US Employer <a href="https://healthylife7.com/weight-loss-drugs-may-help-with-mental-health/” title=”Weight loss drugs may help with mental health”>Healthcare Costs Could Top $19,000 Per Worker in 2027 as Aon Warns of 9.5% Surge
Tanya Rawat
Sun, August 23, 2026 at 11:31 PM GMT+5:30
5 min read
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Aon plc said U.S. employer health care costs are projected to rise 9.5% in 2027, pushing average costs above $19,000 per employee
The projection would mark the fourth consecutive year of elevated health care cost increases approaching double digits. In a release issued Thursday, Aon said the trend extends one of the most sustained periods of health care inflation employers have faced in decades
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Health Care Costs Keep Rising
Aon said higher medical utilization, the growing prevalence of chronic conditions and an increase in high-cost claims are contributing to the rise in health care spending
Prescription drug costs are also a significant factor, particularly as employers see greater use of specialty medications and GLP-1 treatments. Aon noted that these therapies are expanding into areas including cardiovascular disease, sleep apnea and chronic kidney disease, while newer oral treatments could broaden access
The pressure is already being felt by employers. Aon said employer health care costs rose 8.8% in 2026, up from 3.7% in 2022. Employers currently absorb about 82% of total health plan costs
Employees are also facing higher expenses. Average employee health care costs are expected to reach about $5,300 in 2026, including payroll contributions and out-of-pocket costs
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GLP-1 Drugs Add to Employer Costs
The growing use of GLP-1 medications has become a notable expense for large employers
Bank of America Corp said in August that it spends more than $2 billion annually on employee health care, with GLP-1 medications accounting for about 13% of that spending. CEO Brian Moynihan called the coverage a long-term investment in employee health and productivity
Earlier cost estimates also showed employer health benefit costs were already rising sharply. Mercer projected a 6.7% increase in health benefit costs per employee in 2026, while nearly half of large employers were expected to raise deductibles, copays or other out-of-pocket costs for workers in 2027
Employers Face More Cost Pressure
Aon said providers’ growing use of technologies such as artificial intelligence for clinical documentation and coding could also contribute to higher billed charges
