WASHINGTON, October 22, 2026 Health insurance costs are increasing for American workers, with employees at small businesses facing particularly steep expenses, according to a new survey highlighted by the Associated Press.

The 2026 Employer Health Benefits Survey from KFF found that workers paid an average of $7,471 annually toward family health insurance premiums, an increase of approximately 9% from the previous year.

Employees at smaller companies face an even greater burden. Workers at businesses with 10 to 99 employees contributed an average of $9,687 annually toward family coverage, compared with $6,840 at larger firms.

Rising premiums are creating difficult choices for employers, including whether to absorb higher expenses, reduce other business costs or shift more of the financial burden onto employees.

The growing cost of employer-sponsored health insurance could affect household budgets, employee benefits and small-business hiring decisions. The findings also renew questions about how employers can maintain affordable healthcare coverage as premiums continue to climb.

For millions of American workers, the challenge is not simply obtaining insurance it is keeping family healthcare coverage affordable.