CPB Certified Professional Biller Certification Practice Exam

Which organization was involved in the establishment of the Blue Cross insurance plan?

1. American Medical Association

2. Baylor University Hospital

3. National Health System

4. Department of Health and Human Services

The correct answer is: Baylor University Hospital

The establishment of the Blue Cross insurance plan is closely linked to Baylor University Hospital. In the early 1920s, this hospital developed a prepaid hospital care plan to provide services to teachers in the Dallas area. This innovative approach was designed to ensure affordable healthcare access, which laid the groundwork for what would become the Blue Cross model. The effectiveness of this plan contributed significantly to the widespread adoption of similar prepaid healthcare models across the United States, ultimately leading to the establishment of the Blue Cross brand. While other organizations have played critical roles in healthcare management and insurance over the years, Baylor University Hospital is specifically recognized for its pioneering efforts that directly led to the creation of the Blue Cross insurance plan.