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AmWINS Group Inc.

05/26/2026 | Press release | Distributed by Public on 05/25/2026 22:10

Amwins Benefits Releases a New, Comprehensive State of the Market Report

Expanding beyond stop-loss to cover the full spectrum of employee benefits, this inaugural report marks a new era for the benefits division.

Today, Amwins Benefits, the accident & health division of Amwins, released its inaugural State of the Market Report, a comprehensive resource delivering market intelligence, trend analysis and strategic guidance across the employee benefits industry.

This year's edition represents a meaningful evolution from the annual, stop-loss-focused State of the Market. For the first time, the report delivers expertise, insights and benchmarking data across Amwins Benefits' $11.7B book of business - spanning small to mid-market, ancillary, retiree healthcare and self-funded health and stop-loss - providing brokers, consultants, third-party administrators and carrier partners with a single, authoritative guide to navigate today's complex benefits market.

"This report represents what Amwins Benefits is all about - bringing our businesses together to deliver something greater than any one of us could alone," said Riva Dumeny, President of Amwins Benefits. "By unifying our market intelligence across every solution vertical, we're giving brokers, consultants and their clients a clearer, more complete picture of the benefits landscape."

Inside, readers will find timely market intelligence alongside expert analysis of key cost drivers, claim trends, legislative developments, and strategic procurement strategies across benefit lines.

2026 State of the Market Highlights

Economic and Regulatory Conditions

Medical inflation stalled post-COVID relative to overall inflation and, in 2024, began rising again in a more typical fashion. Current inflationary trends and a myriad of healthcare industry-specific factors are quickly driving material market changes and severe cost shifts. Government-mandated policies and legislation related to transparency, trade, tariffs and enhanced premium tax credits are also playing out in real-time.

Market Trends and Insights

The benefits market continues to tighten in this high-disruption period. A predicted 6% to 9% median medical plan cost trend increase this year could mark the highest annual renewal projections in more than a decade. Carriers are applying medical cost trends of 10% to 12% in formula renewals, with pricing models that bake in buffers to offset volatility and high-cost claims, and prescription drugs are driving the highest estimated increases for plans, at 11%. While specialty drugs (for serious conditions such as cancer or hemophilia) account for less than 2% of prescriptions, they drive nearly 50% of total drug spend.

Self-Funded Market

  • At a high level, more moderate to poorly performing groups are receiving rate cap increases at renewal or, in the most severe cases, being completely declined. In contrast, competition for the best risks with a profitable history and favorable outlook is fierce, yielding no change or even below current rates. Self-funding and level funding continue to gain interest of small to mid-market fully insured groups. The stop-loss market is growing at a 15% CAGR and is projected to reach $113.5B by 2034.

Small to Mid-Market

  • Across the 2026 renewal period, major carriers in the fully insured space have cited significant losses, worsening risk pools and higher-than-expected utilization as drivers of above-average rate increases. Rising rates, coupled with product limitations, have led to fewer regional carrier options, rate volatility, network disruption and an overall reduction in the ACA market segment. The confluence of these market dynamics are disproportionately affecting small businesses and inviting the exploration of different coverage options, including program business, level funded, alternative risk and captive solutions.

PEO Market

  • The five largest PEOs account for over 51% of the market and less than 3% of the total U.S. workforce is enrolled in this structure. Slightly more than half of PEO clients are concentrated within four states: Florida, California, New York and Texas. The past year marked low single digit growth in the publicly traded PEO index - but more nuance exists as broker-driven growth is a rapidly expanding channel.

Ancillary Market

  • Employees expect greater choice and ability to customize benefits to meet their specific needs, but managing ancillary benefits has become increasingly time and labor-intensive. The combined statutory and private paid leave ecosystem represents a multi-billion-dollar U.S. market and real-time opportunity to scale. Increased focus on mental and behavioral health integration and flexible, integrated, digitally accessible solutions will continue to shape the ancillary market.

Retiree Healthcare Market

  • During COVID, the retiree population saw a pause in elective procedures - such as shoulder, knee and hip surgeries - and the return to elevated hospital and outpatient usage has caused rate turbulence. Covered retirees face many of the same challenges affecting other demographic groups, including rising prescription drug costs and overall increases in healthcare expenses. Employers are actively reexamining their current offerings and, through carve-out solutions or other creative strategies, seeking savings and a reduction in liability.

The national scale, local presence, and deep benefits expertise in the Amwins Benefits State of the Market Report support faster, smarter decision making - allowing our clients to deliver the next generation of solutions with the speed and accuracy that plan sponsors and employees demand.

"The tools and insights in this report are designed to help our partners build stronger, more resilient plans for the employers and employees they serve," Dumeny added. "This is the resource we've always wanted to put in the hands of every broker and consultant we work with."

Explore the Full Report

The 2026 Amwins Benefits State of the Market Report is now available for download.


AmWINS Group Inc. published this content on May 26, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 26, 2026 at 04:10 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]