Stupid Health Benefits Question
Whose idea was it to tie them to employment, anyway?
Yesterday's Wall Street Journal (print edition) has a feature article about the fact that most paper-boys don't get health coverage or death benefits. The lede involves a kid in Hawaii getting run over by a van.
So it's a nice tug-at-the-heart story, the kind that whips up public sympathy and often leads to unwise new goverment action. (Thus really surprising to see in the Journal.) The thing is, in the very specific case, aren't most paper-boys dependents anyway? In the 90% case, wouldn't their parents' health coverage apply to them too?
If (say) there were new laws mandating health benefits for newspaper carriers, I predict that suddenly teenagers wouldn't get those jobs anymore. To the extent that "first job experience" is character-building or has other mystique, that might be a bad thing. I guess you could mow lawns or something. It certainly never occurred to me to seek a benefits package from my neighbors when I hopped on the ol' John Deere.
(Yards in Oklahoma are big.)
Anyway, the whole system of assuming that health coverage comes from your employer seems untenable to me. I can see why it made sense to someone and why it's not as bad an idea as other alternatives. It worked much better when typical companies were bigger and typical employees didn't change jobs as often... the antiquated economy of most pre-Dilbert corporate bureaucracy parodies.
When employers have to provide health coverage, it's the illusion of a free benefit, since people never stop and think about how/why it drives salaries down. I think I'd prefer a world in which the typical salary was much higher but included no health coverage at all. Then, people could (and obviously 99% of people would) spend their money to get exactly the level of health coverage they wanted. Thorough but expensive packages would exist. No-frills alternatives would protect you from six-figure bills if a major organ gives out but still leave you, say, a $10K [word I'm not thinking of for the threshold below which you pay 100%].
The argument against this is that short-sighted people would fail to cover themselves and then become free riders, since nobody would have the heart to tell a suddenly-sick free rider that he's fresh out of luck and needs to float off and die. I hate it when people restrict their freedom so much because they think not everyone can be trusted.
Whose idea was it to tie them to employment, anyway?
Yesterday's Wall Street Journal (print edition) has a feature article about the fact that most paper-boys don't get health coverage or death benefits. The lede involves a kid in Hawaii getting run over by a van.
So it's a nice tug-at-the-heart story, the kind that whips up public sympathy and often leads to unwise new goverment action. (Thus really surprising to see in the Journal.) The thing is, in the very specific case, aren't most paper-boys dependents anyway? In the 90% case, wouldn't their parents' health coverage apply to them too?
If (say) there were new laws mandating health benefits for newspaper carriers, I predict that suddenly teenagers wouldn't get those jobs anymore. To the extent that "first job experience" is character-building or has other mystique, that might be a bad thing. I guess you could mow lawns or something. It certainly never occurred to me to seek a benefits package from my neighbors when I hopped on the ol' John Deere.
(Yards in Oklahoma are big.)
Anyway, the whole system of assuming that health coverage comes from your employer seems untenable to me. I can see why it made sense to someone and why it's not as bad an idea as other alternatives. It worked much better when typical companies were bigger and typical employees didn't change jobs as often... the antiquated economy of most pre-Dilbert corporate bureaucracy parodies.
When employers have to provide health coverage, it's the illusion of a free benefit, since people never stop and think about how/why it drives salaries down. I think I'd prefer a world in which the typical salary was much higher but included no health coverage at all. Then, people could (and obviously 99% of people would) spend their money to get exactly the level of health coverage they wanted. Thorough but expensive packages would exist. No-frills alternatives would protect you from six-figure bills if a major organ gives out but still leave you, say, a $10K [word I'm not thinking of for the threshold below which you pay 100%].
The argument against this is that short-sighted people would fail to cover themselves and then become free riders, since nobody would have the heart to tell a suddenly-sick free rider that he's fresh out of luck and needs to float off and die. I hate it when people restrict their freedom so much because they think not everyone can be trusted.