Ebook: The Economics of Social Insurance and Employee Benefits

This book is intended for junior and senior undergraduate students, and master level students in human resources, risk management and insurance, industrial relations or public policy. The subject of the book is non-wage benefits paid to workers. Hence, it excludes discussion of needs-based programs such as welfare, food stamps, Supplementary Security Income, and Medicaid. It includes benefits mandated by the government including the major social insurance programs: workers' compensation, unemployment insurance and Social Security benefits. It also includes those benefits voluntarily provided by firms including: group medical care, disability benefits, paid sick time, pension benefits, life insurance, and assorted other fringe benefits. The book is divided into three parts. Part I (chapters 1 through 6) briefly introduces these programs and discusses some of the insurance and economic concepts that are useful in both evaluating the current programs, and in understanding what changes might mean for future costs and benefits. The next two parts of the book deal respectively with social insurance programs (Part II, chapters 7-10), and other employer provided benefits (Part III, chapters 11-16). Throughout, private sector human resource practice and public sector human resource policy is linked to various "ben~fit" models: the human capital model, the passive participant model, the insurance' model, the managed care model, and the integrated health benefits model.

---

The Economics of Social Insurance and Employee Benefits focuses on non-wage benefits paid to workers in the United States, covering both government-mandated and voluntarily provided benefits. The author argues that benefits affect workplace productivity, and concentrates on the economic thinking behind how to design non-wage benefits in order to achieve competitive advantage.
Part I briefly introduces these programs and discusses some of the insurance and economic concepts that are useful both for evaluating current programs and in analyzing what changes might mean for future costs and benefits. Part II deals with mandated social insurance programs, while Part III discusses benefits voluntarily provided by employers. Throughout the book, private sector human resource practices and public sector human resource policies are linked to various benefit models: the human capital model; the passive participant model; the insurance model; the managed care model; and the integrated health benefits model. Butler argues that the current program-centered approach to human resource and risk management is often ineffectual because it (1) ignores overlapping benefits that mitigate useful cost-sharing mechanisms; (2) often results in the concentration of benefits among relatively few workers; and (3) sometimes has the unintended consequences of negatively affecting workers' human capital. In advocating a `worker-specific' approach to employee benefits, the book offers a unique perspective on how human resource managers, risk managers, and public policy makers can promote those institutions and programs that best increase workers' productivity.

---

The Economics of Social Insurance and Employee Benefits focuses on non-wage benefits paid to workers in the United States, covering both government-mandated and voluntarily provided benefits. The author argues that benefits affect workplace productivity, and concentrates on the economic thinking behind how to design non-wage benefits in order to achieve competitive advantage.
Part I briefly introduces these programs and discusses some of the insurance and economic concepts that are useful both for evaluating current programs and in analyzing what changes might mean for future costs and benefits. Part II deals with mandated social insurance programs, while Part III discusses benefits voluntarily provided by employers. Throughout the book, private sector human resource practices and public sector human resource policies are linked to various benefit models: the human capital model; the passive participant model; the insurance model; the managed care model; and the integrated health benefits model. Butler argues that the current program-centered approach to human resource and risk management is often ineffectual because it (1) ignores overlapping benefits that mitigate useful cost-sharing mechanisms; (2) often results in the concentration of benefits among relatively few workers; and (3) sometimes has the unintended consequences of negatively affecting workers' human capital. In advocating a `worker-specific' approach to employee benefits, the book offers a unique perspective on how human resource managers, risk managers, and public policy makers can promote those institutions and programs that best increase workers' productivity.
Content:
Front Matter....Pages i-xiii
Workers’ Benefits and Models of Worker Behavior....Pages 1-17
History of Workers’ Benefits in the United States....Pages 19-37
Health Benefits Costs: The Value of an Integrated Approach....Pages 39-54
Human Capital....Pages 55-80
Labor Supply Model Over Time: The Life Cycle Diagram....Pages 81-95
Uncertainty, Risk Aversion, and the Demand for Insurance....Pages 97-117
Workers’ Compensation....Pages 119-151
Social Sercurity Disability Insurance, ADA and Temporary Disability Insurance....Pages 153-168
Unemployement Insurance....Pages 169-198
Social Security: Retirement, Medicare, and Survivor Benefits....Pages 199-226
Group Insurance: Regulation, Taxation and Funding....Pages 227-239
Medical and Dental Expense Benefits....Pages 241-262
Disability: Short and Long Term, Sick Leave and Long Term Care Insurance....Pages 263-274
Group Life Insurance....Pages 275-283
Retirement and Profit Sharing Plans....Pages 285-301
Other Benefits....Pages 303-310
Back Matter....Pages 311-346

---

The Economics of Social Insurance and Employee Benefits focuses on non-wage benefits paid to workers in the United States, covering both government-mandated and voluntarily provided benefits. The author argues that benefits affect workplace productivity, and concentrates on the economic thinking behind how to design non-wage benefits in order to achieve competitive advantage.
Part I briefly introduces these programs and discusses some of the insurance and economic concepts that are useful both for evaluating current programs and in analyzing what changes might mean for future costs and benefits. Part II deals with mandated social insurance programs, while Part III discusses benefits voluntarily provided by employers. Throughout the book, private sector human resource practices and public sector human resource policies are linked to various benefit models: the human capital model; the passive participant model; the insurance model; the managed care model; and the integrated health benefits model. Butler argues that the current program-centered approach to human resource and risk management is often ineffectual because it (1) ignores overlapping benefits that mitigate useful cost-sharing mechanisms; (2) often results in the concentration of benefits among relatively few workers; and (3) sometimes has the unintended consequences of negatively affecting workers' human capital. In advocating a `worker-specific' approach to employee benefits, the book offers a unique perspective on how human resource managers, risk managers, and public policy makers can promote those institutions and programs that best increase workers' productivity.
Content:
Front Matter....Pages i-xiii
Workers’ Benefits and Models of Worker Behavior....Pages 1-17
History of Workers’ Benefits in the United States....Pages 19-37
Health Benefits Costs: The Value of an Integrated Approach....Pages 39-54
Human Capital....Pages 55-80
Labor Supply Model Over Time: The Life Cycle Diagram....Pages 81-95
Uncertainty, Risk Aversion, and the Demand for Insurance....Pages 97-117
Workers’ Compensation....Pages 119-151
Social Sercurity Disability Insurance, ADA and Temporary Disability Insurance....Pages 153-168
Unemployement Insurance....Pages 169-198
Social Security: Retirement, Medicare, and Survivor Benefits....Pages 199-226
Group Insurance: Regulation, Taxation and Funding....Pages 227-239
Medical and Dental Expense Benefits....Pages 241-262
Disability: Short and Long Term, Sick Leave and Long Term Care Insurance....Pages 263-274
Group Life Insurance....Pages 275-283
Retirement and Profit Sharing Plans....Pages 285-301
Other Benefits....Pages 303-310
Back Matter....Pages 311-346
....