Saturday, February 24, 2007

Health insurance reform

This is a no-brainer to me. Public policy needs to interfere as little as possible with economic principles, so either everyone or noonee should be able to deduct health insurance costs or noone should be able to. Read the Alexander press release here (Alexander urges legislative action to make health coverage more affordable). Here's an excerpt:
"U.S. Senator Lamar Alexander joined President Bush today in support of allowing individuals to deduct the cost of their health insurance premiums, as employers are allowed to do.

“This inequity is among the most brazen in the entire U.S. tax code,” Alexander said. “The president has put forward a big idea that could save 80 percent of working Tennesseans an average of more than $3,000 in federal income and payroll taxes, which they then could use to buy health insurance. I hope the Senate will give this proposal the serious consideration it deserves.”"

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