Dive Brief:
- According to HUB International’s 2026 Benefits Cost Trend report, updated Monday, researchers see the costs of benefits going up — with pharmacy being considered a driving factor.
- High-cost drugs, such as GLP-1s and auto-immune medications, were two of several elements in this trend.
- Researchers also highlighted increased benefits utilization post-pandemic, especially for mental health and substance abuse services.
Dive Insight:
2026 trends for medical and prescription benefits are projected to increase 8% to 10%, according to HUB. And while the nuances in findings may differ from researcher to researcher, what’s consistent across studies is the idea that benefits are shifting dramatically from 2025 to 2026.
An October report from KFF showed, for example, that family health insurance premiums are up 6%. KFF leadership noted that while this cost increase may be less dramatic than in past years, “up is up” and the numbers can be “daunting” for employers.
Moreover, as things become more complicated for employers, employees are struggling to wrap their head around their benefits. Workers are projected to spend more time on open enrollment this year, an October report from Voya showed.
And while about 65% of employees are satisfied with their benefits, data by Aflac suggests, employees continually want to speak to a person about their benefits or want one-on-one access to a consultant — something relatively few employers tend to provide.
As employers re-examine their approach to benefits strategy this year, benefits education, along with cost, will likely be top of mind.
