Roundstone distribution to captive members up 40%
Self-funded medical solutions provider Roundstone has reported a $5.9 million pro-rata cash distribution to business owners participating in its group medical captive. The distribution is 40% higher than last year’s, reflecting the “effectiveness of Roundstone’s pro-active, data-driven cost containment and wellness solutions”, the company said.
Captive participant employers only pay for what they use with money left in the claims account and the captive pool returned.
“We’re committed to helping both benefits advisors and employers thrive because we do things differently,” said Mike Schroeder, President and CEO of Roundstone. “Unlike the fixed cost insurance world, our health plans offer flexibility, built-in cost containment programs, and data transparency. As a result, many of our advisors see higher than average close rates and retention.”
The company guarantees employers in the captive will save money in the first five years, or it will make up the difference, Schroeder added.
Last year the business reported a record number of new customers and revenue growth.