INSIGHTS

Why This Renewal Season Feels Different

PUBLISHED on may 29, 2025

As midyear renewals heat up and January planning ramps, a clear message is emerging from benefits advisors and experts: This season feels different. 

Employers are waking up. Cost concerns are colliding with transparency demands and a growing appetite for innovation. If ever there was a time to bring fresh thinking to the table —it’s now.

Employers Are Taking the Wheel

Advisors say employers are becoming more proactive — asking tougher questions, demanding transparency and expecting measurable results. They’re steering away from traditional networks and models, and taking a harder look at what really works.

"This renewal season feels sharper… There’s less patience for vague promises and more appetite for real transparency, real results, and real alignment."

William Green

President and CEO, PERMA Fair

"This renewal season feels more intentional…the employers who are thriving are the ones asking better questions and willing to deconstruct legacy plan designs."

Kristi Cherney

Market Leader, Population Health, Consulting & Client Services, Alera Group

"Renewal activity is centered around employers taking more control of the purchasing decisions and relying less on networks or carriers."

Tom Laster

President, Merit Benefits Southwest

"Employers are just now starting to wake up (many believe they were already enlightened but they really just gave up) to the fact that they CAN control healthcare costs and SHOULD control healthcare costs."

David Contorno

Founder and CEO, E-Powered Benefits

Cracks in the Status Quo

With rising costs and eroding trust in traditional models, more employers are questioning old assumptions — and even long-standing relationships — and finding them wanting. Individual Medicare beneficiaries are also facing tough decisions.

"Employers are connecting the dots between rising costs and broken contracts — and starting to say the quiet part out loud.

One exec flat-out asked if his broker (a friend!) was getting a kickback. It’s not just about saving money anymore; it’s about who’s really on their side."

Allison Cohen De Paoli

Founder, Altiqe Consulting

"This renewal season feels more intense than ever—with relentless rate increases, shifting regulatory rules, and mounting pressure on both employers and employees to find affordable, sustainable coverage options."

Ronnell Nolan

President and CEO, Health Agents for America

"I'm seeing more focus on cost management. We’re living in uncertain times and employers are nervous about the near-term economic future.

Employers are looking for additional ways to manage costs – focusing on solutions to help employees find higher quality, lower cost providers and efficiently utilize the healthcare system."

Sean White

First Vice President, Alliant

"This renewal season feels different because, finally, more employers are beginning to question the status quo. They're not just accepting double-digit increases — they're demanding answers and exploring smarter alternatives. Passing cost onto their members isn’t going to fly any longer.”

Louis C. Bernardi

Founder & Benefit Optimization Officer, BritePath

"Medicare Supplement carriers are announcing some of the highest rate increases the industry has ever seen. As a result, Medicare beneficiaries are either moving to a Medicare Supplement Plan with fewer benefits, taking on more cost risk themselves, or a Medicare Advantage Plan (MAPD) that they have been intentionally trying to avoid, in order to reduce their monthly premiums.

The outlook is negative any way that you look at it."

Kelly Fristoe

President, Financial Partners

A New Openness to Innovation

The pressure is on, but some advisors say it’s creating space for genuine curiosity — and a willingness to try something new.

"As costs spiral out of control, decision makers are feeling trapped…Employers are becoming more receptive to new ideas and are turning away from the status quo."

Ryan Cox

 Founder, TurnKey Health 

"This renewal season feels different in a good way — there’s more openness to rethinking the structure of medical plans… Employers are asking smarter questions, looking for transparency, and thinking long-term."

Consulting agency in the senior care industry

"What I’ve noticed becoming more prevalent are tech-driven solutions including virtual care and data analytics."

Tom Laster

President, Merit Benefits Southwest

Looking Ahead: What Comes Next?

Advisors agree — the pressure isn’t letting up. As rate hikes persist, the need for smarter cost control is only growing.

"There will be much more pressure on employers/consultants to search for better cost control measures…To control costs, one must focus on the following three areas of your benefit plan: hospital reimbursements, pharmacy carve-out, and plan design."

Rick Stephens

President, DCIS Insurance

"Rate increases last year will persist into late 2025 and 2026. The biggest question I have is when employers are going to really start to care about the rising cost and reduced benefits."

Mark Krogulski

Managing Partner, e3strategy

Most advisors agree that the trends taking hold this renewal season — from rising costs to increased scrutiny of traditional models — show no signs of slowing.

Employers are reassessing long-held assumptions, exploring new funding strategies, and showing greater interest in solutions that offer transparency and control.

It's a shift that could shape not only this renewal season, but ones to follow.

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