Frequently Asked Questions

A diverse coalition of more than a dozen business leaders, organized labor, workforce leaders, and Pinnacol Assurance has aligned on a legislative framework for the 2027 legislative session. The proposal aims to update Pinnacol's nearly 25-year-old governing rules so the company can adapt to modern workforce trends, all while keeping the critical state protections and benefits that workers and employers rely on today.

Colorado’s economy has fundamentally changed over the last two decades. According to the U.S. Census Bureau, Colorado now has the highest concentration of remote workers among any state in the nation. For the first time, a majority of Colorado employers are managing teams spread across multiple states.

Outdated state laws prevent Pinnacol from seamlessly insuring workers across state lines. To provide out-of-state coverage, Pinnacol currently has to coordinate coverage with other insurance companies—adding unnecessary complexity, costs and a mismatched claims experience for injured workers and employers.  

As a top-tier carrier, Pinnacol wants to fully support its members as they grow.  Modernizing its structure ensures that Colorado employers don't have to look to out-of-state, profit-driven national carriers just because their workforce expands beyond state lines. By updating these outdated rules, Pinnacol can maintain a robust, diverse, and stable member pool, keeping premiums affordable and service high for everyone.   

No. Earlier legislative proposals in 2025 and 2026 explored fully separating Pinnacol from the state, but an agreement was not reached.  Under this new coalition-led framework, Pinnacol will explicitly maintain its formal affiliation with the State of Colorado, thereby maintaining the certainty that injured workers and employers have relied on from Pinnacol for over a century. 

The framework includes several important protections for workers and businesses:

• Provider of last resort: Pinnacol would continue its century-old role as the state's workers' compensation insurer of last resort. This guarantees that high-risk, vital industries (like construction) will always have access to predictable coverage.
• Stronger Access to Pinnacol:  Pinnacol is the top-rated workers’ compensation insurer by workers in Colorado; however, most workers in our state do not have access to Pinnacol today due to its outdated statutue.  Modernization vasty strenghtens injured worker access to Pinnacol.
• Colorado Guaranty Fund: For the first time, Pinnacol would join the Colorado Guaranty Fund, creating an extra safety net that ensures long-term predictability and safety for injured workers.
• Enhanced support: The coalition is actively looking at data-driven opportunities to  support injured workers and their families while maintaining low premiums and reducing unnecessary litigation.
• Workforce Development:  A modern Pinnacol that better meets the needs of an ever-changing workforce ensures that it continues its nationally-recognized leadership in workforce development to support its members, skills training in high-demand industries, and a diverse and stable workers’ compensation system.   
• PERA stability: Pinnacol would remain a contributor to the Public Employees' Retirement Association (PERA) system, preserving stability for public employers and employees.

The framework preserves both Pinnacol’s member-owned structure and its role as the state’s provider of last resort for workers’ compensation. Because it is owned by its members (the employers it insures), its financial focus remains on providing first-class service to them and their employees. Additionally:

• No state payout: Unlike prior concepts, this framework requires no financial payout to the state, keeping Pinnacol's assets intact to ensure long-term rate stability.
• More seamless multistate coverage: Giving Pinnacol the legal tools to directly write out-of-state coverage, which eliminates unnecessary costs paid to other insurance companies and a more seamless claims experience for their employees.  
• Future-proofed Pinnacol.  Updating outdated rules, Pinnacol can maintain a robust, diverse, and stable member pool, keeping premiums affordable and service high for everyone for generations to come.
• Strong Economy.  As the state’s largest carrier to invest in workplace safety, modernizing Pinnacol ensure it can continue investing to create safe work environments, a growing future workforce, and strong regional economies.

The board will be updated to better support licensing in other states and to reflect its membership. The state governor would still maintain majority appointments to the board, but the new structure would guarantee representation from the building and construction trades, which are a significant portion of the workers Pinnacol insures.

The coalition shares a commitment to building Colorado's economic future. The proposal aims to strengthen long-term investments in registered apprenticeships, skilled trades training, and talent pipelines for high-demand industries. A healthy, diverse, and well-trained workforce directly supports the health of our economy and the state’s workers' compensation system.

No. There were multiple proposals in 2025 and 2026; however, the current coalition has coalesced around a unified approach that prioritizes certainty for workers and businesses.

The coalition is actively working together to introduce and advocate for this unified modernization framework during the 2027 legislative session as a pressing policy matter.

If you are interested in supporting Pinnacol’s future modernization, please visit https://modernizepinnacol.com/ and sign the pledge form.

If you have feedback or questions about the framework, please send an email to public_affairs@pinnacol.com.