DENVER (AP) — What started as a bipartisan attempt to lower health insurance premiums turned into a heated debate over the new health care law Monday, when the Democratic Senate gave preliminary approval to setting up a new insurance exchange over GOP objections that the move means Colorado is caving to federal health demands.

The bill sets up a Colorado health insurance exchange, which could allow individuals and small businesses to pool together for lower health insurance rates. The federal health care law requires states to set up health insurance exchanges by 2013, or the federal government will set up exchanges for them.

Colorado's proposal was co-sponsored by House Republican Leader Amy Stephens and has been touted by longtime GOP allies as a free-market move to encourage competition in the insurance market.

Continue Reading for Free

Register and gain access to:

  • Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.