Colorado’s population has climbed significantly over the years. Currently, there are about 5,750,000 people living in the Centennial State and more than 3,880,000 residents have a driver’s license. That means close to four million people in Colorado need to have car insurance.
If you’re a newly licensed driver, or if you recently moved to Colorado, you might be wondering what the insurance requirements are in the state and where you can get cheap car insurance in Colorado.
When looking for the best cheap car insurance Colorado has to offer, there are a few things you’ll need to get your insurance:
- VIN and license plate number
- Current mileage and mileage driven every year
- Personal information for all drivers on the policy
- Current coverage limits or minimum required by your lender
Make sure to get all of your information together so that you’re prepared to get quotes from the best car insurance companies in Colorado.
The top car insurance companies in Colorado
According to J.D. Power’s 2020 U.S. Auto Insurance Study, the best car insurance Colorado has to offer comes from one of these insurance agencies:
- Allstate: Allstate offers a variety of coverage options, including accident forgiveness, roadside assistance and preferred repair services. That means Coloradoans can drive with peace of mind knowing that if they get into a crash, everything from towing to repairs are covered.
- American Family: American Family is known for offering unique discounts for a number of things, including switching their car insurance from a competitor. They also offer a young volunteer discount for people under the age of 25. We recommend American Family to any driver who wants to take advantage of discounts.
- Geico: For the lowest price all around, Geico is the best option. They have the lowest premiums for most situations due to their wide network and extensive discount list. Because car insurance in Colorado can be expensive, Geico is one to check out if you want to save money.
- Progressive: If you just want basic insurance coverage with the standard discounts, Progressive has what you need. They offer a few additional coverage options, like gap coverage and rental reimbursement. Overall, Progressive is the best option for Colorado drivers who want solid coverage without the expensive extras.
- State Farm: We chose State Farm for the safe driver and safe vehicle discounts, along with a few other categories of discounts, like savings for loyal customers. If you’re confident in your safe driving skills, State Farm has a few programs that can save you money on your premium.
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Average car insurance cost in Colorado
In Colorado, the average annual cost of car insurance is $1,741, according to Insure.com. Compared to the nationwide average of $1,517, Colorado’s rates are much higher than what the average American pays for car insurance.
How does car insurance in Colorado compare to neighboring states? It’s actually much more expensive. In Wyoming, which is north of Colorado, the average cost of car insurance is $1,684. But in other border states, the cost is much cheaper. For instance, Utah drivers pay $1,300, New Mexico drivers pay $1,479 and Kansas drivers pay $1,432.
Part of the reason why car insurance is expensive in Colorado is because a relatively large percentage of drivers don’t have insurance. According to the Insurance Information Institute, 13.3% of drivers in Colorado are uninsured. States like Wyoming and Utah have much lower rates of uninsured drivers (approximately 8% in each state).
However, another major indicator of your car insurance premium is your credit score. The table below indicates what some auto insurance companies charge drivers based on their credit score.
State minimum insurance requirements in Colorado
One of the main components of what makes up the price of your car insurance Colorado is the coverage limits for your insurance. This will vary depending on what the coverage is for. According to the Colorado General Assembly, the minimum coverage limits for liability insurance, which provides coverage for bodily injury and property damage, are:
- $25,000 for bodily injury or death to any one person in an accident
- $50,000 for bodily injury or death to all persons in any one accident
- $15,000 for property damage in any one accident
Bodily injury means that you have injured someone in an accident, injured a pedestrian, or someone was injured in your car in an accident. Property damage counts as any damage to another person’s property in an accident that you caused. Both of these are required by law, and it’s a good idea to have more than the minimum so you don’t have to pay out of pocket for accidents.
Keep in mind that your car lender may have different requirements for your insurance coverage, so check with them before purchasing to make sure you get the appropriate coverage limits and deductibles.
Finding the right cheap car insurance in Colorado for you
There isn’t one car insurance company in Colorado that will be the cheapest for every driver. Your zip code, age, gender, credit score, claims history and the car you drive all factor into your personalized rate. Keep reading to see which provider might be the cheapest for you based on the type of driver you are:
Cheapest car insurance for good drivers: State Farm
State Farm is known for offering great discounts to people who consistently practice safe driving habits. By enrolling in the Drive Safe & SaveTM program, drivers can save up to 30% on their auto insurance policy. State Farm also offers an accident-free discount for drivers who have no accidents on their record within the past three years.
Cheapest car insurance for students and young drivers: State Farm
Students and young drivers often pay huge rates for car insurance. However, State Farm offers some of the best savings for students. Young drivers under age 25 can enroll in the Steer Clear program, which monitors driving behavior and can earn good drivers a discount on their rate. State Farm also offers good students a discount of up to 25% on their insurance.
Cheapest car insurance for people with poor credit: Geico
Geico consistently offers the cheapest rates across the board, and that’s especially true for drivers with a low credit score. Usually, people with bad credit are subject to high insurance premiums, because they fall into the high-risk category. With Geico, you can get reasonably affordable coverage, even with a low credit score.
Cheapest car insurance for people with one accident: State Farm
As we mentioned, State Farm is a great insurance provider for good drivers. But even if you have a single accident on your record, State Farm might still offer the cheapest rate. The company offers accident forgiveness, which waives your first accident so it doesn’t impact your rate.
Car insurance discounts in Colorado
There are a number of available discounts from insurance providers in Colorado, but they will vary from agency to agency. A common discount is a multi-policy discount. This is when you have more than one type of insurance with a provider, such as homeowners and car insurance, or renter’s and car insurance. If you’re switching insurance companies, be sure to ask if they offer a transfer discount. You may be able to save money just by switching companies.
Frequently asked questions
What is the cheapest car insurance in Colorado?
This is going to vary depending on your vehicle, miles driven each year, and your personal information. Geico offers some of the lowest available insurance services we reviewed, so we recommend starting there. Be sure to get at least 3 quotes so you can accurately compare services and coverage limits.
What do I need to get car insurance in Colorado?
In order to get car insurance Colorado, you’ll need a few things to make the process happen quickly. This includes your VIN and license plate number, current mileage and mileage driven every year, personal information and current coverage limits or minimum required by your lender.
How quickly can I get car insurance in Colorado?
If you have all of your documentation together and you have no problems with your driving record, you may be able to get coverage as soon as the next business day! Get a quote with a few reputable lenders to see how soon they can offer you coverage.
Is Colorado a no-fault state for car insurance?
No, Colorado is considered a fault state. That means the driver who causes an accident is responsible for paying for the other driver’s losses through their car insurance.