Family health insurance premiums rose 6% in 2025, reaching $26,993 annually, driven by high drug and hospital costs.

Family health insurance premiums rose 6% in 2025 to an average of $26,993 annually, the first time costs have increased by 6% or more for three straight years, according to a KFF survey. Workers pay $6,850 on average for family coverage, while over one-third now have deductibles of $2,000 or more, up 77% since 2015. High drug and hospital costs, especially for GLP-1 medications, are driving increases, prompting some employers to limit coverage. Despite rising costs, affordability concerns are growing among workers, and Congress remains divided over extending ACA tax credits, while proposed Medicaid cuts could leave millions uninsured.