InsWeb Corp. has responded to recent allegations and legal action taken by eHealthInsurance Services Inc. with a counter suit. In a filing with the U.S. District Court, Northern District of California, San Jose Division, on March 22, 2001, InsWeb denied earlier allegations that it breached an online-distribution agreement with eHealthInsurance, and counter sued for damages caused by eHealthInsurance’s early and improper termination of their agreement. In a news release issued Feb. 21, 2001, InsWeb announced that it temporarily suspended online health-insurance quoting. InsWeb said the suspension was due to the decision by eHealthInsurance, formerly the company’s exclusive provider of online health-insurance quotes, to unilaterally terminate their relationship.
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