How to Get Health Insurance When You’re Self-Employed in Colorado (2027 Guide)

 

Key takeaways

 

• Self-employed Coloradans usually choose between marketplace plans, off-marketplace plans, and health shares.
• Premium tax credits are only available through Connect for Health Colorado, for household incomes between 100% and 400% of the federal poverty level.
• Open enrollment for 2027 coverage started November 1, 2026. Enroll by December 15 for coverage starting January 1.
• Losing job-based coverage gives you a 60-day window to choose a new plan.

 

Going out on your own comes with a lot of perks: setting your own schedule, choosing your clients, never sitting through another all-hands meeting. Figuring out health insurance is not one of the perks.

 

When you’re self-employed, there’s no HR department picking a plan for you. The good news is you have more options than you might think. Here’s how health insurance works for freelancers, independent contractors, and solopreneurs in Colorado, and how to choose the right fit for your income, your health, and your business.

 

What are my health insurance options if I’m self-employed in Colorado?

 

Most self-employed Coloradans choose between a marketplace plan through Connect for Health Colorado, an off-marketplace plan, or a health share.

 

• Marketplace plans through Connect for Health Colorado: These are ACA-compliant plans available during open enrollment or a Special Enrollment Period. Connect for Health Colorado is the only place to get premium tax credits, which can significantly lower your monthly cost if your household income is between 100% and 400% of the federal poverty level.
• Off-marketplace plans: Some carriers sell ACA-compliant plans directly, outside the marketplace, sometimes with different provider networks. These plans don’t qualify for tax credits, so they usually make the most sense for people whose income is above the subsidy range.
• Health shares: Health sharing programs are not insurance, but they can be a fit for some solopreneurs, usually people who are healthy, rarely need care, and want a lower monthly cost. They aren’t required to cover pre-existing conditions and don’t guarantee payment of medical bills.

 

The right choice depends on your income, health needs, doctors, and how much financial risk you’re comfortable with. Many self-employed people find that the best option changes from year to year as their business grows, so it’s worth reviewing your coverage every fall.

 

Do self-employed people qualify for tax credits in Colorado?

 

Yes. Self-employed Coloradans can get premium tax credits through Connect for Health Colorado if their household income is between 100% and 400% of the federal poverty level.

 

Credits are based on your estimated household income and household size, not on where your income comes from. A freelance designer and a salaried employee with the same household income qualify for the same help.

 

The enhanced federal tax credits many people relied on have expired, so the 400% cutoff applies again. If your income is close to that line, a small difference in your estimate can mean a big difference in your monthly premium. You can learn more at Connect for Health Colorado. 

 

How do I estimate my income for health insurance when it changes every month?

 

Start with last year’s net self-employment income, adjust for what you expect this year, and update your estimate if things change.

 

• Start with last year’s net income(after business expenses), then adjust for what you realistically expect.
• Think about the whole household. Your estimate includes income from everyone in your tax household, not just your business.
• Update your estimate during the year. If your income goes up or down significantly, update your Connect for Health Colorado application so your tax credit adjusts.
• Know it gets reconciled. Your final tax credit is reconciled when you file your taxes, so a big underestimate can mean paying some back. For questions about your tax return, talk with your tax professional.

 

We’ll help you work through the estimate and show how different income levels affect your options.

 

What if my income is too high for a tax credit?

 

If your household income is above 400% of the federal poverty level, you’ll pay full price for a marketplace plan, so it pays to compare every option.

That’s where comparing carefully matters most. Without a tax credit, a marketplace plan and an off-marketplace plan may cost about the same, so the decision often comes down to provider networks and which doctors you want to keep. A health share may also be worth a look if you’re healthy and comfortable with its limits.

 

Higher earners also tend to have the most flexibility to choose a plan design that fits how they actually use care. Someone who rarely sees a doctor might choose a lower premium and higher deductible. Someone managing an ongoing condition might pay more each month to keep out-of-pocket costs predictable. We’ll show you the real yearly cost of each option, not just the monthly premium.

 

Should I keep COBRA or switch to my own health plan?

 

For many people starting a business, a marketplace plan with tax credits costs far less than COBRA. COBRA can make sense if you’ve already met your deductible or are mid-treatment.

 

COBRA lets you keep your employer’s plan for a limited time, but you’ll pay the full premium yourself, plus an administrative fee. That can come as a shock if your employer was covering most of the cost.

 

Timing matters: losing job-based coverage gives you a Special Enrollment Period, typically 60 days, to pick a new plan. If you choose COBRA and later drop it, voluntarily ending COBRA usually doesn’t open a new Special Enrollment Period. You’d generally need to wait for open enrollment. Compare both options before your window closes.

 

Is a health share a good option if I’m self-employed?

 

A health share can work for healthy self-employed people who want lower monthly costs, but it isn’t insurance and doesn’t guarantee payment.

 

Health shares often cost less each month than insurance, which is appealing if you’re paying full price for a marketplace plan. But they work very differently:

 

• They’re not required to cover pre-existing conditions.
• They don’t guarantee they’ll pay your medical bills.
• Many have sharing guidelines that exclude certain types of care.
• Colorado requires health care sharing arrangements to report information to the Colorado Division of Insurance.

 

We’ll show you a health share side by side with marketplace options, so you only choose one if it actually fits.

 

Why is health insurance more expensive in Colorado mountain towns?

 

Health insurance premiums are higher in many Colorado mountain and Western Slope communities because of higher local health care costs and fewer carriers competing for business.

 

If you’re self-employed in Vail, Breckenridge, Steamboat Springs, or Grand Junction, you’ve probably noticed. Resort communities have some of the highest individual premiums in the state, and insurers requested steeper increases for 2027 in western and mountain regions than the statewide average.

 

That makes comparison even more important for self-employed people outside the Front Range. Checking every plan available in your county, confirming your local hospital is in-network, and making sure you’re getting every dollar of tax credit you qualify for can make a real difference. Colorado Option plans, standardized plans that carriers selling individual coverage must offer, may also be worth comparing.

 

What should I have ready before I shop for a plan?

Have a rough income estimate, a list of your doctors and prescriptions, and your household details ready. That’s enough to start.

 

• An estimate of your household income for next year
• The names of doctors, specialists, and hospitals you want to keep
• A list of your current prescriptions
• Everyone you want covered, with dates of birth
• Your current plan details or COBRA notice, if you have one

 

Don’t have all of it? That’s fine. We can start with what you know and fill in the rest together.

 

What if I hire my first employee?

 

Once you have employees, you may be able to offer a small group health plan, which works differently from individual coverage.

Small group plans let your business choose coverage for your team and contribute toward their premiums. Some owners also cover themselves through the group plan. If you’re thinking about hiring, it’s worth planning your coverage before your first employee starts. 

 

When can I enroll in health insurance in Colorado for 2027?

 

Open enrollment for 2027 coverage started November 1, 2026. Enroll by December 15 for coverage that starts January 1. 

 

 

Outside open enrollment, you can usually enroll in a marketplace plan within 60 days of a qualifying life event, like losing other coverage, moving, getting married, or having a baby. Health shares and some other options aren’t tied to open enrollment at all. And insurance is our full-time job 12 months a year, so reach out whenever your situation changes.

 

Who can help me find self-employed health insurance near me in Colorado?

 

Lighthouse Group is an independent, family-owned health insurance broker in Colorado Springs that helps self-employed Coloradans compare marketplace plans, off-marketplace plans, and health shares at no extra cost. We’re at 1271 Kelly Johnson Blvd #111, Colorado Springs, CO 80920, and we work with freelancers, contractors, and solopreneurs across the Front Range, mountain communities, and the Western Slope.

 

Our co-owner Mandy came into insurance from the nonprofit world with no insurance background, so we explain everything from the ground up. We compare options across multiple carriers, and we’ll tell you what’s best for you, even if that means not doing business with us. Our clients have left us 45 five-star Google reviews.

 

Along with Colorado Springs, we help self-employed clients in [Denver], [Fort Collins], [Pueblo], [Grand Junction], [Vail], [Breckenridge], and [Steamboat Springs]. Most consultations happen virtually, so you don’t have to leave your desk (or the slopes).

 

Call us at 719-645-6281 to compare your self-employed health insurance options in one conversation. There’s no cost and no pressure.

 

 

Frequently asked questions

 

Can self-employed people get health insurance anytime?

Marketplace plans require open enrollment or a qualifying life event. Health shares and some other options can often start any time of year.

 

How much is health insurance for self-employed people in Colorado?

It depends on your age, location, household size, income, and plan. Tax credits can lower your premium significantly if you qualify, and premiums tend to be higher in mountain and Western Slope communities.

 

Is a health share the same as health insurance?

No. Health shares are not insurance, aren’t required to cover pre-existing conditions, and don’t guarantee payment.

 

Can I cover my spouse and kids on a self-employed plan?

Yes. Individual and family plans can cover your whole household, and household size is part of how tax credits are calculated.

 

Does using a broker cost more?

No. Marketplace premiums are the same whether you enroll on your own or with a broker.