,000 health care payers and 

to UnitedHealthcare customers in 2010 

other intermediaries, 200 Fortune 500 

through their personalized myuhc.com 

companies, 655 life sciences companies, 

Web portals.

www.ingenix.com

UnitedHealth Group 2009 Summary Annual Report

31

Business Summary

In 2009, The Lewin Group® launched its 

comparative effectiveness research, 

and Associates for its mail-pharmacy 

Center for Comparative Effectiveness 

international markets and electronic 

service, and is the only PBM to receive 

Research, formed to meet the growing 

health records.

Continuing pressure to reduce health 

care costs and improve care quality  

is expected to create new demand for 

Ingenix’s solutions.

need for fact-based, comparative 

effectiveness research (CER) for use by 

policymakers, researchers, health care 

providers and others to improve patient 

care and optimize health care resources. 

Ingenix’s i3 business launched i3Cube™ 

in March 2009, an award-winning,  

integrated solution for managing all drug 

study activities in a centralized location 

on a single, user-friendly Adobe® platform. 

i3Cube brought a unique capability to  

the marketplace and has attracted the 

attention of clients embarking on projects 

across all phases of the drug develop-

ment research cycle. 

 17% 2009 ingenix  

 ReVenUe inCReAse

A new consumer Web site was launched 

Prescription Solutions is one of the 

in 2009 to offer customers enhanced 

largest pharmacy Benefit Managers 

functionality, simplified navigation and 

(pBMs) in the United states  

up-to-date information on medications, 

offering a comprehensive suite of 

as well as a real-time pricing tool for the 

pharmaceutical programs and 

growing Medicare Part D population.

consumer health products including 

retail, mail order, specialty pharmacy 

and clinical services. 

all four accreditations from URAC  

(a leading health care accreditation and 

education organization): Pharmacy 

Benefit Management, Drug Therapy 

Management, Mail Service Pharmacy 

and Specialty Pharmacy. 

Prescription Solutions’ mail order 

facilities provide customers with 

significant discounts versus typical 

retail drug stores. Its purchasing scale 

also allows it to supply customers with 

cost-effective brand name and generic 

drugs. Prescription Solutions generic 

penetration rate is nearly 70 percent,  

the highest among major PBMs. 

In 2009, Prescription Solutions revenues 

of $14.5 billion grew $1.9 billion, or  

15 percent, driven by strong growth  

in consumers served, script volume 

growth and steady gains in mail service 

drug fulfillment. 

Over the past three years, revenue  

has increased from $13.2 billion to  

$14.5 billion and the number of custom-

ers served grew from 10.3 million to  

11 million during the same period.

 15% 2009 ReVenUe gROWtH

In 2009, Ingenix also made several 

strategic acquisitions. In June, Ingenix 

acquired AIM Healthcare Services, Inc., a 

leading provider of health care payment 

solutions in all 50 states. In November, 

Ingenix acquired CareMedic Services, 

Inc., a company known for its innovation 

in hospital revenue cycle management. 

Serving 11 million people 
nationwide and processing 
approximately 315 million 
adjusted prescriptions 
annually. 

Ingenix increased revenues by  

Prescription Solutions serves 11 million 

$271 million, or 17 percent, to $1.8 billion 

people nationwide and processes 

in 2009. The year included significant 

approximately 315 million adjusted 

investments in new solutions related to 

prescriptions annually. The company has 

payment and revenue cycle management, 

twice been recognized by J. D. Power 

32

www.prescriptionsolutions.com

Foundations

To increase access to health care 

for underserved communities, the 

Foundation’s Community Health 

Centers of Excellence initiative 

supports community clinics that are part 

of our nation’s health care safety net. 

Five health centers, in New Orleans, 

Miami, New York City and Washington, 

D.C., provide care equal to or better than 

care available by private-sector health 

care facilities, despite challenges unique 

to their locations. 

The goal of the Foundation’s Diverse 

Scholars Initiative is to increase  

the number of qualified, yet under-

represented, college graduates entering 

the health workforce. Scholarships 

support hundreds of low-income 

minority students pursuing degrees  

in the health field. The development  

of health professionals from diverse, 

multicultural backgrounds will help 

The United Health Foundation is a not for 

profit, private foundation that provides 

actionable information to support deci-

sions that lead to better health outcomes 

and healthier communities. Established 

by UnitedHealth Group in 1999, the 

Foundation has committed more than 

$170 million to improve health and health 

care. Following are examples of its  

program initiatives: 

The United Health Foundation’s 

improve the quality of culturally 

Children who have medical needs are 

sometimes not insured comprehensively 

for all of their medical treatments. There 

are few places for families who have 

gaps in their commercial health benefit 

plan coverage to turn to for funding 

medically necessary services for their 

children. As a result, children may go 

without necessary treatment, or they 

receive needed care while their families 

assume large financial obligations. 

America’s Health Rankings ® is an 

competent health care and help close 

That’s where the UnitedHealthcare 

annual state-by-state assessment of  

the health disparities gap. 

the nation’s health. In collaboration with 

the American Public Health Association 

and Partnership for Prevention, for nearly 

two decades America’s Health Rankings 

has provided communities and individuals 

with data that has spurred innovative 

thinking and action to strengthen our 

nation’s health. 

Pictured above: Daughters of Charity 
Health Center at St. Cecilia (New Orleans, 
La.) participates in the United Health 
Foundation’s Community Health Centers  
of Excellence initiative. 

(Photo taken as part of a documentary book  
project on community health centers sponsored  
by the United Health Foundation.)

The Foundation collaborates with health 

research agencies, medical specialty 

societies and others to translate science 

into practice and helps make reliable 

Children’s Foundation (UHCCF) helps fill 

the gap. Established in 1999, UHCCF has 

provided grants to hundreds of children 

and their families to offset the cost of 

medical care. 

medical evidence available to physicians 

UHCCF is funded by contributions from 

and other care providers. Through 

Advancing Clinical Excellence,  

the United Health Foundation helps 

UnitedHealth Group and its employees, 

as well as the generosity of individuals 

and corporations. To learn more about 

physi cians and other health professionals 

the UnitedHealthcare Children’s 

achieve the best possible health out-

Foundation, visit www.uhccf.org. 

comes for their patients. 

To learn more about the  

United Health Foundation, go to  

www.unitedhealthfoundation.org. 

Pictured above: UnitedHealthcare  
Children’s Foundation grant recipient  
Liam Wolf and his dad.

www.unitedhealthfoundation.org

www.uhccf.org

UnitedHealth Group 2009 Summary Annual Report

33

2009 Financial Results

UnitedHealth Group Highlights 

•  UnitedHealth Group achieved business growth across each of its reporting segments and generated 

earnings from operations of $6.4 billion. 

• Diluted net earnings per common share were $3.24. 

• Revenues were $87.1 billion. 

• Cash flows from operations reached $5.6 billion, representing 147 percent of 2009 net earnings. 

•  The challenging economic environment in the United States during 2009 exerted pressure on growth, 

product pricing and margins for UnitedHealth Group. 

The 2009 financial results on pages 34 through 37 should be read together with the consolidated financial statements  

and notes in the 2009 Annual Report on Form 10-K. The 2009 Annual Report on Form 10-K is an integral part of this 

summary annual report. 

(dollars in millions, except per share data)
Year ended December 31  

Consolidated Operating Results
Revenues  
Earnings from operations  
Net earnings  
Return on shareholders’ equity 
Basic net earnings per common share  
Diluted net earnings per common share  
Common stock dividends per share  

Consolidated Cash Flows From (Used For)
Operating activities  
Investing activities  
Financing activities  

Consolidated Financial Condition
As of December 31

Cash and investments  
Total assets 
Total commercial paper and long-term debt  
Shareholders’ equity  
Debt-to-total-capital ratio 

2009  

2008  

2007  

2006  

2005

$87,138 
$  6,359 
$  3,822 

$81,186 
$  5,263 
$  2,977 

$75,431  
$  7,849  
$  4,654  

$71,542  
$  6,984  
$  4,159  

$46,425
$  5,080
$  3,083

17.3% 

14.9% 

22.4% 

22.2% 

25.2%

$    3.27 
$    3.24 
$    .030 

$    2.45 
$    2.40 
$    .030 

$    3.55  
$    3.42  
$    .030  

$    3.09  
$    2.97  
$    .030  

$    2.44
$    2.31
$    .015

$  5,625 
$    (976) 
$ (2,275) 

$  4,238 
$ (5,072) 
$    (605) 

$  5,877  
$ (4,147)  
$ (3,185)  

$  6,526  
$ (2,101)  
$     474  

$  4,083
$ (3,489)
$     836

$24,350 
$59,045 
$11,173 
$23,606 

$21,575  
$55,815  
$12,794  
$20,780  

$22,286  
$50,899  
$11,009  
$20,063  

$20,582 
$48,320 
$  7,456 
$20,810 

$14,982
$41,288
$  7,095
$17,815

32.1% 

38.1% 

35.4% 

26.4% 

28.5%

34

Revenues
(in millions)

$87,138

$81,186

$75,431

$71,542

$46,425

05

06

07

08

09

Earnings From Operations
(in millions)

$7,849

$6,984

$6,359

$5,080

$5,263

Operating Margin

10.9%

10.4%

9.8%

7.3%

6.5%

05

06

07

08

09

05

06

07

08

09

Cash Flows From Operations
(in millions)

Diluted Earnings Per Share

$6,526

$5,877

$5,625

$4,083

$4,238

$3.42

$2.97

$3.24

$2.31

$2.40

05

06

07

08

09

05

06

07

08

09

UnitedHealth Group 2009 Summary Annual Report

35

2009 Financial Results

Health Benefits

(includes UnitedHealthcare, Ovations and AmeriChoice)

•  UnitedHealthcare revenues of $40.8 billion decreased by 2 percent in 2009 primarily due to a 7 percent year-over-year  
decrease in total people served, partially offset by premium rate increases. Employment attrition at continuing clients 
contributed 55 percent of the total decrease in people served during the year.

•  Ovations revenues were $32.1 billion, an increase of $4.1 billion, or 15 percent, compared to 2008 driven by an increase  
in individuals served across each major senior health care product category including Medicare Advantage, standardized 
Medicare Supplement offerings and Medicare Part D, as well as premium rate increases. In total, Ovations brought services 
to an additional 675,000 seniors in 2009.  

•  AmeriChoice revenues of $8.4 billion in 2009 increased by $2.4 billion, or 40 percent, year-over-year primarily due to organic 
growth in individuals served. Risk-based Medicaid programs organically grew by 24 percent or 565,000 individuals during 
the year to 2.9 million people. 

Health Services 

OptumHealth

•  OptumHealth revenues of $5.5 billion increased $303 million, or 6 percent, over 2008 primarily due to new business 

development in large-scale public sector care management and behavioral health programs for state clients, partially offset 
by a decline in people served in commercial products.

•  Growth in public sector business included new sales for services commencing in 2009 or 2010 to five state programs 

serving a total of nearly 1 million people.  

•  OptumHealth Financial Services grew its connectivity network to more than 500,000 physicians and care providers in 2009 
and electronically transmitted $36 billion in medical payments to them, a year-over-year increase of 36 percent. Assets under 
management in health-linked savings and investment accounts reached $860 million, an increase of 31 percent over 2008.

Ingenix 

•  Ingenix provides services in more than 50 countries and serves virtually every category of participant in the U.S. health system. 

•  Revenues for Ingenix increased $271 million, or 17 percent, during 2009 to $1.8 billion primarily due to organic growth in new 

payer business and new internal service offerings.

•  The Ingenix contract revenue backlog grew $380 million, or 21 percent, during 2009 to $2.2 billion, led by growth in the 

government and payer sectors.

Prescription Solutions

•  Prescription Solutions 2009 revenues of $14.5 billion grew $1.9 billion, or 15 percent, year-over-year due to strong growth  

in consumers served through Medicare Part D prescription drug plans.

•  During the year, Prescription Solutions processed approximately 315 million adjusted scripts for 11 million individuals. 

•  Generic prescriptions reached nearly 70 percent of all scripts filled by Prescription Solutions by the fourth quarter 2009,  

an increase of 160 basis points year-over-year. The expanded use of generics increases the affordability of health care and 
also increases earnings from operations at Prescription Solutions. 

36

Revenues
(in millions)

earnings From Operations
(in millions)

Operating Margin

Health Benefits

$81,341

$75,857

$67,817

$71,199

$44,119

$6,595

$5,860

$4,376

$5,068

$4,788

9.9%

9.3%

8.6%

6.7%

5.9%

05

06

07

08

09

05

06

07

08

09

05

06

07

08

09

OptumHealth

$5,225

$4,921

$5,528

$4,342

$3,127

$895

$809

$718

$636

$574

18.4% 18.6% 18.2%

13.7%

11.5%

05

06

07

08

09

05

06

07

08

09

05

06

07

08

09

Ingenix 

$1,823

$1,552

$1,304

$956

$796

$266

$246

$229

$176

$130

20.4%

18.4%

16.3%

14.8%

13.5%

05

06

07

08

09

05

06

07

08

09

05

06

07

08

09

Prescription Solutions

$14,452

$13,249

$12,573

$689

4.8%

$4,084

$78

05

06

07

08

09

$363

$269

$139

3.4%

2.9%

2.0%

$0

05

06

07

08

09

05

06

07

08

09

NM*

*Not Meaningful

UnitedHealth Group 2009 Summary Annual Report

37

Officers and Board Members

Reed V. Tuckson, M.D. 
Executive Vice President  

and Chief of Medical Affairs 

Christopher J. Walsh
Executive Vice President  

and General Counsel

Anthony Welters 
Executive Vice President  

and President,  

Public and Senior Markets Group 

David S. Wichmann 
Executive Vice President  

and President,  

UnitedHealth Group Operations 

Mitchell E. Zamoff 
Executive Vice President  

and General Counsel

Board of Directors 

William C. Ballard, Jr. 
Former Of Counsel,  

Greenebaum Doll & McDonald PLLC 

Richard T. Burke 
Non-Executive Chairman,  

UnitedHealth Group 

Robert J. Darretta 
Retired Vice Chairman  

and Chief Financial Officer,  

Johnson & Johnson 

Stephen J. Hemsley 
President and  

Chief Executive Officer,  

UnitedHealth Group 

Michele J. Hooper 
President and  

Chief Executive Officer, 

The Directors’ Council

Douglas W. Leatherdale 
Retired Chairman  

and Chief Executive Officer,  

The St. Paul Companies, Inc. 

Glenn M. Renwick 
President and  

Chief Executive Officer,  

The Progressive Corporation 

Kenneth I. Shine, M.D. 
Executive Vice Chancellor  

for Health Affairs,  

The University of Texas System 

Gail R. Wilensky, Ph.D. 
Senior Fellow,  
Project HOPE 

Audit Committee 

William C. Ballard, Jr., Chair 

Robert J. Darretta 

Glenn M. Renwick 

Nominating and  
Corporate Governance Committee 

Michele J. Hooper, Chair 

William C. Ballard, Jr. 

Douglas W. Leatherdale 

Compensation and  
Human Resources Committee

Douglas W. Leatherdale, Chair

Robert J. Darretta

Gail R. Wilensky, Ph.D.

Public Policy Strategies  
and Responsibility Committee

Gail R. Wilensky, Ph.D., Chair

Michele J. Hooper

Kenneth I. Shine, M.D.

Officers and Leaders 

Stephen J. Hemsley 
President and  

Chief Executive Officer 

Gail K. Boudreaux 
Executive Vice President  

and President,  

UnitedHealthcare 

G. Mike Mikan 
Executive Vice President  

and Chief Financial Officer 

William A. Munsell 
Executive Vice President  

and President,  
Enterprise Services Group 

Don Nathan 
Senior Vice President and 

Chief Communications Officer 

John S. Penshorn 
Senior Vice President,  

Capital Markets Communications  

and Strategy 

Eric S. Rangen 
Senior Vice President  

and Chief Accounting Officer 

Larry C. Renfro 
Executive Vice President  

and Chief Executive Officer,  

Public and Senior Markets Group 

Jeannine M. Rivet 
Executive Vice President 

Simon Stevens 
Executive Vice President  

and President,  

Global Health 

Lori K. Sweere 
Executive Vice President,  

Human Capital 

38

Forward-Looking Statements

This Summary Annual Report may contain statements, estimates, 

changes in Medicare; potential reductions in revenue received from 

projections, guidance or outlook that constitute “forward-looking” 

Medicare and Medicaid programs, including as a result of reduced 

statements as defined under U.S. federal securities laws.  Generally 

payments to private plans offering Medicare Advantage; our ability  

the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” 

to execute contracts on competitive terms with physicians, hospitals 

“plan,” “project,” “should” and similar expressions identify forward-

and other service professionals; our ability to attract, retain and provide 

looking statements, which generally are not historical in nature.  

support to a network of independent third party brokers, consultants 

These statements may contain information about financial prospects, 

and agents; failure to comply with restrictions on patient privacy and 

economic conditions, trends and uncertainties and involve risks and 

data security regulations; events that may negatively affect our contracts 

uncertainties. We caution that actual results could differ materially  

with AARP; increases in costs and other liabilities associated with 

from those that management expects, depending on the outcome  

increased litigation; possible impairment of the value of our intangible 

of certain factors. Some factors that could cause results to differ 

assets if future results do not adequately support goodwill and intangible 

materially from the forward-looking statements include: the outcome 

assets recorded for businesses that we acquire; increases in health care 

of proposed health care reform, which could materially adversely affect 

costs resulting from large-scale medical emergencies; failure to maintain 

our revenues, financial position and results of operations, including 

effective and efficient information systems; misappropriation of our 

increasing our costs, subjecting us to new and potentially significant 

proprietary technology; our ability to obtain sufficient funds from our 

taxes, exposing us to expanded liability, requiring us to revise the ways 

regulated subsidiaries to fund our obligations; failure to complete or 

in which we conduct business or putting us at risk for loss of business 

receive anticipated benefits of acquisitions; potential downgrades in 

(our financial outlook does not account for any potential impact of 

our credit ratings; and failure to achieve targeted operating cost 

health care reform on our businesses); our ability to effectively estimate, 

productivity improvements, including savings resulting from technology 

price for and manage our medical costs, including the impact of any 

enhancement and administrative modernization.

new coverage requirements; the potential impact that new laws or 

regulations or changes in existing laws or regulations or their enforce-

This list of important factors is not intended to be exhaustive.  

ment could have on our results of operations, financial position and 

A further list and description of some of these risks and uncertainties 

cash flows, including as a result of increases in medical, administrative, 

can be found in our reports filed with the Securities and Exchange 

technology or other costs resulting from federal and state regulations 

Commission from time to time, including the cautionary statements  

affecting the health care industry; the potential impact of adverse 

in our annual reports on Form 10-K, quarterly reports on Form 10-Q  

economic conditions on our revenues (including decreases in 

and current reports on Form 8-K. Any or all forward-looking statements 

enrollment resulting from increases in the unemployment rate and 

we make may turn out to be wrong. You should not place undue 

commercial attrition) and results of operations; regulatory and  

reliance on forward-looking statements, which speak only as of the 

other risks and uncertainties associated with the pharmacy benefits 

date they are made. We do not undertake to update or revise any 

management industry; competitive pressures, which could affect our 

forward-looking statements.

ability to maintain or increase our market share; uncertainties regarding 

UnitedHealth Group 2009 Summary Annual Report

39

Investor Information

Market price of common stock

Investor relations

The following table shows the range of high and low sales prices 
for the company’s common stock as reported by the New York 
Stock Exchange, where it trades under the symbol UNH. These 
prices do not include commissions or fees associated with 
purchasing or selling this security.

high 

low

2010
First Quarter thru February 3, 2010 

$36.07 

$30.97

2009
First Quarter 
Second Quarter 
Third Quarter 
Fourth Quarter  

2008
First Quarter 
Second Quarter 
Third Quarter 
Fourth Quarter  

$30.25 
$29.69 
$30.00 
$33.25 

$57.86 
$38.33 
$33.49 
$27.31 

$16.18
$19.85
$23.69
$23.50

$33.57
$25.50
$21.00
$14.51

You can contact UnitedHealth Group Investor Relations to order, 
without charge, financial documents such as the Annual Report  
on Form 10-K and the Summary Annual Report.

You can write to us at: 
Investor Relations, MN008-T930 
UnitedHealth Group 
P.O. Box 1459 
Minneapolis, Minnesota 55440-1459

You can also obtain information about UnitedHealth Group  
and its businesses, including financial documents, online at  
www.unitedhealthgroup.com.

Annual meeting

We invite UnitedHealth Group shareholders to attend our annual 
meeting, which will be held on Monday, May 24, 2010, 12:00 p.m. 
Central Time at the Sheraton Overland Park Hotel at the 
Convention Center, 6100 College Boulevard, Overland Park, 
Kansas. You will need to bring your admission card with you to the 
annual meeting in order to be admitted.

As of February 3, 2010, the company had 18,145 shareholders of record.

Common stock dividends

UnitedHealth Group’s Board of Directors regularly reviews the 
company’s financial statements and decides whether it is advisable 
to declare a dividend on the outstanding shares of common stock. 
The Board of Directors has declared the following dividends in 
2009 and 2010: Shareholders of record on April 2, 2009, received 
an annual dividend for 2009 of $0.03 per share, which was  
paid on April 16, 2009; shareholders of record on April 6, 2010,  
received an annual dividend of $0.03 per share, which will be paid  
on April 20, 2010. 

Shareholder account questions

Our transfer agent, Wells Fargo Shareowner Services, can help 
you with a variety of shareholder-related services, including:

• Change of address 
• Lost stock certificates 
• Transfer of stock to another person 
• Additional administrative services

You can write to them at: 
Wells Fargo Shareowner Services 
P.O. Box 64854 
St. Paul, Minnesota 55164-0854

Or you can call our transfer agent toll free at (800) 468-9716  
or locally at (651) 450-4064.

You can e-mail our transfer agent at: 
stocktransfer@wellsfargo.com

40

www.unitedhealthgroup.com/main/Investors.aspx

 
Table of contents

Introduction   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 1

Letter to Shareholders  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 2

Responsive, Efficient Service .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 6

Increasing Access   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 10

Containing Costs   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 14

Personalizing the Experience  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 16

Strengthening the  

Physician-Patient Relationship   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 18

Improving Quality  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 20

Transformative Technology   .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 22

Business Summary .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 26

Foundations  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 33

2009 Financial Results  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 34

Officers and Board Members  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 38

Forward-Looking Statements .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 39

Investor Information .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . 40

Mission and Values  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . inside back cover

The names and health information for individuals included in this report 
have been used with their express permission.

Our mission is to help people live healthier lives.

Mission statement 

We seek to enhance the performance of the health system and improve the 

overall health and well-being of the people we serve and their communities. 

We work with health care professionals and other key partners to expand access 

to quality health care so people get the care they need at an affordable price. 

We support the physician/patient relationship and empower people with the 

information, guidance and tools they need to make personal health choices  

and decisions. 

Our values 

We serve people through a value and performance culture based on integrity, 

quality, innovation, diversity and social responsibility. The best way we can satisfy 

the millions of people we serve — our customers and members, employees, 

shareholders and partners — is to execute on the fundamentals of our business  

to the very best of our abilities, each and every day. That means as an organization, 

we are accountable for adding value to the health care system. 

For more information on how our 80,000 people work to fulfill our mission every 

day, please see our Social Responsibility Report at  

www.unitedhealthgroup.com/2009-social-responsibility-report

10%

BV-COC-940655

BV-COC-940655

This annual report is printed on recycled 
papers certified by Bureau Veritas per FSC 
(Forest Stewardship Council) standards for 
Chain of Custody ensuring environmentally 
responsible, socially beneficial and 
economically viable forest management, 
and also uses reduced VOC (Volatile 
Organic Compounds) vegetable-based inks.

UnitedHealth Group 2009 Summary Annual Report

Modernizing Health Care

UnitedHealth Group Center
9900 Bren Road East
Minnetonka, Minnesota 55343

unitedhealthgroup.com

2009 Summary Annual Report

100-9409 4/10