Sarah Anderson

About Sarah Anderson

Sarah Anderson is Executive Vice President, Healthcare Pharmacy Services at SelectQuote, Inc., a role she has held since July 2024. She joined SelectQuote in 2018 and previously served as Senior Director of Marketing (Senior division), Senior Vice President of Marketing Operations, and Executive Vice President of Healthcare; earlier, she worked at Sprint (now T-Mobile US) from 2002–2018 in finance, marketing, and operations, and began her career at Enron after attending Trinity University (San Antonio) . As of September 30, 2025, she was 47 years old . Company-level FY2025 results used in management incentives exceeded targets on revenue ($1,522.4mm vs $1,448.0mm; 105%) and Adjusted EBITDA ($126.2mm vs $106.4mm; 119%), with operating cash flow better than target (−$11.7mm vs −$19.7mm), while the Healthcare Services division (her remit) was cited as falling short of internal margin growth and EBITDA targets due to developments in pharmacy network pricing . Company cumulative TSR (value of $100 since 6/30/2021) stood at $12.36 at FY2025 year-end versus $14.33 in FY2024, contextualizing shareholder returns during her tenure as EVP .

Past Roles

External Roles

• None disclosed in company filings for Sarah Anderson .

Fixed Compensation

• Sarah Anderson was not a named executive officer (NEO) in FY2025; individual salary and target bonus percentages for her were not disclosed. The company states executive (NEO and other executives) annual incentives are determined under its annual incentive plan framework (see Performance Compensation) .

Performance Compensation

Annual cash incentive framework (company-wide for executives):

• Structure: 75% company component (revenue, Adjusted EBITDA, operating cash flow) and 25% individual component; NEO target bonus examples are set as a % of base salary, but Sarah-specific targets were not disclosed .

FY2025 company performance vs targets (basis for company component):

Payout mechanics (for context):

• Revenue/Adjusted EBITDA scale: 0% payout <70% of target; 40% at 70%; 100% at 100%; 200% at 126%, with linear increases between thresholds .
• Operating cash flow scale: threshold at $(39.7)mm (50%), target $(19.7)mm (100%), maximum $0.3mm (200%), with defined $1mm step-ups .
• Aggregate company-component payout realized by NEOs for FY2025 was 138% of target; individual-component payouts varied by executive and performance vs goals (Sarah-specific payout not disclosed) .

Long-term equity program (FY2025 design applicable to executives):

• Mix: 50% RSUs (time-based), 50% price‑vested units (PVUs, performance-based) for NEOs; same 2020 Plan architecture used for broader employees .
• RSUs: Vest in three equal annual installments on each of the first three anniversaries of grant, subject to continued employment .
• PVUs: Three tranches with stock price hurdles; FY2025 NEO grants used $3.13 / $6.00 / $9.00 hurdles with a five-year performance window and service-based annual vesting eligibility (subject to price hurdles) .
• No options granted in FY2025 annual program for NEOs (dilution management); company options (legacy plans) generally vest over 4 years and expire in 10 years .

Equity Ownership & Alignment

• Beneficial ownership: Sarah Anderson’s individual share count and percentage ownership were not presented in the Security Ownership table (NEOs and directors shown; non-NEO officers may not be individually listed) .
• Insider transactions: A Form 4 reporting Ms. Anderson’s exercise of incentive stock options and subsequent sale of common shares on February 20, 2025 was filed two days late due to administrative error (indicates realized liquidity event) .
• Stock ownership guidelines: NEOs must hold 5x base salary (CEO) and 3x base salary (other NEOs); all NEOs were in compliance as of the record date (guidelines disclosed for NEOs; not specified for non-NEO officers) .
• Anti‑hedging/pledging: All employees and directors are prohibited from short selling, margin purchases, pledging shares as collateral, or hedging transactions, limiting misalignment and forced‑sale risks .
• Clawback: Mandatory recoupment policy (NYSE/SEC compliant) covering current/former executive officers for erroneously awarded incentive compensation on restatement, regardless of misconduct .

Employment Terms

• NEO employment agreements provide: three‑year initial term with auto-renewal; severance upon termination without cause/for good reason equal to one year salary + target bonus (plus prorated bonus and COBRA differential), subject to release; non-compete/non-solicit generally for two years (reduced to 18 months post‑CIC for non‑CEO NEOs if the company does not increase severance multiple to 2x) .
• Change‑in‑control: Double‑trigger cash severance; 2.0x (CEO) and 1.5x (other listed NEOs); no excise tax gross‑ups .
• Sarah‑specific employment agreement terms were not disclosed (she was not an NEO in FY2025) .

Additional Governance, Program Design, and Benchmarks

• Compensation philosophy emphasizes pay‑for‑performance, with a substantial portion of executive compensation at risk, and annual review by an independent consultant (Semler Brossy) .
• 2024 Say‑on‑Pay received ~92% approval; FY2025 program maintained emphasis on at‑risk pay with similar design .
• Compensation peer group (reflecting increased healthcare focus) included, among others: Accolade, Alignment Healthcare, BRP Group, CarGurus, eHealth, EverQuote, GoHealth, GoodRx, HealthEquity, MediaAlpha, MultiPlan, Shutterstock, Tripadvisor, Trupanion, Veradigm, ZipRecruiter .

Risk Indicators & Red Flags

• Late Section 16 filing: Ms. Anderson’s Form 4 for a Feb 20, 2025 option exercise and sale was filed two days late (administrative error) .
• Healthcare Services underperformance: The division fell short of internal margin and EBITDA targets in FY2025 due to pharmacy network pricing developments, which may influence future individual‑component incentives and signals execution risk in her scope .
• Positive mitigants: Anti‑hedging/pledging prohibitions reduce misalignment; double‑trigger CIC severance and absence of tax gross‑ups reflect shareholder‑friendly practices; clawback policy enforces accountability .

Investment Implications

• Alignment and incentives: Anderson’s compensation is governed by company frameworks that weight revenue, Adjusted EBITDA, and operating cash flow equally for annual bonuses, with long‑term PVUs tied to multi‑year stock‑price hurdles—supporting alignment with profitable growth and share price appreciation .
• Execution focus: The FY2025 shortfall in Healthcare Services margins/EBITDA points to divisional execution risk in her domain amid pharmacy pricing dynamics; monitoring FY2026 divisional KPIs and any incentive plan adjustments is warranted .
• Trading signals: Her February 20, 2025 option exercise and same‑day share sale indicates realized liquidity; combined with the company’s significant RSU overhang (company‑wide unrecognized RSU comp cost of $17.2mm; ~2.19‑year recognition horizon), this can create episodic selling pressure as awards vest, though pledging is prohibited .
• Governance quality: Strong shareholder‑friendly features (no CIC gross‑ups, double‑trigger vesting, clawback, anti‑hedging/pledging) and high Say‑on‑Pay support reduce governance risk; absence of Sarah‑specific severance/CIC disclosures limits precision on retention economics relative to NEOs .

Note: Sarah Anderson was not a named executive officer in FY2025; where Sarah‑specific amounts were not disclosed, company‑level frameworks and metrics are provided for context, with explicit citations above.