Here is what you’ll find in this week’s newsletter!

1. Important links 🔗 - the best articles we found this week about the Medicare Market along with links to Jared’s recent LinkedIn posts.

2. Deep Dive 📚 - eBroker Q3 '25 Results: Side-By-Side

3. Sponsor Snapshot 🚀 - brought to you by HealthSherpa

It’s only a 6 minute read, but it will make you 10x smarter.

DEEP DIVE 📚

Medicare Distributor Side-by-Side

This week, we’re digging into Q3 2025 financials for publicly traded Direct-to-Consumer distributors — the “eBrokers.”

The three we’ll compare are:

• GoHealth ($GOCO ( ▲ 2.85% ) )

• eHealth ($EHTH ( ▲ 1.32% ) )

• SelectQuote ($SLQT ( ▼ 0.4% ) )

(Q2 2025 results are here, and a refresher on What are eBrokers? is here.)

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Company Commentary

Before comparing these 3 companies, it’s worth mentioning some notable commentary to help provide context for this quarter’s results.

GOCO strategically pulled back. 

• GoHealth intentionally reduced Medicare Advantage volume this quarter due to pressures in the MA space (link).

• As a result, Q3 likely included a higher mix of Final Expense and fewer MA enrollments.

• GOCO doesn’t break out product mix, so comparisons this quarter aren’t fully apples-to-apples.

• Their “Sales per Submission” and LTV metrics likely include a higher than normal mix of Final Expense.

• GOCO also reported $206 million in impairment charges related to indefinite-lived assets.

  • For comparability, this impairment is excluded from the operating expense figures below.

EHTH and SLQT did not strategically pull back

Both saw expected volume declines from SEP rule changes (mostly D-SNP related), but neither intentionally reduced MA activity the way GOCO did. Both expect meaningful enrollment this AEP.

It’s also work noting that there are Two other big players don’t break out segment financials:

• HealthMarkets (UnitedHealth Group)

• Innovative Financial Group (Humana)

Side-By-Side Results

To compare and contrast Q3 2025 results we are looking at the Income Statement, a few key Balance Sheet items, LTV metrics, and Sales metrics.

Notes:

1. GOCO Income Statement excludes $206 million “Indefinite and long-lived asset impairment charges”

2. GOCO Sales likely include a material mix of Final Expense products, but financials don’t break out product line

Key Takeaways:

• All three posted operating losses.

• SLQT led in total revenue, overhead efficiency, and profit margin.

• EHTH reported the highest Medicare Advantage LTV at $975.

• EHTH also maintained the lowest debt load.

• SLQT led in volume, adding 76,000+ approved policies.

• All three carried ~$1 billion in Commission Receivables.

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YoY % Change

Let’s observe and discuss the year-over-year (“YoY”) % changes.

Revenues

• SLQT led with +13% revenue growth, driven by its healthcare vertical (SelectRx).

• GOCO posted a sharp decline in Revenue, driven by strategic pull-back

Expenses

• EHTH cut expenses 6% driven by lower Marketing & Advertising and Customer Care & Enrollment expense

• GOCO cut expenses 28% driven by strategic pull-back resulting in lower acquisition spend.

• SLQT expenses up 21% driven by increase in “Cost of Goods Sold” on Healthcare segment.

• Marketing spend declined across the board.

Profitability (Loss)

• SLQT’s operating loss grew the most on a % basis, but it still posts the best overall profit/loss profile.

• EHTH narrowed its loss –4% YoY, showing improvement.

• GOCO’s operating loss grew 92% (excluding $206 million “Indefinite and long-lived asset impairment charges”)

Balance Sheet Changes

• contract asset balances rose a combined 9%.

• SLQT cut long-term debt –42%, a major deleveraging move.

• GOCO increased long-term debt 21% to help weather the strategic changes.

LTV Changes

• Medicare Advantage LTV is down overall.

• GOCO “Sales per submission” decreased from the prior year, likely due to a shift to a higher mix of Final Expense business.

Sales

• Overall sales fell –41% YoY, driven by GOCO’s strategic pull-back, and shift in SEP rules (related to D-SNP policies).

• SLQT’s SelectRx customers grew +24% YoY

Reporting Note: GOCO reports submitted policies; SLQT and EHTH report approved policies.

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The Big Picture

Yes, the eBroker model is still challenged. Yes, operating losses continue. And yes, the contracts-on-balance-sheet dynamic is still massive.

But Q3 has always been the “cost ramp” quarter, not the revenue quarter. DTC distributors spend heavily to prepare for AEP, while commissions don’t show up until months later. In other words, Q3 is the bottom of the curve for these businesses.

That’s why the next phase matters.

How these three companies perform during AEP, in submissions, approvals, LTV, and early persistency indicators, will determine which strategies are viable heading into 2026.

If you’re ready, here are some ways we can help you:

• Newsletter Sponsorship opportunities: Promote your product or services to leaders in the Medicare space. Let’s discuss. (link)

• Market Research: Reports that help you wrap your arms around the Senior focused insurance markets. (link)

• Consulting: We can help you develop new insurance products for the Medicare market, appraise your books of business, and keep you compliant. Let’s discuss. (link)