Here is a sobering thought: your benefits package might be putting employees on the food line.
Out-of-pocket medical spending in the U.S. rose nearly 6% in 2024, hitting $556 billion nationally and averaging $1,632 per person. For families with kids who hit a rough health year, it’s far worse. [1]
A 2026 cohort study published in JAMA Network Open analyzed nearly 7,000 U.S. households with children and found that families spending just 5% of income on out-of-pocket costs had 80% higher odds of food insecurity the following year. At 10% of income, those odds jumped to 90%. [1] Think about that in real terms: an employee earning $50,000 with a $5,000 deductible and an $8,000 out-of-pocket maximum is already in the danger zone.
This is not just skipping a dinner or two. Food insecurity is linked to anxiety, depression, poorer diet quality, higher rates of diabetes and obesity, and lower academic performance in children. [2] Medical costs become health problems, and health problems become more expensive cures for the next generation.
Most employers genuinely want to take care of their people. They want employees to stay. They want families to be healthy. But they’re caught in a real squeeze: rising premiums, rising healthcare costs, and budgets with little wiggle room. Working with their brokers, they shift costs to employees through higher deductibles and out-of-pocket limits, hoping employees will make smarter health decisions.
What they may not realize is that some of those decisions are now: doctor visit or dinner.
It doesn’t have to be this way. Supplemental health products that pay cash directly to employees at the moment they need it most exist precisely to close this gap. An employee who doesn’t have to choose between a doctor’s appointment and groceries is a healthier, more focused, and more loyal member of your team.
The coverage gap is real. The solution is available. The question is whether employers know to ask for it.
To find out if this is a good fit for you, let’s schedule a benefit opportunity review. https://calendly.com/john-gies/benefits-opportunity-review
Footnotes:
[1] Caniglia M, Chavez LJ. Out-of-pocket costs and health-related social needs among households with children. JAMA Netw Open. 2026;9(6):e2616485. doi:10.1001/jamanetworkopen.2026.16485. Reported in AJMC, June 3, 2026: https://www.ajmc.com/view/high-out-of-pocket-costs-raise-food-insecurity-risk-by-up-to-90-in-households-with-children
[2] Insolera N. Chronic food insecurity in US families with children. JAMA Pediatr. 2023;177(4):434-435. doi:10.1001/jamapediatrics.2022.5820.
