UnitedHealth Cleans House

Hemsley -- who replaces a paper billionaire -- seems happy with his new job, anyway.

"I am especially pleased to have reached a new agreement that allows me to continue working with the finest group of employees anywhere," he announced. "The senior leaders of UnitedHealth Group are clearly aligned with our board in striving for the highest standards of governance and business practices, even as they continue to deliver operational excellence throughout the company."

Changes at the national level haven't helped the company, however. Notably, with Democrats gaining power in Congress, Medicare Part D could be reshaped.

The new drug benefit -- accused of helping health care companies more than senior citizens -- has been an important growth vehicle for UnitedHealth this year.

The company's stock tumbled 3.6% to $47.79 on Wednesday's developments. Humana (HUM Quote), another big Medicare player, fell even harder.

Clean Sweep

Meanwhile, UnitedHealth continues to overhaul its executive branch.

Mike Mikan replaces Patrick Erlandson as CFO. Mikan is a veteran UnitedHealth executive who most recently served as senior vice president of finance for the company.

Forrest Burke, already a top lawyer for many UnitedHealth divisions, will serve as acting general counsel of the entire company until a permanent replacement can be found. The company is hunting for a new person to head its HR department -- blamed for weak oversight of past option grants -- as well.