To begin, keep in mind these key points about health insurance in Colorado:
1. Colorado open enrollment has ended, but you may be able to use a special enrollment period to get covered.
In Colorado, open enrollment for 2023 Affordable Care Act (Obamacare) coverage has ended. This means that, unless you qualify for an exception or your income is low enough for Medicaid, you won't be able to get health insurance through Connect for Health Colorado until open enrollment for 2024 begins next fall.
If you’ve lost your job or significant income in the past 60 days, you might qualify for a special enrollment period (SEP). A SEP allows you to sign up for a new health insurance plan or change your current one outside the open enrollment window.
2. You won’t face a tax penalty for going without health insurance in 2023—but there are big downsides to being uninsured.
Obamacare’s tax penalty went away in 2019. That means that if you don’t have health insurance, you won’t have to pay a penalty when you file your federal income taxes. That said, think about whether it makes sense to forego health insurance. A medical crisis could knock the financial wind from your sails and do more damage than the penalty. (A study published in 2019 showed that a lapse in health insurance coverage can double a person's chances of ending up in bankruptcy.)
3. You may qualify for new Affordable Care Act subsidies.
In 2021, President Biden signed the American Rescue Plan Act (ARPA). The law provided $1.9 trillion of federal aid to Americans struggling with the COVID-19 crisis, including additional premium subsidies for those who purchase health insurance through Connect for Health Colorado. In 2022, the Inflation Reduction Act extended these more generous subsidies through 2025. Here’s a quick summary of the types of available subsidies.
Federal tax credits. Under ARPA, no one will have to pay more than 8.5% of their household income for a mid-level plan purchased from Connect for Health Colorado. Technically, the subsidies are tax credits, but you can choose to have them automatically deducted from the cost of your monthly premiums.
Cost-sharing subsidies. More than half of the people who purchase coverage through Connect for Health Colorado receive assistance through cost-sharing reductions (CSRs). CSRs automatically reduce your premiums and lower your costs when you use your insurance benefits—for example, when you go to the doctor, get lab work, or have to stay in the hospital.
CSRs are available to people who make between 100% and 250% of the federal poverty level. (For 2023 health plans, that means a family of four in Colorado can't earn more than $75,000 and an individual not more than $36,450.) But these benefits are available only on silver plans. If you think you may qualify, look carefully at the costs for silver plans available at Connect for Health Colorado while shopping for coverage.
4. "The Colorado Option Plan" is available in 2023.
The Colorado Option was enacted by HB21-1232 in June 2021. As a result, Colorado has created a standard health insurance plan designed to help you more easily compare plans and choose the plan that's best for you. In addition to covering all essential health benefits required by the ACA, the Colorado Option includes free primary care and free mental health visits. It was designed to reduce racial health disparities and improve health equity.
The Colorado Option also includes expanded subsidies for some people who enroll through Connect for Health Colorado. Bottom line, the law requires plans in the Colorado Option to lower health insurance premiums for individuals, families, and small businesses by 5% in 2023 (compared to 2021 plans), by 10% in 2024, and by 15% in 2025.
This year, you'll be able to purchase the Colorado Option when you shop for health insurance at Connect for Health Colorado.
5. Average premium rates went up for 2023, but that doesn't mean everyone is paying more.
Nationwide, the average rate increase for 2023 health plans was about 7.7%. In Colorado, the average number was higher, coming in at an increase of 11.3%. But this number doesn't tell you how much you'll pay for health insurance. Costs vary from insurer to insurer and plan to plan. Also, when premiums for the benchmark plan (the plan used to determine subsidy amounts) go up, subsidies go up, too. This is a long way of saying don't let the numbers get you down. Comparison shop at Connect for Health Colorado to find the plans and subsidies available to you.
6. "The Colorado Option Plan" is available in 2023.
The Colorado Option was enacted by HB21-1232 in June 2021. As a result, Colorado has created a standard health insurance plan designed to help you more easily compare plans and choose the plan that's best for you. In addition to covering all essential health benefits required by the ACA, the Colorado Option includes free primary care and free mental health visits. It was designed to reduce racial health disparities and improve health equity.
The Colorado Option also includes expanded subsidies for some people who enroll through Connect for Health Colorado. Bottom line, the law requires plans in the Colorado Option to lower health insurance premiums for individuals, families, and small businesses by 5% in 2023 (compared to 2021 plans), by 10% in 2024, and by 15% in 2025.
This year, you'll be able to purchase the Colorado Option when you shop for health insurance at Connect for Health Colorado.
6. No insurers sell short-term health plans in Colorado.
In 2018, the Trump administration made it easier to purchase short-term insurance plans. These plans don't have to cover preexisting conditions or the essential health benefits provided by Obamacare plans. The federal rules say that short-term plans can last for as long as three years. States can make their own rules, however, and the federal changes will have little effect in Colorado. Colorado requires all insurance plans to meet strict standards, including coverage of preexisting conditions and a comprehensive package of benefits. For this reason, no insurers are currently selling short-term health insurance plans in Colorado.
The Biden administration has greatly increased enrollment assistance, making it much easier to get the information you need to get covered. To connect with local support resources, see How To Sign Up for Obamacare in Colorado.
For 2023 health plans, Colorado open enrollment has ended. However, you may still be able to purchase health insurance for this year if you qualify for a special enrollment period. For example, if you’ve recently lost your job or significant income, you might qualify for a 60-day special enrollment period that will allow you to sign up for a new health insurance plan. (See What Happens If I Missed the Enrollment Deadline?)
To get covered, you can go directly to the online health insurance marketplace for Colorado. If you need personalized help, you can reach out to an enrollment assistant. Most enrollment helpers are working remotely during the COVID crisis.
Where's the Colorado Health Care Exchange?
You can find the health insurance exchange for Colorado at Connect for Health Colorado. This is where you can learn about the various health insurance options available to you under Obamacare. If you see a plan you like, you'll be guided through the enrollment process online.
Getting Personalized Help with Enrollment
In Colorado, if you need help understanding your options for coverage under Obamacare or signing up for a plan, you can get free assistance from a certified enrollment assistant or from a health insurance agent or broker.
This article explains the costs of health care plans offered under the Affordable Care Act (commonly called Obamacare) for individuals or families who are currently uninsured or not covered by a job-based health plan.
What you'll pay for an Obamacare plan depends on five things:
The level of coverage you choose
Whether you qualify for a subsidy
Where you live in Colorado
Your age
Whether you smoke
Read on to learn more about each of these factors.
1. The Level of Coverage You Choose
Obamacare insurance plans offer four levels of coverage:
Platinum -- covers approximately 90% of health care costs Gold -- covers approximately 80% of health care costs Silver -- covers approximately 70% of health care costs Bronze –- covers approximately 60% of health care costs
