Regrettably, the option for reducing tax preference proves to affect Los Angeles Health Organization and my colleagues offering similar service negatively. The policy will result in distortion of the type and quantity of health coverage that individuals select in a way that has aggregated health expense (Cogan et, al., 2011). Primarily, the tax preference prompts employees to forward their expenditure on medical care via insurance instead of spending from their pockets (Congressional Budget Office, 2011). Hence lowering the tax preference will make individuals settle for medical covers with fewer coinsurance tariffs and deductions, meaning that they might be unable to cater for medical expenses if the health coverage in not enough