Health-care costs are expected to rise by 2026, and local experts warn that employers may pass on those increases to employees. Some Kern County employees are already experiencing increased deductions from their paychecks.
Employers’ health-care costs are expected to rise by about 6% between 2025 and 2026, potentially leading to higher employee paycheck deductions.
Dr. Juanita Webb, a certified human resources professional in Kern County, emphasizes that hospitalization, doctor visits, and clinical services account for the vast majority of health-care spending.
Webb advises employers to stay informed and consult with insurance brokers to find the most affordable health care plans.
Employers are bracing for another increase in health-care costs, which local experts believe will soon affect employees’ wallets.
Dr. Juanita Webb, a certified human resources professional in Kern County, predicts that health-care costs could rise by up to 6% over the next two years.
“According to some research, it shows that it’s going to increase about 6% in the 2025-26 years,” Webb informed me.
She added that hospital care, physician visits, and clinical services account for more than half of national health-care spending.
Webb advises employers to work closely with insurance brokers now to secure the most cost-effective plans, and he encourages employees to do their own homework.
“You really need to stay current, especially as an employer,” Webb told me. “You need to make sure that you’re looking down the road.”
Employees like Uriel Rincon, an IT technician at a local elementary school, are already feeling the effects.
“This year and the next, we’re going to see a rise in the cost of our health insurance,” Rincon told reporters. “It depends on which plan you have, but for the most part, all of them are going up.”
Rincon says his current monthly deduction is around $250, but he’s been told it will increase by $100 in the coming weeks.
Business owners are also feeling the stress. According to Robert Blankenstein, owner of All American Heating and Air Conditioning, monthly premiums for his employees are sharply increasing.
“You’re paying about $100 to $130 a month now, it’s going to be worth $300 to $800 a month,” Blankenstein told me.
Some employees, such as Luz Ruiz, an accounts receivable specialist, haven’t seen the full impact yet, but they are concerned.
“I think it’s going to depend a lot on our employers, whether they pass those increases,” Ruiz told me.
According to her, families that rely on a single income or have dependents may be hit hardest.
“People with a single income have a lot less wiggle room,” she told me. “And people with kids, it’s going to take a toll.”
While rising health-care costs may be unavoidable, experts say staying informed now can help families and employers better prepare for the future.
