Roundstone
- Company typePrivate
- Founded2003
- HeadquartersLakewood, United States
- Headcount101–250
- GTM typeB2B
- OfferingServices
Roundstone firmographics
Firmographics- Name
- Roundstone
- Legal name
- Roundstone Management, Ltd.
- Website
- https://roundstoneinsurance.com
- Company type
- Private
- Founded year
- 2003
- Operating status
- Operating
- Headcount range
- 101–250 employees
- Ownership category
- akta.pro rank
Roundstone industry classification
Industry- Product category
- Group Captive Health Insurance
- NAICS
- Insurance Carriers (5241), Reinsurance Carriers (52413), Insurance and Employee Benefit Funds (5251)
- SIC
- Hospital & Medical Service Plans (6324), Accident & Health Insurance (6321)
- akta.pro primary industry
- Self-Funded (ASO) Group Health Plans & Stop-Loss (FSAIAFAB)
- akta.pro secondary industries
- Stop-Loss & Excess Loss Coverage (Employer Sponsored) (HLAEAAAF), Stop-Loss & Reinsurance Administration (Captive/Level-Funded Support) (HLAEALAB)
Keywords
Where Roundstone is headquartered
LocationHeadquarters
- HQ city
- Lakewood
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
Roundstone business model
Business model- GTM type
- B2B
- Offering type
- Services
- Cost components
- Personnel, Marketing or Sales, Operations, Technology or R&D, Infrastructure
Revenue model
- Captive Insurance Premiums: Employers contribute premiums to the captive pool to cover predictable healthcare claims and fund the risk-sharing arrangement. Premiums are pooled across all participating employers.
- Stop-Loss Insurance: Stop-loss insurance policies protect against catastrophic claims above predetermined thresholds. An A.M. Best 'A+' rated carrier issues stop-loss policies covering claims above specific and aggregate attachment points.
- Collateral Management: Employers post collateral (typically less than 10% of stop-loss premium or 2% of fully insured premium) to secure their participation in the captive. Collateral earns investment income and may be refunded based on underwriting results.
- Underwriting and Captive Management Fees: Predetermined fees included in stop-loss premium for underwriting and captive management services provided by Roundstone Management, Ltd.
- Third-Party Administration (Bywater): Bywater provides TPA services including claims processing, member services, and plan administration for a flat per-employee-per-month (PEPM) fee.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Subscription | Annual | Custom captive insurance pricing based on employer-specific factors |
| Per seat | Monthly | Bywater TPA Services |
Go-to-market motion2 records
Distribution channels2 records
Marketing channels8 records
Roundstone product offering
Product offeringCore offering
Roundstone operates a group captive insurance model that pools small and mid-sized employers (25 to 1,000+ employees) together to share risk and reduce healthcare costs. The captive reinsures risk between employer deductibles and $500,000, layered with stop-loss insurance covering larger claims, and is administered through Bywater, Roundstone's in-house TPA. The model returns 100% of unused premiums to employers, guarantees savings, and pairs with cost-containment solutions to deliver approximately 25% lower total annual cost versus the industry average.
Product overview
Roundstone is a group captive health insurance company offering a self-funded insurance platform that pools small and mid-sized employers (25-1,000+ employees) together to share risk and achieve guaranteed savings. The core offering is the Roundstone Group Captive Insurance model, which layers stop-loss insurance (specific and aggregate) over a captive pool covering claims up to $500,000. The portfolio centers around Bywater, Roundstone's in-house Third-Party Administrator (TPA) sub-brand handling claims processing and plan administration, paired with a Preferred Bundle combining Bywater, the Cigna network, and select PBMs (TrueRx, Serve You Rx). Supporting modules include Savings Accelerator (data-driven cost containment), Roundstone Reporting (real-time claims transparency), Roundstone University (advisor education), the Healthcare Forward Podcast, and an Advisor Toolkit. The model returns 100% of unused premiums to employers, offers guaranteed savings over five years, and achieves approximately 25% lower total annual costs versus the industry average.
Differentiator
Problem solved
Functional benefit
Brands
- Bywater: Roundstone's in-house Third-Party Administrator (TPA) that provides claims processing, plan administration, and cost containment solutions for self-funded health insurance programs.
Products and services
- Roundstone Group Captive Insurance Roundstone's core self-funded group medical captive insurance model that pools small and mid-sized employers (25 to 1,000+ employees) together to share risk, improve cost predictability, and deliver guaranteed savings versus traditional fully insured plans. The captive reinsures risk between employer deductibles and $500,000, with stop-loss insurance covering larger claims.
- Bywater Third-Party Administration (TPA) Roundstone's in-house Third-Party Administrator offering claims processing, plan administration, and member services. Delivers approximately $12,182 Per Employee Per Year (PEPY) cost versus a $17,369 national average, with 99% claims accuracy and 14-day processing, billed on a flat per-employee-per-month (PEPM) fee with no percentage-based charges.
- Stop-Loss Insurance Insurance protection layered within the captive model covering specific high-cost claims and aggregate losses. Specific stop-loss covers individual claims above employer deductibles (typically $25,000-$75,000), while aggregate stop-loss activates when total claims exceed 125% of projected costs. The captive pool itself covers mid-size claims up to $500,000, with policies issued by an A.M. Best 'A+' rated carrier.
- Roundstone Preferred Bundle Strategic combination of Bywater TPA, Cigna provider network, and select pharmacy benefit managers (TrueRx, Serve You Rx) designed to deliver optimal cost outcomes. Groups using this bundle average $10,810-$12,385 PEPY, approximately $1,700 less than standard arrangements and 24-34% below industry benchmarks.
- Savings Accelerator Data-driven cost containment platform offering three tiers of fully vetted solutions to tackle and prevent larger claims. Covers preventative medicine, telehealth, cancer care, and alternative drug sourcing to help employers reduce claims costs proactively as a complement to the captive insurance offering.
- Roundstone University Educational platform for insurance advisors to learn the value of captive health insurance, featuring resources to educate clients and confidently position self-funded insurance solutions. Includes certification programs and is accessible at roundstoneuniversity.org.
Quantifiable outcome
- 25% lower total annual cost compared to industry average
- +6 more outcomes
Companies that use Roundstone
Customer profileNamed customers4 records
Segments2 records
Ideal customer profiles2 records
Roundstone technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Integration7 records
Feature4 records
Roundstone partnerships and signals
Strategic signalPartnerships
Eight partnerships are on record, tiered core and minor.
- TrueRxcoreTransparent Pharmacy Benefit Manager (PBM) partner included in Roundstone's preferred bundle. TrueRx provides prescription drug negotiation, formulary management, and pharmacy claims processing as part of the integrated captive solution.
- SHARxcorePrescription drug sourcing solution for high-cost specialty medications. Helps employers access alternative sourcing for expensive prescriptions to reduce pharmacy costs.
- Rightway HealthcarecoreDigital wellness and telehealth platform partner providing care navigation and virtual healthcare access. Rightway helps employees make better healthcare decisions and access appropriate care settings.
- CignacoreProvider network partner offering national network access for employer health plans. Cigna network allows employees to maintain relationships with existing healthcare providers.
- Verified TPAs and PBMscoreNetwork of preferred third-party administrators and pharmacy benefit managers that have been vetted for transparency, value, and service quality to deliver optimal outcomes for captive participants.
- Color HealthminorCancer care partner featured in the Healthcare Forward podcast, discussing early intervention models for cancer care that deliver greater financial and human impact.
- Maple HealthminorDirect Primary Care partner featured in podcast discussing how DPC reimagines patient-provider relationships and delivers more personalized, accessible care.
- University HospitalsminorHealthcare system partner featured in podcast discussing innovation, AI, and smart hospital initiatives that can impact employer healthcare costs and outcomes.
Scale indicators10 records
Recent moves1 record
Expansion highlights5 records
Roundstone competitors and assessment
Company assessmentDirect peers
- The Kempton Group: The Kempton Group operates group medical captive programs for SMB employers, closely mirroring Roundstone's pool-based approach with stop-loss coverage and broker distribution.
- Sun Life Financial (Stop-Loss Division): Sun Life's U.S. stop-loss and health solutions business serves the same SMB self-funded market as Roundstone, offering stop-loss coverage and group captive arrangements. Competes head-to-head for employer and broker relationships in the same distribution channels.
- Tokio Marine HCC (Stop-Loss Group): Tokio Marine HCC's Stop-Loss Group is a major provider of specific and aggregate stop-loss insurance to SMB self-funded plans, overlapping with Roundstone's stop-loss layer and captive reinsurance relationships. Both target the same benefits broker channel.
- Vitable Benefits: Vitable provides group captive and level-funded health benefits solutions targeted at small and mid-sized employers, directly competing with Roundstone's core SMB captive model and broker channel strategy.
- Oca (formerly Avante Health Solutions): Oca delivers captive and self-funded health benefit programs for SMBs through a broker distribution model. Competes directly with Roundstone on employer size, captive structure, and advisor enablement.
- Gravie: Gravie offers level-funded and self-funded health benefits designed for small businesses and competes with Roundstone for the same employer customer and broker relationships, though Gravie leans more on a marketplace technology model.
Broad incumbents
- Cigna Group (Evernorth): Cigna is both a Roundstone partner (provider network) and a broad incumbent offering competing self-funded, level-funded, and captive solutions through Evernorth. Comparable in scale and target customer (employer-sponsored health plans) but operates a much larger portfolio beyond captive insurance.
- Elevance Health (Anthem): Elevance (Anthem) offers self-funded, level-funded, and stop-loss products at national scale and competes with Roundstone across the same employer and broker ecosystem, though captive insurance is a small slice of its broader portfolio.
- UnitedHealth Group (UnitedHealthcare): UnitedHealth serves self-funded employers with stop-loss, TPA, PBM, and network solutions, providing overlapping capabilities to Roundstone's preferred bundle but at vastly larger scale across all employer segments.
Emerging players
- Sana Benefits: Sana is a smaller, technology-driven health benefits provider for SMBs that uses alternative funding and captive-like structures. Competes for the same small-employer segment with a more modern tech stack but lower scale than Roundstone.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat7 records
Key risks6 records
Key highlights7 records
Customer concentration
Roundstone social profiles
Digital presenceRoundstone financial estimates
Financial estimateRevenue estimate
Valuation estimate
Roundstone leadership team
Management profileNumber of profiles
Profiles10 records
Roundstone subsidiaries and ownership
Company hierarchySubsidiaries1 record
Roundstone funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Roundstone M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Roundstone
What does Roundstone do?
Roundstone operates a group captive insurance model that pools small and mid-sized employers (25 to 1,000+ employees) together to share risk and reduce healthcare costs. The captive reinsures risk between employer deductibles and $500,000, layered with stop-loss insurance covering larger claims, and is administered through Bywater, Roundstone's in-house TPA. The model returns 100% of unused premiums to employers, guarantees savings, and pairs with cost-containment solutions to deliver approximately 25% lower total annual cost versus the industry average.
Is Roundstone a public or private company?
Roundstone is a private company. It is classified as family owned and is currently operating.
When was Roundstone founded?
Roundstone was founded in 2003. It employs 101 to 250 people.
Where is Roundstone based?
Roundstone is headquartered in Lakewood, United States, in the North America region.
How does Roundstone make money?
Five revenue lines are on record. Captive Insurance Premiums are the primary driver. The others are stop-Loss Insurance, collateral Management, underwriting and Captive Management Fees and third-Party Administration (Bywater).
Who are Roundstone's main competitors?
Direct peers on record are The Kempton Group, Sun Life Financial (Stop-Loss Division), Tokio Marine HCC (Stop-Loss Group), Vitable Benefits, Oca (formerly Avante Health Solutions) and Gravie. Broad incumbents are Cigna Group (Evernorth), Elevance Health (Anthem) and UnitedHealth Group (UnitedHealthcare). Sana Benefits is listed as an emerging player.
Does Roundstone have an API?
No public API is recorded for Roundstone.
What industry is Roundstone in?
Roundstone's product category is Group Captive Health Insurance. Its primary akta.pro industry code is FSAIAFAB, Self-Funded (ASO) Group Health Plans & Stop-Loss, with a secondary code of HLAEAAAF, Stop-Loss & Excess Loss Coverage (Employer Sponsored). Its NAICS code is 5241 and its SIC code is 6324.