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The President's Health Insurance Proposal - A First Look

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Publication Date: January 2007

Publisher(s): Tax Policy Center

Author(s): Leonard E. Burman; Jason Furman; Roberton Williams; Edward Gramlich

Special Collection: John D. and Catherine T. MacArthur Foundation

Topic: Health (Health care financing)

Keywords: Elderly; Health Insurance; Tax Policy; Tax Distribution and Economic Trends

Type: Paper

Abstract:

The paper describes the basic features of the President's plan and evaluates the extent to which it would meet its stated goals of expanding health insurance coverage and restraining healthcare spending. The basic approach would improve the market for health insurance, but inadequate attention was paid to problems in the nongroup market or those facing households with low incomes. In consequence, the plan could actually reduce overall insurance coverage. The paper suggests a variety of ways in which the proposal could be improved so more people would be covered, including those with low incomes or in poor health.