Layoffs at Health IQ
Based on information obtained by Coverager, Health IQ has cut a significant portion of its workforce last week.
We reached out to Munjal Shah, Health IQ’s cofounder and CEO, and he provided the following response: “We did conduct a reduction in force on Wed of last week (we are not sharing any details around that). We continue to operate our Medicare business at this time.”
The official number of impacted employees isn’t clear, and as you can see, leadership hasn’t shared information. Based on our conversations with several former employees, over half of the company was let go – the company had around 2,000 employees, around 1,500 of them held sales or sales supporting roles. According to other Health IQ sources, the company has kept 50 of the 500 staff employees and the plan is to eventually keep just a few agents and retention specialists in place.
Our sources tell us that Health IQ wasn’t able to secure needed funding. The company is also facing a class action lawsuit, which alleges that it made telemarketing calls offering health insurance to consumers in violation of the Telephone Consumer Protection Act.
One former employee we spoke with shared that this was a surprise since it was communicated that the company was doing well. According to our sources, the company failed to meet its sales goals.