Employer-sponsored health insurance in the U.S. - statistic and facts

The majority of insured Americans get their health insurance coverage through their employers. Group health plans that employers provide to their workers are also known as employer-sponsored health insurance (ESI). Selection of the plans offered to employees and their specific coverage details are determined by the employer. Health insurance premiums are usually split between employers and employees, with employers generally bearing the larger share of the insurance premium. Employer-sponsored coverage includes not only insurance for current employees and their families but can also include retired employees. Also, investment in ESI has tax benefits for both the employer and the employees.

Types of plans and coverage

The Affordable Care Act (ACA) employer mandate which was passed in 2015 makes it mandatory for ‘large firm employers’ (employers with 50 or more full-time workers) to offer ESI to their employees. Certain provisions under the ACA encourage small firms to offer ESI but it is not mandatory. The most common types of employer-sponsored health insurance plans include Preferred Provider Organizations (PPOs), Health Maintenance Organizations (HMOs), Point of Service (POS) Plans, High Deductible Health Plans (HDHPs), and Medicare Advantage Plans. Each plan differs in premiums according to coverage tier, copays, deductible limits and has its own set of benefits. PPO plans continue to dominate the ESI market as they lower the out-of- pocket costs and are preferred by low wage workers. However, HDHPs are growing in popularity as it allows employees to qualify for health savings account (HSA).

ESI cost concerns

Healthcare costs have been rising for years, current economic conditions and inflation are making it difficult for companies to provide quality healthcare coverage to their employees. Health coverage premium growth has outpaced income growth. After wages, health insurance benefit forms the largest component of employer costs for employee compensation. In order to reduce costs and improve efficiency effective cost reduction strategies are essential to remain competitive. Large firm owners due to their ability to take high financial risks are more likely to cover their employees under self-funded plans, while small and mid-size employers usually prefer level funded plans that are a type of self-funded plan incorporated with stop-loss coverage.

Importance of health benefits

Various surveys indicated that American workers place high importance on health coverage in choosing and staying at their job. Employees highly value employers that provide good health coverage, as it ensures access to quality medical care, improved physical health, better mental well-being, and greater financial protection. For employers, all this translates to increased productivity at the workplace, lower recruitment costs, stronger retention, and prosperous business. In addition to ESI, employers can also provide various supplemental benefits and other wellness assistance for specific health needs.

This text provides general information. Statista assumes no liability for the information given being complete or correct. Due to varying update cycles, statistics can display more up-to-date data than referenced in the text.

Median annual gross cost per employee for single coverage in PPO: 8,166 USD

Average annual premium for employer-sponsored family health insurance in the U.S.: 21,181 USD

Median employee contribution for family coverage in HDHP plan: 6,353 USD

Editor’s Picks Current statistics on this topic

Percentage of the U.S. population with health insurance in 2020 and 2021, by coverage type

Health System

Percentage of U.S. population with health insurance 2020-2021, by coverage

Percentage of U.S. population with employment-based health insurance from 1987 to 2021

Private Health Insurance

Percentage of U.S. population with employment-based health insurance 1987-2021

Percentage of U.S. workers covered by self-funded health insurance plans as of 2022, by firm size

Private Health Insurance

Share of U.S. workers with self-funded health insurance plans 2022, by firm size

Recommended statistics

Overview

Premium Statistic Number of people enrolled in ESI in the U.S. 1987-2021
Number of people enrolled in ESI in the U.S. 1987-2021
Annual number of people enrolled in employer-sponsored health insurance (ESI) in the U.S. from 1987 to 2021 (in millions)
Premium Statistic Share of employees enrolled in ESI in the U.S in 2021, by state
Share of employees enrolled in ESI in the U.S in 2021, by state
Share of employees enrolled in employer-sponsored health insurance (ESI) in the United States in 2021, by state
Basic Statistic Market share of health plans offered by employers in the U.S. in 2022, by enrollment
Market share of health plans offered by employers in the U.S. in 2022, by enrollment
Market share of types of employer-sponsored health insurance (ESI) plans in the U.S. in 2022, by enrollment
Premium Statistic Annual health premiums for employees with family coverage in U.S. 2022, by industry
Annual health premiums for employees with family coverage in U.S. 2022, by industry
Average health annual premiums for employees with family coverage in the United States in 2022, by industry (in U.S. dollars)
Basic Statistic Annual premiums for employer-sponsored health insurance in 2021, by state
Annual premiums for employer-sponsored health insurance in 2021, by state
Average annual premiums for employer-sponsored family health insurance plans in the 2021, by U.S. state
Premium Statistic Share of firms offering health benefits in the U.S. 2022, by firm size
Share of firms offering health benefits in the U.S. 2022, by firm size
Share of firms offering health benefits in the United States in 2022, by firm size

Insurance coverage

Basic Statistic Share of employees in private-sector eligible for ESI in the U.S. 2017-2021
Share of employees in private-sector eligible for ESI in the U.S. 2017-2021
Share of employees eligible for employer-sponsored health insurance (ESI) in the U.S. from 2017 to 2021
Premium Statistic Share of private-sector employees enrolled in ESI in the U.S. in 2008-2021
Share of private-sector employees enrolled in ESI in the U.S. in 2008-2021
Share of employees enrolled in employer-sponsored health insurance (ESI) in the U.S. from 2008-2021
Premium Statistic Number of private sector employees enrolled in ESI in the U.S. in 2008-2021
Number of private sector employees enrolled in ESI in the U.S. in 2008-2021
Total number of employees enrolled in employer-sponsored health insurance (ESI) in the U.S. from 2008-2021 (in millions)
Premium Statistic Share of employees enrolled in HDHP in the U.S in 2021, by state
Share of employees enrolled in HDHP in the U.S in 2021, by state
Share of employees enrolled high-deductible health plans (HDHP) in the U.S in 2021, by state
Basic Statistic U.S. workers with self-funded health insurance in 2022, by plan type and firm size
U.S. workers with self-funded health insurance in 2022, by plan type and firm size
Percentage of U.S. workers covered by self-funded health insurance plans in 2022, by plan type and firm size

Employer costs

Premium Statistic Average annual employer premium contribution for single health coverage in the U.S.
Average annual employer premium contribution for single health coverage in the U.S.
Average annual premium contributed by employer for single health insurance coverage in the U.S. from 2009 to 2021 (in U.S. dollars)
Premium Statistic Median employee annual gross cost for health coverage in the U.S. in 2022, by plan
Median employee annual gross cost for health coverage in the U.S. in 2022, by plan
Median annual gross cost per employee for health coverage in the U.S. in 2022, by plan and coverage tier (in U.S. dollars)
Basic Statistic Employers' health care costs per employee in the U.S. 2015-2020
Employers' health care costs per employee in the U.S. 2015-2020
Employers' total annual health care costs per active employee in the U.S. from 2015 to 2020 (in U.S. dollars)
Basic Statistic Worker and employer premium contributions for single coverage in the U.S. 1999-2022
Worker and employer premium contributions for single coverage in the U.S. 1999-2022
Average annual worker and employer health insurance premium contributions for single coverage in the United States from 1999 to 2022 (in U.S. dollars)
Premium Statistic Distribution of employer cost components for worker compensation in the U.S. in 2022
Distribution of employer cost components for worker compensation in the U.S. in 2022
Distribution of employer costs for employee compensation in the U.S. in 2022, by cost components
Premium Statistic Annual change in health benefit cost per employee in the U.S. 2011-2023, by plan
Annual change in health benefit cost per employee in the U.S. 2011-2023, by plan
Annual percentage change in total health benefit cost per employee before and after plan changes in the U.S. from 2011 to 2023
Premium Statistic Estimated ROI for providing ESI benefits in the U.S. 2022-2026
Estimated ROI for providing ESI benefits in the U.S. 2022-2026
Forecasted overall return on investment (ROI) for providing employer sponsored health insurance (ESI) in the U.S. from 2022 to 2026

Employee costs

Premium Statistic Median employee annual contribution for health coverage in the U.S. 2022, by plan
Median employee annual contribution for health coverage in the U.S. 2022, by plan
Median employee contribution for health insurance premiums in the U.S. in 2022, by plan and coverage tier (in U.S. dollars)
Premium Statistic Premium contributed by employee for single health coverage in the U.S., by industry
Premium contributed by employee for single health coverage in the U.S., by industry
Average share of premium contributed by employee for single health insurance coverage in the U.S. in 2021, by industry
Premium Statistic Share of premium contributed by employee for health coverage in the U.S. in 2021
Share of premium contributed by employee for health coverage in the U.S. in 2021
Average share of premium contributed by employee for health insurance coverage in the U.S. in 2021, by coverage tier
Premium Statistic Average annual premiums for employees with single coverage in U.S. 2022, by industry
Average annual premiums for employees with single coverage in U.S. 2022, by industry
Average annual premiums for employees with single coverage in the United States in 2022, by industry (in U.S. dollars)
Premium Statistic Worker and employer premium contribution for family coverage in the U.S., 1999-2022
Worker and employer premium contribution for family coverage in the U.S., 1999-2022
Average annual worker and employer health insurance premium contributions for family coverage in the United States from 1999 to 2022 (in U.S. dollars)
Premium Statistic Health premiums for employees with single coverage in the U.S. 2022, by industry
Health premiums for employees with single coverage in the U.S. 2022, by industry
Average monthly health premiums for employees with single coverage in the United States in 2022, by industry (in U.S. dollars)
Premium Statistic Health premiums for employees with family coverage in the U.S. 2022, by industry
Health premiums for employees with family coverage in the U.S. 2022, by industry
Average monthly health premiums for employees with family coverage in the United States in 2022, by industry (in U.S. dollars)

Deductibles

Basic Statistic Distribution of U.S. workers' copayment for a PCP visit, 2006-2022
Distribution of U.S. workers' copayment for a PCP visit, 2006-2022
Distribution of copayments among covered workers with a copayment for a primary care physician (PCP) visit in the United States from 2006 to 2022*
Premium Statistic Distribution of U.S. workers' copayment to see a specialist, 2006-2022
Distribution of U.S. workers' copayment to see a specialist, 2006-2022
Distribution of copayments among covered workers with a copayment for a specialist physician office visit in the United States from 2006 to 2022*
Premium Statistic Average U.S. worker's annual deductible for single coverage, 2006-2022
Average U.S. worker's annual deductible for single coverage, 2006-2022
Average general annual deductible for single coverage among covered workers in the United States from 2006 to 2022 (in U.S. dollars)
Premium Statistic Share of workers enrolled with copayment for physician visit in the U.S. 2009-2021
Share of workers enrolled with copayment for physician visit in the U.S. 2009-2021
Share of employees enrolled in health insurance with copayment for physician office visit in the U.S. from 2009-2021
Premium Statistic Share of workers with a copayment for specialist visit in the U.S. 2013-2021
Share of workers with a copayment for specialist visit in the U.S. 2013-2021
Share of employees enrolled in health insurance with a copayment for specialist physician office visit in the U.S. from 2013 to 2021
Basic Statistic Out-of-pocket health care spending per person in the U.S. by category 2016-2020
Out-of-pocket health care spending per person in the U.S. by category 2016-2020
Annual out-of-pocket (OOP) health care spending per person in the United States among those with employer-sponsored insurance from 2016 to 2020, by category (in U.S. dollars)

Attitudes towards ESI

Premium Statistic Satisfaction of employees with their health insurance plan in the U.S. 2013-2022
Satisfaction of employees with their health insurance plan in the U.S. 2013-2022
Overall, how satisfied are you with your current health insurance plan?
Premium Statistic Perception of quality of ESI in comparison to open market insurance in the U.S. 2022
Perception of quality of ESI in comparison to open market insurance in the U.S. 2022
Do you think the quality of the health coverage you get from work is better or worse than you’d be able to find on the open insurance markets?
Premium Statistic Level of importance of ESI benefit for employees in the U.S. in 2022, by generation
Level of importance of ESI benefit for employees in the U.S. in 2022, by generation
Distribution of feelings on the importance of employer-sponsored health insurance in the U.S. in 2022, by generation
Premium Statistic Employees who considered switching jobs for better health benefits in the U.S. 2021
Employees who considered switching jobs for better health benefits in the U.S. 2021
Share of employees who considered switching employers for better health and other benefits in the past year in the U.S. as of 2021, by generation
Basic Statistic Knowing health care costs among U.S. employees vs employers' viewpoint 2022
Knowing health care costs among U.S. employees vs employers' viewpoint 2022
Share of employees who understand their total annual costs for health care vs employers' viewpoint in the U.S. in 2022

ESI cost issues

Premium Statistic Types of measures employers took to control health care costs in the U.S. in 2021
Types of measures employers took to control health care costs in the U.S. in 2021
Share of measures taken by employers to control rising health care costs in the U.S. in 2021
Premium Statistic Types of long term cost saving strategies employers planned to adopt in the U.S. 2022
Types of long term cost saving strategies employers planned to adopt in the U.S. 2022
Share of long-term health cost management strategies employers planned to adopt within two years in the U.S. in 2022
Premium Statistic Medical measures planned for workers' healthcare needs in the U.S. 2022
Medical measures planned for workers' healthcare needs in the U.S. 2022
Share of employers which planned to adopt the following medical measures to support employees' healthcare needs in the U.S. as of 2022
Premium Statistic Non-medical measures planned for workers' health benefits in the U.S. 2022
Non-medical measures planned for workers' health benefits in the U.S. 2022
Share of employers which plan to adopt the following non-medical measures to enhance employees' health care benefits in the U.S. as of 2022

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