Heat large covered saucepot of salted water to boiling over high heat. Add pasta and cook as label directs.
Meanwhile, in 12-inch skillet, heat oil over medium heat. Add red, yellow, and orange peppers, and cook, covered, stirring occasionally until very soft and lightly browned, 10 minute Stir in ham, garlic, 1/2 tsp salt, and black pepper, cook 1 minute.
When pasta is cooked to desired doneness, remove 1/2 cup cooking water and reserve. Drain pasta. In large bowl, toss pasta with peppers mixture and reserved water.Top with basil and parm. Toss to serve.