Reinsurance Program Expected to Decrease Cost of Individual Insurance Plans by 18.2 Percent Statewide, 29 Percent in Western Colorado

Denver, CO – The federal government today gave final approval for Colorado to establish a new state reinsurance program. The reinsurance program was created earlier this year with the passage of HB19-1168, a bill sponsored by Senator Kerry Donovan (D-Vail) and Julie McCluskie (D-Dillon), and will lower the cost of health insurance premiums for Coloradans by helping to cover the state’s highest risk individuals.

“We made a promise to Coloradans that we would work to lower healthcare costs, and we delivered on that promise today,” said Senator Donovan. “I’m particularly proud to deliver on that promise for the rural communities with few options, little competition, and high prices.”

“Reinsurance is a creative, Colorado solution that will have a real and immediate impact on people across this state. Families on the Western Slope could save as much as $9,000 per year thanks to the reinsurance program. Those savings are life changing for people like my neighbors who couldn’t buy a new car after theirs broke down because of the cost of their health insurance,” added Senator Donovan.

In July, Governor Jared Polis announced preliminary rates for individual health insurance plans in 2020. These preliminary rates showed the average cost of an individual health insurance plan would decrease by 18.2 percent statewide from 2019 rates.

Coloradans on the Western Slope pay some of the highest insurance premiums in the country, but the reinsurance program could result in as much as a 29 percent decrease in health insurance premiums in the region. That reduction could help Western Slope families save almost $9,000 per year, according to the Department of Regulatory Agencies.

Click here for information about the premium changes by insurance carrier andhere for premium changes by area and carrier. The final plans for 2020 will be announced later this year.

As healthcare was a top issue for people all across the High Country, Senator Donovan carried several innovative solutions to help lower healthcare costs for hardworking Coloradans all across the state in addition to the reinsurance program, including:

  • SB19-004 – a bill that addresses the high cost of healthcare by allowing cooperatives to incorporate consumer protections and empower consumers to negotiate lower rates on a collective basis directly with providers.
  •  HB19-1004 – a bill that works to create a state option for more affordable healthcare coverage that increases competition, particularly in communities with few insurance options.

For more information about HB19-1168 and the other healthcare bills sponsored by Senator Donovan, please visit