(Bloomberg) --Health IQ, a life insurance startup backed by prominent investors including venture capital firm Andreessen Horowitz and a growth fund managed by Aquiline Capital Partners, has filed bankruptcy with plans to liquidate.
Hi.Q Inc. filed for Chapter 7 liquidation listing estimated assets of no more than $10 million and estimated liabilities of at least $100 million, according to a bankruptcy petition filed Wednesday in Delaware.
Health IQ also listed dozens of pending lawsuits against the company, including complaints seeking unpaid wages and benefits tied to the dismissal of hundreds of employees in December. The startup has defended itself in the lawsuits and sought to send the disputes to arbitration, according to court documents.
Filing Chapter 7 bankruptcy immediately halts litigation against Health IQ and requires the appointment of an independent trustee to sell company assets and wind-down the business.
Health IQ sought to sell life insurance policies with lower rates to consumers who lived relatively healthy lifestyles. As of May 2019, Health IQ had raised $139.5 million from investors, describing itself at the time as the US's fastest-growing life insurance company.
Lawyers for Health IQ and representatives for Andreessen Horowitz and Aquiline didn't immediately return messages Thursday seeking comment.
The case is Hi.Q Inc., 23-11361, in the US Bankruptcy Court for the District of Delaware.
