This is a tale of how many hospitals were established in the 1910s. In 1914 California adopted the Workmen’s Compensation Act. This affected large industrial employers such as lumber mills in our region. Companies had two options for medical insurance to their employees. They could self insured or buy a policy through the State. Fruit Growers and Red River adopted the self-insured approach the employees were charged one dollar a month for health and medical care. This insurance covered every member of an employee’s family. This was how the Riverside Hospital was built in Susanville and the Westwood Hospital.  The Act was amended in 1944 and both Red River and Fruit Growers opted out of the self insured plan, and paid into the State Workmen’s Compensation Fund.

A little bit of trivia is this how Kaiser Permanente was formed. Kaiser initially were ship builders and they too originally opted for the self-insured policy.. They also dropped the self-insured policy, and in 1945 Kaiser Permanente was established.

Tim