With Health Costs Ballooning, Workers Turn to Wellness and the Internet, ADP Finds

Why It Matters

Rising out‑of‑pocket expenses erode employee health and productivity, risking higher future claims for employers. Addressing cost‑conscious care and wellness can protect the workforce and reduce total health‑care spend.

Key Takeaways

• 26% of workers skipped needed medical care due to costs
• 22% reduced medication use, up from 17% in 2020
• 68% seek health advice online; 27% use AI
• Employers urged to simplify plans and promote preventive wellness

Pulse Analysis

The surge in health‑care spending is reshaping the employee‑benefits landscape, as ADP’s April 2026 survey reveals a growing number of workers postponing essential care. More than a quarter of respondents admitted to skipping needed medical treatment, while over one‑fifth cut back on prescription use. These trends reflect broader inflationary pressures, rising drug prices, and provider consolidation that have outpaced wage growth, leaving many employees financially vulnerable and less likely to seek early intervention.

Employers are responding with mixed strategies. Some increase deductibles and shift cost‑sharing to workers, while others explore flexible plan designs that accommodate varied budget preferences. The survey highlights a notable shift toward digital health resources: 68% of employees now turn to the internet for medical guidance, and 27% rely on generative AI tools. Simultaneously, a majority are investing in personal wellness—mindfulness, nutrition, and exercise—to mitigate health risks. Companies that integrate clear education, on‑site screenings, and wellness incentives can help employees make cost‑conscious decisions without compromising care.

Long‑term, delayed treatment may inflate employer liabilities as untreated conditions become more severe and expensive to manage. Preventive measures, such as covering screenings for chronic diseases, can generate substantial savings, a point underscored by Deloitte and Aon analyses of GLP‑1 therapies. By aligning benefits with proactive health management and leveraging technology for accessible advice, employers can curb rising claims, improve employee morale, and sustain a healthier, more productive workforce.