Starting Monday, Deferred Action for Childhood Arrivals (DACA) recipients, commonly known as Dreamers, can no longer obtain health insurance through Connect for Health Colorado.
Dreamers are losing access to state health insurance, facing potential penalties if they don’t cancel by Aug. 25.
- DACA recipients, or Dreamers, can no longer enroll in Connect for Health Colorado plans starting Monday.
- Failure to dis-enroll by Aug. 25 could result in repaying advance premium tax credits, ranging from $375 to $3,250.
- This change stems from a federal regulatory update removing DACA recipients from the “lawfully present” definition.
- Affected individuals can seek assistance through Colorado Connect or emergency Medicaid, and free brokers are available.
Dreamers Excluded from State Health Exchange
Can DACA recipients still get health insurance in Colorado? Yes, but not through Connect for Health Colorado.
This state insurance exchange typically offers private plans to Coloradans without Medicaid or employer coverage. It also provides tax credits to lower costs. Dreamers who are currently enrolled must cancel their plans themselves, as the exchange cannot differentiate them from other individuals with deferred action status.
Potential Financial Penalties for Non-Compliance
If Dreamers do not cancel their coverage by Aug. 25, they may be required to repay advance premium tax credits. The amount ranges from $375 to $3,250, depending on whether the plan covers an individual or a household.
Ricardo Perez, Executive Director of the Hispanic Affairs Project, expressed concern. “It just hurts the community because when insurance companies have more participants, they get more money,” he said. “Any action to create disruption is now part of our daily life for the immigrant community.”
Federal Policy Shift Drives Change
Dreamers became eligible for Connect for Health Colorado in January of this year following a Biden administration regulatory update. This update included Dreamers in the “lawfully present” criteria for enrollment.
The policy change was mandated by the U.S. Centers for Medicaid and Medicare Services (CMS) as part of a broader federal effort concerning health insurance for immigrant communities.
A CMS spokesperson stated the department’s focus is on “strengthening affordability and access for the millions of Americans who are eligible under the law.” They added that the regulatory change will not affect premiums.
“The Affordable Care Act (ACA) and related regulations establish eligibility standards… including the requirement that Exchange enrollees must be ‘lawfully present’ in the United States,” the representative explained. “To align with the statute, the 2025 Marketplace Integrity and Affordability final rule provision removes DACA recipients from the definition of ‘lawfully present,’ returning to the original interpretation adopted in 2012.”
Support and Alternative Options Available
Approximately 100 or fewer current customers are expected to be affected by this new rule, according to a Connect for Health Colorado spokesperson. Impacted enrollees are being notified by the state program.
An informational packet from the state marketplace indicates that Dreamers remain eligible for Colorado Connect. This is a separate, secure platform partnered with Connect for Health Colorado. Depending on income, they may also qualify for emergency Medicaid.
Both Colorado Connect and emergency Medicaid remain open to DACA recipients and all residents, “regardless of immigration status.” A Special Enrollment Period will allow Dreamers to enroll in Colorado Connect within 60 days of their current coverage ending.
Assistance for Enrollment Changes
Impacted individuals can receive one-on-one help with cancelling their current coverage and enrolling in an alternative. Hilltop Community Programs Vice President Hollie VanRoosendaal noted that healthcare is “a foundational piece of human existence.” She added, “We know that individuals who are unable to access health care tend to also have significant issues with their housing, food insecurity and it makes them more susceptible to violent situations.”
Locals can visit Hilltop’s Health Access service at 1129 Colorado Ave. for assistance. Walk-ins are welcome Wednesdays from 9 a.m. to 4 p.m. Appointments can also be scheduled online.
Dreamers outside the immediate region can access similar services through Connect for Health Colorado’s network of free certified brokers or assisters. Assistance can be found by visiting the designated webpage.
A Connect for Health Colorado spokesperson reassured, “Throughout this process, we remain committed to protecting customer privacy and safety, and providing information about alternative resources for individuals with DACA status to access continued healthcare coverage.”
