Carl I believe the profit motive allowed the mess to start.  Health Insurance was virtually nonexistent until l somebody saw the potent for big profits.  You do not have to be a genius to see health care is needed by everyone at some level. Therefore where there is 240,000,000 users there has to be a way to make a few bucks.  
I'm not faulting the history of medical care for veterans. However, once several million veterans were getting medical services it did not take long for the rest of the country to  want the same access to services.  It just a natural progression of things; in my opinion.