Health Insurance Costs: Buyer/Patient Beware

Our post today is about health insurance. According to a recent healthcare survey regarding consumer healthcare concerns, increasing health insurance costs ranked second. Given recent events, we’re surprised it’s not number one. In 2026 employer sponsored health insurance cost for a family of four is $37,824 according to the Milliman Medical Index. This represents the largest, non-COVID, increase in a decade. Second, approximately 3 million people dropped ACA coverage between the end of 2025 and February 2026 because premium payments increased an average of 58% because government subsidies expired. Estimates indicate another increase of approximately 14% in 2027 is coming. Third, Milliman’s data shows employers’ share of premiums has dropped from 61% to 58% and employees’ premiums have increased from 21% to 27%. Because of these changes, expectations for additional cost shifting to employees are on the way in the form of larger deductibles and copays. Finally, predictions from consultants indicate a potential new form of employee health benefit for employers with under 200 employees might be the discontinuance of health insurance and replaced by stipends.