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Employer-sponsored health costs rose 3.2% on average in 2022 and are expected to rise 5.4% in 2023, according to Mercer, reports Becker’s Payer Issues. Mercer noted that this year's rate increase is below general inflation, which averaged around 8% this year, and because health benefit costs are usually higher than inflation, Mercer predicts larger inflationary effects in the next few years, the report says.