TY - JOUR T1 - Policy Choice and Product Bundling in a Complicated Health Insurance Market JF - Journal of Human Resources JO - J Hum Resour SP - 566 LP - 610 DO - 10.3368/jhr.55.2.0417-8689R1 VL - 55 IS - 2 AU - Nathan Kettlewell Y1 - 2020/03/31 UR - http://jhr.uwpress.org/content/55/2/566.abstract N2 - Understanding how consumers choose health insurance and the quality of those choices is crucial information for policymakers. This paper uses a choice experiment to evaluate choice quality and how this interacts with an important form of complexity—product bundling. The results indicate that consumers are likely to make choices that violate expected utility theory, use heuristic decision strategies, and overinsure relative to minimizing out-of-pocket costs. Product bundling is found to exacerbate all of these tendencies. The experimental approach used overcomes some limitations of revealed preference research in this area, such as the endogeneity of choosing bundled insurance. ER -