Hawai'i's health insurance premiums grew an estimated 3.7 times faster than worker earnings during the past decade, according to a new report from a group advocating affordable health care.

The study by Families USA said family health care premiums jumped 94.2 percent during the period, while median earnings grew at a slower 25.7 percent pace.

"Costs are going up and earnings aren't keeping pace," said Ron Pollack, executive director of Families USA, a Washington-based nonprofit.

The report was released as a national debate transpires over health care reform, with one argument for implementing changes being the rising costs faced by consumers, businesses and government programs. Families USA has supported various forms of reform being discussed on Capitol Hill, with Pollack saying he is optimistic about the effort succeeding.

Pollack, speaking on a conference call with reporters yesterday, said the share of premiums paid by workers has edged up during the past 10 years as businesses shift some of the rapidly increasing costs to employees. At the same time the average insurance policy has become "thinner," with higher deductibles and co-payments while what's covered has been cut.

DOUBLED IN DECADE

Study researchers estimate the worker's portion of annual family premiums rose 110 percent to $2,759 during the period. The employer's portion was up about 90 percent to $8,981 during the same period.

For individuals, Hawai'i premiums increased to $481, about 153 percent more than a decade earlier.

The employer portion jumped 65 percent to $3,592.

The increases "threaten the financial well-being of families across the country," Pollack said.

He said the surge in premiums nationally is tied to people making greater use of services, lack of insurance market regulation in some states, less competition among insurance companies as they consolidate and an increase in the number of uninsured people.

He said unpaid expenses incurred by the uninsured added about $1,017 to premiums last year.

SOLUTION UNCLEAR

The Business Roundtable, an association of corporate CEOs, also yesterday issued a report saying annual health care costs per employee will triple to almost $29,000 nationally over the next decade without marketplace reforms to reduce costs, expand coverage and improve delivery.

Other groups, while agreeing costs must be stemmed, have disagreed with some of the health care reforms being proposed, including a government-sponsored health care plan that would compete with private companies. Others have said they are worried the reforms being proposed will add to government spending.

Families USA said the research used data from the U.S. Census Bureau, the U.S. Department of Labor and the U.S. Department of Health and Human Services.

It said 2009 earnings and costs were estimated using trends from 2008 insurance premium data and 2007 gross earnings data.