Health reform created the opportunity to redirect tax incentives to promote greater equity, efficiency, and choice in insurance markets. The opportunity, however, has largely been lost. First, tax credits for insurance will be available only through new health insurance exchanges, not to workers...

The exclusion of employer contributions to health premiums has skewed the development of the insurance market, resulting in generous coverage for higher–income workers but leaving millions of others uninsured and facing rapidly rising health costs. The paper considers four recent reform...