When wildfires strike or hurricanes hit, the damage is easy to see. But extreme heat? Its toll is quieter and increasingly costly. From spikes in chronic illness to lost productivity and rising health care claims, heat is becoming a serious risk for employers.

A new article in Bloomberg highlights Mercer’s new Climate Health Cost Forecaster, which was developed in collaboration with the National Commission on Climate and Workforce Health, as a pioneering step in closing the climate data gap. The Forecaster is the first tool of its kind to help employers estimate how rising temperatures and other climate risks could drive up health insurance and disability costs. 

The model draws from historical medical claims data, climate-related diagnostic codes, and peer-reviewed research to make the invisible financial toll of extreme heat easier to see and act on.

Until now, most climate models have focused on property, forecasting flood zones, wildfire risk, and structural damage. But heat is different. It wears down people, not buildings. And for employers, that translates into higher premiums, more missed work, and long-term impacts on productivity.

These costs are growing, and employers are on the front lines. Tools like Mercer’s Forecaster offer a path forward — one that starts with better data, smarter planning, and resilience strategies tailored to a warming world.

Read the full article in Bloomberg to learn how Mercer and the Commission are helping employers plan smarter and protect their workforce from the health costs of climate change.

Empowering Business Leaders To Take Action

The National Commission on Climate and Workforce Health is a group of business, health, and climate leaders who share a mission to protect workers from the health risks posed by extreme weather.

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