Political Quotes

“Mr. Speaker, in August 1939 Congress granted a Federal charter to Group Hospitalization, Inc., which authorized it to arrange for the provision of hospital services on a nonprofit basis to individuals residing in the District of Columbia. This was necessary because, at the time, the District had no laws in place to regulate nonprofit health insurance companies and, of course, there was no self-government at the time, but this body was the legislating body for the District of Columbia. The District only had the means to regulate mutual insurance companies, which group hospitalization did not wish to become. As a consequence, Group Hospitalization, Inc. began its operations exempt from local regulation. In October 1984, the charter was amended to expand Group Hospitalization's purpose beyond arranging for hospital services to include arranging for the provision of medical services on a nonprofit basis. This amendment also provided for a change of the company's name to Group Hospitalization and Medical Services, Inc., otherwise known as GHMSI.”