AMA report: Consumers challenged by a decade of limited options in commercial health insurance markets
AMA report: Consumers challenged by a decade of limited options in commercial health insurance markets
In Colorado, consumers have faced a decade of limited options for commercial health insurance, reflecting a troubling national trend of market concentration highlighted in the American Medical Association’s (AMA) 2024 study on competition. Colorado’s commercial health insurance markets remain highly consolidated, with a Herfindahl-Hirschman Index (HHI) of 2,037, indicating less competition than Arizona (2,281) but far below extreme cases like Alabama (7,387) and Connecticut (5,505). This lack of competition, present in 95% of metropolitan areas nationwide, restricts consumer choice, drives up costs, and raises serious concerns for patients and physicians alike. The Colorado Medical Society supports policy interventions to curb insurer market power and foster a more competitive marketplace, ensuring better access and affordability for the state’s residents.