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You can fund private insurance via taxes as well. That's not a limit to private market insurances.

But I tell you one thing that really affects why insurance sucks: that you get sweet tax exemptions if you get it through an employer, and to be an insurance that works through an employer you need to overcome massive regulatory hurdles.

Welcome to the world of regulatory capture.



I wonder if the increases in the gig economy (ride sharing, charging, food delivery) will lead to more people eligible to file these incomes as sole proprietorships, allowing them to deduct health insurance.


Even M4A includes removing the tax exemption. But it will not be popular when workers get a Marginal tax rate jump on their entire income.

That subsidy should die and healthcare should be finally decoupled from the employer. That would unleash massive market forces.




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