I quilt professionally and even after doing it for 7 or 8 years, I rarely finish anything in 2 hours (maybe a simple large meander on a table runner size LOL)! On a larger quilt it takes 1 hour or more just to prep and load. For a simple larger allover quilting design on a full to queen sized quilt would take at least 4 hours total. That's if all goes right and the quilt doesn't have any 'issues' like full borders, open seams, etc.
One thing to remind your DH is that even if it seems like the hourly rate is high, that is NOT what the LAer earns. Lets say a quilt takes 4 hours and the charge is $100. That seems like the LAer is earning $25/hour. However, from that amount she needs to take out taxes, insurance, supplies, machine payments, training, etc. I've heard to figure only 1/3 of the hourly rate actually goes to the LAer. So in this case SHE would only be earning about $8.33/hour. Not much for a job that takes practice and talent to do well.