With the State of Colorado making its annual announcement for the following year’s individual health insurance rates, individual premiums should increase by 5.5%, and Colorado Options plans by 4.2% in 2025.

Colorado Governor, Jared Polis, said regarding the announcement, “Colorado is leading the nation in saving people money on health care. What we are doing in Colorado is starting to work, and … we need to continue pushing hard to save people money on health care.”

It is typical for states to see year over year rate increases for individual health insurance plans. The State of Colorado touts its work to keep insurance rate increases on the lower end, and that otherwise these rate increases would be over 20%.

The state uses a method known as reinsurance to help residents save money on health insurance. Reinsurance was implemented in 2020. By the close of 2024 Colorado representatives estimate a two billion dollar savings for consumers since inception of the reinsurance program.

The Colorado Sun reports on this here: Individual health insurance rates in Colorado could see below-average increase in 2025.