DENVER—In a new op-ed for the Aurora Sentinel, Reverend Patrick Demmer— Pastor of Graham Memorial Community Church of God in Christ in Commerce City, and a civil rights activist— explains how the new state government-controlled health insurance system known as the Colorado Option is “harming access to the high-quality, affordable coverage and care that Coloradans desperately need.” 

Reverend Demmer writes:

Communities across Colorado, including the African American community, had extremely high hopes when Gov. Jared Polis, the state legislature, and Department of Insurance (DOI) announced that the Colorado Option would increase affordability, competition in the market, and access to care for Coloradans. This outcome would help so many residents access the quality care they depend on – especially in underserved communities.

Now that the Colorado Option has been signed into law and implemented, we are seeing the true results of the state government-controlled system. Simply put, the Colorado Option is harming access to the high-quality, affordable coverage and care that Coloradans desperately need.

It is alarming to see health care costs are expected to rise to some of the highest rates in years. The DOI just announced that health insurance premiums for the 2024 plan year are expected to increase by 10 percent, which is following an identical 10 percent increase the previous year. A recent actuarial analysis actually found that Colorado Option plans were not the lowest premium plan for consumers in most counties… 

It’s of particular concern that the African American community will continue to see fewer options for affordable insurance and high-quality care under the Colorado Option. Many of our communities are already lacking adequate access to quality care, so losing additional health care providers or services will take a disproportionate toll. Increased costs related to coverage and care will also have a devastating effect.   

The DOI’s announcement that individual market health insurance premiums will rise by an average of 10% in 2024 is further confirmation that the Colorado Option law is failing to deliver the lower prices that were promised to Colorado consumers. In addition to higher premiums, including for the vast majority of Colorado Option plans themselves, Colorado’s health insurance market will see fewer plan options as health insurance companies have left the state, threatening access to affordable, high-quality coverage and care for Coloradans. 

Background On The Colorado Option:

• Health insurance premiums in the individual market are slated to increase by an average of 10% for the 2024 plan year. Premiums increased approximately 10% from the 2022 to 2023 plan years as well.
  
  
• Since the conclusion of the 2022 plan year, four health insurance carriers have exited either the individual market, the small group market, or both markets.
  
  
• DOI recently again intentionally conflated the Colorado Option with Colorado’s reinsurance program in a public-facing announcement. As reinsurance continues to demonstrate its value for Coloradans, the Colorado Option continues to fall short of its promises.
  
  
• Contrary to DOI’s assertion, health insurers and health care providers had already achieved the statutory minimum reimbursement rates independent of the public option, leaving the inaugural Colorado Option public hearings without a purpose. Further, Colorado’s health care community was forced to divert valuable time, resources, and funds away from patient care during the process. The state’s unpredictable and burdensome legal process required hundreds of formal legal filings and untold legal costs for all parties involved, including Colorado taxpayers.  
  
  
• An analysis by NovaRest, an independent actuarial consulting firm with extensive experience supporting state and federal insurance regulators, recently highlighted how the Colorado Option has fallen short on the promise to save Coloradans money on their health care. The actuarial analysis demonstrates how this state government-controlled health insurance system is increasing costs for Coloradans and reducing competition in the state’s health insurance market.  

 To read more about Colorado’s Health Care Future click here.