History of Medicare

1902 - The first U.S. workmen's compensation law was enacted. This law was later declared

unconstitutional.

1915 - Thirty states enacted the first major legislation to require employers to insure their workers against

industrial accidents - also known as workmen's compensation

1935 - The first federal government health insurance bill was introduced in Congress

1945 - President Harry S. Truman became the first sitting president to officially endorse national health

insurance

1961 - President John F. Kennedy sent a message to Congress recommending health insurance for the

elderly under Social Security

1965 - President Lyndon B. Johnson signed the Medicare and Medicaid programs into law

1972 - Medicare eligibility was extended to people with disabilities and to people with end-stage renal

disease (ESRD)

1973 - The HMO Act provided for start-up grants and loans for the development of health maintenance

organizations (HMOs)

1977 - The Health Care Financing Administration (HCFA) was established to administer the Medicare and

Medicaid programs

1981 - The National Association of Insurance Commissioners (NAIC) standardized Medicare supplement

policies

1983 - The diagnosis-related group (DRG) prospective payment system began. Medicare members could

enroll in an HMO or managed care plan

1997 - The Medicare+Choice program (now known as Medicare Advantage) was enacted

1998 - The internet site www.medicare.gov was launched

1999 - The toll-free number 1-800-MEDICARE was available nationwide and the first annual "Medicare &

You" handbook was mailed to beneficiaries

2003 - President George W. Bush signed the "Medicare Modernization Act" into law, which adds an

outpatient prescription drug benefit to Medicare (also known as Part D), among other changes

2007 - Beneficiaries with higher income levels began paying a higher Part B premium