Source: Aspen Times
Health insurance enrollment on Colorado’s individual marketplace in 2026 declined for the first time in five years, according to new figures released on Friday.
Connect for Health Colorado, the state-run marketplace where individuals and families without employer-sponsored coverage can buy health insurance, announced that 277,228 people had enrolled in an insurance plan this year. That represents a 2% decrease from 2025.
While officials reported just this small decrease in total enrollment compared to last year, they are also seeing an 83% increase in the number of people who are canceling their plans compared to this time last year.
“On one hand, it’s encouraging to see enrollment remain relatively steady, with only a slight dip, and to see so many people receive meaningful financial assistance,” said Connect for Health Colorado CEO Kevin Patterson, in a statement. “… On the other hand, it’s deeply troubling that a record number of people are canceling their plans because they simply can’t afford their monthly payments, or are being forced to choose between health care and basic necessities like housing and food.”
The figures represent a more final count following the end of the open enrollment period. While the enrollment window closed on Dec. 15 for plans that started Jan. 1, Coloradans had until Jan. 15 to sign up for plans that begin in February.
The figures released on Friday are mostly welcome news for health officials, who feared that the expiration of federal tax credits for health care plans would generate a surge in uninsurance. More than two-thirds of enrollees still receive some form of financial assistance for their plans, including new state-level subsidies.
Still, there are signs for concern, officials said.
For new customers this year, enrollment declined by approximately 24% compared to 2025, according to Connect for Health Colorado. Additionally, enrollment for those aged 55 or older dropped 6%, while enrollment for customers in rural communities dropped 5%.
Patterson said the trend is due in large part to the expiration of the federal subsidies, known as the enhanced premium tax credit, that helped lower monthly insurance premiums for millions of Americans who buy their health coverage through Affordable Care Act marketplaces — like Connect for Health Colorado.
Those subsidies were first passed by Democrats in Congress in 2021 as part of a sweeping COVID-19 recovery package, and were later extended in 2022 through additional legislation. The subsidies, which increased financial aid for low-income households and expanded benefits to those above 400% of the federal poverty line, are credited with driving record enrollment through the Affordable Care Act in recent years.
Democrats set those subsidies to expire on Dec. 31, 2025, and Republicans, who currently control Congress, largely declined to renew them. As a result, monthly premium costs have risen across the country for many Americans.
Health advocates fear that while initial enrollment for the start of 2026 remains high, as enrollees begin to face bills for higher premiums, more will drop their coverage as the year goes on.
The lack of subsidies has been particularly impactful for Colorado’s rural and mountain areas, which already face higher-than-average health care costs. Some mountain town residents reported seeing monthly premium increases of 300% to 400% during the open enrollment period after losing the federal tax credit.
Patterson said state intervention has helped blunt some of the higher costs and kept more people enrolled. Colorado Democrats, during a special legislative session in August, approved roughly $100 million in one-time subsidies for Connect for Health Colorado plans. That funding, however, runs out at the end of this year.
“Our state was able to step in and help Colorado families while Republicans in Congress failed to extend the (federal tax credits), but it doesn’t make up for that failure,” said Adam Fox, deputy director for the nonprofit Colorado Consumer Health Initiative, in a statement. “Many families and small businesses are being forced to choose between paying much higher premiums to stay covered and other necessities, like food, rent, childcare, and medicine. We’re concerned more Coloradans will drop coverage as they struggle to afford their premiums.”
Fox said Republicans in the U.S. Senate “must act now” to revive the federal tax credits after the U.S. House earlier this month passed an extension, with income limits.
Seventeen House Republicans, including Rep. Jeff Hurd of Grand Junction, joined with every voting Democrat on Jan. 8 to pass a three-year renewal of the subsidies. Hurd, who represents much of western and southern Colorado, had been pushing for months to build bipartisan support for a deal to renew the subsidies before they expired.
But the chances of extending the subsidies face long odds in the Senate. Most Senate Republicans already voted in December to reject a bill brought by their Democratic colleague that would have extended the subsidies for three more years.
Patterson on Friday reaffirmed his commitment to allow Coloradans to readjust their plans, should Congress still decide to renew the subsidies this year.
“If federal lawmakers take action and vote to extend (the tax credits), Connect for Health Colorado is ready to support our customers and allow them to shop, compare, and select new affordable health insurance plans,” he said.
