MetLife's 2026 US Employee Benefit Trends Study has revealed that less than half of America's workforce reported being holistically healthy, as employees struggle with rising living and healthcare costs and employers balance benefit investments with broader cost pressures.
The study surveyed 2,480 HR decision-makers and 2,541 full-time employees across industries, providing insights into workplace trends, benefit usage and employee expectations. Key findings also showed that 83% of employees cite rising expenses and medical costs as top stressors, while 77% are concerned about economic uncertainty.
On average, employees miss 6.1 workdays due to health-related issues and half often avoid seeking medical care because of out-of-pocket costs, the report said.
Employers are responding by prioritizing cost containment, with "controlling healthcare costs" surpassing productivity, retention and talent attraction as the leading benefits objective for the first time since 2022. At the same time, 60% of employers increased investment in benefits, and 62% expanded non-medical offerings, including dental plans, disability coverage, financial wellness programs and leave support.
Meanwhile, employees using five or more such programs are found to be 38% more likely to feel holistically healthy, while those using 10 or more are 69% more likely. Holistically healthy employees also take 10% fewer sick days, are 25% more productive and more loyal, according to the report.
Preventive care access is critical, with 84% of employees reporting it reduces their risk of more serious health events and 80% saying it saves money.
For insurers, these trends have direct underwriting and product implications. Rising healthcare costs and deferred care can increase claims frequency and severity across group medical, disability and accident plans. Insurers are expected to respond with plan designs that incentivize preventive care and healthy behaviors, alongside flexible structures that integrate non-medical benefits to mitigate risk.
Utilization metrics is also expected to play a growing role in risk assessment as insurers providing digital tools, engagement campaigns and integrated wellness programs can better manage claims volatility and premium stability.
Group benefits remain a competitive differentiator, the report said, with employers increasingly demanding measurable ROI from offerings that combine medical and supplemental solutions. Actuarial models are likely to adjust to reflect workforce health trends, benefit adoption rates, and evolving demographic and risk profiles.
"Through more strategic investments in employee health and benefits -- beyond simply expanding the menu of options -- organizations can help strengthen the resilience of their workforce in the face of persistent cost pressures," said Todd Katz, head of US Group Benefits at MetLife.
By aligning coverage, engagement and preventive care, insurers and employers can control costs, while improving employee well-being, a dual challenge that defines the 2026 benefits landscape.
