DENVER – Legislators on the House Health and Insurance Committee approved a plan late Wednesday to create a state-run health insurance option, designed to combat rising premiums across Colorado. If successful, the plan would be the first of its kind in the nation.
The bill, sponsored by Rep. Marc Catlin, R-Montrose, and Rep. Dylan Roberts, D-Avon, asks that more than $570,000 be set aside to allow two state agencies to study the creation of a state-run health insurance plan. Catlin and Roberts have asked the agencies to submit a proposed pilot program by Nov. 15.
Catlin and Roberts made a particular plea on behalf of the Western Slope, citing insurance premiums two to three times higher than Front Range plans and limited access to insurance coverage. Catlin told the committee that all four counties he represents, Montezuma, Dolores, San Miguel and Montrose, have one insurance option, and would benefit from a cheaper, state-backed plan.
“Rural Colorado is one of the things I worry about the most,” Catlin said. “We’ve got people over there who truly need insurance.”
State officials charged with creating the plan also offered their support, saying it would benefit all Coloradans not just rural residents. If Colorado adopts a cheaper, state-backed plan, it may drive down the costs of private insurance and encourage more people to buy plans, said Jeff Riester, the director of legislative affairs for the state Division of Insurance, one of the agencies that will study the feasibility of state insurance.
The committee approved House Bill 1004 by an overwhelming majority, 9-2. The bill now heads to the House Appropriations Committee, where it is expected to pass, legislative aides say.
Gov. Jared Polis has made tackling health care costs a goal of his first year in office, and with new Democratic majorities in the state’s House and Senate, passing new health care legislation like HB-1004 is likely.
The bill asks that regulators consider, among other things, an eligibility criteria for a state insurance plan, its impact on the state budget and whether to offer it on Connect For Health Colorado, the state’s health insurance exchange.
If the Legislature ultimately accepts the proposal, and pending approval of some federal funds, the pilot program for state-run insurance would be available Jan. 1, 2021.
rhandy@durangoherald.com
Poll: Would you support the creation of a state-run health insurance option designed to combat rising premiums?
Yes - 951 - 56.41%
No - 735 - 43.59%
