Division of Insurance Announces Final ACA Health Insurance Premium Increases for Plan Year 2027

The Colorado Division of Insurance (DOI) released final approved premium rates for Plan Year 2027 for the individual and small group markets. Average approved premium increases in the individual market are 10% statewide, below the 15% national median, with variation by rating area ranging from 5.9% (Area 8) to 29.7% (Area 2). The small group market averages a 14% increase, with rating-area results ranging from 9.9% to 15.2%. Through its rate review process, DOI reduced submitted premium filings by a total of $42,136,281 for Plan Year 2027. The DOI attributes a portion of the premium increases to the expiration of federal enhanced premium tax credits (ePTCs), which had been in effect since 2021. The expiration of ePTCs caused average premium costs to double for hundreds of thousands of Coloradans in the individual market for Plan Year 2026 and continues to affect market stability in 2027. Colorado enacted SB26-178, signed by Governor Polis, to fund Reinsurance and Colorado Premium Assistance (CPA). Under CPA, financially assisted individual market enrollees face an estimated net premium increase of $20 per month from 2026 to 2027. The reinsurance program is projected to reduce premiums by approximately $470 million statewide for Plan Year 2027, with reinsurance rate impacts by rating area ranging from 10.8% (Pueblo MSA) to 31.5% (Grand Junction MSA and West Non-MSA), producing a statewide average reduction of 17.1%. Open Enrollment begins November 1, 2026. A new carrier, Colorado Access, will enter the individual market. Because Colorado operates a state-based exchange, federal regulatory changes announced September 22, 2026, concerning removal of individuals from ACA marketplaces do not apply to Colorado.