Early survey results found that medical costs around the world are set to rise again in 2026, with a projected average increase of 10.3% (Figure 1). This sustained surge in trend underscores a broader pattern of rising healthcare expenses that continues to challenge insurers and employers worldwide.
| 2024 | 2025 (expected) | 2026 (projected) | |
|---|---|---|---|
| Global† | 9.5% | 10.0% | 10.3% |
| Latin America† | 9.6% | 10.5% | 11.9% |
| North America | 7.4% | 9.4% | 9.2% |
| Asia Pacific | 11.8% | 13.2% | 14.0% |
| Europe† | 9.4% | 8.3% | 8.2% |
| Middle East and Africa† | 8.5% | 10.3% | 11.3% |
Medical inflation remains highest in Asia Pacific, and Latin America is poised to see the sharpest acceleration in 2026 compared to the previous year. Conversely, North America, Europe, the Middle East and Africa are forecasted to experience a more modest increase in cost trend.
These projections underscore a growing sense of concern among insurers, as 56% anticipate further increases in global medical cost trends and 55% expect these elevated levels to persist for more than three years. The data suggests that relief is unlikely in the near term. As insurers brace for prolonged cost pressures, identifying the key drivers behind these trends becomes critical for shaping effective responses.
For more details about what’s driving these changes, and how employers can best manage these escalating costs, stay tuned for the release of the full report in early November. If you'd like to be the first to receive a copy, please express your interest by submitting your details using the form located on the right of this page.
