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It was during the Depression that hospitals band-
ed together to offer prepaid coverage to citizens.
Prepaid hospital coverage was a way for hospitals to
avoid the financial failure that befell the banking
industry. The approach worked so well that doctors
followed suit a few years later and Blue Cross Blue
Shield organizations were born. Little did anyone
know that the seeds for runaway costs eighty years
later had been planted.
Prepaid, employer-provided insurance quickly
dominated the health care landscape. Subsequent
action by the federal government in the 1950s to pro-
vide a tax deduction for health insurance premiums
helped solidify the approach. To set the system in
concrete, in the 1960s the federal...
Nội dung trích xuất từ tài liệu:
Introducing Unemployment Insurance to Developing Countries
