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Colorado Insurance Exchange Rates

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On Friday, many uninsured Coloradans discovered how much it will cost for them to be able to comply with the insurance mandate that is taking effect next year with Obamacare. The Division of Insurance for the state released the rates of plans that will be able to comply with the health care reform. Eighteen insurance companies will be able to offer around 541 different plans for individuals and small groups within the state. For someone who is 40 years old, the monthly premiums will range from $177 a month to $774 a month. The range is based on the level of coverage and what part of the state the individual is residing in. Insurers can also charge smokers up to 15 percent more.

The state is opening up a marketplace on October 1st to help their customers find the insurance plan that is ideal for them. The health insurance exchange, also known as Connect for Health Colorado, has hired some ‘navigators’ to help explain the different health insurance options at various community events and health fairs. The exchange has also created television ads to help spread the information about shopping for insurance for the upcoming health care reform.

It has been said that the state of Colorado has around 716,000 people who are uninsured. Many of these people will be eligible for free health care through the use of Medicaid or the use of a subsidized health insurance plan based on their overall income. Those who are not eligible for free health care but are choosing to skip the option of health insurance completely will be fined at least $95 in the following year. The penalties are going to continue to rise in the upcoming years. At the moment, many health officials are hoping that they will be able to get the uninsured interested in participating in the new insurance system.

Those who are young and healthy can find cheaper premiums for some catastrophic health insurance plans. The goal is to try to get them to be more interested in the insurance plans by making them aware of all of the additional benefits that they are becoming privy to. They would be able to make use of free preventative care and cancer screenings, as well as lower out of pocket costs -- benefits which most health officials are hoping will be enough to get the younger demographic interested in what the insurance plans can truly offer to them.

One of the greatest challenges is going to be found in the fact that rates and options will vary depending on where the individual lives within the state. A 40 year old customer might have monthly premiums from $186 to $364 if they lived in Denver, and they would have 16 insurers to choose from. In contrast, if the same person lived in Grand Junction, they would only have 8 insurers to choose from and they would have monthly premiums ranging from $237 to $400. The pricing variations are going to be one of the most difficult aspects to get the public to accept.