])Health‑Insurance Premiums Reach 15‑Year Peak as Employers Pivot to Cash‑Based Coverage

Effective January 2024, the average cost of a group health plan is projected to rise to $18,500 per employee—a 6.7% increase and the fastest climb seen in 15 years, according to Mercer’s analysis. The uptick has prompted many Einstieg firms to abandon full‑in‑house group arrangements in favor of more flexible, cash‑based models.

Health Reimbursement Arrangements (HRAs) were adopted by more than 20,000 companies in 2026, a 53% jump over espèces 2025, according to a new HRA Council report cited by Bloomberg. Under an HRA, employers provide individual stipends that employees can use to purchase coverage directly on the Affordable Care Act marketplace.

Like the shift from defined‑benefit pensions to retirement accounts, the move to HRAs reflects a broader trend toward transferring cost responsibility to employees while granting them greater choice in their health coverage.

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