The UHCA follows a tradition of attempts to ensure universal health care coverage in the U.S. During the nation’s early history of 1883-1912, there were no government health insurance programs or efforts to subsidize voluntary funds. The states were responsible for individual programs and it was left to the private industry. Some voluntary funds were available for members in case of sickness or death.
In 1915 the American Association of Labor Legislation (AALL) drafted a model bill that would give health insurance to those in the working class or making less than $1200 a year. The services included access to doctors, nurses, hospitals, sick pay, maternity and death benefits. The cost was to be distributed between workers, employers and the state. There was opposition to the AALL bill by insurance companies and other parties.
During the 1920s and 1930s, there was an increase in the cost of medical care and hospitalization. This was due to the middle class accessing health care services. The cost of medical care became a bigger portion of a family’s budget then loss wages due to sickness. The Wagner Bill, National Health Act of 1939 proposed for the creation of a national health program funded by federal grants to states. The Wagner Bill would provide health insurance for seniors but there were limitations to the bill.
In 1965, President Johnson introduced Medicare and Medicaid to provide health insurance to the elderly and low income children.
Prior to this shift, government involvement in health insurance services was minimal since it seemed to be under control by the non-profit sector. There didn’t seem to be an urgent need to control or universalize health care at the time. The government’s first interest in the health care industry sparked when employers began providing health care benefits as a competitive advantage for recruiting workers back into the workforce during World War II. To help cope with the rising unemployment rates, the government would offer tax incentives to employers providing these benefits. (add Quote)
In 1943, Senator Murray, Edward Wagner and Congress man Dingell introduced the United States National Health Insurance bill, the acting president at the time, Roosevelt, did not endorse the bill but was supportive(5). The National Health Insurance wasn’t a new concept. In 1883, Otto von Bismark introduced an obligatory health insurance program(6). Its’ success expanded the concept of social insurance in Europe and America. Without official endorsement by the president and with the war still going on, the Wagner-Murray-Dingell bill died in committee.
The American Association of Labor Legislation founded in 1906 led introduced the idea of Universal Health Care. Their goal was not to abolish capitalism but rather to reform it. (www.pnhp.org). Decades later after numerous attempts President Obama successfully passed the law to create The Affordable Care Act on March 23, 2010. This act is defined as “a federal healthcare law and is the largest change to American healthcare since the creation of Medicare and Medicaid in the 1960s.(Healthline.com)
President Lyndon B. Johnson created Medicare and Medicaid to help United States citizens have medical coverage, even if their income was low. Medicare would help the elderly and disabled citizens. Medicaid would help families whose income was low. He wanted to create these programs to help end poverty for Americans. By having Medicare and Medicaid it would provide citizens some relief to not have to worry about a hospital bill and/or prescriptions.
During the beginning of this era, reformers had the support of President Theodore Roosevelt who thoroughly believed “that no country could be strong whose people were sick and poor”. In 1915, a bill was proposed by the American Association of Labor Legislation (AALL) that limited coverage to working class individuals whose annual income was less than $1200 a year and included hospital services, sick pay, maternity benefits, and funeral expenses (Palmer, 1999). This system was believed to “relieve poverty caused by sickness” and would “yield a net savings for society” that would benefit not only citizens but businesses as well (Toland, 2014). Opinions on the AALL bill were mixed. The American Medical Association (AMA) was included in the formulation of the bill, leading them to create a committee whose entire aim was to assist the AALL but a disagreement over physician payment led the AMA to redact their support (Palmer, 1999). The American Federation of Labor continuously spoke against universal health care, fearing that it would result in complete state supervision over citizen’s health and would undermine current worker unions and the benefits they provided. Within all of this was also the strong opposition of the private insurance industry which, oddly enough, rested on the inclusion of death benefits in the AALL bill which had
Healthcare didn’t always exist in the United States. Before the 1920’s, most people didn’t have health coverage. Most people were treated at home and hardly anyone, except a few large employers offered healthcare. Everyone else paid out of pocket. As the population shifted from rural areas to urban centers, families lived in smaller homes with less room to care for sick family members (Faulkner 1960, p. 509). Increasing requirements for licensing and accreditation, in addition to a rising demand for medical care, eventually led to rising costs. By the end of 1920s, there was an increased demand for medical care and the costs of medical care increased.
Social and health issues can have a substantial influence on life. Previous to Medicare, some programs attempted to assist the aging population, but they unsuccessful met the demands of their medical needs. The state's resources were limited making those funds accessible to assists those in need. Congress begins to perceive a significant increase in healthcare cost among the old, making it impossible for them to afford health insurance as their incomes gradually declined (Social Security Administration, n.d.). During Johnson presidency, he made it a precedence to ensure that older Americans would have necessary protection against healthcare and its rising cost.
“Military Medicare” was passed in 1956 that provided health care benefits for military dependents. Employer based insurance continued to grow during this time. As health care was becoming more difficult to get for older Americans and the sick, the U.S. government became involved and passed Medicare/Medicaid legislation on July 30, 1965 (Taylor, 2014). Medicare Part A to pay for hospital care, skilled nursing and home health, optional Medicare Part B to pay for physician care, and Medicaid, to assist states in covering
Shortly after the Great Depression took place this placed a great burden on hospital funding and patient’s financial ability to afford health care. The first hospital insurance plan was created
President Lyndon Johnson, by restricting eligibility to the elderly, limiting hospital care and connecting it to Social Security, Medicare became a viable plan. Moving the concentration of the debate to the aged community a grass roots support of seniors pushed the agenda into the national spotlight. An “eldercare plan was introduced by the AMA of a voluntary insurance was broader benefits. The government countered expanding it proposal to include physician service, which intern became Medicare and Medicaid. Political concessions were made with doctors, and hospitals. The Part A comprehensive health insurance and Part B voluntary physician insurance. President Johnson finally signed it into law in 1965 as part of the “Great Society Legislation” (Oberlander, 2015)(Palmer,
The first implementation of a government backed health insurance was the passing of Medicaid and Medicare in 1965 (A Brief History: Universal Health Care Efforts in the US). The implementation came after many years of debate and opposition. Many US presidents tried and failed to achieve a universal health care system, while other developing first world nations had a very progressive system already in place. With the help of highly financed opposition, it took almost 165 years before the Social Security Amendments of 1965 were signed into law.
Health insurance has a long and extensive history in the United States. The history or beginning of health insurance can be traced back to the Great Depression in the 1930s. The Depression affected several indigenous hospitals in the United States. In order to ensure adequate payment for medical services during the Great Depression, hospitals and physicians had to establish and implement different types of insurance. The health insurance was also meant to cover different types of injuries and sicknesses at work environments. In the same period (Great Depression), managed care and conventional insurance were also brought into existence. Managed care was later developed in the 1980s.
The 19th century had many important breakthroughs for worker and the whole health care industry leading up to present day. The social factors that promoted managed care in the 19th century are some insurances offered insurance policies to cover the cost of care for workplace accidents and employee disability, (Kongstvedt, 2013). This was highly beneficial and has helped infinite employers cover have insurances plans in place for employees who get hurt on the job. Employees have the worker’s compensation or disability to cover the cost of on the job injuries and receive compensation for them. Another social factor that influenced the 19th century was the 1937 Group Health Association which started in Washington, D.C.
Medicare was formed in 1965 when individuals over 65 found it almost unfeasible to get private health insurance coverage. Medicare has made entrée to health care a common basic right for Americans 65 years or older. This has helped progress the health and
In 1906,under President Theodore Roosevelt the American Association of Labor Legislation (AALL) was established mainly to expand health care providers over the country. Till WW1 most Americans were in favor of creating health care over America, though in WW1 surveyors suggested that the government was against the idea of having health care. This was because America rival Germany had already enforced it and the government denounced it for not matching American values(Universal Health Care Efforts in the US).