Do increased premium subsidies affect how much health insurance is purchased? Evidence from the self-employed.

Abstract:

:This paper estimates the effect of recent federal and state level increases in the deductibility of health insurance premiums for self-employed individuals, which reduced the after-tax price of health insurance, on both the take-up of coverage and the amount of insurance purchased. Using a panel of tax returns filed by self-employed taxpayers from 1999 to 2004, we estimate a take-up elasticity of -0.316 overall, with significantly higher elasticities for single taxpayers. On the intensive margin, we find an elasticity of -0.733 overall.

journal_name

J Health Econ

authors

Heim BT,Lurie IZ

doi

10.1016/j.jhealeco.2009.07.002

subject

Has Abstract

pub_date

2009-12-01 00:00:00

pages

1197-210

issue

6

eissn

0167-6296

issn

1879-1646

pii

S0167-6296(09)00072-1

journal_volume

28

pub_type

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