Employee Benefits
The Great Recalibration Executive Summary
To make confident decisions, employers must understand what is driving healthcare costs and what actions will protect financial health, workforce wellbeing, and long-term competitiveness.
Why This Executive Summary Matters
The healthcare benefits landscape has entered a period of structural disruption.
The 2026 renewal season confirmed what many leaders suspected: employers, especially mid-market fully insured organizations, are facing unprecedented volatility, steep rate increases, shrinking carrier participation, and unpredictable underwriting outcomes.
What was once viewed as optional innovation is quickly becoming essential to maintaining affordability, competitiveness, and workforce stability. To address these shifts head-on, the summary outlines:
- The Top 5 Drivers of Healthcare Costs
- 3 Non-Negotiables For Employers to Get Ahead of the Cost Curve
Get the Insights You Need for Employee Benefits Planning
Understanding healthcare cost drivers, and the steps to address them, helps employers get ahead of the curve. Access the executive summary to make more informed decisions for your business and your people.
Pharmacy Spend is Accelerating Faster Than All Other Components of Healthcare
Pharmacy spend is now a primary driver of overall medical trend, fueled by the rapid growth of high-cost specialty therapies.The combination of more people using costly drugs is accelerating pharmacy benefits trend at a pace that outstrips all other components of healthcare spend.
Million-dollar medical claims have increased 61%* over four years
Once a rarity, the frequency and severity of catastrophic claims has surged driven by million-dollar claims, specialty drugs, and complex conditions.For employers, this means greater budget uncertainty and a widening gap between expected and actual plan cost requiring leaders to proactively adapt their risk management strategies.
*Source: Sun Life U.S.
Frequently Asked Questions
A complimentary summary that outlines the top 5 drivers of healthcare costs, what it means for employers and non-negotiables to put into place now to get ahead of the cost curve.
Employee benefits costs are rising at the fastest rate in over 40 years, meaning employers who wait until renewal to act are already behind. A proactive strategy isn't just about cost containment; it's also a talent play, as today's workforce expects personalized, meaningful benefits and will leave for employers who deliver them. Employers who treat benefits as a financial and competitive decision, not just an HR checkbox, will consistently get a better outcome.
This executive summary is designed for employers, HR and benefits leaders, finance and risk leaders, and executive teams responsible for healthcare cost management and benefits strategy.
No. This executive summary is provided at no cost by OneDigital as an educational resource for employers.
You’ll receive immediate access to the full PDF, along with the option to connect with a OneDigital team member to discuss how these trends may impact your organization’s overall benefits strategy.
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