Summertime in Colorado is a busy time. Families are on summer vacation, and tourists are flocking to our beautiful state to take part in our extensive outdoor recreational opportunities and observe Colorado’s natural wonders.
It’s understandable how we tune out of the day-to-day news cycle during the summer.

At Kristi Mountain Sports in Alamosa, we love helping locals and visitors alike escape the hustle and bustle of our everyday lives.

But in case you missed it, there was a big story in our area over the summer.

In July, Friday Health Plans became the fourth health insurance company since 2022 to exit from Colorado’s health insurance market, leaving 35,000 Coloradans scrambling to replace their coverage and maintain their access to health care.

And thanks to the recent drastic reduction in health care coverage options locally, supply and demand will dictate what likely will be higher prices for those Coloradans when and if they find replacement coverage.

What’s happened to cause such a radical disruption to Colorado’s health care market? There are many factors at play, to be sure. But one that stands out is the passage of the so-called Colorado Option health care law in 2021.

Among other things, the Colorado Option law mandates that health insurance carriers operating in Colorado meet an extensive new set of government-imposed standards while also lowering prices by 15 percent. If companies are unable to meet these new standards and price controls, they’ll face consequences from the Colorado Division of Insurance in the form of rate setting.

According to a well-respected actuarial firm in Arizona called NovaRest Actuarial Consulting, Colorado Option-related health insurance restrictions “will make it more difficult for the Colorado market to attract new insurers to participate in the Affordable Care Act markets.”

It strains credulity to believe this law hasn’t had any negative impact on Colorado’s health insurance market given all we’ve witnessed immediately following its passage.

When Friday Health Plans arrived on the scene, its rates allowed Kristi Mountain Sports to finally offer an affordable group health insurance plan for the staff. After reviewing premium estimates for 2024, we most likely will have to drop coverage for our employees.

Rural Coloradans sadly face a severe lack of insurance providers from which to select. We used to have at least four insurance companies form which to choose in Alamosa County. Now there’s only one. We face a monopoly because the state has made it unaffordable for insurance carriers to do business in rural areas, leaving us with few options for coverage. This is a broken promise.

The state appears committed to staying the course with the ill-drafted, ill-considered Colorado Option law that threatens access to health insurance for rural Colorado employees and families by chasing out carriers and providers.

According to the governor and state insurance commissioner, the law has been a success. But if that were the case, there’d be five or six options for competitive insurance carriers in every county of Colorado. Obviously, something is out of balance.

Before 2021, Colorado had health insurance premiums that were lower than most other states, a reasonably competitive marketplace and set a good example for the country in health care, especially compared to problems in many other states. Since the law took effect, prices have gone up year over year while our marketplace has grown distressingly consolidated.

When your gut tells you something is too good to be true, it’s almost always correct. And when that gut instinct is backed up by data and real world evidence, you can take it to the bank.

The state of Colorado should set aside its pride and get back to what made Colorado an example for the nation in the first place.

Eric Burt is owner and proprietor of Kristi Mountain Sports in Alamosa and a fifth generation Colorado native.