Colorado Faces Health Insurance Premium Surge Amid Expiring Federal Tax Credits

Nearly 225,000 Coloradans are facing significant hikes in health insurance premiums for 2026, driven largely by the expiration of federal enhanced premium tax credits that have been in place since 2021. These changes present difficult affordability challenges for individuals requiring costly medical treatments, exemplified by cases like Chelsey Baker-Hauck, who incurs $172,000 monthly in treatment costs for long COVID yet faces a 101% increase in her insurance premiums. The financial strain is leading some patients to consider reducing essential medications or other basic living expenses to manage increased insurance costs. Connect for Health Colorado has initiated a series of enrollment events and offers personalized assistance at enrollment centers statewide to guide residents through the evolving health insurance landscape. Community organizations like Servicios de la Raza are actively engaged in helping clients understand their options, as many express concerns over the trade-offs between securing insurance coverage and meeting fundamental needs such as housing and food. Colorado's new Premium Assistance Program aims to alleviate some of this burden by lowering monthly costs for eligible individuals; however, the Colorado Division of Insurance estimates that approximately 75,000 residents will be left without coverage in 2026 due to ineligibility. This projected coverage gap highlights ongoing challenges in balancing access to affordable insurance with policy transitions at the federal and state levels. The impact of rising premiums and reduced subsidies is placing substantial stress on affected individuals, with many citing insurance navigation and healthcare affordability as sources of significant anxiety. Open enrollment for 2026 coverage ends on January 15, providing a limited window for residents to explore their options amidst these regulatory and market shifts.