How much does employee health insurance cost per month?

The national averages, per month

Annual figures from KFF: $9,325 single and $26,993 family, with workers contributing $1,440 and $6,850 on average. Family premiums rose 6% in a year.

Why your number is probably different

• Location. Premiums in high-cost metros like San Francisco and New York run well above the national average. In the Bay Area quotes we see, platinum-level coverage often costs about $1,200 per employee per month.
• Ages. Most states let small group rates rise with age, up to three times for older adults versus young ones.
• Plan level. Platinum and gold plans cost more each month than bronze and silver, with lower deductibles.
• How you buy. PEOs add per-employee fees; first-year PEO rates of $550–600 a month often rise to $1,000–1,200 within a few years in the bills founders show us.
• Dependents. Family coverage costs roughly three times single coverage.

Where the money goes

Small group carriers must spend at least 80% of premiums on care and quality. The rest pays for administration, commissions and profit. For young, healthy teams, expected claims are often a small fraction of the premium, which is why how your plan is priced matters so much.

How to pay less without a worse plan

At Prescience, we design and run your company's health plan, from setup and enrollment to claims, compliance and COBRA. What your team gets:

• An effective $0 deductible, so the plan helps from the first visit.
• Simple copays shown before a visit, capped by a low out-of-pocket maximum.
• A broad national PPO network, plus providers we contract with directly.
• 24/7 physician-led care navigation: a care team that finds the right provider, books appointments and explains costs up front.

What your company gets: one monthly cost set in your quote, usually 10–20% below comparable fully insured coverage and fixed before the plan starts, with no admin fees. You keep your payroll provider, and the plan can start mid-year.