It's rare for the Washington, D.C.-based Council of Insurance Agents& Brokers, a national association representing the largestcommercial insurance firms in the country, to heavily engage instate initiatives, but we’ve never before seen the calibratedassault that Colorado's Amendment 69 wages on the benefits —and indirectly, the property and casualty — market.

Ballot initiative

This ballot initiative, also known as “ColoradoCare,” would create a single-payerhealth system in the state, and may dissolve the state's market foremployer-provided benefits. The proposal would initially cost thestate $25 billion, doubling the state budget and catapultingColorado to the highest taxed state in the nation. And for allthat, there is no clarity on the coverage options the entity wouldoffer current recipients of employer plans.

Every Coloradan receiving employer coverage would lose theirexisting plan and their abilities to review benefit plan changes oroverride the probable tax increases to continue funding theregime. To make matters worse, it would make Coloradans guineapigs to the decisions of a wildly powerful 21-person board thatwould dictate everything from benefit packages to provider networksand prescription plans. It’s a nearly all-out assault on individualfreedom when it comes to personal health decisions.

Eviscerate private workers' comp industry

On top of all this, it includes language — which isn't gettingmuch attention in the media — that would also rid the market ofworkers’ compensation insurance. If passed, ColoradoCare would alsoencompass the workers’ compensation marketplace — eviscerating theprivate industry.

The workplace is a lot different today than it was more than 100years ago when Workers' Compensation was developed...

The safety policies and procedures that are put in place bycompanies across Colorado to mitigate risk, avoid accidents andbenefit consumers would all be jeopardized by Amendment 69. AllColorado residents would be subject to the single-payer systemirrespective of the location of corporate headquarters. Its passagewould have a detrimental effect on the risk mitigation strengthsthat the Workers’ Compensation market brings consumers.

Amendment 69's damage on the surface is pretty straight forward— it levies a massive tax increase on Coloradans and creates adangerous institution putting their health decisions in the handsof a powerful few. But peel back the onion on the impact and thedamage continues to unfold. Many property and casualty firms alsohave a benefits component, which will be affected. Wiping out thecompetitive market for insurance plans also eliminates theincentives that employers have to keep costs down.

Wellness programs would disappear

In the health insurance space, that means that wellnessprograms, which have been increasing in popularity since passage ofthe Affordable Care Act, would go by the wayside. Popular Coloradobrands such as Coors, Chipotle, L-3 Communications and Dish are allreporting successful results with their wellness efforts. Andthat's because employers that subsidize insurance premiums have afundamental incentive to keep their workforce healthy and premiumcosts down.

Abolishing the market for Workers’ Compensation plans would havea similar effect. Consider all the safety policies and proceduresimplemented by companies across the state designed to avoidaccidents and keep their insurance claims low. Those too would bejeopardized. One of the greatest strengths of the insurance marketis the inherent risk mitigation strategies that come along withpremium controls. Those strategies benefit consumers, and Amendment69 puts them in danger.

Fierce campaigns for and against

The Council trusts that Coloradans will make the right decision,but campaigns for and against Amendment 69 will be fierce. We’vebeen fighting against attacks on employer benefits for years, andwe’ve been fortunate enough to have won most of those battles. Itspassage would be devastating for Colorado health plans, and we’redoing everything we can to defeat the measure. Don't be fooled —ColoradoCare is not just a Colorado problem.