| About The Blue CrossBlue Cross was started in | | | | and they are also very important in the |
| 1929 by Justin Ford Kimball, at Baylor University in | | | | administration of Social Security. There is a |
| Dallas, Texas. It was developed to guarantee | | | | problem with health insurance in the United |
| teachers 21 days of hospital care for $6 a year. | | | | States.There is a conflict between the need for |
| Later on the plan was enlarged to other people in | | | | the insurance company to make money versus |
| the Dallas area and then throughout the country.In | | | | the need of their clients to remain healthy.This |
| 1939 the term Blue Cross was used to include | | | | need to make money has become so |
| other plans as well. Blue Cross is a name used by | | | | uncontrolled that one third of the population in the |
| an association of health insurance plans throughout | | | | US can not afford medical insurance and medical |
| the United States.It was developed in 1929, by | | | | bills today are the major cause for bankruptcies. |
| Justin Ford Kimball, at Baylor University in Dallas, | | | | This is why state and federal regulation of health |
| Texas. The first plan guaranteed teachers The | | | | insurance companies is necessary.On the other |
| plan was extended to other employee groups in | | | | hand medical insurance companies could |
| Dallas, and then nationally. The American Hospital | | | | hypothetically face unforeseen events such as the |
| Association (AHA) adopted the Blue Cross symbol | | | | chicken flu where a large percentage of their |
| in 1939 as the emblem for plans meeting certain | | | | clients all of a sudden face horrendous hospital |
| standards. So as it stands today Blue Cross is an | | | | bills.Theoretically this could bankrupt the insurance |
| independent membership association working on a | | | | company within a very short timeframe. So to |
| service basis and providing protection against the | | | | prevent this situation medical insurance companies |
| costs mainly of hospital care. Benefit payments | | | | use a variety of checks and balances to limit |
| are made directly to the hospital. Benefits vary | | | | payments to beneficiaries.And of course it is a |
| among various Blue Cross associations. And then | | | | well-known fact that those seeking health |
| there is Blue Shield which, rather than covering | | | | insurance are also those most likely to have |
| hospital care, provides protection on a service | | | | medical problems being present or future ones. It |
| basis against the cost of surgical and medical care | | | | is also known that if the cost of healthcare to the |
| in a limited geographical area.The actual Blue | | | | beneficiary is very low than the use of medical |
| Cross, which was a blue Greek Cross, was | | | | benefits will be much greater than if the cost is |
| created by the artist Joseph Binder under the | | | | substantial.So to find the balance where medical |
| auspices of E A van Steenwijk who was the | | | | services are available when needed but not |
| Company secretary of Blue Cross and Blue Shield | | | | abused to the extend that for every paper cut |
| of Minnesota.The Blue Cross began now to be | | | | you will make a visit to the doctor proper |
| used in other parts of the country as well. At | | | | safeguards should be in place.So in theory, if |
| present it is a national trade organization linking 40 | | | | people would exercise, would eat healthy food, |
| health insurance companies in the US, Canada and | | | | would avoid addictive substances, this would lower |
| Puerto Rico together.Supposedly, Blue Cross | | | | health insurance prices because the insurance |
| operations are considered to happen as franchises | | | | companies would pay fewer doctor bills.However, |
| in specifically designated regions. At present these | | | | you could then also say that too much of the |
| services are available in every state wihin the | | | | insurance premiums would be paid out in |
| United States and every Canadian provinceBlue | | | | executive salaries or kept as profits by the |
| Cross is very prevalent in providing coverage to | | | | company. |
| State as well as Federal government employees | | | | |