Swatting Insurers

A study showing insurance premiums rising faster than workers' income is going to add ammunition to the health care battle when lawmakers return to Washington next month.

The non-profit group Families USA is doing a state-by-state analysis showing that premium rate increases have jumped as much as eight times the growth of personal income over the past decade. So far, the group released reports on 18 states and will complete analysis of the remainder by the second week of September.

While Families USA is a non-partisan group, its research is used liberally by Democrats. Separately, House Democrats are collecting information on insurance executives' compensation. That data certainly will be used to show insurance execs are getting richer while middle-class Americans are getting squeezed.

Kim Bailey, Families USA's senior health policy adviser, says her group isn't targeting insurers. The research, which is being released as individual state reports staggered over a month, is aimed at showing the need for reform as the middle class get pinched, she says. Depending on the state, insurance premiums rose three to eight times faster than earnings, the group found.

"This is a fairly shocking number and a problem affecting so many people," Bailey says. "Our intention is not to bash the insurance companies. This is affecting American business - not just American employees."

Still, President Obama and Democrats need to do a better sales job as polls show Americans are rejecting the planned health care overhaul. Rich CEOs are an easy target. Contrast that with struggling working folk and you can see where this debate is headed.