Employers in the state of California which provide health insurance benefits for their employees are experiencing a rise in the expenses by almost 8.4 percent this year. This rise has outdone the rise in businesses across the country and the fees could climb 11.4 percent in the coming year as per a study.

The Californian employers are now shelling out an average of $9,960 per worker on healthcare in the year 2010. As per a survey conducted by Mercer at a national level several firms which provide health insurance are now spending $9,562 per employee which is an increase of 6.9 percent since the year 2009.

Mercer has given the complete credit for increased costs in California to the state's comparatively costly marketplaces along with a heavy dependence on HMOs which provide liberal benefits, however, they charge increased premiums on an average compared to other kinds of insurance.

Laura Baker, a consultant for Mercer in Los Angeles said, "Unfortunately, the reality is that employees are increasingly sharing in that growing cost. They are feeling the pinch."