CNN – Brace yourselves, workers. Your health insurance at the job could cost you a lot more in 2026.
Although overall inflation is more muted than a few years ago, employers are preparing for the steepest increase in health benefit costs in 15 years, according to Mercer’s National Survey of Employer-Sponsored Health Plans, released Thursday.
That means many employees will have to shell out more for health care from their paychecks and when they go to the doctor – adding to the financial squeeze many consumers are already feeling from stubbornly high consumer prices that could soon jump even more as President Donald Trump’s tariffs kick in.
Workers can expect to shell out an additional 6% to 7% in premiums, on average, according to Mercer. Some companies will try to limit the increase, but they typically do that by hiking deductibles and copays.
“The cost of coverage is going up,” said Beth Umland, director of research for health and benefits at Mercer, an employer benefits consulting firm. “That’s a combination of higher prices for health care services and higher utilization.”
During the pandemic, many companies tried to shield their staffers from higher costs by absorbing rising health care expenses. But fewer are doing so now.
Some 59% of employers intend to make cost-cutting changes to their health insurance plans next year, up from 44% in 2024, Mercer found. These measures generally involve requiring employees to pay more when they seek care through higher deductibles and out-of-pocket costs.
Workers will find out more details about their 2026 health care coverage during open enrollment, which typically happens in the fall.
Many employers are offering more choices of plans, some of which may have lower costs for enrollees, said Sunit Patel, Mercer’s US chief actuary for health and benefits. One popular trend is to provide plans with a broad network of doctors but with differing out-of-pocket charges depending on the practitioner, for instance …
