Chicago-based GoHealth has filed for Chapter 11 bankruptcy as part of a prepackaged restructuring plan supported by its lenders and major equity holders.
Five things to know:
1. GoHealth, a health insurance marketplace and Medicare-focused digital health company, said the restructuring is intended to strengthen its financial position and preserve key relationships with customers and insurance carriers while positioning the company for future growth.
2. GoHealth and certain subsidiaries filed voluntary Chapter 11 petitions in the U.S. Bankruptcy Court for the District of Delaware to implement a restructuring plan that will transition ownership of the company to certain lenders.
3. Under the plan, GoHealth will reinstate its preferred equity, pay trade payables and other ordinary-course obligations in full and provide a cash payment to holders of common equity. The plan has received support from 100% of its lenders, more than 60% of holders of its Class A common stock and more than 99% of holders of GoHealth Holdings interests.
4. The company plans to continue operating without interruption during the Chapter 11 process and will continue serving Medicare consumers, health insurance carriers and other business partners.
5. GoHealth said it expects to move through the restructuring process quickly and emerge from bankruptcy before the start of the 2026 annual enrollment period.
“The steps we are taking today will provide GoHealth with new owners and a strong financial foundation,” CEO Vijay Kotte said in a June 7 news release. “This restructuring will enable the company to continue driving innovation to support Medicare consumers as they assess their current coverage and service needs, with agility and excellence, and to ensure personalized service with differentiated quality.”
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