Musculoskeletal care is one of the largest healthcare expenses for employers — but up to half of all surgeries may be unnecessary. Sword Health’s new AI-powered solution, Predict, identifies members at risk and redirects them to proven, lower-cost care. The result? Massive savings, better outcomes, and a smarter approach to MSK treatment. Validated by matched control studies and third-party research, this white paper reveals how Sword Predict slashes MSK costs and delivers a category-leading 3.7x return on investment. MSK conditions like back, neck, and joint pain affect half of all American adults, costing employers more than cancer and diabetes combined. The biggest driver? Surgery. But up to 50% of MSK surgeries are unnecessary — adding cost without improving outcomes.

Employer-sponsored health insurance has long been a cornerstone of U.S. healthcare. But for many employers, costs are climbing faster than ever. In recent years, premiums have surged, deductibles have grown, and benefit teams are left grappling with how to sustain competitive coverage without sinking their budgets. This article explores what’s behind the spike in employer healthcare spending, how musculoskeletal (MSK) conditions contribute disproportionately to the problem, and what practical steps benefits leaders can take to cut healthcare costs without sacrificing quality of care. Employer healthcare spending is reaching historic highs. The average employer-sponsored family health insurance premium surpassed $24,000 in 2024, with employers covering roughly $17,000 of that cost and employees responsible for the rest¹.

Healthcare costs are rising again, and health insurance providers are feeling the pressure. After a brief slowdown at the start of the year across the macro industry, costs have continued to push higher on the back of inflation, new drug therapies, and pent-up utilization. Most benefits leaders already know the headlines, like trend lines above 7 percent and specialty drug spend surging, but what they need now are answers. Not all of this is beyond your control. Healthcare leaders can consider these broader trends to update their plans. This guide will explain the key trends impacting the industry in more detail, but the foundations of cost-effective plans are increasingly built on prevention, digital access, and value-based partnerships that drive measurable ROI. We've pulled together a high-level overview of the key trends shaping the cost basis of healthcare in 2026 and beyond. Read on to find what you need to know about the reasons for these trends, and the practical steps you can take to stay ahead.