Colorado's Bold Move: Could a State-Run Health Plan Work?
Health insurance costs are skyrocketing. Many people are struggling to pay their premiums. The Affordable Care Act tax credits didn't get renewed. So, 22 million Americans face an average 114% increase in premiums. That's a huge jump. Families are left wondering how to handle this financial hit.
Colorado's Innovative Approach
Colorado is trying something new. They are studying a state-run health insurance plan. This plan would:
- Cover everyone in the state
- Include dental, vision, hearing, and mental health care
- Base the cost on income
- Replace premiums and copays with a reasonable tax
Potential Savings
This idea is similar to "Improved Medicare for All." Previous studies in Colorado showed that this plan could:
- Cost less
- Cover more people
The current study is being funded by private money. The Colorado School of Public Health is leading the research.
How Would This Plan Save Money?
- Single Insurer: The state would be the only insurer, cutting down on administrative costs.
- Non-Profit: Replace for-profit insurance companies.
- Large Risk Pool: Everyone in the state would be covered, balancing out costs.
- Negotiated Drug Prices: The state could negotiate lower drug prices.
Timeline and Impact
The study will be done by the end of 2026. Then, the legislature and the public can decide if they want to implement this system. Many states are watching Colorado. If this plan works, others might follow.
Political Implications
According to a Kaiser Family Foundation survey, more than half of those with Marketplace insurance say a $1,000 increase would affect their voting decisions. People have three choices:
- Absorb the cost
- Choose a lower premium plan with a higher deductible
- Go without insurance
Going without insurance could make things worse for everyone.
