Executive Security Perks: Evolving Trends in a New Era of Risk

Executive Summary

As global volatility, political tension, public scrutiny, and physical and digital threats rise, companies across corporate America are increasingly prioritizing the safety of their top executives. Of course, this trend was further exacerbated when Brian Thompson, the former CEO of UnitedHealthcare, was fatally shot in December 2024. While it was once common for only high-profile executives to be regularly accompanied by security, the tragic death of Mr. Thompson, who was without security at the time of the incident, has forced companies to take heightened measures to protect their executives.

Publicly traded companies in the United States are required to disclose spending on executive perquisites that exceed values of $10,000, per rules set forth by the Securities and Exchange Commission (SEC). For years, critics balked at the idea of providing “lavish” perks to corporate executives, arguing they are often excessive and unnecessary. However, the discourse has since shifted following the unfortunate murder of Mr. Thompson and the evolving risk landscape. Today, boards are reassessing their security protocols amid emerging threats across various areas, including digital platforms and social media.

In this publication, Executive Security Perks: Evolving Trends in a New Era of Risk, Equilar provides a comprehensive analysis of how security, aircraft and automotive perquisites have evolved across the Equilar 500—the largest U.S. public companies by revenue. The Chertoff Group and Constellis offer independent commentary on the various threats facing executives today and actionable steps companies could take to develop a comprehensive security strategy.

Sharp Rise in Security Perks

The most notable trend is the dramatic growth in the prevalence of security perquisites across the Equilar 500. Services that fall under the security category include, but are not limited to, residential security (surveillance and alarm systems), personal security guards, and cybersecurity protections. From 2020 to 2024, the share of executives receiving security perks rose by 45.1%, climbing from 23.3% to 33.8%. CEOs in particular saw a nearly 48% increase over the study period. The trend is unsurprising considering the broader concerns about executive safety amid geopolitical instability, increasing cyber threats and the high public visibility of top leadership roles.

At the industry level, communication services companies led the way in security perk prevalence, reaching 65% in 2024. The technology sector, home to several prominent CEOs and executives, saw the most significant growth, with a 73.5% increase in prevalence since 2020. In contrast, the energy sector has maintained a steady prevalence of 25.8% throughout the study period.

Spending on security perquisites has also soared. The median value for security perks rose by 119.5% across the Equilar 500 from 2020 to 2024. CEOs received a median of $77,976 for security in 2024, while CFOs received $12,370. Other named executive officers (NEOs) saw an even more pronounced increase, as security perk spending for this group jumped 196.5% over five years. However, median spending for other NEOs was still much less than it was for CEOs in 2024, reaching $35,225. Communication services companies topped all industries in 2024, with median security spending surpassing $1 million. Even industries with historically lower security spending, like basic materials, saw significant jumps, up 575.9% since 2020.

Aircraft Perks Remain High and Stable

Aircraft perks, which are often provided in the interest of protecting executives and their families during travel, continue to be the most common perquisite among Equilar 500 CEOs, with 51.8% receiving them in 2024. Since 2022, the prevalence of aircraft perks has remained above 50% overall. Among industries, communication services once again led with a 75% prevalence rate in 2024, followed by healthcare and financial services, which saw relatively steady usage throughout the study period.

Spending on aircraft perks rose steadily from 2020 to 2023 before dipping slightly (-1.1%) in 2024. Despite the drop in 2024, CEO aircraft spending has surged by 76.7% since 2020. The median spend reached $444,658 in 2024 for communication services companies, the highest among all sectors. Overall, eight out of 10 industries increased aircraft spending, although technology and utilities were the exceptions, with decreases of 16.8% and 25.2%, respectively.

Automotive Perks See Modest Shifts

While security and aircraft perks have expanded sharply, automotive perks, such as a company car or chauffeur services, have remained relatively stable in terms of prevalence. The five-year median prevalence rate across the Equilar 500 stands at 45.6%.

Despite stable prevalence, median automotive spending has seen notable changes in some sectors. For example, energy companies increased median automotive spending by 405.4%, from $2,749 in 2020 to $13,893 in 2024. Communication services companies also saw a significant rise of 279.6%. However, industries like consumer cyclical, financial services and utilities reported decreases in median spending over the same period. Overall, median spending on automotive perks in 2024 remained modest, at $52,957.

As threats to executives become more complex and high-profile leaders face increased scrutiny, organizations are clearly rethinking their approach to the perks they offer to executives. Security and travel-related benefits, once seen as optional, are now essential elements of executive compensation packages. While some industries are adopting these perks more aggressively than others, it’s become apparent that executive security perks are more critical than ever before.

Methodology

Executive Security Perks: Evolving Trends in a New Era of Risk, an Equilar publication, details the prevalence and value of security, aircraft and automotive perquisites granted by Equilar 500 companies to named executive officers (NEOs), as disclosed in annual proxy statements. The Equilar 500 consists of the 500 largest, by reported revenue, U.S.-headquartered companies that trade on one of the three major U.S. stock exchanges (Nasdaq, NYSE or NYSE American). Fiscal year 2024 was defined by companies with a fiscal year ending between January 1, 2024 and December 31, 2024, and earlier years were defined similarly. The Chertoff Group and Constellis provide commentary and draw from real-world experience to highlight today’s most pressing executive security threats, and offer practical examples of how companies can build a comprehensive protection strategy.