Karen Hanlon Takes Helm as Highmark Health President: A Leadership Journey Decades in the Making
In a significant leadership transition announced Wednesday, Karen Hanlon has been appointed as the new president of Highmark Health, effective immediately. While continuing in her role as Chief Operating Officer—a position she has held since 2018—Hanlon will now take on expanded responsibilities in steering one of America’s largest integrated health organizations. With 44,000 employees across Pennsylvania, Delaware, West Virginia, and New York, Highmark represents a major force in the healthcare landscape, and Hanlon’s appointment marks a pivotal moment in its evolution.
The promotion recognizes a remarkable career spanning over 25 years with the organization. Beginning at KPMG Peat Marwick, Hanlon joined Highmark’s finance team in 1997 and steadily climbed the ranks to become Chief Financial Officer in 2014. Her financial leadership has coincided with extraordinary growth—under her watch, Highmark’s annual revenue has nearly doubled from $17 billion to a projected $33 billion by 2025. This impressive trajectory speaks to both Hanlon’s financial acumen and her strategic vision for healthcare delivery. CEO David Holmberg praised her as “an exceptional leader with a deep understanding of both our organization and the health care industry,” highlighting the confidence the company has placed in her abilities during increasingly challenging times for healthcare providers and insurers nationwide.
Throughout her tenure, Hanlon has been instrumental in several transformative initiatives that have shaped Highmark’s strategic direction. She played a key role in implementing the organization’s “Living Health” strategy—a comprehensive approach to healthcare delivery that emphasizes personalized, proactive care models. Her leadership facilitated the successful transition of Gateway Health into Highmark Wholecare and oversaw the integration of the New York-based Health Now plan, expanding Highmark’s regional footprint. Perhaps most forward-looking was her oversight of Highmark’s collaboration with Google Cloud, a partnership aimed at enhancing digital customer experiences in an increasingly tech-driven healthcare environment. These accomplishments demonstrate Hanlon’s ability to navigate complex organizational changes while maintaining focus on improved patient outcomes and experiences.
Despite these successes, Hanlon’s new role comes at a challenging moment for Highmark Health. While the company reported substantial revenue of $16.5 billion and net income of $329 million for the first half of 2025, CFO Carl Daley has acknowledged “continued pressure on health plan results from higher-than-anticipated utilization” that is expected to persist. This reality reflects broader industry challenges, as healthcare organizations nationwide grapple with rising costs, changing utilization patterns, and the ongoing transformation of care delivery models. Highmark’s diversified structure—operating 14 hospitals in western Pennsylvania while providing health insurance to more than 7 million members—offers both advantages and complexities in navigating these industry headwinds. Hanlon’s dual experience in both financial management and operational leadership positions her uniquely to address these multifaceted challenges.
Beyond her corporate responsibilities, Hanlon has established herself as a respected figure in broader business and community circles. She serves on the board of directors for Federated Hermes Inc., a global investment manager, and participates in the Allegheny Conference on Community Development, demonstrating her commitment to regional economic development. Additionally, she chairs the audit committee for Penn State Health, further deepening her connections within Pennsylvania’s healthcare ecosystem. These external engagements reflect Hanlon’s holistic approach to leadership and her understanding that healthcare organizations must be deeply integrated with the communities they serve. Her comprehensive perspective will likely influence Highmark’s approach to addressing social determinants of health and community partnerships under her expanded leadership.
Hanlon’s promotion comes amid other significant leadership changes at Highmark, including the addition of Board Chair Greg Jordan, a former PNC executive, and Chief Information and Digital Officer Dr. Alistair Erskine, who joined from Emory Healthcare. These leadership appointments suggest a strategic reinforcement of Highmark’s executive team as it navigates industry disruption and seeks new opportunities for growth and innovation. As Hanlon steps into her expanded role, she faces the complex task of balancing financial sustainability with the organization’s mission to deliver exceptional healthcare experiences. With her deep institutional knowledge, proven track record of financial stewardship, and commitment to healthcare transformation, she represents continuity amid change—a steady hand guiding Highmark through healthcare’s evolving landscape while pursuing its vision of creating remarkable health experiences for all those it serves. As Holmberg noted, her appointment marks “the next step in Karen’s leadership journey”—a journey that will now help define Highmark’s future in a rapidly changing healthcare environment.
