Open enrollment looks different this year. Rising costs, changing employee expectations, and new technology are reshaping how people evaluate coverage, which means employers can no longer treat enrollment as a routine repeat of last year’s plan.
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Financial Pressure Reshapes Renewal Process
Healthcare costs are rising at a pace employers can no longer treat as routine. With medical costs projected to increase 9% in 2027 and employer costs up 9.5% in 2026, renewal strategy now requires earlier planning, closer cost review, and stronger benchmarking to manage growth without putting more pressure on employees.
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Woman Health Grows as a Benefits Category
Family-building and women’s health benefits are becoming a more visible part of plan design. Employers are expanding support for fertility, adoption, surrogacy, menopause, and hormone therapy as they respond to changing workforce needs and use benefits strategy to strengthen retention.
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GLP-1 Coverage Requires an Active Decision
GLP-1 coverage has become a benefits decision employers need to make deliberately. With strong employee demand and meaningful cost implications, employers are weighing whether to cover GLP-1s for diabetes only or for weight management as well, along with tools like prior authorization, step therapy, and wellness support to keep the decision intentional and data-backed.
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AI Changes How Employees Choose Benefits
Technology is reshaping enrollment, with AI-powered recommendations, plan-fit analytics, and mobile-first tools helping employees make more informed choices. Employers are investing in these platforms to move employees beyond auto-renew habits and support better satisfaction and cost outcomes over time. -
Nontraditional Benefits Move into Core Packages
A competitive benefits package now extends beyond core medical coverage. Employers are adding accessible perks like gym memberships, pet insurance, travel discounts, legal support, tuition reimbursement, and financial wellness coaching to strengthen their package in cost-conscious ways that still matter to employees and candidates.
Key Takeaways
Open enrollment decisions are getting more complex as costs rise and employees expect more relevant benefits. Employers that take a broader strategic view now will be better positioned to manage costs and keep pace with changing expectations, while those that wait may be left catching up. Download the bulletin for more details.
