CNA Financial Corp. made its CEO one of Chicago's $10 million executives for the second year in a row.
The Chicago-based business insurer paid CEO Thomas Motamed $10.7 million in cash, stock and other compensation in 2013, up from $10.6 million in 2012, according to the company proxy statement, issued yesterday.
Mr. Motamed, 65, earned a salary of $1 million, cash incentive pay of $3.75 million and stock awards of nearly $5 million plus more than $1 million in other compensation.
CNA's revenue and earnings have grown in the past two years as Mr. Motamed, who took over the company in 2009, has made progress on reshaping CNA from a general provider of insurance to a specialist in various, more profitable niches.
In the proxy, the board cited the company's higher earnings, improved underwriting profitability and success in hiking rates in justifying Mr. Motamed's incentive pay. He could have earned a maximum of $4 million in cash incentives and wound up making $3.75 million.
CNA is 90% owned by New York-based Loews Corp., controlled by the billionaire Tisch family. Two Tisches sit on CNA's board, but neither serves on the board's compensation committee.
Steve Daniels writes for Crain's Chicago Business, a sister publication of Business Insurance.