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A study by Saurabh Bhargava and colleagues at Carnegie Mellon University revealed that 61% of nearly 24,000 employees at a Fortune 100 company selected the wrong health insurance plan. This mischoice costs employees an average of $372 annually, amounting to about 2% of their salary. Health care expenses accounted for over 8% of total household spending in 2018, showing a 37% increase since 2004. Many people struggle to choose the best plan due to the complexity of the decision environment, which hinders their ability to maximize welfare. The study identifies a lack of understanding about health care plans as a major barrier to making informed decisions.