For over 50 years, the American tax code has declined to tax employer-provided health insurance. Employers can deduct the cost of providing the insurance, and employees' income is not taxed on this fringe benefit.
www.tpmcafe.com/blog/warrenreports/2007/jan/20/bush_proposes_to_bring_health_insurance_to_47_million_americans_have_we_seen_this_before