Aon Finds 30% of HR Leaders Lack Health-Cost Trigger as 2027 Employer Trend Hits 9.5%
Updated
Updated · Aon · May 14
Aon Finds 30% of HR Leaders Lack Health-Cost Trigger as 2027 Employer Trend Hits 9.5%
2 articles · Updated · Aon · May 14
Aon’s survey found a sharp disconnect over when to act on rising healthcare costs: 30% of benefits leaders lack a defined tipping point, versus 6% of CEOs and CFOs.
That gap comes as employer healthcare costs are projected to rise 9.5% in 2027, up from 9% in 2026 — the highest trend environment in about two decades.
Aon said traditional cost controls such as shifting expenses to employees are no longer enough, with specialty drugs, cancer care and claims above $250,000 driving spending higher.
Nearly one-third of benefits teams say they have already crossed the cost tipping point and are taking action, but only 21% of CEOs and CFOs say the same.
The report urges HR to frame healthcare as an enterprise risk tied to margins, talent and reputation, and to build a three-year roadmap with finance and top executives.
When executives and HR disagree on the healthcare crisis, what is the ultimate price a company pays for this division?
While AI drives up medical billing, can it truly deliver its promise to slash overall healthcare costs for employers?
With healthcare costs at a 20-year high, is the model of employer-sponsored insurance approaching its breaking point?
Escalating Employer Healthcare Costs: Key Drivers, Impacts, and Strategic Responses for 2026-2027
Overview
Healthcare costs are rising rapidly for both employers and employees, making this issue a top priority for organizations in 2026 and beyond. Employers face significant challenges in managing these expenses, with over half of large companies likely to shift more costs onto employees, increasing their financial burden. While some Asia Pacific markets have seen modest decreases in medical inflation due to reduced healthcare use and better wellbeing initiatives, most regions continue to struggle with escalating costs. This situation is driving employers to consider plan changes and innovative strategies to manage expenses, highlighting the urgent need for proactive solutions.