Workers Could See Higher Health Care Costs Next Year, Survey Shows

Employees across the country may soon face higher health care expenses, according to a new survey from Mercer. The study found that just over half of U.S. employers plan to shift more health care costs to workers in 2026.

This shift could include raising deductibles or annual out-of-pocket maximums as companies deal with rising health care costs. According to Mercer, employer health benefit expenses are expected to jump nearly 6% this year, following a 4.5% increase in 2024.

“Employers are thinking, we’re at a point where we can’t do another year of not passing along some of the cost increases,” said Beth Umland, director of research at Mercer’s Health and Benefits business.

Among factors driving these costs are higher patient usage, increased billing accuracy through artificial intelligence, and coverage of anti-obesity GLP-1 medications — which remain popular but costly. Nearly two-thirds of companies with 20,000 or more employees covered GLP-1s in 2024.

Despite cost shifts, many companies are adding services like mental health counseling, child care, and elder care benefits. Mercer’s survey found 35% of employers will offer onsite Employee Assistance Program counseling next year, up from 29% this year.

Child care and elder care benefits are also on the rise as more companies require employees to return to the office. Over half of large employers surveyed plan to provide resources such as child care platforms or backup elder care services.

Employees can expect to learn more about these benefit changes during open enrollment in the fall.

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