[majormajor]

> The choices of plans offered by companies is far, far smaller than the choices available to me on the open market.

On the flip side, the cost my employer pays for my plan is far lower than they would bill me for it on the open market. Last time I looked at the individual market it was amazing how bad even plans for $500-1000 were! They could give me a raise exactly matching what they'd stop paying and I'd still lose out.

Edit to clarify: That's not a "this is cheaper to us after we account for the tax break." That's a "this is the rate it costs us" vs "this is the rate it would cost you" difference.

The negotiation power difference is real. Private market health insurance would need to be well-regulated or we'll all just get screwed even more.

Employers like this because it gives them power over employees and makes it more attractive than being an entrepreneur not just to save money on taxes.

[amarshall]

Indeed, and the commenter you’re replying to said just that.

[majormajor]

Edited to clarify that I was bringing up negotiation power because I think that is the difference here, not anything about tax preference. And this benefits companies because it locks employees in.