Get Colorado car insurance quotes, cost & coverage fast. Find affordable CO auto insurance including liability, property damage, comprehensive, collision, medical, PIP, uninsured, underinsured, rental car, roadside assistance and more.
CO Car Insurance
If you are like any of the thousands of drivers on the road every day, then it is likely that you or someone in your household has obtained Colorado car insurance to both satisfy the legal liability requirements of the Colorado, as well as to protect your vehicle, the occupants, and other peoples autos and property.
While getting a CO auto insurance quote is a fairly easy process, especially with the convenience of online shopping, many people still do not understand exactly what types of car insurance are available and how the types differ. Here we'll discuss the main car insurance policy types and optional coverages and also go over examples of what the coverage options insure. This way, the next time you request a Colorado car insurance quote, you will be better equipped to make an informed decision.
What Does Colorado Car Insurance Cover?
Auto insurance covers three types of liabilities, or losses. They are:
- Property - damage to or theft of vehicles.
- Liability - the policyholders liability, or legal obligation for the property or bodily injury of others when the driver is at fault.
- Injury - the medical treatment, long term care, loss of wages, or even funeral expenses of anyone who is injured in an accident.
Colorado requires that drivers have liability insurance. Colorado car insurance policies generally are renewed on a biannual or annual basis.
Colorado car insurance has many coverages - so it's important to research the options, see what CO requires and what coverages are optional, and how each can protect you in the vent of an accident or other loss. CO auto insurance policies contains at least one or more of the following specific types of coverage and each option is priced separately (this is not an exhaustive list):
Bodily Injury Liability: This type of car insurance coverage protects the policy holder as well as any other drivers listed on the policy by covering medical costs for injuries caused to other motorists. Oftentimes, people will increase the minimum coverage to protect their other assets in the event that an injured motorist sues for additional damages because your automobile insurance will pay up to the limits on the policy - you are out of pocket for expenses that exceed those limits.
Medical Payments or Personal Injury Protection: Should injury to the policy holder or any other occupants of the insured vehicle occur in an accident, this portion of the auto insurance policy will cover the medical bills, lost wages and funeral costs. This option is also known as PIP (Personal Injury Protection).
Property Damage Liability: Property damage liability is the most common type of coverage option and one which is required by law. It covers damage caused by the policy holder (or anyone permitted to drive the insured vehicle) to another vehicle or other type of property such as signs, fences, telephone poles, buildings, etc.
Collision: This type of coverage offers protection for the policy holders vehicle if damage occurs as a result of an collision with another vehicle, object, or even if your vehicle ends up flipping over. Damages caused by potholes are also covered under collision coverage. Even if the policy holder is at fault, collision insurance will cover the repair for damages minus the deductible amount. If the policyholder is not at fault, the insurance company will attempt to recover the costs paid to its policyholder through the other motorists insurance company and if successful, will also reimburse its policyholders' paid deductible amount too.
Comprehensive: Comprehensive insurance covers the cost of theft of the vehicle or damages/repairs caused by anything other than another vehicle or object. Damages such as those caused by fires, natural disasters, bombs, vandalism, or collisions with animals such as deer. This option also covers shattered or cracked windshields. Both collision and comprehensive coverage are usually optional however if a car is leased, many times the lender will require this type of coverage in addition to liability.
Uninsured and Underinsured Motorist Coverage: If an accident occurs with an uninsured driver or if the other driver does not have sufficient coverage to pay for the full extent of damages, uninsured and underinsured motorist coverage will cover the outstanding expenses. This option also protects the policyholder if involved in a hit and run accident or if hit while a pedestrian.
Gap Insurance: This protects you if your car is totaled and you owe more on the loan or lease than the insurance company pays out. It is usually taken on cars that are 3 years old or less.
Rental Reimbursement: This coverage pays for a rental car if your auto is in the repair shop following a covered comprehensive or collision claim.
Roadside Assistance (Towing & Labor): Much like AAA, this coverage offers a jump start, gas delivery, a flat tire change, even the services of a qualified locksmith of you break down.
What Colorado Car Insurance Doesn't Cover
Also know as exclusions, which remove risk from the insurer, car insurance typically does not cover:
- Personal belongings inside your auto. Do if someone breaks into your car and steals your laptop - the window would be covered but the computer would not.
- People who live in the same home as you but are not listed on the policy. A basic car insurance policy generally covers you and other people who don't live with you and who have permission to occasionally use your vehicles. Members of your household must be listed on your policy to have coverage.
- The balance of your car loan is your vehicle is totaled. See gap insurance above.
What Are Colorado's Financial Responsibility Requirements?
According to the Division of Insurance, Colorado Department of Regulatory Agencies:
Oregon law requires that automobile policies provide a minimum level of liability coverage. There are two main reasons for this requirement. First, it ensures that motor vehicle drivers can respond to damages in liability. Second, it ensures that all motor vehicle accident victims are compensated for injuries that they sustain. Every auto insurance policy issued in Oregon must provide coverage for at least:
- $25,000 for bodily injury to or the death of one person
- $50,000 for bodily injury to or the death of two or more persons
- $15,000 for property damage to the property of others
Liability insurance compensates a person other than the policy holder for personal injury or property damage. Comprehensive or collision insurance does not meet vehicle financial responsibility requirements.
How Much Does Colorado Car Insurance Cost?
How much does Colorado car insurance cost? The average price of auto insurance varied widely based on certain factors. The premiums vary depending on the company and their underwriting rules, and it depends on the coverages and deductible selected. Following are some of the main factors that go into the price of a policy:
- Geographical location - The more dangerous your CO location is the higher premiums you will pay as there is a higher probability for claims. If you live in a highly populated urban area (like Los Angeles, San Diego or San Francisco), accidents and insurance claims happen more often and rate are higher.
- Age - Typically drivers under 25 pay more because statistically shown to be inexperienced behind the wheel, easily distracted and to crash more often. They are on of the riskiest category of drivers to insure.
- Gender - Data shows males are more likely to crash, hence men's premiums are higher.
- Marital status - Married people have been found to be less of a risk to insurers than singles, including divorced or widowed drivers.
- Years of driving experience - Inexperienced drivers pose more risk. That is why under 25 have some of the highest rates.
- Driving record - Drivers with a clean driving record qualify for better rates and can be eligible for a safe driver discount.
- Claims history - More claims = more premium. Insurers actually count frequency (how many claims in a time frame) more than severity (how large the claim was).
- Credit history - The better credit you have, the lower your rates. Most insurers look at credit and weight it heavily.
- Previous insurance coverage - Continual auto insurance history (or at least for the last 6 months) can help get you a better rate.
- Vehicle type - Purchase price, theft rate, cost of repairs, accident rate and safety tests weigh heavily in car insurance cost.
- Vehicle use - A vehicle used to commute work poses more of a risk than the car you only take out of the garage on the weekends.
- Miles driven annually - The less you drive, the less risk you have of being in an accident.
- Coverages - The more coverage you choose with higher limits, the more it will cost you since the insurer is taking on additional risk.
- Deductibles - The deductible is your out of pocket cost before your policy kick in. Lower deductible = higher premium, and higher deductible = lower premium.
And Colorado car insurance premiums after a DUI/DWI will always cost more.
CO Auto Insurance Quotes
Request a Colorado Car Insurance quote in Alamosa, Arvada, Aurora, Boulder, Brighton, Broomfield, Castle Pines North, Castle Rock, Canon City, Centennial, Colorado Springs, Commerce City, Craig, Delta, Denver, Durango, Englewood, Erie, Evans, Federal Heights, Firestone, Fort Collins, Fort Morgan, Fountain, Frederick, Fruita, Glenwood Springs, Golden, Grand Junction, Greeley, Greenwood Village, Johnstown, Lafayette, Lakewood, Littleton, Lone Tree, Longmont, Louisville, Loveland, Montrose, Northglenn, Parker, Pueblo, Rifle, Steamboat Springs, Sterling, Superior, Thornton, Trinidad, Westminster, Wheat Ridge, Windsor and all other cities in CO.
Colorado Insurance Regulations & Limits
When it comes to insurance regulations in Colorado, there are a few things that you want to be aware of. Let's take a look at the laws and rules surrounding insurance in CO.
Colorado Commercial Insurance
The most common type of business insurance is liability insurance. Commercial liability insurance is required to cover things like property damage, bodily injury, personal injury, advertising injury and legal defense and judgments. Colorado is a fault state, and businesses are not required to carry liability insurance in order to operate. There is a cap on damages that are not economic set at $468,010 with a higher limit set at $936,030 for non-economic damages in which it can be proven that the original damage amount is too low. However, these cases are rare.
Punitive damages in exemplary damages are almost unheard of in Colorado, but there is no limit on economic damages. The statute of limitations to file against types of damages is two years - or three years if the damages were sustained in a vehicle. Most experts recommend the businesses carry anywhere from $500,000 to $1 million in general liability coverage.
The only other requirements for businesses that you need to be aware of is the requirement for any business that hires hourly or wage employees to carry Worker's Compensation insurance and for those same companies to have minimum insurance coverage on their vehicles which for a vehicle used for business purposes means that you will have to purchase a commercial auto insurance policy.
CO Personal Insurance
The most common type of personal insurance is the one that everyone is required to have - auto insurance. The law requires that you have at least $25,000 per person and at least $50,000 per accident in liability insurance; as well as an additional $15,000 for property damage. These are the main regulations covering auto insurance in Colorado and they are very similar to the regulations found in most of the other states.
The only additional regulation that you need to be aware of when it comes to personal insurance has to do with life insurance. If you have life insurance, your insurance provider is required to give you a one month grace period before they can cancel your policy due to nonpayment. This protects consumers against having policies canceled due to having a late payment. This is the only regulation you should know when it comes to life insurance.
If you are looking for state specific car insurance quotes, costs and information: California Car Insurance, Colorado Car Insurance, Delaware Car Insurance, Florida Car Insurance, Illinois Car Insurance, Kentucky Car Insurance, New Jersey Car Insurance, New York Car Insurance, Oregon Car Insurance, Pennsylvania Car Insurance, Texas Car Insurance, Washington Car Insurance.