Kempton

What Kempton does

The Kempton Group Administrators, Inc. is an independent, family-owned third-party administrator (TPA) founded in 1969 and headquartered in Oklahoma City, Oklahoma, providing health benefit administration services for self-funded US employers, typically with 50–3,000 employees. The company adjudicates and pays claims, maintains eligibility, designs plan documents, administers COBRA/HIPAA/ACA compliance, arranges stop-loss coverage, and delivers member, employer, provider, and broker portals as part of a single PEPM (per-employee-per-month) flat administrative fee with no commissions, no markup on PPO/vendor fees, and full pass-through of negotiated savings.

The company's differentiation centers on its KPP*Free*™ (Kempton Premier Providers Free) network, launched in 2012, which offers bundled, cash-pay, transparent pricing — typically 80% below conventional provider rates (e.g., hernia repair $3,190 vs. $19,384; spinal fusion $5,696 vs. $192,623). The technology stack includes web-based portals for each stakeholder, a KPP*Free*™ mobile app on iOS and Android, and integrations including CompassConnect by Zelis, multiple PPO networks (First Health, HealthSmart, PHCS, PPOplus, etc.), a broad PBM list, and directly contracted laboratories. The co-founding role in the Free Market Medical Association (FMMA) and a strategic partnership with Surgery Center Network (2019) anchor the firm within the free-market healthcare transparency movement.

Revenue mechanics are subscription-based: a flat all-inclusive PEPM fee plus fixed-fee quotes for non-standard services. Go-to-market is consultative direct sales augmented by a dedicated broker/consultant portal. Since 2012, the company reports >$100M in cumulative claims savings for clients. The firm remains bootstrapped with no disclosed external funding, no M&A activity, and operating geographies limited to the United States across nearly every state.

Name

Kempton

Legal name

The Kempton Group Administrators, Inc.

Website

https://kemptongroup.com

Company type

Private

Founded year

1969

Operating status

Operating

Headcount range

11–50 employees

Short description

The Kempton Group is an independent third-party administrator providing health benefit administration for US self-funded employers, anchored by its KPP*Free*™ provider network that offers bundled, transparent, cash-pay pricing at roughly 80% below typical provider rates.

Ownership category

akta.pro rank

Product category

Third-Party Health Benefits Administration

NAICS

Pharmacy Benefit Management and Other Third Party Administration of Insurance and Pension Funds (524292), Agencies, Brokerages, and Other Insurance Related Activities (5242)

SIC

Hospital & Medical Service Plans (6324)

akta.pro primary industry

COBRA & Direct Billing Administration (HLAEALAC)

akta.pro secondary industry

Captive Insurance Advisory & Management (FSAEADAF)

Keywords

• Third-party administration
• Self-funded health benefits
• Claims processing services
• Healthcare price transparency
• Employee benefits administration

Headquarters

HQ city

Oklahoma City

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Administrative Fees: Single, flat administrative fee per-employee-per-month (PEPM). All services are included in this fee with no additional hidden charges. Additional services outside standard administration are quoted as fixed flat fees upfront.

Pricing tiers

Go-to-market motion2 records

Distribution channels5 records

Marketing channels7 records

Core offering

The Kempton Group is an independent third-party administrator that processes claims, manages eligibility, designs plan documents, and administers HIPAA/COBRA/ACA compliance for self-funded employer benefit plans in exchange for a flat per-employee-per-month fee. Its signature KPP*Free*™ program adds a proprietary network of providers offering upfront, all-inclusive, deeply discounted transparent pricing, enabling employers to waive employee out-of-pocket costs at participating providers.

Product overview

The Kempton Group is an independent third-party administrator (TPA) that provides administrative services for self-funded employer benefit plans. The core offering consists of claims adjudication and plan management services, supplemented by the KPP*Free*™ provider network featuring transparent, bundled pricing where employers can offer employees medical services with no out-of-pocket costs. Additional products include Kempton Direct Access Providers (Direct Primary Care enrollment), Reference Based Pricing for cost containment, and CompassConnect by Zelis for healthcare transparency. The company also offers a mobile app for accessing KPP*Free*™ provider search and pricing. The company was founded in 1969 and is headquartered in Oklahoma City, Oklahoma.

Differentiator

Problem solved

Functional benefit

Brands

• KPPFree: KPPFree is an elite group of providers offering up-front, all-inclusive, deeply discounted and completely transparent prices for their services. The program includes bundled, cash-pay pricing and connects self-funded employers with high-quality, free-market-minded healthcare providers.
• Kempton Premier Providers
• Kempton Direct Access Providers

Products and services

• KPP*Free*™ Provider Network Proprietary, trademarked network of providers offering upfront, all-inclusive, deeply discounted, transparent pricing for medical services. Self-funded employer clients can offer employees medical services at KPP*Free*™ providers with all out-of-pocket costs waived; reported pricing is roughly 80% below typical providers (e.g., hernia repair $3,190 vs $19,384; spinal fusion $5,696 vs $192,623).
• Self-Funded Benefit Plan Administration (TPA Services)

Quantifiable outcome

• KPPFree providers offer prices 80% less than typical providers (e.g., Hernia Repair $3,190 vs $19,384; Spinal Fusion $5,696 vs $192,623)
• +2 more outcomes

Named customers6 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Two partnerships are on record, tiered core.

• Surgery Center NetworkcoreStrategic or Co-development PartnerSCN provider members gain access to more surgical cases while Kempton Group clients receive high-quality, low-cost, transparent care. Strategic partnership connecting free-market minded surgery centers with self-funded employer clients.
• Free Market Medical Association (FMMA)coreStrategic or Co-development PartnerCo-founded by Jay Kempton, Kempton Group is a founding member. FMMA brings together physicians, patients, and self-funded employers to promote transparency and free-market principles in healthcare. Kempton Group actively sponsors and participates in FMMA conferences and events.

Scale indicators4 records

Recent moves6 records

Expansion highlights4 records

Direct peers

• Lucent Health: Independent third-party administrator for self-funded employer health plans, offering claims administration, provider networks, and cost-containment services. Closely comparable to Kempton's independent TPA model and self-funded focus.
• Allied Benefit Systems: Independent TPA administering self-funded health, welfare, and retirement plans for employers. Comparable independent-TPA business model serving self-funded employer clients.
• HealthEZ: Third-party administrator for self-funded employer health plans, providing claims processing, member portals, and integrated stop-loss coverage. Comparable mid-market independent TPA serving similar employer segments.
• TPSC (Third Party Solutions Company): Independent TPA offering claims administration, COBRA, and self-funded plan management for employer groups. Direct peer in core TPA functions and self-funded customer segment.
• Maestro Health: Benefits administration and TPA firm focused on self-funded employers with technology-driven member experience. Overlaps with Kempton's portal-based, consultative TPA model.
• Imagine360: Independent TPA specializing in self-funded plans with reference-based pricing and direct-provider contracting. Highly comparable to Kempton's RBP and KPPFree-style transparent pricing approach.

Broad incumbents

• Benefitfocus (a Vertafore company): Large-scale benefits administration platform serving employers, brokers, and carriers with broader scope than Kempton's boutique TPA focus; adjacent competitor for mid-market RFPs.
• Surest (UnitedHealth Group): UnitedHealth-owned health plan with a transparent, value-based design allowing members to see costs upfront. A well-capitalized incumbent competing for the same 'transparent pricing' narrative Kempton sells.

Others

• Zelis: Healthcare technology vendor whose CompassConnect transparency tool is integrated into Kempton's offering. Ecosystem/infrastructure peer rather than a direct competitor.
• Surgery Center Network (partner): Strategic partner of Kempton's, not a direct competitor; included as an ecosystem peer because it supplies the surgery-center side of Kempton's transparent-pricing value chain.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• YouTubeyoutube.com/channel/UCtbAbKACmc0KW8dZAyyqdXg
• Facebookfacebook.com/thekemptongroup
• LinkedInlinkedin.com/company/the-kempton-group
• Xx.com/thekemptongroup

Revenue estimate

Valuation estimate

Number of profiles

Profiles11 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Kempton