(1)The general assembly finds and
declares that:
(a)The state, carriers, and hospitals share a common commitment to
ensuring all Coloradans have access to affordable health care coverage because
access to coverage improves health outcomes and provides financial security for
Coloradans;
(b)Hospitals within the state incur the costs of uncompensated care to
uninsured and underinsured populations;
(c)The economic downturn due to COVID-19 and its impacts on group and
individual health care coverage in the state creates economic challenges for
carriers from the potential lost revenue if people drop insurance coverage;
(d)This part 12 is enacted to provide the following services and benefits to
carriers:
(I)Reducing the number of Coloradans who lack health care coverage by
he
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(1) The general assembly finds and
declares that:
(a) The state, carriers, and hospitals share a common commitment to
ensuring all Coloradans have access to affordable health care coverage because
access to coverage improves health outcomes and provides financial security for
Coloradans;
(b) Hospitals within the state incur the costs of uncompensated care to
uninsured and underinsured populations;
(c) The economic downturn due to COVID-19 and its impacts on group and
individual health care coverage in the state creates economic challenges for
carriers from the potential lost revenue if people drop insurance coverage;
(d) This part 12 is enacted to provide the following services and benefits to
carriers:
(I) Reducing the number of Coloradans who lack health care coverage by
helping Coloradans to maintain consistent coverage;
(II) Providing stability in the insurance market;
(III) Reducing the movement of individuals between insured and uninsured
status;
(IV) Offsetting the costs carriers would otherwise pay for covered persons'
high medical costs so that premiums are set at more affordable levels; and
(V) Creating a healthier risk pool for all carriers by establishing a path for
consistent coverage for individuals; and
(e) This part 12 is enacted to provide the following services and benefits to
hospitals:
(I) Reducing the amount of uncompensated care provided by hospitals;
(II) Reducing the need of providers to shift costs of providing
uncompensated care to other payers; and
(III) Expanding access to high-quality, affordable health care for low-income
and uninsured Coloradans.
(2) The general assembly further finds and declares that, consistent with the
determination of the Colorado supreme court in Nicholl v. E-470 Public Highway
Authority , 896 P.2d 859 (Colo. 1995), the power to impose taxes is inconsistent with
enterprise status under section 20 of article X of the state constitution, and the
health insurance affordability fees and special assessments charged and collected
by the health insurance affordability enterprise are fees, not taxes, because the
fees and assessments are imposed for the specific purpose of allowing the
enterprise to defray the costs of providing the business services specified in section
10-16-1204 (1)(a) to the carriers and hospitals that pay the fees and assessments
and are collected at rates that are reasonably calculated based on the benefits
received by those carriers and hospitals.