{"success":true,"data":{"pressRelease":{"id":"133970","rtpr_id":"nBw9zZfkpa","ticker":"MRSH","exchange":"NYSE","all_tickers":["MRSH"],"title":"Employers Expect Health Benefit Costs to Jump 8.2% in 2027, and the Impact Will Likely Be Felt by Workers, According to Marsh","author":"Business Wire","published_at":"2026-09-02T13:00:00.104Z","article_body":"Employers Expect Health Benefit Costs to Jump 8.2% in 2027, and the Impact\nWill Likely Be Felt by Workers, According to Marsh\n\nMarsh (NYSE: MRSH), a leading global professional services firm, today\nreleased the preliminary results from its 2026 National Survey of\nEmployer-Sponsored Health Plans\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Finsights%2Fus-health-news%2Fsurvey-health-benefit-costs-expected-to-jump-in-2027%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=2026+National+Survey+of+Employer-Sponsored+Health+Plans&index=1&md5=a60b9dfc660e90b34b3a270e20c92b9c)\n.\n\nAccording to Marsh’s analysis of responses from over 1,800 US employers, the\ntotal health benefit cost per employee is expected to rise 8.2% on average in\n2027 – the highest increase since 2003 – even after accounting for planned\ncost-reduction measures. Employers said that the cost of their current plans\nwould increase by 11%, on average, if they took no action to lower it.\n\nBased on these projections, 2027 will be the fifth consecutive year of\nelevated health benefit cost growth after a decade of more moderate annual\nincreases. It will also be the highest increase in this five-year period. This\nyear’s average projected increase was 6.7%.\n\n“Few organizations can absorb health cost increases that outpace inflation\nwithout making difficult financial decisions,” said Simon Camaj, Marsh’s\nUS Health and Benefits Leader. “This is a unique situation in which Marsh is\npositioned to help employers through this challenge, using data, targeted\ninterventions, and innovative strategies that support cost management while\nimproving health affordability and outcomes for workers.”\n\nOngoing cost pressures persist, along with a few new factors\n\nAccording to Sunit Patel, Marsh’s US Chief Actuary for Health and Benefits,\nseveral factors continue to weigh on health benefit costs. Continued advances\nin diagnostics and therapeutics are improving outcomes but often cost more\nthan the treatments they replace. Health system consolidation and lower\ngovernment funding and reimbursements in public health programs are also\ndriving higher charges for care in employer plans.\n\nThese ongoing cost pressures consistently keep medical cost trends above\ngeneral inflation, but this year, some newer factors have emerged to push cost\ngrowth to a level not seen in decades. At the top of the list is GLP-1\nmedications for weight management. “While the market for these medications\nis evolving in ways that could ultimately result in lower costs, some\nemployers needing immediate cost relief chose to drop this coverage for next\nyear,” says Mr. Patel. “Still, we estimate that rising GLP-1 utilization\naccounts for a full percentage point of the overall cost growth for 2027.”\n\nOther drivers include the rapid adoption of AI-enabled billing software that\nassists physicians with claims submission and has resulted in more claims –\nand higher-level claims – being filed for reimbursement as well as the\nlarger-than-expected impact of payments being awarded to out-of-network\nproviders through the Independent Dispute Resolution process established under\nthe No Surprises Act.\n\nEmployers’ response to faster cost growth\n\nThe pressure on healthcare budgets is likely to result in higher healthcare\ncosts for employees in 2027. The survey found that 59% of employers plan to\nmake cost-cutting changes to health benefits in 2027, including plan design\nchanges like higher deductibles that can increase members’ out-of-pocket\ncosts.\n\nIn addition, a Marsh survey\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Fabout%2Fnewsroom%2Femployers-are-shifting-healthcare-costs-to-employees%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=survey&index=2&md5=b4b3668eb3c1f5f57f656cfc807d7bbc)\nconducted earlier this year found that about two-thirds of large employers\n(those with 500 or more employees) expect to increase employees’ share of\npremium costs next year. That means that in 2027 many employees will see their\npaycheck deductions for health coverage rise by more than the overall average\ncost increase of 8.2%.\n\nBut the earlier survey also found that many employers are looking for ways to\ncontrol costs without shifting them to employees, such as offering lower-cost,\nquality-focused plan options. One example is variable copay plans, which 12%\nof large employers plan to offer in 2027 (18% of employers with 20,000 or more\nemployees). These plans generally have no or a low deductible and charge\nmembers less when they select top-performing providers for specific health\nservices.\n\nIn the National Survey of Employer-Sponsored Health Plans, when employers were\nasked to identify their top priorities for managing health programs over the\nnext few years, guiding members to higher-quality care was in the top three,\nwith 58% of large employers indicating that this strategy would be important\nor very important. In last year’s survey, this strategy ranked fifth,\nsuggesting it is gaining momentum.\n\nNot surprisingly, the highest priority continues to be a greater focus on\nmanaging high-cost claims. Says Mr. Patel, “As very expensive new therapies\nfor cancer and rare diseases reach the market, extremely high-cost claims have\nbecome more common. So on top of high costs, health plan sponsors are also\ndealing with more volatile costs, which can materially disrupt budgets and\nimpact earnings, particularly for smaller employers.”\n\nConsiderations for employees during open enrollment this year\n\nBecause employees are likely to see both higher premium contributions and\nhigher cost-sharing requirements in 2027, during open enrollment they should\ntake the time to explore other available medical plan options to see if a\nchange makes sense.\n\nMost employers are offering multiple medical plans. Over a third of large\nemployers plan to offer some type of non-traditional medical plan in 2027,\nsuch as a variable copay or high-performance network plan. These options are\ntypically designed to deliver both lower paycheck deductions and lower\nout-of-pocket costs, while guiding employees to high-quality providers.\n\nAbout Marsh’s National Survey of Employer-Sponsored Health Plans\n\nThe 2026 National Survey of Employer-Sponsored Health Plans\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Finsights%2Fus-health-news%2Fsurvey-health-benefit-costs-expected-to-jump-in-2027%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=National+Survey+of+Employer-Sponsored+Health+Plans&index=3&md5=171d0e56b91fc434573237025fd1862f)\nlaunched on June 10, 2026. These preliminary results are based on responses\nfrom over 1,800 employers through August 10. The final survey results will be\nreleased later this year.\n\nAbout Marsh\n\nMarsh\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.marsh.com%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=Marsh&index=4&md5=5f932ee0f3f3d5f05c42be5208e65d26)\n(NYSE: MRSH) is a global leader in risk, reinsurance and capital, people and\ninvestments, and management consulting, advising clients in 130 countries.\nWith annual revenue of $27 billion and more than 95,000 colleagues, Marsh\nhelps build the confidence to thrive through the power of perspective. For\nmore information, visit marsh.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.marsh.com%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=marsh.com&index=5&md5=6f37e52ef20267400719a6b0ab60d881)\n, or follow us on LinkedIn\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.linkedin.com%2Fcompany%2Fmarshglobal%2Fposts%2F%3FfeedView%3Dall&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=LinkedIn&index=6&md5=acdb69099311d560c9645fa8739386a6)\nand X\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fx.com%2Fmarshglobal&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=X&index=7&md5=0b2daacd28cd9bf3d7c801f4cc6269ff)\n.\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260902423651/en/\n(https://www.businesswire.com/news/home/20260902423651/en/)\n\nMedia contact:\n\nCassie Lenski\n\n+1 214-220-6227\n\nCassie.Lenski@marsh.com (mailto:Cassie.Lenski@marsh.com)\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw9zZfkpa","title":"Employers Expect Health Benefit Costs to Jump 8.2% in 2027, and the Impact Will Likely Be Felt by Workers, According to Marsh","author":"Business Wire","ticker":"MRSH","created":"2026-09-02T13:00:00.104Z","tickers":["MRSH"],"exchange":"NYSE","article_body":"Employers Expect Health Benefit Costs to Jump 8.2% in 2027, and the Impact\nWill Likely Be Felt by Workers, According to Marsh\n\nMarsh (NYSE: MRSH), a leading global professional services firm, today\nreleased the preliminary results from its 2026 National Survey of\nEmployer-Sponsored Health Plans\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Finsights%2Fus-health-news%2Fsurvey-health-benefit-costs-expected-to-jump-in-2027%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=2026+National+Survey+of+Employer-Sponsored+Health+Plans&index=1&md5=a60b9dfc660e90b34b3a270e20c92b9c)\n.\n\nAccording to Marsh’s analysis of responses from over 1,800 US employers, the\ntotal health benefit cost per employee is expected to rise 8.2% on average in\n2027 – the highest increase since 2003 – even after accounting for planned\ncost-reduction measures. Employers said that the cost of their current plans\nwould increase by 11%, on average, if they took no action to lower it.\n\nBased on these projections, 2027 will be the fifth consecutive year of\nelevated health benefit cost growth after a decade of more moderate annual\nincreases. It will also be the highest increase in this five-year period. This\nyear’s average projected increase was 6.7%.\n\n“Few organizations can absorb health cost increases that outpace inflation\nwithout making difficult financial decisions,” said Simon Camaj, Marsh’s\nUS Health and Benefits Leader. “This is a unique situation in which Marsh is\npositioned to help employers through this challenge, using data, targeted\ninterventions, and innovative strategies that support cost management while\nimproving health affordability and outcomes for workers.”\n\nOngoing cost pressures persist, along with a few new factors\n\nAccording to Sunit Patel, Marsh’s US Chief Actuary for Health and Benefits,\nseveral factors continue to weigh on health benefit costs. Continued advances\nin diagnostics and therapeutics are improving outcomes but often cost more\nthan the treatments they replace. Health system consolidation and lower\ngovernment funding and reimbursements in public health programs are also\ndriving higher charges for care in employer plans.\n\nThese ongoing cost pressures consistently keep medical cost trends above\ngeneral inflation, but this year, some newer factors have emerged to push cost\ngrowth to a level not seen in decades. At the top of the list is GLP-1\nmedications for weight management. “While the market for these medications\nis evolving in ways that could ultimately result in lower costs, some\nemployers needing immediate cost relief chose to drop this coverage for next\nyear,” says Mr. Patel. “Still, we estimate that rising GLP-1 utilization\naccounts for a full percentage point of the overall cost growth for 2027.”\n\nOther drivers include the rapid adoption of AI-enabled billing software that\nassists physicians with claims submission and has resulted in more claims –\nand higher-level claims – being filed for reimbursement as well as the\nlarger-than-expected impact of payments being awarded to out-of-network\nproviders through the Independent Dispute Resolution process established under\nthe No Surprises Act.\n\nEmployers’ response to faster cost growth\n\nThe pressure on healthcare budgets is likely to result in higher healthcare\ncosts for employees in 2027. The survey found that 59% of employers plan to\nmake cost-cutting changes to health benefits in 2027, including plan design\nchanges like higher deductibles that can increase members’ out-of-pocket\ncosts.\n\nIn addition, a Marsh survey\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Fabout%2Fnewsroom%2Femployers-are-shifting-healthcare-costs-to-employees%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=survey&index=2&md5=b4b3668eb3c1f5f57f656cfc807d7bbc)\nconducted earlier this year found that about two-thirds of large employers\n(those with 500 or more employees) expect to increase employees’ share of\npremium costs next year. That means that in 2027 many employees will see their\npaycheck deductions for health coverage rise by more than the overall average\ncost increase of 8.2%.\n\nBut the earlier survey also found that many employers are looking for ways to\ncontrol costs without shifting them to employees, such as offering lower-cost,\nquality-focused plan options. One example is variable copay plans, which 12%\nof large employers plan to offer in 2027 (18% of employers with 20,000 or more\nemployees). These plans generally have no or a low deductible and charge\nmembers less when they select top-performing providers for specific health\nservices.\n\nIn the National Survey of Employer-Sponsored Health Plans, when employers were\nasked to identify their top priorities for managing health programs over the\nnext few years, guiding members to higher-quality care was in the top three,\nwith 58% of large employers indicating that this strategy would be important\nor very important. In last year’s survey, this strategy ranked fifth,\nsuggesting it is gaining momentum.\n\nNot surprisingly, the highest priority continues to be a greater focus on\nmanaging high-cost claims. Says Mr. Patel, “As very expensive new therapies\nfor cancer and rare diseases reach the market, extremely high-cost claims have\nbecome more common. So on top of high costs, health plan sponsors are also\ndealing with more volatile costs, which can materially disrupt budgets and\nimpact earnings, particularly for smaller employers.”\n\nConsiderations for employees during open enrollment this year\n\nBecause employees are likely to see both higher premium contributions and\nhigher cost-sharing requirements in 2027, during open enrollment they should\ntake the time to explore other available medical plan options to see if a\nchange makes sense.\n\nMost employers are offering multiple medical plans. Over a third of large\nemployers plan to offer some type of non-traditional medical plan in 2027,\nsuch as a variable copay or high-performance network plan. These options are\ntypically designed to deliver both lower paycheck deductions and lower\nout-of-pocket costs, while guiding employees to high-quality providers.\n\nAbout Marsh’s National Survey of Employer-Sponsored Health Plans\n\nThe 2026 National Survey of Employer-Sponsored Health Plans\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.mercer.com%2Fen-us%2Finsights%2Fus-health-news%2Fsurvey-health-benefit-costs-expected-to-jump-in-2027%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=National+Survey+of+Employer-Sponsored+Health+Plans&index=3&md5=171d0e56b91fc434573237025fd1862f)\nlaunched on June 10, 2026. These preliminary results are based on responses\nfrom over 1,800 employers through August 10. The final survey results will be\nreleased later this year.\n\nAbout Marsh\n\nMarsh\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.marsh.com%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=Marsh&index=4&md5=5f932ee0f3f3d5f05c42be5208e65d26)\n(NYSE: MRSH) is a global leader in risk, reinsurance and capital, people and\ninvestments, and management consulting, advising clients in 130 countries.\nWith annual revenue of $27 billion and more than 95,000 colleagues, Marsh\nhelps build the confidence to thrive through the power of perspective. For\nmore information, visit marsh.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.marsh.com%2F&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=marsh.com&index=5&md5=6f37e52ef20267400719a6b0ab60d881)\n, or follow us on LinkedIn\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.linkedin.com%2Fcompany%2Fmarshglobal%2Fposts%2F%3FfeedView%3Dall&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=LinkedIn&index=6&md5=acdb69099311d560c9645fa8739386a6)\nand X\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fx.com%2Fmarshglobal&esheet=54597447&newsitemid=20260902423651&lan=en-US&anchor=X&index=7&md5=0b2daacd28cd9bf3d7c801f4cc6269ff)\n.\n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260902423651/en/\n(https://www.businesswire.com/news/home/20260902423651/en/)\n\nMedia contact:\n\nCassie Lenski\n\n+1 214-220-6227\n\nCassie.Lenski@marsh.com (mailto:Cassie.Lenski@marsh.com)\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-09-02T13:00:00.152732044Z","server_sent_at_ms":1788354000152},"received_at":"2026-09-02T13:00:00.239Z","source_url":"https://www.businesswire.com/news/home/20260902423651/en/"},"analysis":{"id":"122861","press_release_id":"133970","analysis_json":{"industry":{"label":"Insurance","sector":"Financials"},"redFlags":[],"eventType":"operations_update","narrative":"Marsh's preliminary 2026 National Survey of Employer-Sponsored Health Plans projects employer health benefit costs will rise 8.2% on average in 2027, the steepest increase since 2003.\n\nEmployers said their current plans would climb 11% on average if they took no action, and rising GLP-1 weight-loss drug utilization alone accounts for a full percentage point of next year's growth.\n\nThe cost squeeze lands on workers: 59% of employers plan cost-cutting changes to health benefits in 2027, and about two-thirds of large employers expect to increase employees' share of premium costs.\n\nFor Marsh, the findings reinforce demand for its health and benefits advisory franchise, though the release discloses no direct financial impact or guidance for the firm.","sentiment":"neutral","agentHooks":{"shouldPost":false,"suggestedAngle":"Steepest employer health-cost climb since 2003 with GLP-1s adding a full point — watch premium cost shifting to workers and outsized budget volatility for smaller employers in 2027."},"keyFigures":{"customDimensions":{"cost_growth_2026":"6.7%","survey_respondents":"over 1,800 US employers","glp1_cost_contribution":"1 percentage point of 2027 cost growth","annual_revenue_boilerplate":"$27 billion","cost_growth_without_action":"11%","employers_planning_cost_cuts":"59%","health_benefit_cost_growth_2027":"8.2%","large_employers_raising_employee_premium_share":"about two-thirds"}},"quotedText":"Few organizations can absorb health cost increases that outpace inflation without making difficult financial decisions","namedEntities":{"people":[{"name":"Simon Camaj","role":"Marsh US Health and Benefits Leader"},{"name":"Sunit Patel","role":"Marsh US Chief Actuary for Health and Benefits"}],"products":["2026 National Survey of Employer-Sponsored Health Plans","GLP-1 medications for weight management"],"companies":[{"name":"Marsh","ticker":"MRSH","relationship":"filer / survey publisher"}],"dollarAmounts":[{"amount":"$27 billion","context":"Marsh annual revenue (company boilerplate)"}]},"materialImpact":{"score":2,"reasoning":"This is a thought-leadership survey release, not a financial disclosure: no guidance, revenue impact, or transaction for Marsh is announced. The findings support demand for its health and benefits advisory franchise but carry no direct P&L event."},"tickerRelevance":{"others":[],"primary":"MRSH"},"globalImportance":38,"audienceRelevance":45,"eventTypeSecondary":[],"importanceComponents":{"tickerTier":"large-cap","eventGravity":"annual industry survey publication, no financial disclosure","sectorWeight":"insurance brokerage / professional services","macroRelevance":"healthcare inflation data widely cited by employers and media","householdBrandBoost":"moderate","retailFavoriteBoost":"none"}},"event_type":"operations_update","event_type_secondary":null,"sentiment":"neutral","material_impact_score":2,"narrative":"Marsh's preliminary 2026 National Survey of Employer-Sponsored Health Plans projects employer health benefit costs will rise 8.2% on average in 2027, the steepest increase since 2003.\n\nEmployers said their current plans would climb 11% on average if they took no action, and rising GLP-1 weight-loss drug utilization alone accounts for a full percentage point of next year's growth.\n\nThe cost squeeze lands on workers: 59% of employers plan cost-cutting changes to health benefits in 2027, and about two-thirds of large employers expect to increase employees' share of premium costs.\n\nFor Marsh, the findings reinforce demand for its health and benefits advisory franchise, though the release discloses no direct financial impact or guidance for the firm.","key_figures":{"customDimensions":{"cost_growth_2026":"6.7%","survey_respondents":"over 1,800 US employers","glp1_cost_contribution":"1 percentage point of 2027 cost growth","annual_revenue_boilerplate":"$27 billion","cost_growth_without_action":"11%","employers_planning_cost_cuts":"59%","health_benefit_cost_growth_2027":"8.2%","large_employers_raising_employee_premium_share":"about two-thirds"}},"named_entities":{"people":[{"name":"Simon Camaj","role":"Marsh US Health and Benefits Leader"},{"name":"Sunit Patel","role":"Marsh US Chief Actuary for Health and Benefits"}],"products":["2026 National Survey of Employer-Sponsored Health Plans","GLP-1 medications for weight management"],"companies":[{"name":"Marsh","ticker":"MRSH","relationship":"filer / survey publisher"}],"dollarAmounts":[{"amount":"$27 billion","context":"Marsh annual revenue (company boilerplate)"}]},"model_name":"glm-4.7","prompt_hash":"sha256:727b4b9429a443af","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-09-02T15:51:12.292Z","global_importance":38,"audience_relevance":45,"importance_components":{"tickerTier":"large-cap","eventGravity":"annual industry survey publication, no financial disclosure","sectorWeight":"insurance brokerage / professional services","macroRelevance":"healthcare inflation data widely cited by employers and media","householdBrandBoost":"moderate","retailFavoriteBoost":"none"}},"durationMs":286504,"modelName":"glm-4.7"}}