This lawsuit is for anyone who acquired securities in Health Insurance Innovations, Inc. (NASDAQ: HIIQ) from February 28, 2018 through November 27, 2018.
The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, during the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company was, through a broker, fraudulently selling insurance policies as providing full coverage when the insurance policies provided limited coverage.
In an attempt to clear itself of wrongdoing, on November 2, 2018, the Company announced that it had immediately suspended its relationship with Health Benefits One LLC an entity which the Federal Trade Commission alleged had misleadingly sold HIIQ policies, among others, as “comprehensive health insurance.” Moreover, the Company stated that Health Benefits One was responsible for less than ten percent of HIIQ policies sold. Despite the Company's attempt to distance itself from Health Benefits One, the news caused the price of the Company's stock to drop precipitously on unusually heavy trading volume. Then, on November 27, 2018, Aurelius Value published a report stating, among other things, that "[p]reviously sealed documents gathered by the FTC directly undermine management's claims and prove that a large boiler room operation recently shuttered by the government for a massive alleged fraud was responsible for roughly half of HIIQ's sales. Evidence also suggests that HIIQ policies have been contaminated by insurance fraud and reveal that other HIIQ brokers prey on consumers with falsehoods." On this news, the price of the Company's stock again dropped precipitously on unusually heavy trading volume.
The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in Health Insurance Innovations, Inc. (NASDAQ: HIIQ) from February 28, 2018 through November 27, 2018 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.
Join the Class Action
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If Representing an Institution, Name of Institution:
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I, the Plaintiff, certify that:
1. I have reviewed the Complaint and authorized its filing.
2. Plaintiff did not purchase the security that is the subject of this
action, at the direction of plaintiff's counsel or in order to
participate in any private action arising under this title.
3. I am willing to serve as a representative party on behalf of a class
and will testify at deposition and trial, if necessary.
4. My transactions in the securities, which are the subject of this
action, during the Class Period set forth in the Complaint are as
5. I have not served as a representative party on behalf of a class
under the federal security laws during the last three years, except
if detailed below.
6. I will not accept any payment for serving as a representative party,
except to receive my pro rata share of any recovery or as ordered
or approved by the court including the award to a representative
plaintiff of reasonable costs and expenses (including lost wages)
directly relating to the representation of the class.
agreement and retain the Law Offices of Howard G. Smith and its associates to proceed on Plaintiff's behalf, on a contingent fee basis. If I am executing this agreement on behalf of an institution, I further certify that I am authorized to execute this agreement on behalf of the institution.