I also wonder who exactly some of the "Insurregents" actually are. My hunch is that a proportion of these incidents come from local Hard Men (ex Iraqi Army) who are simply complaining that they are not receiving enough "Good Boy" money from the Coalition.
IT begs the fundamental Iraqinomics question, is it cheaper; financially and politicaly, to pay these kinds of guys off, or hit them?
The US has already tried that. A lot of these insurgents are former ex-Iraqi military as you said, but Iraq is a country full of nationalism. These guys are nationalistic and have already said they are ready for negotiations IF A TIMETABLE FOR US TROOP WITHDRAWAL IS PASSED BY CONGRESS.