Colorado Moves to Scrap Plan to Establish Public Option

Colorado Moves to Scrap Plan to Establish Public Option

Colorado state officials struck a compromise with the healthcare industry not to establish a state public option, which raises questions about the political feasibility of the healthcare reform proposal.

Colorado state Democrat legislators announced Monday they had struck a deal to scrap plans to establish a public option and instead mandate lower health insurance premiums for Coloradans to buy insurance on the individual or small-group markets.

A public option would allow for government-run health insurance plans to compete against private health insurance plans.

Healthcare experts such as Sally Pipes, the president of the Pacific Research Institute, said a public insurance option competing alongside private insurance would eventually crowd out private health insurance because government-run insurance could operate on a “loss indefinitely.”

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Others in the healthcare sphere say that establishing a public option faces high obstacles because of the coronavirus pandemic.

Sarah McAfee, director of communications for the pro-public option

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