A Brief History: Universal Health Care Efforts in the US

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Why did these efforts for universal national health insurance fail again?

For may of the same reasons they failed before: interest group influence (code words for class), ideological differences, anti-communism, anti-socialism, fragmentation of public policy, the entrepreneurial character of American medicine, a tradition of American voluntarism, removing the middle class from the coalition of advocates for change through the alternative of Blue Cross private insurance plans, and the association of public programs with charity, dependence, personal failure and the almshouses of years gone by.

For the next several years, not much happened in terms of national health insurance initiatives. The nation focussed more on unions as a vehicle for health insurance, the Hill-Burton Act of 1946 related to hospital expansion, medical research and vaccines, the creation of national institutes of health, and advances in psychiatry.

Johnson and Medicare/caid

Finally, Rhode Island congressman Aime Forand introduced a new proposal in 1958 to cover hospital costs for the aged on social security. Predictably, the AMA undertook a massive campaign to portray a government insurance plan as a threat to the patient-doctor relationship. But by concentrating on the aged, the terms of the debate began to change for the first time. There was major grass roots support from seniors and the pressures assumed the proportions of a crusade. In the entire history of the national health insurance campaign, this was the first time that a ground swell of grass roots support forced an issue onto the national agenda. The AMA countered by introducing an “eldercare plan,” which was voluntary insurance with broader benefits and physician services. In response, the government expanded its proposed legislation to cover physician services, and what came of it were Medicare and Medicaid. The necessary political compromises and private concessions to the doctors (reimbursements of their customary, reasonable, and prevailing fees), to the hospitals (cost plus reimbursement), and to the Republicans created a 3-part plan, including the Democratic proposal for comprehensive health insurance (“Part A”), the revised Republican program of government subsidized voluntary physician insurance (“Part B”), and Medicaid. Finally, in 1965, Johnson signed it into law as part of his Great Society Legislation, capping 20 years of congressional debate.

What does history teach us? What is the movement reacting to?

1. Henry Sigerist reflected in his own diary in 1943 that he “wanted to use history to solve the problems of modern medicine.” I think this is, perhaps, a most important lesson. Damning her own naivete, Hillary Clinton acknowledged in 1994 that “I did not appreciate how sophisticated the opposition would be in conveying messages that were effectively political even though substantively wrong.” Maybe Hillary should have had this history lesson first.
2. The institutional representatives of society do not always represent those that they claim to represent, just as the AMA does not represent all doctors. This lack of representation presents an opportunity for attracting more people to the cause. The AMA has always played an oppositional role and it would be prudent to build an alternative to the AMA for the 60% of physicians who are not members.
3. Just because President Bill Clinton failed doesn’t mean it’s over. There have been periods of acquiescence in this debate before. Those who oppose it can not kill this movement. Openings will occur again. We all need to be on the lookout for those openings and also need to create openings where we see opportunities. For example, the focus on health care costs of the 1980’s presented a division in the ruling class and the debate moved into the center again. As hockey great Wayne Gretzky said, “Success is not a matter of skating to where the puck is, it is a matter of skating to where the puck will be.”
4. Whether we like it or not, we are going to have to deal with the persistence of the narrow vision of middle class politics. Vincente Navarro says that the majority opinion of national health insurance has everything to do with repression and coercion by the capitalist corporate dominant class. He argues that the conflict and struggles that continuously take place around the issue of health care unfold within the parameters of class and that coercion and repression are forces that determine policy. I think when we talk about interest groups in this country, it is really a code for class.
5. Red-baiting is a red herring and has been used throughout history to evoke fear and may continue to be used in these post Cold War times by those who wish to inflame this debate.
6. Grass roots initiatives contributed in part to the passage of Medicare, and they can work again. Ted Marmor says that “pressure groups that can prevail in quiet politics are far weaker in contexts of mass attention — as the AMA regretfully learned during the Medicare battle.” Marmor offers these lessons from the past: “Compulsory health insurance, whatever the details, is an ideological controversial matter that involves enormous financial and professional stakes. Such legislation does not emerge quietly or with broad partisan support. Legislative success requires active presidential leadership, the commitment of an Administration’s political capital, and the exercise of all manner of persuasion and arm-twisting.”
7. One Canadian lesson — the movement toward universal health care in Canada started in 1916 (depending on when you start counting), and took until 1962 for passage of both hospital and doctor care in a single province. It took another decade for the rest of the country to catch on. That is about 50 years all together. It wasn’t like we sat down over afternoon tea and crumpets and said please pass the health care bill so we can sign it and get on with the day. We fought, we threatened, the doctors went on strike, refused patients, people held rallies and signed petitions for and against it, burned effigies of government leaders, hissed, jeered, and booed at the doctors or the Premier depending on whose side they were on. In a nutshell, we weren’t the sterotypical nice polite Canadians. Although there was plenty of resistance, now you could more easily take away Christmas than health care, despite the rhetoric that you may hear to the contrary.
8. Finally there is always hope for flexibility and change. In researching this talk, I went through a number of historical documents and one of my favorite quotes that speaks to hope and change come from a 1939 issue of Times Magazine with Henry Sigerist on the cover. The article said about Sigerist: “Students enjoy his lively classes, for Sigerist does not mind expounding his dynamic conception of medical history in hand-to-hand argument. A student once took issue with him and when Dr. Sigerist asked him to quote his authority, the student shouted, “You yourself said so!” “When?” asked Dr. Sigerist. “Three years ago,” answered the student. “Ah,” said Dr. Sigerist, “three years is a long time. I’ve changed my mind since then.” I guess for me this speaks to the changing tides of opinion and that everything is in flux and open to renegotiation.

Acknowledgements:

Special thanks to medical historians and PNHP colleagues Corinne Sutter-Brown and Ted Brown for background information, critical analysis, and editing.

References:

Much of this talk was paraphrased/annotated directly from the sources below, in particular the work of Paul Starr:

1. Bauman, Harold, “Verging on National Health Insurance since 1910” in Changing to National Health Care: Ethical and Policy Issues (Vol. 4, Ethics in a Changing World) edited by Heufner, Robert P. and Margaret # P. Battin, University of Utah Press, 1992.
2. “Boost President’s Plan”, Washington Post, p. A23, February 7, 1992.
   Brown, Ted. “Isaac Max Rubinow”, (a biographical sketch), American Journal of Public Health, Vol. 87, No. 11, pp. 1863-1864, 1997
3. Danielson, David A., and Arthur Mazer. “The Massachusetts Referendum for a National Health Program”, Journal of Public Health Policy, Summer 1986.
4. Derickson, Alan. “The House of Falk: The Paranoid Style in American House Politics”, American Journal of Public Health”, Vol. 87, No. 11, pp. 1836 – 1843, 1997.
5. Falk, I.S. “Proposals for National Health Insurance in the USA: Origins and Evolution and Some Perspectives for the Future’, Milbank Memorial Fund Quarterly, Health and Society, pp. 161-191, Spring 1977.
6. Gordon, Colin. “Why No National Health Insurance in the US? The Limits of Social Provision in War and Peace, 1941-1948”, Journal of Policy History, Vol. 9, No. 3, pp. 277-310, 1997.
7. “History in a Tea Wagon”, Time Magazine, No. 5, pp. 51-53, January 30, 1939.
8. Marmor, Ted. “The History of Health Care Reform”, Roll Call, pp. 21,40, July 19, 1993.
9. Navarro, Vicente. “Medical History as a Justification Rather than Explanation: Critique of Starr’s The Social Transformation of American Medicine” International Journal of Health Services, Vol. 14, No. 4, pp. 511-528, 1984.
10. Navarro, Vicente. “Why Some Countries Have National Health Insurance, Others Have National Health Service, and the United States has Neither”, International Journal of Health Services, Vol. 19, No. 3, pp. 383-404, 1989.
11. Rothman, David J. “A Century of Failure: Health Care Reform in America”, Journal of Health Politics, Policy and Law”, Vol. 18, No. 2, Summer 1993.
12. Rubinow, Isaac Max. “Labor Insurance”, American Journal of Public Health, Vol. 87, No. 11, pp. 1862 – 1863, 1997 (Originally published in Journal of Political Economy, Vol. 12, pp. 362-281, 1904).
13. Starr, Paul. The Social Transformation of American Medicine: The rise of a sovereign profession and the making of a vast industry. Basic Books, 1982.
14. Starr, Paul. “Transformation in Defeat: The Changing Objectives of National Health Insurance, 1915-1980”, American Journal of Public Health, Vol. 72, No. 1, pp. 78-88, 1982.
15. Terris, Milton. “Crisis and Change in America’s Health System”, American Journal of Public Health, Vol. 63, No. 4, April 1973.
16. “Toward a National Medical Care System: II. The Historical Background”, Editorial, Journal of Public Health Policy, Autumn 1986.
17. Trafford, Abigail, and Christine Russel, “Opening Night for Clinton’s Plan”, Washington Post Health Magazine, pp. 12, 13, 15, September 21, 1993.