Scared of Expensive Insurance Renewals? It’s Time to Change to Self-Funding

expensive-renewals-time-to-switch-to-self-funded-health-insurance_Roundstone Insurance

You thought last year’s insurance renewal was frightening. This year’s increase promises to be absolute bonkers. 


The Hill reports prices have spiked 7% in the last year, citing the 2023 Employer Health Benefits Survey from Kaiser Family Foundation (KFF). It now costs employers $24,000 to insure a single family on a traditional, employer-sponsored health plan.  


Why is health insurance so expensive? The reasons are many, including rampant healthcare inflation. Traditional health insurance continues to skyrocket. High prescription costs, hospital system consolidation, and a lack of transparency in data and cost all contribute to the fact that healthcare has become exorbitantly expensive 


As if last year’s spike couldn’t get any worse. (Spoiler alert: IT CAN AND IT WILL.)  


Many companies are wondering how they’ll afford to stay in business without laying someone off.  


At least that’s the case for those who use traditional health insurance benefits. It’s a racket. It sometimes feels like a scheme where traditional insurance companies rake in money hand over fist.  


American households, on the other hand, are left wondering what they’re paying for. They spend more, but get less – it’s a losing game. The end result is that companies have less to invest in the people critical to their success, and families are forced to make difficult decisions.   


A Different Approach: Self-Funded Group Captive Health Insurance  


But that’s not what we’ve seen in Roundstone’s self-funded group captive.   


At Roundstone, we take our own medicine – we self-fund our employees’ benefits on the same model we provide clients. And in the last 8 years, we haven’t increased employee contributions a dime. In fact, if employees take part in our healthcare incentive programs, they actually pay less than they did 8 years ago.  


(You can read our case study that proves it.)


no increases to employee health plan contributions CTA



When renewal time comes around, nobody panics. The price will stay fairly stable and may even go down – even in the face of rampant healthcare inflation.  


That’s because Roundstone follows a different model that doesn’t incentivize greed. We don’t make our money off raising prices – we earn our bread and butter through the consistent commitment of companies we help save money on healthcare.  


With everything we do, we start by asking ourselves, “What would the employer want? What’s in their best interests?”   


We make decisions based on the outcome of the employer – decisions that both save money and improve the quality of care.  


That’s our alignment philosophy – we don’t chase dollars. We chase better outcomes for employers and their families.  


Sadly, there’s not a lot of alignment in the healthcare industry. When it comes to many of the providers, hospitals, physicians, drug companies, and traditional insurance companies, everybody’s chasing their own cash prize at the expense of families.  


But at Roundstone, we take a different approach. We believe the money will take care of itself if we stay focused on delivering quality, affordable healthcare to employers and their employees. It’s just that simple.   



The Roundstone Guarantee: Save with Self-Funding   


It’s in the Roundstone Guarantee – you’ll save money in the first 5 years with us, or we make up the difference.  


That guarantee, BTW, first gave our Chief Accounting Officer, Chad Buskirk, heart palpitations. But once he looked at the numbers, he realized it was a no-brainer.  


In fact, ⅔ of Roundstone clients save enough in their first 4 years with us to completely pay for their 5th year of claims. And 100% save money, guaranteed.  


Healthcare renewal doesn’t have to be panic time. You shouldn’t dread finding out what your new rates will be. They should be affordable and predictable.   


If you’re scared this insurance renewal season, maybe it’s time to find a better alternative. With self-funding, you have access to your claims data so you can optimize savings. You can design your plan the way you’d like. The end result is an affordable healthcare plan that provides high-quality care. Your business prospers, and your employees are happier as a result. Everyone wins.  




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