The Effects of Health Shocks on Employment and Health Insurance: The Role of Employer-Provided Health Insurance

Cathy J. Bradley, David Neumark, Meryl I. Motika

NBER Working Paper No. 17223
Issued in July 2011, Revised in August 2012
NBER Program(s):Economics of Aging, Health Economics, Labor Studies

We study how men's dependence on their own employer for health insurance affects labor supply responses and loss of health insurance coverage when faced with a serious health shock. Men with employment-contingent health insurance (ECHI) are more likely to remain working following some kinds of adverse health shocks, and are more likely to lose insurance. With the passage of health care reform, the tendency of men with ECHI as opposed to other sources of insurance to remain employed following a health shock may be diminished, along with the likelihood of losing health insurance.

Acknowledgments

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Document Object Identifier (DOI): 10.3386/w17223

Published: Cathy Bradley & David Neumark & Meryl Motika, 2012. "The effects of health shocks on employment and health insurance: the role of employer-provided health insurance," International Journal of Health Care Finance and Economics, Springer, vol. 12(4), pages 253-267, December. citation courtesy of