According to the Complaint, GoHealth, Inc. operates a health insurance marketplace.

On June 19, 2020, GoHealth filed with the SEC a registration statement for the IPO on Form S-1, which was used to sell to the investing public 43.5 million shares of GoHealth Class A common stock at $21 per share, for total gross proceeds of $913.5 million. The Complaint alleges that the Registration Statement was negligently prepared and, as a result, contained untrue statements of material fact, omitted material facts necessary to make the statements contained therein not misleading, and failed to make necessary disclosures required under the rules and regulations governing its preparation. Specifically, the Complaint alleges the Registration Statement failed to disclose that at the time of the IPO: (i) the Medicare insurance industry was undergoing a period of elevated churn, which had begun in the first half of 2020; (ii) GoHealth suffered from a higher risk of customer churn as a result of its unique business model and limited carrier base; (iii) GoHealth suffered from degradations in customer persistency and retention as a result of elevated industry churn, vulnerabilities that arose from the Company’s concentrated carrier business model, and GoHealth’s efforts to expand into new geographies, develop new carrier partnerships and worsening product mix; (iv) GoHealth had entered into materially less favorable revenue sharing arrangements with its external sales agents; and (v) these adverse financial and operational trends were internally projected by GoHealth to continue and worsen following the IPO.

On December 10, 2020, the Court issued an Order consolidating cases and appointing Lead Plaintiffs and Counsel. All future docketing was ordered to be done in the lead case 20-CV-05593.

Lead Plaintiffs filed a consolidated Complaint on February 25, 2021. On April 26, Defendants filed a Motion to Dismiss the consolidated Complaint. The Court issued an Order denying the Motion to Dismiss on April 5, 2022.

On February 7, 2024, the parties entered into a Stipulation of Settlement. The Court granted preliminary approval of the Settlement on February 27.