SelectQuote sued over US DOJ intervention, investors seek damages.

A securities class-action lawsuit has been filed against SelectQuote, Inc. after the US Department of Justice intervened in a separate lawsuit. The DOJ's involvement led to a 19% decline in SelectQuote's stock price on May 1, 2025, resulting in significant investor losses. The lawsuit, on behalf of investors who purchased SelectQuote securities between September 9, 2020, and May 1, 2025, alleges that the company made false and misleading statements. Investors who suffered substantial losses are urged to submit their losses now. The lead plaintiff deadline is October 10, 2025.

San Francisco, Aug. 29, 2025 — A significant development has unfolded in the ongoing legal saga surrounding SelectQuote, Inc. (NYSE: SLQT). The U.S. Department of Justice (DOJ) has intervened in a separate lawsuit against the company, leading to a new securities class-action lawsuit filed on behalf of investors who purchased SelectQuote securities between September 9, 2020, and May 1, 2025.

The DOJ's involvement has significantly impacted SelectQuote's stock price, which fell by 19% on May 1, 2025, resulting in substantial investor losses. The lawsuit, known as Pahlkotter v. SelectQuote, Inc. et al., alleges that the company made false and misleading statements to investors. The complaint contends that SelectQuote directed Medicare beneficiaries to specific insurers' plans based on compensation rather than the customers' best interests, received illegal kickbacks, and violated federal laws and regulations.

SelectQuote's stock price has declined by over 40% in the last six months, reflecting the severe impact of the legal challenges on the company's value. The lawsuit contends that SelectQuote's public claims of providing unbiased advice and comparison shopping were misleading, as the company was secretly steering beneficiaries to the highest-paying plans.

Investors who suffered substantial losses are urged to submit their losses now. The lead plaintiff deadline is October 10, 2025. Hagens Berman, the law firm representing the investors, is conducting a detailed investigation into whether SelectQuote's revenues were artificially inflated by these alleged deceptive practices.

The DOJ's intervention elevates these claims beyond simple business disputes and paints a stark picture of a company's alleged actions. The swift and severe stock drop speaks to the gravity of these newly revealed allegations.

Investors who wish to participate in the class action or learn more about this case should contact Hagens Berman at SLQT@hbsslaw.com or 844-916-0895.

References:
[1] https://www.globenewswire.com/news-release/2025/08/28/3141032/34548/en/Deadline-Alert-SelectQuote-Inc-SLQT-Investors-Who-Lost-Money-Urged-To-Contact-Glancy-Prongay-Murray-LLP-About-Securities-Fraud-Lawsuit.html
[2] https://www.globenewswire.com/news-release/2025/08/29/3141679/32716/en/Investors-Sue-SelectQuote-SLQT-After-DOJ-Intervenes-in-Kickback-Lawsuit-Hagens-Berman.html
[3] https://www.globenewswire.com/news-release/2025/08/26/3139452/0/en/Lowey-Dannenberg-Notifies-SelectQuote-Inc-SelectQuote-or-the-Company-NYSE-SLQT-Investors-of-Securities-Class-Action-Lawsuit-and-Encourages-Investors-with-more-than-50-000-in-Losses.html