CO| The Colorado Division of Insurance’s Emergency Regulation 25-E-03 establishes standards for enhanced premium subsidies to maintain health insurance affordability if federal enhanced premium tax credits expire after December 31, 2025. The regulation requires carriers to provide state-funded premium subsidies to eligible enrollees—those with household incomes at or below 200% of the Federal Poverty Level—beginning in the 2026 benefit year. Subsidies are structured as up to $50 per month for the first household member and $18 per month for each additional member, applied after federal credits. Payments to carriers will be made from state funds, specifically from the Colorado Health Insurance Affordability Enterprise, with no federal funds involved. The regulation is effective June 23, 2025, and noncompliance may result in penalties, including civil sanctions or license revocation.
Key Points:
- Implements state-based enhanced premium subsidies for health insurance if federal credits expire.
- Applies to individuals with household income ≤200% of the Federal Poverty Level, starting in 2026.
- Subsidy: up to $50/month for the first member, $18/month for each additional member, post-federal credit.
- Funded solely by Colorado Health Insurance Affordability Enterprise; no federal funds used.
- Effective June 23, 2025, with enforcement provisions for noncompliance.