Access issues in the healthcare system are also affecting claims. “As seen over the past few years, physician shortages have delayed preventive screenings, increasing the risk of more serious conditions and driving claims higher,” Boyer said. She added that without “meaningful improvements in access to primary care and early intervention, organizations should expect continued pressure on both the frequency and severity of health claims over the next few years.”
Cost mitigation measures
Aon’s Canadian findings show employers preparing a range of responses to rising health costs. The top mitigation initiatives anticipated by plan sponsors for 2026 are:
Use of cost‑containment features in plan design
Promotion of wellness initiatives
Adoption of alternative funding vehicles and financial strategies
Implementation of flexible benefit plans to control benefit costs
Benefit reductions and curtailments
Boyer said continued pressure from carriers on administration and pooling fees will also influence overall costs. “Plan sponsors are also likely to focus on strengthening existing wellness programs and partnerships rather than introducing new services, leveraging data to monitor health risk indicators and more effectively target their resources,” she said. For HR, these measures highlight the importance of data‑driven plan management and careful communication around any changes that affect employees.
Many Canadian employers are reworking their benefits offerings in response to escalating healthcare and dental costs, according to a previous survey.
“We’re seeing more plans transitioning to cover 80% coinsurance instead of 100% for health benefits, particularly for paramedical practitioners like massage therapists and chiropractors. In some cases, this change is aimed at managing costs, while in others, it’s about redirecting funds to support more flexible benefit options, such as an HSA,” said Kasey Boisselle, Senior Vice President at Gallagher.