Wellpoint, one of the country's largest health insurers, has announced a 39% increase in some coverage rates, which has led to widespread criticism and a call for a congressional hearing.  The sad part, as pointed out in Bob Laszewski's Health Policy and Marketplace Blog, is that the increase is probably justified (in actuarial terms).  The crippled economy has doubtless led (or forced) healthier plan members to drop coverage, which in turn has led to a less healthy insurance pool and, therefore, higher rates.  Since a 39% increase will led more individuals who can risk going without insurance to drop coverage, the spiral will continue next year.

If there is a hearing, perhaps it will drive home the utter necessity of reform.

Meanwhile, it was reported this week that healthcare costs now account for 17.3% of the United States GDP, up from 16.2% last year.  In addition, the government will account for more than 50% of all US healthcare payments by 2012.   Here is a report from the WSJ's Marketwatch.  At this rate, even without healthcare reform we will end up with a single payor.  By that time, however, not even the government will be able to afford coverage.