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The Story of Kaiser Permanente Health Insurance

Kaiser Permanente health insurance is well known today, which is not surprising considering that this organization helped to pioneer the idea of health insurance in the United States and also helped to mold the way healthcare organizations in the U.S. look to this day.  There are networks all over the nation such as the Kaiser Denver, Southern California, Northern California, Northwest and Mid-Atlantic primary care networks.  Kaiser Permanente Atlanta, Georgia and Kaiser Hawaii are two other large networks in their stable of national healthcare providers.

The earliest incarnation of Kaiser Permanente health insurance can be traced back to the year 1945, when the organization was originally founded by industrialist Henry J. Kaiser and physician Sidney R. Garfield.  The nonprofit healthcare organization is actually an association of three distinctly different entities/groups - the Kaiser Foundation Health Plan Inc. and its regional operating organizations; the Permanente Medical Groups; and Kaiser Foundation Hospitals.  The regional operating organizations, such as Kaiser Denver and Boulder in the state of Colorado, all function somewhat as separate entities within the organization.

The Kaiser healthcare organization now operates in nine states and in Washington, DC.  The care network spans from Kaiser Permanente Atlanta, Georgia to Kaiser Hawaii, with millions of health plan members and thousands of employees, physicians, medical centers and medical offices in all these nine states and the nation's capital.  The healthcare organization can boast annual operating revenues in the billions and a net income of $1.3 billion, which largely goes back into improving the care they provide and making donations to worthy causes in the communities they serve.

If you are familiar with Kaiser Permanente health insurance, you may know that the Health Plan and Hospitals operate under the state and federal not-for-profit tax status, while the Medical Groups operate under professional corporations and for-profit partnerships in individual regions.  It is a popular form of insurance and medical care in the areas it serves.

Groshan Fabiola

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Author: Groshan Fabiola
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