What Is the Average Cost of Health Insurance in Colorado?

Understanding health insurance costs is important for individuals and families. In Colorado, premiums are shaped by various factors. This overview clarifies typical expenses and contributing elements that determine individual premiums.

Average Health Insurance Costs in Colorado

Individual health insurance premiums in Colorado for 2025 range from approximately $380 to $405 per month for unsubsidized plans. Most Coloradans enrolling through the state marketplace receive financial assistance. For those who qualify for subsidies, the average monthly premium decreases to around $138 in 2025, a notable reduction from the unsubsidized average of $470.

Family health insurance costs are higher than individual plans and vary based on the number of members and their ages. National data from 2022 indicated an average premium of $1,437 per month for a non-subsidized family of four. For small employers in Colorado, average rate increases for 2025 were around 7%. Adding more individuals to a plan directly increases the total premium.

Premiums differ based on the metal tier of the plan, reflecting varying levels of cost-sharing. For a 30-year-old in Colorado, the average Bronze plan premium in 2025 was approximately $359 per month. Nationally, 2025 averages for individual plans show Bronze plans at about $380 to $495 per month, Silver plans at roughly $495 to $621 per month, and Gold plans ranging from $510 to $676 per month. Platinum plans, offering the lowest out-of-pocket costs but highest premiums, averaged between $913 and $1,166 nationally in 2025.

Age influences health insurance premiums, with costs increasing as individuals get older. For Bronze plans in Colorado, premiums for a 30-year-old rose by about $5 per year between ages 21 and 30. The pace of increase quickens in the 40s, with an average annual rise of approximately $16, and then surges to about $29 per year for those in their 50s. A 25-year-old in Denver might pay around $358 for a Silver plan, while a 60-year-old could face premiums exceeding $1,000 for comparable coverage.

Factors Influencing Health Insurance Premiums

Several factors contribute to the variation in health insurance premiums across Colorado. Age is a primary determinant, with older individuals facing higher premiums due to an increased likelihood of needing medical care. Younger enrollees benefit from lower rates, reflecting lower healthcare utilization. Federal regulations limit how much older adults can be charged compared to younger individuals.

Geographic location within Colorado plays a role in premium calculation. The state is divided into rating areas, and premiums can differ between these regions. The lowest average Bronze premiums for a 30-year-old in 2025 were in Boulder and Douglas counties, at around $334 to $342 per month. Rural mountain regions, such as Dolores, Lake, and San Juan counties, experienced higher average premiums, reaching approximately $494 for a similar Bronze plan.

Tobacco use can lead to higher premiums, as insurers are permitted to levy surcharges on individuals who use tobacco products. This surcharge reflects increased health risks and potential healthcare costs. It adds another layer of cost for affected policyholders. Insurers apply these surcharges in accordance with state and federal guidelines.

The type of health insurance plan chosen affects the premium. Plans are categorized by their network structure, such as Health Maintenance Organizations (HMOs), Preferred Provider Organizations (PPOs), and Exclusive Provider Organizations (EPOs). HMOs have lower premiums because they restrict coverage to a specific network of providers and often require referrals. PPOs offer more flexibility, including out-of-network options, but come with higher monthly costs. EPOs combine features of both, offering a network without requiring referrals, and their premiums fall between HMOs and PPOs.

Family size is another factor, as each additional person added to a policy increases the overall premium. Bundling family members onto a single plan results in a cumulative premium based on the age and health status of each covered individual. The more people included, the higher the total monthly cost.

Navigating Health Insurance Options in Colorado

Colorado residents have several avenues for obtaining health insurance. Connect for Health Colorado serves as the state’s official health insurance marketplace, providing a platform to compare and enroll in individual and family plans. This marketplace is the only place where eligible individuals can access financial assistance. The enrollment process involves creating an account, providing income and household information, and browsing available plans.

Individuals can also enroll directly with insurance carriers, often called “off-exchange” plans. These plans offer similar coverage but do not qualify for federal financial assistance. Direct enrollment is suitable for those who do not qualify for subsidies or prefer to work directly with an insurer. The range of plans and prices available directly from carriers may differ from those offered on Connect for Health Colorado.

Employer-sponsored health plans are a source of coverage for many Coloradans, with approximately 50% enrolled through their workplace. Employers typically offer these plans as a benefit and contribute a portion of the premium cost. Eligibility depends on employment status and the employer’s benefit offerings. Enrollment usually occurs during designated open enrollment periods set by the employer.

Government-funded programs like Medicaid and Child Health Plan Plus (CHP+) provide coverage for low-income individuals and families. Medicaid offers comprehensive health coverage for eligible adults, children, pregnant individuals, and people with disabilities who meet income and resource requirements. CHP+ is a low-cost health and dental insurance program for children and pregnant individuals who do not qualify for Medicaid but cannot afford private insurance. Enrollment for these programs is open year-round, and eligibility is determined based on Federal Poverty Level (FPL) guidelines.

When selecting a plan, consumers should consider the monthly premium, deductible, copayments, coinsurance, and the plan’s network of doctors and hospitals. Connect for Health Colorado provides tools to compare these aspects, helping individuals choose a plan that aligns with their healthcare needs and financial situation. Plan and provider availability can vary by county, so review options specific to your residential area.

Financial Assistance for Health Insurance

Colorado residents can reduce health insurance costs through financial assistance programs, primarily accessed via Connect for Health Colorado. Premium tax credits (APTCs) are a form of federal financial help that lowers monthly premium payments. Eligibility is based on household income relative to the Federal Poverty Level (FPL), with assistance available for those earning up to 400% of the FPL. In 2025, approximately 80% of individuals enrolled through Connect for Health Colorado qualified for financial support, with many paying less than $100 per month after subsidies.

Cost-sharing reductions (CSRs) provide financial relief by lowering out-of-pocket expenses such as deductibles, copayments, and coinsurance. These reductions are available to individuals and families with incomes up to 250% of the FPL who enroll in a Silver-tier plan on the marketplace. Selecting a Silver plan is a requirement to receive CSRs. This can make healthcare services more affordable for eligible individuals.

Medicaid and Child Health Plan Plus (CHP+) serve as safety nets for low-income individuals and families, providing comprehensive coverage with minimal or no out-of-pocket costs. Medicaid eligibility is tied to income levels below 138% of the FPL in expansion states like Colorado. CHP+ offers affordable coverage for children and pregnant individuals who are not eligible for Medicaid but have limited incomes. These programs ensure healthcare services are accessible.

The amount of financial assistance received can vary based on household size, income, and the cost of the benchmark Silver plan in the applicant’s rating area. The federal government provides these tax credits to make health insurance more affordable. In 2025, the total amount returned to customers in Colorado as tax credits reached nearly $972.6 million.