In Colorado, you need $25,000 in bodily injury coverage per person ($50,000 per accident). Bodily injury liability insurance pays for other people’s injuries after a car accident that you cause, and it can also cover your legal fees if you are sued after a crash.
In addition to bodily injury liability insurance, drivers in Colorado need to purchase $15,000 in property damage liability insurance. Property damage liability coverage pays for damage to others’ property after an accident caused by the policyholder.
Together, these Colorado liability insurance requirements are often written as 25/50/15. Even though Colorado only requires 25/50/15 in liability insurance, it’s a good idea to purchase more coverage if you can afford it. Buying higher coverage limits can protect you financially if you cause a serious accident.
Colorado is an at-fault state, which means that the at-fault driver is responsible for paying for everyone injured in the accident. There are no restrictions on the right to sue after an accident in at-fault states, even if the insured buys personal injury protection (PIP).
On average, state minimum coverage costs $1,400 per year in Colorado, but there are many factors that can affect how much you pay for a policy. Any coverage above and beyond what is required by Colorado law is optional, but it’s usually worth the money to get some additional protection. The biggest reason is that state minimum coverage doesn’t protect your personal vehicle. For insurance to pay for damage to your car, you’ll need full coverage.
In Colorado, full coverage refers to a policy that includes collision and comprehensive, plus higher coverage limits than what is required by state law. Full coverage car insurance costs about $5,014 per year in Colorado. There may be cases when you don’t need full coverage insurance, but Colorado drivers should buy as much coverage as they can afford as a general rule.
Most policies offer coverage for six months to one year at a time and can be paid in a variety of ways, including monthly payments. The best car insurance companies in Colorado balance affordability with quality coverage and strong customer service. You can easily get a quote from top companies like State Farm, Allstate, American Family, The Hartford and Safeco online or over the phone, or use WalletHub’s comparison tools to find the best car insurance policy for your needs.
Car insurance in Colorado costs $42 per month or $606 per year for minimum coverage, on average. The cheapest car insurance companies in Colorado are American National, Southern Farm Bureau, and Geico, and getting quotes from several companies can help you find the best deal.
The average cost of car insurance in Colorado is 10% lower than the … read full answernational average auto insurance premium. There are several factors that affect how much you’ll pay for car insurance in Colorado, including your driving record, age and location, the amount of coverage you purchase, and the insurance company you buy it from.
Average Cost of Car Insurance in Colorado by Category
After an at-fault accident:$217 per month
Driver with poor credit: $83 per month
Teen driver:$300 per month
After a DUI: $108 per month
Average Cost of Car Insurance in Colorado by Company
Note: Rates are an approximation based on a driver in Colorado with minimum coverage and a clean driving record. Actual rates will vary.
How to Lower the Cost of Car Insurance in Colorado
Shop around and compare quotes. We recommend comparing quotes from at least three different insurance companies to make sure you are getting the best rate.
Choose a higher deductible. Your deductible is the amount you have to pay out of pocket before your insurance kicks in. Choosing a higher deductible can lower your premiums but means you will have to pay more out-of-pocket when you file a claim.
Consider lowering your coverage. Consider purchasing only the minimum amount of coverage required by your state, rather than purchasing higher limits or a full coverage policy.
Look for discounts you may be eligible for. For instance, most insurance companies offer a good-driver discount for customers with a clean driving record, a good-student discount, or a discount for paying your premiums in full up front.
No, uninsured motorist coverage is not required in Colorado, as drivers can reject the coverage in writing. Still, insurance companies are required to offer at least $25,000 in uninsured motorist bodily injury coverage per person (up to $50,000 per accident).
Additionally, drivers have the option to purchase $25,000 in underinsured motorist bodily injury coverage per person (up to $50,000 per accident).… read full answer
For Colorado drivers who do not opt out by rejecting the coverage in writing, uninsured/underinsured motorist coverage helps pay for a car accident in which the other driver doesn’t have car insurance, or doesn’t have enough coverage for the damage they caused.
Normally, an at-fault driver’s insurance helps pay for any damage after an accident. However, if the other driver doesn’t have any – or enough – coverage, it can be time-consuming and difficult to sue them for funds to cover any medical or repair bills. That’s where this optional insurance coverage can help you save time and money.
Even though Colorado does not require uninsured and underinsured motorist coverage, you should still consider buying it. In Colorado, an average of 13% of drivers on the road don’t have car insurance, which means there is a 1 in 8 chance that the other driver won’t have coverage if you get into an accident. Car accidents in Colorado can be very expensive, too.
Key Facts About Uninsured Motorist Coverage in Colorado:
Minimum Uninsured Motorist Bodily Injury: $25,000 per person and up to $50,000 per accident
Minimum Underinsured Motorist Bodily Injury: $25,000 per person and up to $50,000 per accident
WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.
WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.
Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.