The Anomaly of Employer-Paid Health Insurance

Ever wonder why health insurance in the US is provided through employers, which is NOT the norm in countries with health coverage? (pace Miss USA)

1939—Revenue Act of 1939 (Sec. 104), establishes employee tax exclusion for compensation for injuries, sickness, or both received under workers' compensation, accident, or health insurance.

"The link between employment and private health insurance was strengthened during World War II when in 1943 the War Labor Board ruled that controls over wages and prices imposed by the 1942 Stabilization Act did not apply to fringe benefits such as health insurance. In response to this ruling, many employers used insurance benefits to attract and retain scarce labor."

http://www.nber.org/papers/w14839.pdf?new_window=1