More of your paycheck will likely go toward health insurance premiums next year as employers face the biggest increase in health care costs in 15 years.

Health care costs are projected to rise 6.5% in 2026, compared with wage growth of just 3%, according to new data from Mercer. That means a larger portion of workers income will go toward health care expenses.

About 60% of employers are planning not only to increase payroll contributions, but, as you alluded to, increasing cost sharing at the point of service so that could be co-pays, deductibles, co-insurance or out-of-pocket maximums, said Sunit Patel, chief actuary of U.S. Health at Mercer.

Patel said employers made a significant effort during the pandemic to absorb rising costs, but broader economic changes have altered the equation

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