It was This Day in History, in 1965, that Medicare Became Law

On this day in 1965, former President Harry Truman became the first beneficiary of Medicare and got his card as President Lyndon B. Johnson signed into law the health insurance program for elderly Americans.

The bill-signing ceremony took place at the Truman Library in Independence, Missour. Truman had become the first president to propose national health insurance, an initiative Congress opposed in 1945.

The Medicare program provided hospital and medical insurance for Americans age 65 or older. It was an amendment to the Social Security Act of 1935. Some 19 million people enrolled in Medicare in 1966, when it took effect. In 1972, eligibility for the program was extended to Americans under 65 who had certain disabilities and to people of all ages who had permanent kidney disease that required dialysis or transplant.

In December 2003, President George W. Bush signed the Medicare Modernization Act (MMA). It added outpatient prescription drug benefits to Medicare.

Medicare is funded entirely by the federal government, partially paid for through payroll taxes. Medicare is currently controversial because of the enormous strain it puts on the federal budget. Throughout its history, the program also has been plagued by billions in fraud that has been committed by patients, doctors and hospitals.