Colorado Health Insurance Premiums Set to Increase

In 2027, health insurance premiums for Coloradans utilizing the state’s Affordable Care Act marketplace will rise by an average of 10%, which is actually lower than what was initially projected back in June. Residents of the Western Slope, however, are expected to experience even steeper hikes.

The Colorado Division of Insurance shared the final premium rates for private health insurance plans late last month. The average increase of 10% in individual market premiums is significantly less than the 15% national median reported elsewhere.

The Affordable Care Act marketplaces, like Connect for Health Colorado, are crucial for individuals lacking employer-based coverage, as well as for small businesses seeking to provide health insurance for their employees. For small employers, premiums are projected to rise by an average of 14%.

Specifically, in the state’s western region — which encompasses the entire Western Slope except Mesa County — individuals will see premium increases of about 11.8% in 2027. For small employers in that area, the expected increase is slightly higher at 14.6%.

In Mesa County, rates are jumping the highest in the state, crossing the 15% mark.

State Measures to Mitigate Health Insurance Increases

According to Colorado Insurance Commissioner Michael Conway, part of the premium increases can be traced back to Congress’ failure to extend enhanced Affordable Care Act tax credits in 2025, due to unsuccessful Democratic efforts to overcome Republican opposition in the U.S. Senate.

These subsidies were part of a COVID recovery package passed in 2021, and their expiration in January 2026 has led to significant premium increases for many on state-run marketplaces, particularly in the Western Slope area.

Conway noted that despite losing these federal credits, efforts are underway to keep health insurance affordable for Coloradans. However, he emphasized the necessity for Congress to reinstate the subsidies that countless Americans relied on for their health coverage.

The Division of Insurance estimates that Colorado managed to save consumers over $42 million on their 2027 premiums through a thorough review process. This process involved scrutinizing premium rate requests from insurance companies to ensure compliance with regulations and safeguard consumers from unfair premiums.

In an effort to address the subsidy loss, Colorado lawmakers took action during a special session in August 2025. Additionally, a law passed earlier this year by Governor Jared Polis extended various state health insurance affordability programs, including the Colorado Premium Assistance program. This program is forecasted to keep net premium increases for assisted customers at about $20 monthly, in stark contrast to the nearly $70 average hike anticipated otherwise.

While Colorado’s situation seems more favorable compared to other states due to these measures, consumer advocates express concern about how another double-digit increase could burden Coloradans already facing affordability challenges.

So far in 2026, there has been a reported 7% decline in enrollments, with many families grappling to maintain their insurance coverage.

“The ongoing congressional efforts against the Affordable Care Act have made it more challenging for states to keep health insurance affordable, though our legislature has made strides to mitigate the impact,” said Adam Fox, deputy director of the Colorado Consumer Health Initiative. “As costs increase broadly, Coloradans will have to navigate tough choices between premium hikes and remaining uninsured to cover other essential expenses.”

Western Slope Insurance Rates Will Vary

The marketplace plans for 2027 will include options from seven insurance carriers, with four operating in the Western rating area, varying by county. These include HMO Colorado via Anthem, Rocky Mountain HMO through United Healthcare, Peak Health Alliance through Denver Health Medical Plan or Elevate, and Select Health.

Among the final rates for 2027, Select Health is projected to see the highest average increase, reaching 22.5%. Following that, Rocky Mountain HMO is seeing an increase of 16.8%, Peak Health Alliance at 8.4%, and HMO Colorado at 7.2%. The open enrollment period will commence on November 1 and will last until January 15, 2027.

“Early requests for premium increases were as high as 20% for some plans, given the current market turmoil stemming from the loss of enhanced tax credits,” Fox said. “We need to closely examine hospital and pharmaceutical pricing, as insurance carriers aren’t doing enough to manage costs. Excessive profits in the healthcare industry need to be addressed.”

Connect for Health Colorado has introduced an online tool allowing individuals to compare coverage and costs ahead of the enrollment window.

Those qualifying for financial assistance might discover plans that are more affordable than the statewide average. Data indicates that around 60% could secure a plan for $10 or less monthly, and 75% for $75 or less, if they take the time to compare options.

Kevin Patterson, CEO of Connect for Health Colorado, encouraged residents to make the most of this period: “Evaluate your options, think about any changes to your healthcare needs, and don’t hesitate to seek expert assistance if necessary. No need to rush your decision, but be prepared to enroll starting November 1.”