We cannot get our economy back on track without repairing the American health care system. Health care reform is not just a moral imperative, but also an economic necessity. In 2007, the U.S. economy lost as much as $207 billion as a result of the poor health and shorter lifespan of the uninsured.

Skyrocketing health care costs add to families' already overwhelming burden, threatening their health and financial security. We can do better. Solving America's health care crisis will improve quality of care, reduce costs and make businesses more competitive.

The urgent need for reform is more apparent now in Iowa than ever. In the past eight years, health care premiums for family coverage have risen almost 4 times faster than wages. With 4.6% unemployed, many families are at risk of losing their health coverage. The message is clear: Iowa's families urgently need Congress to take direct action on health care reform.

Supporting Facts

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• Health Insurance premiums in Iowa increased by 72.6% from 2000 to 2007, while median earnings only increased a mere 18.5%. The median yearly wage in 2007 for Iowa was only $26,247, but the average health care premium for a family was $11,194. This means that premiums grew 3.9 times faster than wages.


• In Iowa, approximately 701,000 non-elderly people spent more than 10% of their pre- tax family income on health care costs in 2008. 91% of those people have insurance, but are underinsured. 638,000 Iowans with insurance spent more than 10% of their pre-tax income on health care costs, and 172,000 spend more than 25% of their income.


• By 2016, projections show that Iowa families will have to pay over $21,000 for health care or over 39 percent of median household income. This would represent a 76 percent increase over 2008 levels.


• In addition, more and more Iowans have been forced into the exorbitantly expensive ndividual market, as unemployment reaches massive heights. As of December 2008, 77,080 Iowa residents were unemployed. That reflects a loss of over 13,100 jobs statewide last year alone, increasing the state unemployment rate by 0.8 percentage points.


• If the state keeps losing jobs at the rate it did last year, 92,989 people in Iowa will be unemployed by 2010. 59% of Iowans depend on their employers for their health insurance. If nothing is done to stem the economic downturn and reform our health care system, 9,126 Iowa workers will lose their current health coverage, meaning that 3,182 more people will likely enroll in COBRA. That leaves 5,944 people who will have to enroll in Medicaid, fend for themselves on the private market, or become uninsured.


• This year Iowa faces a $134 million budget shortfall, and has already depleted its budget stabilization rainy day fund. As a result, the state has instituted a hiring freeze on public employees. As of 2007, 17% of all state spending has gone to Medicaid and SCHIP. $2.6 billion went to spending on Medicaid alone.


• As of 2007 there were already 41,361 uninsured children in Iowa, and 248,817 uninsured adults. 89,178 of uninsured adults in Iowa also live below the Federal Poverty Line. Iowa's economy lost as much as $1.2 billion because of the poor health and shorter lifespan of the uninsured in 2007. That equates $4,335 per uninsured Iowa resident.


• Of the top 10 employers in the state of Iowa, 4 are Healthcare Providers. According to the US Census, 142,870 individuals work in the Heath Care Sector in the state & make an average of $3,256 per month, which accounts for $466 million in wages per month.

The health of the American economy cannot improve without addressing the healthcare crisis. Building on the existing healthcare system, quality, affordable healthcare can be guaranteed to every American. It's the reform truly needed to rebuild Iowa's economy.