Employers Spending More on Opioid Treatment for Employees on Health Plans
March 17, 2026

https://www.kff.org/health-costs/press-release/analysis-cost-of-treating-opioid-addiction-rose-rapidly-for-large-employers-as-the-number-of-prescriptions-has-declined/

The Kaiser Family Foundation released an analysis that shows opioid use is declining for people with employer-based health coverage, but their employers are spending an increasing amount on treating addiction and overdoses.

The analysis found that the annual cost of treating opioid addiction and overdose (both prescription and dishonest use) increased from just under $300 million in 2004 to $2.6 billion in 2016. Average inpatient expense for addiction treatment jumped from $5,809 per year in 2004 to $16,104 in 2016. Of the money spent in 2016, $1.3 billion was for outpatient treatment, $911 million for inpatient care, and $435 million went to prescriptions. $35 million of the $2.6 billion spent in 2016 was paid for out-of-pocket by patients. The portion of overall spending going to opioid addition is small (0.66 percent of total medical services spending) but it is increasing.

Interestingly, 53 percent of total spend was on treating the dependent children of plan enrollees.

The analysis also found that opioid use seemed to peak in 2009, when 17.3 percent of large employer health plan enrollees had at least one opioid prescription filled for the year. In 2016 that number was 13.6 percent. Older enrollees utilized opioid prescriptions the most, 22 percent of people between the ages of 55 and 64 had at least one opioid prescription in 2016.

Check out more charts here.

The analysis used a sample of health benefit claims from the Truven MarketScan Commercial Claims and Encounters Database to calculate amounts paid by insurance and out-of-pocket spend on prescriptions. A sample of between 1.2 million and 19.8 million enrollees per year was analyzed. People over 65 were excluded from the analysis.

Read the release from the Kaiser Family Foundation and a more in-depth look at the analysis here.

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