In 2025, U.S. employers are bracing for a projected 5.8% to 8% increase in health insurance costs—driven by higher medical service prices, increased healthcare utilization, and the rising demand for expensive prescription treatments like GLP-1 weight-loss drugs.
For many employers, especially small and mid-sized businesses, these rising costs create pressure to react quickly—often by shifting costs to employees, reducing benefits, or scrambling for cheaper coverage. But these short-term tactics can backfire, damaging employee satisfaction, talent retention, and long-term financial predictability.
At TBC Benefits, we believe there’s a better way. As your partner, consultant, and advisor, we help turn healthcare volatility into a strategic advantage for your company and your people.
What’s Driving Healthcare Costs Up in 2025?
Several converging factors are responsible for the sharp rise in healthcare costs:
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Medical inflation — Higher prices for hospital stays, surgeries, and outpatient services.
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Increased utilization — Employees are catching up on delayed care, driving up claims.
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Costly prescription trends — Weight-loss and specialty drugs (e.g., GLP-1s) are rapidly increasing plan costs.
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Greater employee expectations — Workers now expect comprehensive mental health and preventive care benefits.
Common Employer Reactions That Hurt More Than Help
In response, many employers lean on outdated cost-cutting methods like:
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Raising deductibles or employee premium contributions
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Limiting provider networks without considering access or quality
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Ignoring plan design optimization opportunities
The result? Increased employee frustration, more administrative burden on HR, and higher long-term costs.
A Strategic Broker Partner Can Shift the Narrative
At TBC Benefits, we strive to go beyond the traditional broker role. Our goal is to serve as a strategic partner to your leadership team—helping you analyze risk, forecast costs, and build a smarter, long-term benefits strategy that aligns with your goals.
Here’s how:
1. High-Performance Networks
We help you evaluate and implement high-performance networks that prioritize quality, access, and cost efficiency—without compromising employee experience.
2. Specialty Drug Management
Our team works with you to help manage high-cost drugs through smarter formulary and plan design, step therapies, and employee education.
3. Value-Based Insurance Design
We help design plans that encourage preventive care and reward smart healthcare decisions—reducing long-term claims and improving outcomes.
4. Predictive Cost Modeling
Using claims data and industry benchmarks, we provide forecasting tools that support better renewal negotiations and long-term planning.
5. Employee Education & Empowerment
We provide personalized support, learning opportunities and communication strategies that help employees understand their benefits, make cost-effective care choices, and take ownership of their health decisions.
Supporting Your Executive Team and HR Leaders
Your leadership team needs more than a spreadsheet—they need a strategic partner who can:
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Provide data-backed insights at budget time
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Simplify complex renewal options
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Benchmark your costs against industry peers
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Support compliance and risk mitigation
💬 “With our extensive background on the carrier side of the business, we don’t just show you your renewal; we show you what’s driving it—and how to take control of it.”
Supporting Your Employees
We don’t just serve your leadership—we’re here for your people, too.
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Clear benefit communication to reduce confusion and increase utilization
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Onboarding support to help employees understand their plan
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Proactive care guidance to help them make smarter, lower-cost choices
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Wellness tools to reduce claims and improve outcomes
- On-site lunch and learns to engage employees directly, answer questions in real time, and build confidence in using their benefits effectively
Turning Costs Into a Competitive Advantage
Rising costs are a reality—but with the right strategy and the right partner, they don’t have to be a liability. TBC Benefits helps you:
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Make smarter plan decisions
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Empower employees with better information
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Protect your business from unpredictable cost spikes
Ready to rethink your approach to employee benefits? Let's talk!