Employer-Sponsored Health Insurance and Taxes

Analysis of the demand for health insurance is complicated by the fact that most people in the United States get their insurance through their workplace. The reason for this is twofold. Workers value health insurance, and it is an affordable health insurance when purchased through an employer. Both points are important. Workers do value health insurance. A 1991 Gallup poll indicated that health insurance was the single most valued employment fringe benefit for 64 percent of respondents (Wall Street Journal 1991). (more…)