The chairman and CEO of Liberty Mutual Insurance ended 2018 with a compensation bonus of more than $2 million.
According to information relayed on Liberty Mutual’s website, chief executive David Long’s total pay package for 2018 was $19.4 million – 14% more than the previous year. More than half of that amount ($10.7 million) was in the form of deferred compensation.
Long’s sizable bonus last year was attributed to Liberty Mutual’s lack of hurricane-related losses for the period, Boston Business Journal reported.
In 2017, the insurer made large payouts for several natural catastrophe events that summer and fall (such as Hurricane Harvey and Hurricane Maria), which led to the company barely making any profit. But 2018 lacked similar costly events, and the company’s net income jumped to more than $2 billion.
Liberty Mutual hands out bonuses to executives based on the company’s performance the year prior. Thanks to 2018’s favorable performance level, Long’s compensation pay for this year is expected to clock in at $1.37 million, compared to last year’s $1.29 million.
