DENVER – Last week, the Common Sense Institute (CSI) released a new report comparing Washington state’s first-in-the-nation government-controlled health insurance system to Colorado’s proposal for a state government option. These findings should raise the alarm to Colorado lawmakers considering a similar approach that a state government option is not a good deal for health insurance.

Despite forecasts by proponents, the 2021 “public option” plans offered through the Washington’s Affordable Care Act (ACA) exchange have resulted in some premiums nearly 30% more expensive than the plans available through the ACA’s 2020 marketplace.

Colorado Politics reports, “So far, the Washington plan hasn’t lowered premiums to meet predictions with insurance rates driven by Medicare price caps. Without a public option, Colorado still has outperformed Washington, according to the new research.”

The CSI report credits the current measures in place to ensure health insurance affordability finding “Since 2018, Colorado benchmark premiums have fallen by 25.3%, compared to 15.5% increase in Washington State. Across the nation, ACA average benchmark premiums have fallen by 6.0%.”

Additionally, Colorado has more affordable premiums for the 2021 plan year with “average benchmark premiums in the ACA marketplace are 9.5% lower in Colorado than Washington State.”

Bloomberg Law previously reported that a “government-run insurance system that would compete with private plans—augers a rocky start based on one state’s experience with such a scheme.”

An earlier report released by CSI cautions Colorado lawmakers voicing concerns with cuts to hospital funding during a global pandemic, increasing costs of insurance premiums, and the state’s hospital reimbursement rates. The report concluded “Calling into question some of the most impactful components of the public option debate, does not mean that no problems exist. It should only reinforce the need to improve regulation surrounding health care markets, which can achieve shared goals of slowing consumer prices while mitigating the unintended consequences of newly intrusive legislation.”

• To read the full Common Sense Institute report titled “Recent Trends in Health Insurance Costs: Early Results of Public Option in Washington State Compared to Colorado,” CLICK HERE.