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Half-Private Healthcare

In: The Quest for a Divided Welfare State

Author

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  • John Lapidus

    (University of Gothenburg)

Abstract

The rapid rise of private health insurance in Sweden was based on generous tax breaks, in this case gross salary deduction for the employee via the employer. The deduction was based on the fact that private health insurance was exempt from benefit taxation. The chapter demonstrates how the employee earns money on the transactions, while the employer gets a lot of goodwill at the expense of the state. This is one of the ways in which the divided welfare state creates a new welfare relation between employer and employee, rather than between state and citizen. The chapter also discusses political controversies related to subsidies of private health insurance and the creative way in which advocates of a divided welfare state invent new words for taxation.

Suggested Citation

  • John Lapidus, 2019. "Half-Private Healthcare," Springer Books, in: The Quest for a Divided Welfare State, chapter 0, pages 69-86, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-24784-3_5
    DOI: 10.1007/978-3-030-24784-3_5
    as

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