The Colorado Division of Insurance (DOI) has released the final approved premium information for private health insurance plans in 2026 for the individual market. The data show that about 225,000 Coloradans will face an average increase of 101% in their health insurance premiums, effectively doubling their costs.
This sharp rise is attributed to the expiration of enhanced federal premium tax credits (ePTCs), which are set to end on December 31, 2025. These credits have helped lower insurance costs since 2021, and their loss is expected to result in about 75,000 Coloradans losing access to coverage. Approximately 225,000 people rely on these credits to afford insurance through Connect for Health Colorado.
The DOI explained that without congressional action to extend the ePTCs before open enrollment begins, many families will see significant increases in their health insurance bills. For example, a family of four earning around $128,000 per year would no longer qualify for financial assistance if the tax credits expire. In Denver, this could mean an increase of roughly $14,000 annually for a standard silver plan. In regions such as Grand Junction or the San Luis Valley, that same family could see premiums rise by over $16,000 up to nearly $21,000.
If Congress were to extend the enhanced tax credits, average premium increases would drop from 101% to about 16%, with some customers seeing no increase at all.
“These premium increases are going to create impossible decisions for families across the state. We have sounded the alarm bells at every turn, but Congress’ refusal to act means that Coloradans will be left with unacceptably high health insurance bills during a tightening time in the economy,” said Colorado Insurance Commissioner Michael Conway. “I thank the Colorado legislature for what they have done so far to protect their constituents, and I urge Congress to step up and extend the enhanced premium tax credits. Coloradans shouldn’t have to gamble their health simply because they cannot afford these rate increases caused by the federal government.”
State lawmakers took action during a special legislative session this summer by passing HB25B-1006. This bill provides funding for subsidies and fully supports Colorado’s reinsurance program aimed at reducing premiums and keeping more people insured. As a result of this legislation:
– Consumers will save $220 million on health insurance next year.
– The average net premium increase was reduced from a previously announced 174% down to 101%.
– An estimated additional 28,000 Coloradans are expected to remain insured due to decreased premiums.
– Financially assisted consumers are projected to save $75 million directly on their premiums.
HB25B-1006 also strengthens Colorado’s reinsurance program by increasing statewide savings on premiums from 13.8% up to 21.3%. The reinsurance program reimburses insurers differently depending on region and helps lower costs especially in rural and mountain areas where healthcare expenses tend to be higher.
Open enrollment is scheduled to start November 1st; Connect for Health Colorado will send renewal notices this week. The DOI encourages consumers shopping for plans during open enrollment not only consider new rates but also review available options such as Colorado Option plans offering $0 primary care and mental health visits.
Since its inception in 2020, Colorado’s reinsurance program has continued providing significant savings by spreading risk throughout the market and making coverage more affordable statewide.
