Robbins LLP Encourages SelectQuote Investors to Join Class Action After Allegations of Fraud

Investors who acquired SelectQuote, Inc. (NYSE: SLQT) shares between September 9, 2020, and May 1, 2025, are being urged by Robbins LLP to contact the firm regarding a class action lawsuit that has now been filed against the insurance broker. The allegations indicate that the company may have engaged in improper practices relating to the sale of Medicare Advantage and other health insurance plans.

Background of the Allegations

According to Robbins LLP, investors are raising concerns about several serious allegations against SelectQuote. The lawsuit claims that the company directed Medicare beneficiaries to insurance plans based on which insurers compensated SelectQuote the best, rather than considering the quality or suitability of the plans for the consumers. This raises significant ethical questions about the integrity of SelectQuote's business practices and whether the company was operating within legal boundaries.

The complaint highlights multiple ways in which SelectQuote potentially misled its clients:
1. Lack of Unbiased Information: SelectQuote reportedly failed to provide objective comparisons of Medicare Advantage plans, which is a critical component of their service.
2. Illegal Kickbacks: Allegations state that the company received kickbacks to steer beneficiaries toward certain insurers, raising concerns about collusion in the industry.
3. Violation of Laws: These actions, as described, place SelectQuote in violation of the False Claims Act and other significant legal standards, thus exposing the company to potential regulatory actions.

On May 1, 2025, the legal situation escalated when the U.S. Department of Justice (DOJ) filed a False Claims Act complaint against SelectQuote. The DOJ outlined a disturbing pattern of behavior that spans several years, from 2016 through at least 2021, asserting that SelectQuote received “tens of millions of dollars” in illegal kickbacks from various insurance companies. These kickbacks were tied directly to efforts to restrict enrollment in competitor plans, raising ethical and legal concerns about the treatment of Medicare beneficiaries, including those with disabilities who were deemed less profitable.

Upon the release of this information, SelectQuote’s stock experienced a significant decline, dropping $0.61 or 19.2%, closing at $2.56 per share on the same day. This steep drop illustrates the profound impact that these allegations have on investor confidence and the company's market position.

Taking Action

For shareholders affected by these losses, opportunities to act are pending. Robbins LLP encourages investors who are interested in serving as lead plaintiffs in the class action lawsuit to submit their filing with the court by October 10, 2025. This role as a lead plaintiff is essential as it provides a representative voice for other class members through the ongoing litigation process. Importantly, investors can choose not to participate in the case but may still be eligible for financial recovery as absentees in the class.

All legal representation is offered on a contingency fee basis; thus, shareholders will face no upfront fees or expenses. This is a significant incentive for investors to step forward without fear of financial burden in pursuit of justice and restitution.

About Robbins LLP

Founded in 2002, Robbins LLP has established a reputation as a leader in shareholder rights litigation. The firm’s commitment is to assist shareholders in recovering losses, promoting better corporate governance, and holding executives accountable for their actions. They have a history of standing up against corporate misconduct and supporting investors in their pursuit of justice.

For those interested, Robbins LLP invites affected shareholders to reach out via phone or online submission for personalized legal assistance and further information about the class action process. The repercussions of this situation could unfold significantly in the months to come, making it crucial for affected shareholders to stay informed and involved.

Stay tuned as developments arise regarding this case and the wider implications for SelectQuote, Inc.