Deadline Reminder: Law Offices of Howard G. Smith Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Bright Health Group, Inc. (BHG)

BENSALEM, Pa.– (BUSINESS WIRE). Company”) (NYSE: BHG): (a) common stock pursuant to and/or traceable to the registration statement and prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s initial public offering in June 2021 (“IPO” or the Offering “); (b) and/or securities between 24 June 2021 and 10 November 2021 inclusive (the “Collection Period”).

Investors who suffer losses on their investments in Bright Health are encouraged to contact the law firm of Howard G. Smith to exercise their legal rights in this class action lawsuit at 888-638-4847 or by email at howardsmith@howardsmithlaw. com to discuss.

In June 2021, Bright Health completed its IPO, selling approximately 51 million shares of common stock at $18.00 per share.

On November 11, 2021, Bright Health reported its third quarter financial results, revealing earnings per share (“EPS”) of -$0.48, calculated under United States generally accepted accounting principles (“GAAP”), where missed consensus estimates by $0.31. The company also reported a sharp increase in the company’s Medical Expense Ratio (“MCR”), informing investors that its MCR “for the third quarter of 2021 was 103.0%, including an unfavorable impact of 540 basis points from costs related to COVID-19 and a 900 basis point adverse impact, primarily from a cumulative reduction in premium income due to the inability to capture risk adjustments for newly added lives.”

On the news, Bright Health’s stock fell $2.36, or 32%, to close at $4.94 per share on November 11, 2021, well below the IPO price.

The complaint filed in this class action alleges that the defendants made materially false and/or misleading statements and failed to disclose material adverse facts about the Company’s business, operations and prospects. Specifically, the defendants failed to disclose to investors that (1) Bright Health overstated its business and financial prospects post-IPO; (2) the company was ill-equipped to deal with the impact of costs related to COVID-19; (3) the company experienced a decrease in premium income because it failed to recognize risk adjustments for newly added lives; (4) all of the foregoing would be reasonably likely to have a material adverse effect on Bright Health’s business and financial condition; and (5) as a result, the defendants’ positive statements about the Company’s business, operations and prospects were materially misleading and/or lacking a reasonable basis at all relevant times.

If you purchased or otherwise acquired Bright Health securities during the Class Period, you have no later than March 7, 2022, to request the court to appoint you lead plaintiff if you meet certain legal requirements. You do not have to take any action at this time to join the Class; You may retain counsel of your choice, or do nothing and remain an absentee member of the class action. If you would like to learn more about this Class Action or have any questions about this announcement or your rights or interests in relation to these matters, please contact Howard G. Smith, Esquire, of the Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by phone at (215) 638-4847, toll free at (888) 638-4847 or email [email protected] or visit our website at www.howardsmithlaw .com.

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