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HDHP PPO Trends

A look at how high-deductible and PPO plans are shifting across the market — and what that means for 2025.

BT
Bnchmrk Team
Bnchmrk
September 2, 2024
1 min read

Trends We’re Watching: HDHP Growth and PPO Stabilization

High-deductible health plans (HDHPs) surged post-2020, but growth is tapering. Meanwhile, PPOs remain stable — and often surprisingly rich in design.

What We’re Tracking

  • HDHPs have plateaued around 35–40% of plans.
  • PPOs continue to dominate, especially in mid-market groups.
  • Employer contributions on HDHPs are rising to improve perceived value.

This suggests that while cost-conscious plans remain popular, employers are being more thoughtful about usability and perceived fairness — especially as inflation and healthcare costs continue to affect employee sentiment.

What It Means for Consultants

Going into 2025, consultants should be ready to:

  • Help clients compare contribution strategies between HDHPs and PPOs
  • Use market data to evaluate when an HDHP still makes strategic sense
  • Guide employers who want to stay competitive without shifting all risk to employees

The market is moving — but not in just one direction. PPOs are sticking around. HDHPs are evolving. And benchmarking gives you the lens to see both clearly.

BT

About Bnchmrk Team

Bnchmrk

Architects the systems that power Bnchmrk’s data engine. CTO with deep experience building scalable infrastructure, distributed systems, and secure, high-performance platforms.