Proposals to bring better medical care to more Coloradans could cost more than $1 billion for families, employers, and the state and federal governments, according to an analysis released Tuesday.

Colorado’s 208 Commission - created by the legislature last year to develop health care reform ideas - is now plowing through an economic analysis of four very different ideas for changing health care.

The problem: About 17 percent of Coloradans have no health insurance, slightly more than the national average.

Those 790,000 people have worse health outcomes than the insured, and when they get expensive care from hospital emergency rooms, it boosts the cost of health insurance for other people and businesses.

The solutions range from a limited, low-cost health insurance plan cutting the number of uninsured by 40 percent to all but eliminating private insurance by bringing everyone under a single state plan funded by raising income and payroll taxes.

The 260-page analysis lays out how much each plan will cost and who will pay.

"Now we can get a real sense of what happens when you mandate coverage versus making coverage optional; what’s the impact of subsidies, of increasing Medicaid coverage?" said Bill Lindsay, the commission’s chairman. "These are the details we need."

The report was done by the Lewin Group, a Virginia-based health care consultant.

The commission’s 27 members must sort through the details and make a recommendation to the governor and the legislature later this year.

The four plans being considered:

  • A plan by the Service Employees International Union to expand government health programs for children, families and some individuals.

    The new analysis suggests only 40 percent of the uninsured would get coverage - many through a new, limited-benefit plan from private insurers.

  • A plan by a group of doctors and health care providers to further expand federal assistance programs and require employers to provide health insurance or pay an average assessment of $347 per employee per year.
  • A plan by the state’s insurance underwriters to slightly expand government programs. All Coloradans would be required to purchase at least base-level health insurance, with some subsidies for low-income people, or be denied motor vehicle registration and other licensing.
  • A plan by proponents of universal health care to create a single, nonprofit insurance program for all Coloradans.

    The commission could pick one of these plans and is also considering a combined approach. (more…)