Double-digit healthcare cost increases projected to persist into 2026 and beyond
Rhea-AI Summary
WTW (NYSE:WTW) projects global health insurance costs will rise 10.3% in 2026, following 10.0% in 2025 and 9.5% in 2024. Regionally, Asia Pacific is highest at 14.0% and Latin America shows the largest acceleration to 11.9%. North America is projected at 9.2% and the US at 9.6% for 2026. WTW reports 55% of insurers expect elevated trends to persist over three years; 74% cite new medical technologies as the primary cost driver. Cancer is the top cost driver (cited by 57%), with insurers noting increased incidence in under‑40s.
Positive
- Global medical cost projection of 10.3% for 2026
- Asia Pacific projected medical inflation at 14.0%
- 55% of insurers expect elevated trends > three years
Negative
- Latin America medical inflation accelerating to 11.9% in 2026
- US healthcare cost remains high at 9.6% in 2026
- 74% of insurers cite new technologies as primary cost driver
News Market Reaction – WTW
In the Nov 11 session, WTW gained 0.16%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
NEW YORK, Nov. 11, 2025 (GLOBE NEWSWIRE) -- Global health insurance costs are projected to rise by over
The survey of health insurers found that the average cost of medical health benefits will increase by
Regionally, the highest cost increases are expected in Asia Pacific at
The Middle East and Africa will also see above average healthcare cost increases at
According to WTW’s research, over half (
These include new medical technologies, cited as the top reason for increased costs with three-quarters (
“Despite variations in healthcare provision in different countries and regions around the world, rising medical costs are a consistent trend for all,” said Linda Pham, global health and risk leader for Integrated and Global Solutions, WTW. “One glimmer of hope for employers is that investment in technologies, including AI, is leading to higher costs at the moment but following this phase new technologies hold the promise of reducing healthcare cost trends in the longer term.”
From a disease-based perspective, cancer is the leading condition driving medical costs globally. It is named as the fastest growing and most expensive diagnosis for insurers in nearly every region, cited by
Cardiovascular conditions (
“The challenge of navigating healthcare inflation for multinational employers requires strategic management,” said Courtney Stubblefield, managing director, Health & Benefits, WTW. “This can include investing in education for employees on the use of health benefits, raising awareness of prevention programs for prevalent diseases like cancer, optimizing mental health coverage, and introducing flexibility of benefits. Through careful management and applying both a short- and longer-term lens to their approach, employers can make sure they are getting the most out of their healthcare benefits while managing cost inflation.”
Figure 1. Global medical trends (gross) 2024-2026, globally and by region
| 2024 | 2025 | 2026 (projected) | ||||
| Global† | ||||||
| Latin America† | ||||||
| North America | ||||||
| Asia Pacific | ||||||
| Europe† | ||||||
| Middle East and Africa† | ||||||
†Global, Latin America, Europe and Middle East and Africa numbers exclude Argentina, Turkey, Egypt, Nigeria and Zimbabwe (excluded due to volatile inflationary environments)
About the survey
WTW conducted its 2026 Global Medical Trends Survey between June and July 2025. A total of 346 leading health insurers representing 82 countries participated in our survey. In addition to submissions from insurers, we received input from WTW local brokers representing 54 countries. The combined data covers 91 countries.
About WTW
At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.
Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you. Learn more at wtwco.com.
Media contacts
Ileana Feoli
Ileana.feoli@wtwco.com
Stacy Bronstein
sbronstein@meritcomms.com
