Public-private health plan clears first hurdle
A bill aimed at reducing health care costs through a new publicprivate plan in Colorado passed its first committee Tuesday, but lawmakers in both parties made clear that more work is needed for the Colorado Health Insurance Option plan to pass the legislature.
The legislation, HB21-1232, was the revamped version of the public option bill, with sponsors and health industry representatives compromising on reducing health insurance premiums by 18% over a three-year period for the individual and small group health insurance markets.
“At the end of the day, this bill accomplishes four things: It lowers premiums. We made sure care was accessible, we improve health equity, which was a big part for me, and that we have accountability,” said Rep. Iman Jodeh, an Aurora Democrat who sponsored the bill.
As expected, Republicans on the committee were not on board and the bill passed on an 8-5 partyline vote.
Before voting against the bill, GOP Rep. Ron Hanks of Penrose expressed displeasure with government interfering in the free market. He also quoted economist Thomas Sowell: “The government does not have some magic wand that can bring down the cost of health care. (It) can buy a smaller quantity or a lower quality of medical care, as other countries with government-run medical care (do).”
Two Democrats who work in health care both voted for the bill but cited concerns about providers taking the brunt of the costcutting. Thornton Rep. Yadira Caraveo, who is a pediatrician, said she believes that when insurers have to cut rates for patients,
doctors will be reimbursed less — and that’s a problem for some specialty medical providers.
“The pediatricians continue to have considerable concerns with a bill, and that is very unusual, given that we are always trying to expand access to health care,” she said.
While the Colorado Hospital Association has gone from opposed to neutral on the bill, the Colorado Medical Society still opposes the legislation.
In a statement Tuesday, the Colorado Association of Health Plans, which represents health insurance companies, told The Denver Post that they want sponsors to amend the bill, saying “we continue to discuss other outstanding concerns related to the heavy reliance on government mandates in the new proposal.”