A History of Healthcare in Nashville

The roots of Nashville's healthcare community took hold in the 1960s with the founding of three major hospital companies: Hospital Corp. of America (HCA), Hospital Affiliates International (HAI) and General Care Corp. Over the ensuing decades, these companies spawn hundreds of mergers, acquisitions and new companies. They inspire entire industry trends. And they turn the American health care system, traditionally a collection of locally owned and operated operations, into an industry.

Entrepreneurial spinoffs and startups expanded Nashville's presence into new sectors of the health care industry. The collaborative spirit of the city, dating back to those original hospital companies, continues today, as Nashville enjoys a unique position as the nation's health care capital, home to a vibrant, diverse collection of organizations, paving the way toward a better health care system.

Below, you'll find a fraction of the major happenings in our community since 1968. For a more comprehensive timeline of the growth and development of the Nashville health care industry, please visit www.healthcarecouncil.com/about/20th-anniversary.

May 1, 1968: Hospital Corporation of America (HCA) is founded.

The first investor-owned hospital company in U.S. history remains the largest in the world.

October 8, 1980: Phil Bredesen launches HealthPlans.

Launched out of the future governor's living room, HealthPlans grows to be the second-largest for-profit HMO in the country.

Oct 27, 1982: Surgical Care Associates (SCA) is formed.

SCA is the reason Nashville is credited with the invention of the ambulatory surgery center (ASC) business model.

March 1, 1985: Community Health Systems (CHS) opens.

An indicator of what's to come, leaders from HCA and HAI create a new, competitive company that helps transform Nashville into the health care hub it is today.

October 14, 1988: PhyCor is formed.

In the 1990s, when the physicians practice management (PPM) industry expands to 39 public and 125 private companies, PhyCor is the biggest.

October 4, 1995: The Nashville Health Care Council holds its first meeting.

At the time, the Nashville health care industry is responsible for $3.7 billion in income and provides 53,000 jobs — numbers that will grow tenfold over the next two decades.

January 21, 1997: Psychiatric Solutions Inc. launches.

Founded by former HCA execs, Psychiatric Solutions will go on to be the largest owner/operator of psychiatric providers in the country.

June 1998: The Nashville Health Care Council debuts its “Family Tree.”

The diagram, available for download on the Council's website, maps the origins and ties between hundreds of Nashville's health care companies.

August 12, 2002: National Renal Alliance (NRA) begins operations.

Within six years, the dialysis provider serves more than 2,200 patients in 45 facilities across 10 states.

July 24, 2006: HCA closes the largest buyout in Wall Street history.

HCA agrees to sell to three private-equity firms for $33 billion. The company returned to Wall Street in 2011 with the biggest ever U.S. IPO of a private-equity-backed company.

April 2010: Chinaco Healthcare Corporation (CHC) breaks ground.

Organized with the government of Cixi, this project marks the first international public-private health care partnership of its kind and signifies the global scope of Nashville health care industry.

January 31, 2013: MissionPoint Health Partners is created.

One of the country's earliest ACOs, MissionPoint will grow to partner with more than 1,000 area providers.

November 12, 2013: The Nashville Health Care Council launches its Fellows program.

The unique initiative is designed to engage emerging industry leaders to explore new business strategies and meet the challenges facing the U.S. health care system in the years ahead.

December 4, 2014: MedSolutions merges with CareCore National.

The deal unites two of the leading specialty-benefit management companies.