Aon forecasts 4.9% rise in Australian employer medical plan costs for 2027

Aon released its 2027 Global Medical Trend Rates Report, forecasting that Australian employer medical plan costs will rise 4.9% in 2027. This projected increase is expected to outpace Australia’s general inflation rate of 3.2% for 2027. Stuart Whitbread, Aon’s director of health and benefits in Australia, noted that employers face difficult decisions balancing costs with access to quality care.

The report indicates that global average healthcare costs are forecast to rise 9% in 2027, with chronic conditions like cardiovascular disease being a leading cost driver. This trend creates ongoing challenges for employers managing workforce health and benefits costs.