Question

should private health insurance fund for medical treatment be assessable income?

Answer 1

Private insurance and other private funds account for a big portion of United States healthcare financing. This funding, also known as private funding is paid for by policyholders in the form of premiums and deductibles. A premium refers to a payment that a policyholder is required to pay for insurance coverage. A deductible will be the claim portion under an insurance policy that the insured is required to pay before the insurance company starts payments for covered medical services. The deductibles amounts are set at a fixed dollar amount during the period of benefit, which is generally 1 year. Private health insurance usually provides offers that are more generous options if compared to public health insurance.

In private insurance only healthy and the wealthy are covered, thus in my opinion it should be assessable income. Furthermore the private health insurance premiums are not risk rated like other forms of insurance, thus all buyers pay the same premiums as others for the same policy, regardless of their health status or age. It will include subsidizing also those who determinedly pursue ill health by over-drinking, over-eating, and smoking which is unfair and spreading the burden on others, thus according to me it should be an assessable income