Once considered a niche offering or a reactive add-on, mental health benefits have now moved to the center of the employee experience. In 2025, nearly half of U.S. employers offer some form of mental health support beyond traditional EAPs—a sharp rise from just 30% in 2023. This shift isn’t just cultural; it’s strategic.
As Q4 begins, benefits managers face a trio of compliance developments with implications for plan design, documentation, and year-end filings. Two are federal in scope, while one local ordinance continues to affect employers nationwide.
As the final quarter of 2025 begins, several developments in benefits administration are reshaping how employers manage compliance, coverage, and communications. From rebate distribution rules to state-level legislation, benefits managers should take note of key updates that may affect plan operations and documentation heading into year-end.
To prepare for open enrollment, employers that sponsor health plans should be aware of compliance changes affecting the design and administration of their plans for plan years beginning on or after Jan. 1, 2026. These changes include limits adjusted for inflation each year, such as the Affordable Care Act’s (ACA) affordability percentage and cost-sharing limits for high deductible health plans (HDHPs). Employers should review their health plan’s design to confirm that it has been updated, as necessary, for these changes.
In today’s competitive labor market, benefits managers are walking a tightrope: controlling rising costs while delivering packages that attract and retain top talent. According to SHRM’s 2025 Employee Benefits Survey, this balancing act is now one of the most pressing challenges facing HR leaders.
In a year defined by rising healthcare costs and shifting employee expectations, supplemental health insurance products are experiencing a notable surge. According to LIMRA’s latest workplace benefits sales data, accident, critical illness, and hospital indemnity insurance sales rose 11% year-over-year through the third quarter of 2024. This growth reflects a broader trend: employees are increasingly seeking layered protection to fill gaps left by traditional health plans.
In 2025, rising group health premiums are becoming a central concern for employers. Carriers like UnitedHealth, Anthem, and CVS Health have issued projections showing significant cost increases—driven by escalating claims severity, specialty drug costs, and continued labor shortages across provider networks.
The SECURE 2.0 Act, passed in late 2022 and now in active rollout through 2025, is reshaping the landscape of workplace retirement planning. Designed to expand access, modernize plan design, and improve financial preparedness, the law introduces over 90 new provisions—many of which are now surfacing in HR departments across the country.
In July 2025, the IRS released new guidance increasing both the affordability percentage and penalty amounts under the Affordable Care Act’s employer mandate for the 2026 plan year. These changes will affect how Applicable Large Employers (ALEs) determine affordability and assess compliance risk moving into the next benefits cycle.
Signed into law by President Trump on July 4th, the “One Big Beautiful Bill” (OBBB) is already making waves in tax policy and Social Security headlines. But for employee benefits administrators, the bill quietly ushers in key updates that will reshape plan design, compliance, and employee communication in the months ahead.
