ETFOptimize | High-performance ETF-based Investment Strategies

Quantitative strategies, Wall Street-caliber research, and insightful market analysis since 1998.


ETFOptimize | HOME
Close Window

SLQT 10-DAY DEADLINE ALERT: SelectQuote (SLQT) Faces Investor Lawsuit After DOJ Steps into Medicare Sales Probe – Hagens Berman

SLQT Investors with Losses Encouraged to Contact Hagens Berman

SelectQuote Inc. (NYSE: SLQT), a digital insurance platform known for selling Medicare Advantage plans, is facing heightened legal scrutiny after the U.S. Department of Justice (DOJ) intervened in a whistleblower lawsuit alleging deceptive sales practices. The federal action triggered a sharp 19% drop in SelectQuote’s share price on May 1, 2025, and has now led to a securities class-action lawsuit filed on behalf of investors.

The suit, Pahlkotter v. SelectQuote Inc. et al., covers investors who purchased SelectQuote stock between September 9, 2020, and May 1, 2025, and alleges that the company misled the market about its business model and regulatory exposure.

Hagens Berman urges SelectQuote investors who suffered substantial losses to submit your losses now.

Class Period: Sept. 9, 2020 – May 1, 2025

Lead Plaintiff Deadline: Oct. 10, 2025

Visit: www.hbsslaw.com/investor-fraud/slqt

Contact the Firm Now: SLQT@hbsslaw.com

844-916-0895

Allegations of Kickbacks and Misrepresentation

At the heart of the complaint are claims that SelectQuote misrepresented its Medicare Advantage sales practices. While the company publicly promoted its services as offering “unbiased advice” and “neutral plan comparisons,” the lawsuit asserts that SelectQuote:

  • Steered customers toward plans from insurers offering the highest commissions.
  • Accepted illegal kickbacks in exchange for preferential treatment.
  • Violated federal statutes, including the False Claims Act

The DOJ’s complaint alleges that from 2016 through at least 2021, SelectQuote received tens of millions of dollars in improper payments and discriminated against less profitable customers by directing them away from lower-margin plans.

Market Fallout and Investor Impact

The DOJ’s involvement sent shockwaves through the market, with SelectQuote’s stock plunging nearly 20% in a single day. Over the past six months, shares have declined more than 40%, reflecting investor concern over the company’s legal exposure and potential reputational damage.

The class-action lawsuit argues that SelectQuote’s public statements failed to disclose material risks tied to its sales practices, leading investors to overvalue the company’s growth prospects and revenue integrity.

Hagens Berman Investigates Alleged Revenue Manipulation

Shareholder rights firm Hagens Berman is investigating whether SelectQuote’s revenue was artificially inflated through deceptive conduct. Reed Kathrein, a partner at the firm, commented: “The DOJ’s intervention transforms this from a routine business dispute into a serious federal matter. We’re examining whether SelectQuote’s so-called ‘unbiased’ model was merely a façade for a kickback-driven sales engine.”

If you invested in SelectQuote and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »

If you’d like more information and answers to frequently asked questions about the SelectQuote case and our investigation, read more »

Whistleblowers: Persons with non-public information regarding SelectQuote should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email SLQT@hbsslaw.com.

About Hagens Berman

Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

Contacts

Reed Kathrein, 844-916-0895

Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms Of Service.


 

IntelligentValue Home
Close Window

DISCLAIMER

All content herein is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor should it be interpreted as a recommendation to buy, hold or sell (short or otherwise) any security.  All opinions, analyses, and information included herein are based on sources believed to be reliable, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. We undertake no obligation to update such opinions, analysis or information. You should independently verify all information contained on this website. Some information is based on analysis of past performance or hypothetical performance results, which have inherent limitations. We make no representation that any particular equity or strategy will or is likely to achieve profits or losses similar to those shown. Shareholders, employees, writers, contractors, and affiliates associated with ETFOptimize.com may have ownership positions in the securities that are mentioned. If you are not sure if ETFs, algorithmic investing, or a particular investment is right for you, you are urged to consult with a Registered Investment Advisor (RIA). Neither this website nor anyone associated with producing its content are Registered Investment Advisors, and no attempt is made herein to substitute for personalized, professional investment advice. Neither ETFOptimize.com, Global Alpha Investments, Inc., nor its employees, service providers, associates, or affiliates are responsible for any investment losses you may incur as a result of using the information provided herein. Remember that past investment returns may not be indicative of future returns.

Copyright © 1998-2017 ETFOptimize.com, a publication of Optimized Investments, Inc. All rights reserved.