Employers Expect Health Care Costs to Increase by Nearly 8 Percent in 2025: Survey

Employers expect health care costs to rise by nearly 8 percent in 2025, driven by inflation, increased demand for costly drugs and therapies, and the ongoing need for cancer treatment, according to a Business Group on Health survey published on Aug. 20. The survey found that 76 percent of employers reported being “very concerned” with overall pharmacy costs. The median percentage of health care dollars spent on pharmacies increased from 21 percent in 2021 to 27 percent in 2023. Around 79 percent of employers surveyed said they have also seen a heightened interest in medications used to treat obesity, including GLP-1s such as Ozempic and Wegovy, with 96 percent expressing concern about the long-term cost implications of such drugs....