California Health Benefits Survey 2025

Over 17 million nonelderly Californians (55%) received health benefits through an employer in 2023. The California Health Benefits Survey (CHBS) tracks trends in these workers’ coverage, including premiums, employee premium contributions, cost sharing, offer rates, and employer benefit strategies. In 2025, the survey also included questions about provider networks, coverage for GLP-1 agonists, premium cost drivers, and employee concerns about utilization management. The CHBS is jointly sponsored by the California Health Care Foundation and KFF.

KEY FINDINGS INCLUDE:

• Premiums for covered workers in California are higher than premiums nationally. The average annual single coverage premium in California is $10,033, higher than the national average of $9,325. The average annual family premium in California is $28,397, higher than the national average of $26,993.
• Overall, the average family premium has increased annually by 7% in California and 6% nationally. The average single premium has increased 8% annually in California and 6% nationally. Since 2022, the average premium for family coverage has risen 24% in California, higher than national measures of inflation (12.2%) and wage growth (14.4%).
• Workers are typically required to contribute directly to the cost of coverage, usually through a payroll deduction. On average, covered workers in California directly contribute 14% of the premium for single coverage and 27% for family coverage in 2025. These shares vary considerably, and some workers face much higher premium contributions, especially for family coverage.
• A lower share of covered workers in California face a general annual deductible for single coverage than covered workers nationally (75% vs. 88%), and the average deductible is lower ($1,620 vs. $1,886). The share of California covered workers with a deductible has increased since 2022 (68% to 75%).
• Employers in California are significantly less likely than employers across the nation to say there were sufficient mental health providers in their plans’ networks to provide timely access to services.
• Many employers report concerns about out-of-pocket costs: 47% of firms offering health benefits indicate that their employees have a “high” or “moderate” level of concern about the affordability of cost sharing in their plans. About one in 10 covered workers in California faces a general annual deductible of $3,000 or more for single coverage.
• Large California employers view drug prices as a major driver of rising premiums. Thirty-six percent of large firms report that prescription drug prices contributed “a great deal” to premium increases.
• Over one-quarter of large firms (28%) offering health benefits in California say they cover GLP-1 agonists when prescribed primarily for weight loss. Nearly one-third of these firms report higher-than-expected utilization of this benefit.

Read the full report on the KFF website or download it below.