Employers Expect Third Consecutive Year of Health Benefit Cost Increases Above 5% in 2025
- Written by: iPMI Global
- Category: Private Medical Insurance & Employee Benefits
Mercer has released preliminary results from its 2024 National Survey of Employer-Sponsored Health Plans.
According to an analysis of responses from over 1,800 US employers, total health benefit cost per employee is expected to rise 5.8% on average in 2025, even after accounting for planned cost-reduction measures. Employers estimated that their cost would rise by about 7%, on average, if they took no action to lower cost. Smaller employers (those with 50-499 employees), which typically have fully insured health plans, have been hit the hardest. They reported that cost would rise by about 9% on average if they took no action to lower cost.
