Employer Health Care Costs Projected To Grow By Almost 8% In 2025

Employer health care costs are projected to increase by nearly 8% between 2024 and 2025, according to a Business Group on Health survey. The cost increases were largely attributed to higher pharmacy costs. Between 2021 and 2023 the median percentage of health care spending on pharmacy increased from 21% to 27%. About 76% of employers reported being “very concerned” about pharmacy costs.

Total average employer and employee premium costs are projected to increase by 8.4%, from $17,201 in 2023 to $18,639. The employer contribution is projected to increase by 9.9% from $11,762 in 2023 to . . .