Restructuring Costs

12 Months Ended

Dec. 31, 2024

Restructuring and Related Activities [Abstract]

Restructuring Costs

Restructuring costs

On April 17, 2023, the Company announced it would implement certain business transformation initiatives, including an agreement to move its core MA operational platform to UST HealthProof’s (“UST HealthProof”) and additional corporate restructuring actions. The agreement with UST HealthProof includes the transition of certain of the Company’s plan operation functions in support of its Medicare Advantage members pursuant to a master services agreement. In addition to the arrangement with UST HealthProof, in April 2023 the Company conducted a reduction in force to better align its Selling, General, and Administrative cost structure with its revenue base. This restructuring resulted in the elimination of approximately 10% of the Company's workforce. The Company incurred costs related to these business transformation initiatives, which consisted of employee termination benefits, vendor related costs, and other costs, which are accounted for as exit and disposal costs and recorded pursuant to ASC 420, Exit or Disposal Cost Obligations. For those costs determined to be one-time termination benefits the Company established a liability for the restructuring related expenses when the plan was established, the remaining costs were expensed as incurred.

The Restructuring costs are presented in the Company's Consolidated Statements of Operations and Comprehensive Loss, which were as follows:

	Year ended December 31,
	2024		2023		2022
	(in thousands)
Employee termination (recoveries) benefits	$	(547)	$	4,795	$	—
Vendor related costs	822		4,939		—
Other	13		87		—
Total restructuring costs	$	288	$	9,821	$	—

UST HealthProof Transition

As of December 31, 2024, the liability for employee termination benefits was recorded in Accrued salaries and benefits and the liability for vendor related costs and other expenses were recorded in Accounts payable and accrued expenses in the Consolidated Balance Sheets. The liability recorded reflects the Company's best estimate, which may be revised in subsequent periods as the restructuring progresses. The restructuring costs are recorded within the Corporate/Other operating segment. In addition, the Company incurred costs related to software impairment. These costs are recognized in Depreciation and amortization in the Consolidated Statements of Operations and Comprehensive Loss, and totaled less than $0.1 million for the year ended December 31, 2024 and $0.1 million for the year ended December 31, 2023.

	Employee Termination Benefits		Vendor related costs		Other		Total
	(in thousands)
Liability as of December 31, 2023	$	1,781	$	3,390	$	—	$	5,171
(Recoveries) charges	(547)		822		13		288
Cash payments	(1,234)		(1,457)		(13)		(2,704)
Liability as of December 31, 2024	$	—	$	2,755	$	—	$	2,755
Total cumulative costs incurred as of December 31, 2024	$	4,248	$	5,761	$	100	$	10,109