The Minnesota Department of Health just published new data about uninsured Minnesotans. No surprise here: The number is growing. In 2009, nearly 1 in 10 Minnesotans (9.1%) was without health insurance. That translates into about 480,000 people—nearly half a million.

Half a million people. In Minnesota. Without health insurance.

That’s up from 7.2% of the population that was uninsured in 2007. Now this might not seem like a huge jump to you, but in terms of people, we’ve gone from about 372,000 uninsured in 2007 to 480,000 in 2009, a 28% increase in the number of people without health insurance.  

So who are all the uninsured?

• The highest rates of uninsurance occur among the young adult population: 22% of the 18 to 24-year-old age group is uninsured, as are 16% of those ages 25 to 34. (In contrast, about 7% of those under age 18 are uninsured.)
• Not surprisingly, the uninsured are more likely to have lower incomes: 18% of those living at or below the federal poverty level are uninsured, as are 17% of those between 100% and 200% of poverty and 12% of those between 200% and 300% of poverty.
• Uninsurance rates are higher for Minnesota’s populations of color, particularly Hispanics (29%), American Indians (19%) and Blacks (16%).
• The uninsured are more likely to live in Greater Minnesota (10.3%) than the Twin Cities Metro Area (8.1%).
• Men (12%) are much more likely to be uninsured than women (6%).
• Nearly three-quarters of the uninsured (71%) are employed.
• Most (61%) are potentially eligible for some sort of public coverage.

Speaking of public coverage, there was an interesting article in the Wall  Street Journal a couple of weeks ago reporting that next year for the first time, government programs will account for more than half of all U.S. health care spending (see chart). By 2020, about 1 in 5 dollars spent in the U.S. will go to healthcare—a proportion far beyond any other industrialized nation (many of which have universal coverage).

Healthcare reform, anyone?

We’ve just posted the January edition of State of the Economy. This is a monthly publication that pulls together key economic developments both locally and nationally. It also includes the most recent data available about referrals made by United Way 2-1-1.

A few highlights from our most recent issue:

• Both local and national unemployment rates remained steady in January at 10% (U.S.) and 7.4% (MN) respectively.
• Lender-mediated home sales averaged $124,000 in the Twin Cities in 2009 compared to $204,000 for traditional home sales.
• The Twin Cities’ housing inventory is down 22% from a year ago.
• Teenagers are experiencing the highest unemployment rates nationally (27%) while women and Asians are experiencing some of the lowest rates (8%).
• Weekly wages declined 1.6% in 2009 when inflation is factored in.
• TCF is ending its “Totally Free Checking” program. More than 1,000,000 accounts that were previously free will be charged a monthly maintenance fee beginning early this year.
• Target Corp. is opening fewer than 10 new stores this year, but is renovating 340 stores already in operation.
• UnitedHealth Group reported fourth quarter profits up 30% and profits for the year up 28%.
• United Way 2-1-1 made nearly 175,000 referrals for basic needs in 2009. More than one-third of these were for either emergency food or emergency shelter.

For more news on the local and national economy, read the full report (including graphics!) here. 

What is the state of your economy? What one issue has had the most impact on you, your family, or your work in the past year? What do you think the State of the Economy will be next year at this time? Let me know, and I’ll post selections of the answers I receive.

Is inequality worse for us than poverty? That’s what Richard Wilkinson and Kate Pickett argue, sometimes convincingly, in their book, The Spirit Level: Why Greater Equality Makes Societies Stronger.

Wilkinson and Pickett examine income inequality across 23 countries. (Income inequality is measured in many ways, but one typical measure is to compare the income of the richest 20% of the population to the income of the poorest 20% of the population.) In Japan, Finland, Norway, and Sweden, the richest 20% are about four times as rich as the poorest 20%. At the other end of the spectrum (i.e., the U.S. and Singapore), that is more than doubled, which is to say that the U.S. has very high inequality (only Singapore is worse).

Does it matter? Absolutely, say Wilkinson and Pickett. They tie inequality to many of our major social populations:

If you fail to avoid high inequality, you will need more prisons and more police. You will have to deal with higher rates of mental illness, drug abuse, and every other kind of problem.

Take the example of health and life expectancy. The United States spends more per person ($6,000) on healthcare than any other country. You’d think that would at least put us in the top half for life expectancy, wouldn’t you? But no. In fact, only 3 of the 23 countries have lower life expectancies than the U.S. (those would be Portugal, which spends about $1,800 per person; Denmark, which spends about $2,800 per person; and Ireland, which spends about $2,500 per person). Highest life expectancy goes to Japan, which spends about $2,200 per person. The same pattern holds for infant mortality and teen pregnancy (see chart).

Conclusion? The more equally wealth is distributed in a society, the better the health of that society. They examine social relations, mental health, drug use, life expectancy, violence and homicide rates, obesity, education, teen pregnancy rates, incarceration rates and social mobility. The pattern holds.

Not convinced? They also look at inequality within the United States, and compare many of these same social ills across states, and the same pattern obtains. The authors contend that if the United States could reduce its income inequality to the average of the four most equal countries (Japan, Norway, Sweden, Finland), we would see:

• The proportion of the population feeling they could trust others increase by 75%
• Rates of mental illness drop by two-thirds
• Rates of obesity drop by two-thirds
• Teen birth rates cut in half
• Prison populations reduced by 75%

Now that’s something worth striving for!

The New York Times had a great article about food stamps a few days ago. I knew food stamp use was increasing. I may have even heard that it was at record highs. But I don’t think I realized that 1 in 4 children in the United States are now receiving food stamps. One in four. Wow.

One of the things the article stresses is that the stigma around food stamps has declined over the last few years and particularly in the last year, as more and more people are relying on food stamps after losing their jobs. Another thing that has helped is the move to plastic: Food stamps are now loaded onto little plastic cards (EBT cards), just like debit and credit cards, so their use isn’t as conspicuous. They even gave the program a snappier name—the Supplemental Nutrition Assistance Program (SNAP for short).

Minnesota is exactly average in terms of participation: Nationally, 66% of those eligible for food stamps are participating in the program (data are from 2007—the most recent available) and the same percentage of eligible people participate in Minnesota. Looking specifically at the working population, there are an estimated 179,000 working people in Minnesota whose income is so low they are still eligible for food stamps. Of those, only 56% are participating in the program (also the same as the national rate). For more detail on participation rates, check out the USDA Report: Reaching Those in Need.

One of the cool things about the New York Times article is the accompanying interactive graphic, which shows participation rates down to the county level. Looking at the data for the nine-county Greater Twin Cities United Way service area, Ramsey County stands out: 12% of the population is on food stamps, including nearly one-quarter (23%) of children. Hennepin County comes next, with 9% overall and 16% of children. But some of the biggest changes are seen in the outer counties: Carver County has seen an increase of 82% in food stamp use since 2007, and Scott County has seen a 70% increase. Increases were substantial in Isanti (58%) and Chisago (54%) counties as well.

If you’ve hit hard times and are wondering if you or someone you know might be eligible for food stamps (or other financial assistance programs), go to Bridge to Benefits and fill out the screening tool—after answering just a few questions, they will tell you what benefits you may be eligible for and provide contact information and links to applications.

Lauren Segal, president and CEO of Greater Twin Cities United Way, is leaving us at the end of this month for greener pastures. She kindly agreed to answer a few questions as she’s wrapping things up:

• What are you most proud of having accomplished while you were at United Way?

Lauren: There are two things that come to mind. The first is the combination of the Minneapolis and St. Paul United Ways in 2001.  No one expected it, no one thought it would happen or could happen—and we did it!  It was great fun to build a whole new organization.

The second accomplishment, without a doubt, is the development of the Agenda for Lasting Change and our focus on people at or near the poverty line.  The focus on issues that people hear and know about, and showing measurable impact on a community scale, is incredibly rewarding.

•  What will you miss most about your job?  

Lauren: The opportunity to work with the dedicated staff and volunteers to build pathways out of poverty.

•  What will you miss the least?

Lauren: This position required me to be in many different places, often at the same time!  It was not unusual for me to start my day at 7:30 a.m., and, because of community events, be out until 9:00 or 10:00 at night.  Not to mention emails, reading, etc. relegated to the weekends.  I am looking forward to spending more quality time with my husband.

•  What is/was your favorite moment at United Way?

Lauren: There were too many to name just one!  Most of them were times when I had the opportunity to work with volunteers packing food at food shelves, building a Habitat house with the future residents, or reading to children, or to witness the success of a program or initiative we had started. 

•  What was your funniest moment at United Way?

Lauren: Let’s see—it’s between wearing pajamas and singing “I’m a Little Teapot” with the senior leadership team for the internal campaign, or dancing the evening—and early morning hours—away at our staff holiday party. 

• What are you most looking forward to in the next phase of your life?

Lauren: Climbing a new mountain—finding new ways to help volunteers, staff, and organizations transform themselves to meet future challenges.  And as I said before, having a little more balance in my life, so I can spend time with my husband, Rich, take up a hobby, spend time with friends, and volunteer.

Thank you Lauren, for your many years of service and dedication to United Way. We will miss you!