Employer-sponsored insurance is a major industry, but it is not primarily driven by a desire to reduce benefit costs.

Employers are aware of rising costs and have planned for them in their budgets, and employees are also contributing more to defray these costs. In addition, there is no direct relationship between healthcare costs and a company's bottom line. Startups entering the employer-sponsored insurance market should focus on helping employers attract and retain employees, rather than emphasizing cost-cutting.

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