Employers across the U.S. are preparing to pass more health care costs onto employees in 2026, according to Mercer’s newly released Survey on Health and Benefit Strategies. Over half of employers surveyed said they plan to make changes to their health insurance offerings, including higher deductibles and increased out-of-pocket maximums.
After years of shielding workers from rising health expenses due to labor shortages and inflation, companies say the current financial pressure is too great to continue absorbing costs. In 2025, 45% of employers reported shifting more health care costs to staff — a number that is expected to grow next year.
Health benefits spending is projected to increase by nearly 6% this year, up from a 4.5% rise in 2024. Experts warn that higher costs in 2026 will be driven by increased health care usage and new technologies like AI-powered billing.
Coverage for popular but costly GLP-1 anti-obesity medications is another major concern. While large employers still offer this benefit, many may narrow eligibility or require more documentation, making it harder for employees to access treatment.
Mental health care remains a priority. More employers are expanding Employee Assistance Program (EAP) counseling sessions, increasing access from the traditional three to five visits to six to eight sessions.
As return-to-office trends continue, companies are also investing in child care and elder care benefits. More than half of large employers will offer at least one child or elder care resource in 2026. Additionally, nearly 60% will support women’s reproductive health through services like lactation assistance and high-risk pregnancy care.
Related topics:
Florida Health Officials Warn of Flesh-Eating Bacteria Risk in Coastal Waters
Brain MRI Can Reveal How Fast You’re Aging
8 Healthy Babies Born Through Groundbreaking 3-Person IVF Treatment
