Law Offices of Howard G. Smith Encourages SelectQuote Investors To Inquire About Securities Fraud Class Action

A class-action lawsuit has been filed against SelectQuote, Inc. (SLQT) investors who purchased securities between September 9, 2020, and May 1, 2025. The complaint alleges that the company made false and/or misleading statements about its business, operations, and prospects, including receiving illegal kickbacks and directing Medicare beneficiaries to certain insurers. The lawsuit seeks to recover losses incurred by investors. Those affected have until October 10, 2025, to file a lead plaintiff motion.

Title: Class-Action Lawsuit Filed Against SelectQuote, Inc. (SLQT) Investors

A class-action lawsuit has been filed against SelectQuote, Inc. (SLQT) investors who purchased securities between September 9, 2020, and May 1, 2025. The complaint alleges that the company made false and/or misleading statements about its business, operations, and prospects, including receiving illegal kickbacks and directing Medicare beneficiaries to certain insurers. The lawsuit seeks to recover losses incurred by investors. Those affected have until October 10, 2025, to file a lead plaintiff motion.

On May 1, 2025, the U.S. Department of Justice (DOJ) filed a False Claims Act complaint against SelectQuote, alleging that from 2016 through at least 2021, the company received tens of millions of dollars in illegal kickbacks from health insurance companies in exchange for steering Medicare beneficiaries to enroll in the insurers’ plans. The DOJ also alleged that SelectQuote engaged in a conspiracy with major insurers to illegally discriminate against beneficiaries deemed to be less profitable, including those with disabilities. The complaint stated that SelectQuote made materially false claims by stating it offers “unbiased coverage comparisons” when in fact it “repeatedly directed Medicare beneficiaries to the plans offered by insurers that paid them the most money, regardless of the quality or suitability of the insurers’ plans.”

The lawsuit filed by the Law Offices of Howard G. Smith [1] alleges that throughout the Class Period, SelectQuote made materially false and/or misleading statements and failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the complaint alleges that SelectQuote did not provide unbiased comparison shopping for Medicare Advantage insurance plans and received illegal kickbacks to steer Medicare beneficiaries to certain insurers and limit enrollment in competitors’ plans. The lawsuit also alleges that SelectQuote was vulnerable to regulatory and legal sanctions as a result of its conduct, including claims that it had violated the False Claims Act.

The stock price of SelectQuote fell $0.61, or 19.2%, to close at $2.56 per share on May 1, 2025, on unusually heavy trading volume following the news. Investors who purchased SelectQuote securities during the Class Period are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights. The Law Offices of Frank R. Cruz [3] has also filed a class action lawsuit against SelectQuote, seeking to recover losses incurred by investors.

Investors who wish to participate in the class action lawsuit should contact the Law Offices of Howard G. Smith, Robbins LLP, or the Law Offices of Frank R. Cruz before the deadline. The lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Those who choose not to participate can remain as absent class members.

References:
[1] https://www.businesswire.com/news/home/20250812508652/en/Law-Offices-of-Howard-G.-Smith-Encourages-SelectQuote-Inc.-SLQT-Investors-To-Inquire-About-Securities-Fraud-Class-Action
[2] https://www.globenewswire.com/news-release/2025/08/11/3131360/32719/en/Investor-Alert-Robbins-LLP-Informs-Investors-of-the-SelectQuote-Inc-Class-Action-Lawsuit.html
[3] https://www.businesswire.com/news/home/20250811153040/en/SLQT-CLASS-ACTION-NOTICE-The-Law-Offices-of-Frank-R.-Cruz-Files-Securities-Fraud-Lawsuit-Against-SelectQuote-Inc.