Family health coverage through work now costs $28,303 a year, and what workers pay is rising faster
KFF's annual survey shows the average employer family premium rose 5% in 2026, while workers' $7,471 contribution rose 9%, faster than wages or inflation.
By James Mitchell ·
Why it matters: What workers pay toward family health premiums rose 9% this year, faster than wages at 3.7%, and many large employers are shifting more costs onto them.
For information only, not investment advice.
Covering a family through a job now costs $28,303 a year on average, up 5%, or $1,310, from 2025, according to KFF's annual employer health benefits survey. That is the total premium for a family of four, as KFF defines it, most of it paid by the employer. The part that comes out of workers' paychecks is $7,471, and it is growing faster: up 9%, or $621, in a year.
Both increases outran paychecks. Wages rose 3.7% and general inflation 2.7% over the same period, KFF said, though it noted inflation has been higher in recent months. Workers at small firms, those with fewer than 200 employees, carry more of the load: they pay $9,687 a year on average toward family coverage, $2,847 more than at large firms. Among workers in plans with a general annual deductible, they also face bigger single-coverage deductibles on average ($2,624 vs. $1,772), KFF said.
Large employers are passing more of the bill along. Among large firms, 44% raised the share of the premium workers pay and 21% raised deductibles or other cost-sharing in response to higher projected health costs, KFF found. Employers are also trying direct contracting with providers, on-site clinics, narrower networks and switching insurers, AHA News reported.
KFF President and CEO Drew Altman offered his own read on the politics. In his view, the 9% jump adds to voters' worries: "Now add a 9% increase in what workers with employer coverage paid toward family premiums in 2026 to the reasons voters are so concerned about their health care costs," he said.
The survey covers more than 1,900 employers, and almost 157 million Americans under 65 rely on employer coverage, KFF said.
Sources
Tags: healthcare-pharma · inflation · retail-consumer