Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Health Insurance Innovations, Inc. (NasdaqGM: HIIQ) have filed a class action complaint against the company’s officers and directors for alleged violations of the Securities Exchange Act of 1934 between February 28, 2018 and November 27, 2018. Health Insurance Innovations is a cloud-based technology platform and distributor of health insurance plans and supplemental products in the United States.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/health-insurance-innovations-feb-19/
Health Insurance Innovations Accused of Engaging in Insurance Fraud
According to the complaint, on November 2, 2018, the Federal Trade Commission (“FTC”) accused Health Benefits One LLC (“HBO”) of misleadingly selling HIIQ policies as “comprehensive health insurance.” In response, HIIQ announced that it suspended its relationship with HBO. Then, on November 27, 2018, Aurelius Value published a report claiming that more than half of HIIQ’s revenues were derived from boiler room operations that had recently been shut down by the FTC and that a “material portion” of the Company’s policies were likely “contaminated by insurance fraud.” The price of HIIQ’s stock dropped as a result of this revelation and continues to trade well below its class period high of $61.65.
Health Insurance Innovations Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leo Kandinov at (800) 350-6003, [email protected], or via the shareholder information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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