Many Americans are worried about healthcare costs as midterms approach. Why do they keep rising?

Key Points:

• Rising healthcare costs are a major concern for American voters ahead of the midterm elections, with premiums under the Affordable Care Act increasing by 13% on average for 2026 and employer-sponsored insurance premiums also rising nearly 10%.
• The use of ambient artificial intelligence (AI) in healthcare documentation is contributing to higher billing categories and increased patient costs, as AI tools capture more detailed information that can lead to higher insurance claims.
• Tariffs on imported medical supplies and pharmaceuticals, implemented during the Trump administration, have increased procurement costs for hospitals and providers, which may be passed on to patients through higher healthcare prices.
• The surge in use and spending on GLP-1 medications for type 2 diabetes and weight loss has significantly driven prescription drug costs, with spending rising over 500% from 2018 to 2023 and these drugs accounting for about 14% of U.S. prescription drug spending in 2025.
• Experts warn that healthcare costs are likely to continue rising in the short term due to these factors, and meaningful cost relief may not be seen until generic versions of expensive drugs like GLP-1s become available around 2030.