Health benefits spending soars, but employee confusion persists

Published Updated 6 Min Read

Professional Latina therapist holding modern digital tablet during conversation with woman patient, accessing electronic health record system, explain treatment plan or health test results.
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  • Key Insight: Discover how benefit design failures create “functionally uninsured” employees despite rising employer spending.
  • What’s at Stake: Low utilization threatens retention, productivity and potential compliance or financial exposure.
  • Supporting Data: Employers spend nearly $20,000 per employee; costs rose about 7% in 2026.
    Source: Bullets generated by AI with editorial review

Employers are now spending nearly $20,000 a year per employee on health insurance, yet many workers still don’t understand what they’re getting in return. 

Jimmy Nesbitt
Reporter

Jimmy Nesbitt is a reporter at Employee Benefit News, where he covers the evolving landscape of workplace benefits, healthcare, retirement, financial wellness and related policy issues. His career … Read full bio


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