Thursday, August 31, 2006
Tax credits for the uninsured
[Nina Owcharenko, "Provide alternatives to employer-based health care plans," The Atlanta Journal-Constitution, 31 August 2006.]
Heritage Foundation senior analyst Nina Owcharenko suggests moving toward tax credits and away from employer-based coverage as a way to alleviate the problem of the uninsured:
The current system, which is dominated by tax-favored coverage offered through the workplace, has made health insurance affordable for middle-class Americans and made practical sense when workers stayed with one employer until retirement.
But today's workforce is much different. Fewer of us stick with one job or work for one employer throughout our careers. Meaning, each time we change jobs, our health plan changes, and probably so do our doctors. Fewer employers, especially those with small businesses, can afford or offer coverage.
Some argue for expanding government-run health care programs, such as Medicaid. But not only do most workers prefer private coverage over public coverage, public programs already find themselves overextended and fiscally unsustainable. Medicaid is the largest line item in state budgets and is squeezing out other important state services, such as education and transportation. Plus, the more people depend on government-run health programs, the more control the government has in the personal health care decisions of its citizens.
To fill in the gaps of the current health care system and prevent more workers from joining the ranks of the uninsured, we need to create an alternative for those who don't have employer-based coverage. A system of health care tax credits would give those workers a tax break, similar to the one given for employer-based coverage, to purchase private health care coverage of their own.
Those who own their coverage can take their plan with them when they change jobs or quit working. They choose the plan and doctors and services they want. And insurers and providers are accountable to them, not to their employer or government bureaucrats.
[Devon Herrick, "Health insruance is better to own than rent," The Dodge City Daily Globe, 23 March 2005.
Greg Scandlen, "Choice is revolutionizing health care," The Wichita Eagle, 28 September 2004.]
Heritage Foundation senior analyst Nina Owcharenko suggests moving toward tax credits and away from employer-based coverage as a way to alleviate the problem of the uninsured:
The current system, which is dominated by tax-favored coverage offered through the workplace, has made health insurance affordable for middle-class Americans and made practical sense when workers stayed with one employer until retirement.
But today's workforce is much different. Fewer of us stick with one job or work for one employer throughout our careers. Meaning, each time we change jobs, our health plan changes, and probably so do our doctors. Fewer employers, especially those with small businesses, can afford or offer coverage.
Some argue for expanding government-run health care programs, such as Medicaid. But not only do most workers prefer private coverage over public coverage, public programs already find themselves overextended and fiscally unsustainable. Medicaid is the largest line item in state budgets and is squeezing out other important state services, such as education and transportation. Plus, the more people depend on government-run health programs, the more control the government has in the personal health care decisions of its citizens.
To fill in the gaps of the current health care system and prevent more workers from joining the ranks of the uninsured, we need to create an alternative for those who don't have employer-based coverage. A system of health care tax credits would give those workers a tax break, similar to the one given for employer-based coverage, to purchase private health care coverage of their own.
Those who own their coverage can take their plan with them when they change jobs or quit working. They choose the plan and doctors and services they want. And insurers and providers are accountable to them, not to their employer or government bureaucrats.
[Devon Herrick, "Health insruance is better to own than rent," The Dodge City Daily Globe, 23 March 2005.
Greg Scandlen, "Choice is revolutionizing health care," The Wichita Eagle, 28 September 2004.]
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