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Employers expect health care costs to rise by more than 5% for the third consecutive year in 2025, Mercer says Page 1

Employers expect health care costs to rise by more than 5% for the third consecutive year in 2025, Mercer says Page 1

Today, Mercer, a division of Marsh McLennan (NYSE: MMC) and a global leader in helping clients achieve their investment goals, shape the future of work, and improve the health and retirement outcomes of their employees, announced preliminary results from the 2024 National Survey of Employer-Sponsored Health Plans.

According to an analysis of responses from more than 1,800 U.S. employers, total health care costs per employee are expected to increase by an average of 5.8% through 2025, even after accounting for planned cost-saving measures. Employers estimated that their costs would increase by about 7% on average if they took no action to reduce costs. Smaller employers (with 50-499 employees), which typically have fully insured health plans, were hit the hardest, reporting that their costs would increase by about 9% on average if they took no action to reduce costs.