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Tax Subsidies for Health Insurance: Evaluating the Costs and Benefits

This technical report provides 1) a description of the detailed simulation model and the assumptions used to analyze the effects of different tax subsidies for the purchase of health insurance coverage, and 2) the results of this analysis. The analysis includes the number of people who gain coverage, overall costs to the government, how much is spent on the currently insured vs. uninsured, and the effects on low-income groups.

The results of this report were published in Health Affairs, “The Business of Health Insurance,” January/February 2000, Volume 19 Number 1, Project HOPE–The People-to-People HealthFoundation, Inc.

For copies of the reprinted article (document #1571) call the Kaiser Family Foundation Publications Request Line at 1-800-656-4533 or Health Affairs at (301) 656-7401, ext 200.

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Filling the need for trusted information on national health issues, the Kaiser Family Foundation is a nonprofit organization based in Menlo Park, California.