Asia’s upward medical trend rate threatens employee benefits, Marsh says

Early interventions can reduce avoidable claims.

Healthcare providers must prioritise preventive care as it is one of the most effective ways to manage long-term healthcare costs affecting employee benefits, according to a Marsh report.

This is due to a record-high medical trend rate, projected to reach 12.5% in 2026, threatening Asia’s workforce.

“When risks are addressed early, organisations can reduce avoidable claims whilst supporting better health outcomes for employees,” the report said.

Marsh also said that early intervention strategies can also steer employees towards a more proactive role in their health.

Moreover, employers can support their workforce in taking ownership of their health and related financial decisions through practical guidance and ongoing education.

“Employees can better understand their coverage options through health workshops, targeted health campaigns, and improved benefits navigation tools.”

Further, employers must steer away from one-size-fits-all plans, which often fall short in addressing the needs of employees across varying life stages, family structures, and health risks.

The report said employers should review claims data, workforce demographics, and utilisation patterns to identify where existing plans are no longer effective

Additionally, employers must enrol employees in higher-value care by placing them with insurance bodies that offer a dedicated healthcare section.