Key Findings

  • A recent survey by consulting firm Mercer found that nearly three-quarters of U.S. financial executives rank healthcare as one of their company's top five operating cost pressures.
  • The study comes as the rapid adoption of GLP-1 weight-loss drugs, such as Wegovy and Ozempic, is increasing volatility in employer health costs.
  • "The survey results clearly show that rising health benefit costs have a profound impact on individual organizations," said Susan Potter, president of Mercer's U.S. and Canada region, in an emailed statement. "Only about a quarter of CFOs said their organizations were able to absorb cost increases over the past two years without any business impact, such as slower wage growth, reduced hiring, or price increases."

In-Depth Analysis

According to Mercer, a subsidiary of Marsh McLennan that advises companies on workforce issues, employer-sponsored health insurance costs are projected to rise 6.7% in 2026, the highest increase in 15 years, pushing average spending per employee above $18,500.

The 6.7% figure comes from Mercer's 2025 National Survey of Employer-Sponsored Health Plans and represents the average increase employers expect after implementing cost-saving measures. The consulting firm said that before taking such measures, employers anticipated an average increase of more than 9%, which would exceed the consumer price index by 5 to 6 percentage points.

"The current trend of high costs began in 2023, following a decade of average annual growth of only about 3%. This trend is putting increasing pressure on benefit budgets and, in some organizations, is beginning to affect broader business operations," the report said.

The share of finance executives ranking healthcare among their top three concerns has risen from 19% in 2024 to 33% in 2026, reflecting the growing challenges facing CFOs, said Beth Umland, Mercer's director of health research for the U.S.

"While inflation for other goods and services has cooled during this period, healthcare trends are accelerating, which is a warning sign for CFOs," Umland said in an emailed response to questions. "Additionally, medical claims costs are increasingly volatile, making it harder for self-insured organizations to manage their budgets."

Nearly half of respondents expressed support for modifying plan designs, such as raising deductibles or adjusting cost-sharing structures. Fewer CFOs supported increasing employees' premium contribution shares.

According to a January article by the Society for Human Resource Management (SHRM), GLP-1 drugs typically cost consumers between $1,000 and $1,500 per month, with employers usually covering 70% to 100% of the cost.

According to a Kaiser Family Foundation analysis of claims data, Medicare spending on GLP-1 drugs reached approximately $27.5 billion in 2024, more than five times the amount in 2019.

Mercer found that about half of large employers (those with 500 or more employees) currently provide coverage for GLP-1 drugs for weight loss.

"While more employers have added this coverage each year over the past three years, we may see this trend slow or stop in 2026 as employers seek to curb high cost growth," Umland said.

"Employers currently offering this coverage are evaluating all methods of managing the medication, from eligibility controls to ensure the drugs are used by those who benefit most, to requiring participation in support programs to ensure members using these drugs achieve maximum benefit."

Mercer surveyed 161 CFOs and other finance professionals in February.