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Brace Yourself for Another Rising Cost in 2027
Newser • • general
Key Points:
- Employer-sponsored health insurance costs are projected to increase sharply, with a Marsh survey predicting an 11% rise per worker in 2027 if benefits remain unchanged, or about 8% even after benefit reductions, marking the steepest increase since 2003.
- Insurance broker Aon forecasts a 9.5% rise in employer health-plan costs next year, aligning with Marsh's findings and highlighting widespread cost pressures.
- Approximately 160 million Americans under 65 rely on employer health coverage and may face higher premiums, deductibles, and co-pays due to rising expenses from hospital services, prescription drugs (including GLP-1 medications), and cancer treatments.
- In response, some employers are cutting coverage for spouses with alternative insurance, eliminating coverage for obesity drugs, and exploring alternatives such as direct hospital contracts, narrower provider networks, and smaller pharmacy benefit managers to improve cost transparency.
- HealthInsurance.org provides a state-by-state chart detailing projected premium increases for 2027, reflecting regional variations in cost hikes.
