The Changing Face of the Health Insurance Industry
construction of hospitals , especially in rural areas , to close the gap in medical care . It also prohibits discrimination on the basis of race , religion , or national origin in the provision of hospital services .
1965 – Medicare and Medicaid Become Law President Lyndon Johnson signs into law the most significant health reform of the century : Medicare , which provides comprehensive health care coverage for people 65 and older , and Medicaid , which helps states cover long-term care for the poor and disabled .
1970s – Health Care in Crisis Medical costs rapidly escalate now that millions more are insured after the passage of Medicare and Medicaid . In 1972 , President Richard Nixon signs the Health Maintenance Organization Act as part of his national health strategy to reduce costs . For the next several decades , presidents and lawmakers try , and fail , to overhaul the health care system .
1980s – Corporations Take Greater Control There is a shift toward privatization of health care as corporations begin to integrate the hospital system and enter many other healthcarerelated businesses and consolidate control . In 1987 , the Census Bureau ’ s annual estimate of health insurance coverage in the United States finds 31 million Americans uninsured ( 13 percent of the population ).
2006 – States Enact Reform Laws Massachusetts implements laws to provide health care coverage to nearly all state residents and calls for shared responsibility among individuals , employers and the government in financing the expanded coverage .
Within two years , the state ’ s uninsured rate is cut in half . Vermont also passes comprehensive healthcare reform aiming for near-universal coverage . The law creates a health plan for uninsured residents and focuses on improving overall quality of care .
2010 – Major Health Care Reform Signed
President Barack Obama signs landmark health care legislation . The Patient Protection and Affordable Care Act requires that all individuals have health insurance beginning in 2014 . Health plans cannot deny coverage for any reason , including a person ’ s health status , nor can they charge more because of a person ’ s health or sex .
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