eHealth, a leading online health insurance marketplace, has granted inducement stock unit awards to two new executives, according to a press release issued by the company. Ketan Babaria, who joined eHealth as Senior Vice President, Chief Digital Officer on January 21, 2023, and Lara Sasken, who joined as Senior Vice President, Communications on February 4, 2023, each received stock unit awards under the Company’s Amended and Restated 2021 Inducement Plan. The awards will be subject to the terms and conditions of a stock unit agreement under the Inducement Plan.

Mr. Babaria’s stock unit award covers 200,000 shares of the Company’s common stock and will vest over four years, with 25% vesting on the first anniversary of the vesting commencement date of January 10, 2023, and the remainder vesting in equal quarterly installments over the subsequent three years. Ms. Sasken’s stock unit award covers 137,564 shares of the Company’s common stock and will also vest over four years, with 25% vesting on the first anniversary of the vesting commencement date of February 10, 2023, and the remainder vesting in equal quarterly installments over the subsequent three years.

Inducement Stock Unit Awards are grants of restricted stock units made to new employees to induce them to join a company. The awards are typically granted in addition to the new employee’s regular compensation package and are used as an incentive to join the company.

The awards were granted as inducements material to each new employee’s entering into employment with the Company in accordance with Nasdaq Listing Rule 5635(c)(4). This rule allows listed companies to grant equity awards to new employees as an inducement to join the company, even if they were not approved by shareholders.

eHealth’s decision to grant inducement stock unit awards to its new executives is part of the company’s ongoing efforts to attract and retain top talent in the highly competitive health insurance industry. The company has been expanding rapidly in recent years and has made several strategic acquisitions to position itself as a leading player in the market.

In a statement, eHealth CEO Scott Flanders said, “We are thrilled to welcome Ketan and Lara to our executive team. Their expertise and experience will be invaluable as we continue to grow and expand our business. The inducement stock unit awards we have granted reflect our commitment to attracting and retaining the best talent in the industry.”

Mr. Babaria and Ms. Sasken are both seasoned executives with extensive experience in their respective fields. Mr. Babaria previously served as the Chief Technology Officer of a leading fintech company, where he was responsible for overseeing the development and implementation of the company’s technology strategy. Ms. Sasken, meanwhile, has held senior communications positions at several major corporations and brings a wealth of experience in developing and executing successful communications strategies.

The grant of inducement stock unit awards is subject to certain terms and conditions, including the continued service of the executives with the Company through the vesting date. The awards may also be subject to acceleration upon certain terminations of employment.

In conclusion, eHealth’s decision to grant inducement stock unit awards to its new executives reflects the company’s commitment to attracting and retaining top talent in the health insurance industry. The awards will serve as an incentive for the executives to remain with the company and contribute to its ongoing growth and success.