The average driver in Colorado pays around $1,700 per year for auto insurance. One of the higher rates, it is about 14 percent more than the national average. As with anywhere, insurance rates are dependent on things like driving record, vehicle, location, and age. Depending on several factors, you could end up paying a little more or a little less than the average driver in Colorado. Across the state, there are national companies and local firms that offer a variety of insurance products.
Before you start looking for insurance, however, you should understand some of the requirements in the state. Colorado, like most states, mandates that drivers carry a minimum amount of liability insurance to operate on the roadways legally. This liability coverage will pay for bodily injury and property damage claims for the other drivers if you are at fault in an accident.
Additionally, since 2009, the state of Colorado has mandated that insurers offer med pay or medical payment coverage of $5,000 to drivers. Individuals may opt-out of this coverage, but you have to decline it specifically. If an insuree takes no action, the med pay coverage is automatically added to the policy along with the corresponding rate increase.
In Colorado, being caught without the required minimum insurance could result in a fine of more than $1,000, up to a year in jail, and up to 40 hours of community service. This is why more than 3.8 million drivers in Colorado need to have appropriate auto insurance. There are a few things to consider when shopping for auto coverage. Let’s take a look at some of the best auto insurance companies in Colorado.
One of the factors when looking for an auto insurer is Colorado auto insurance rates. The majority of insurance companies advertise low, affordable rates. Similar to other goods or services, cheaper might not always be better, however. As discussed, the average Coloradan pays around $1,700 for insurance coverage. It is possible to find insurance for lower or higher rates. Some of the lowest average rates in Colorado come in around $850 with The Hartford, while the highest average premiums can be almost $3,000 with Progressive. It will be worth your time to comparison shop and do your due diligence to find a policy that works for your budget.
Coverage options are perhaps one of the biggest considerations when searching for the best auto insurance companies. Since Colorado has a minimum liability insurance mandate, you will need to find coverage that meets those requirements. However, you might also consider policies that provide comprehensive and collision coverage. These policies will also protect your car in the event of an accident, no matter who is at fault. All major companies from Nationwide and State Farm to Colorado Farm Bureau offer policies with these protections. Additionally, Colorado mandates that all insurers offer uninsured motorist protection. This is optional coverage but could help out if you’re involved in an accident with an uninsured motorist.
Other important factors when comparing insurance companies are customer service and satisfaction. According to J.D. Power, some of the top-rated companies in Colorado are Amica, State Farm, USAA, and Auto-Owners. Working with a company that will provide support is a major consideration, given that you might have to rely on them in the event of an accident. You will want a provider that will give you help and respond quickly to your needs.
Auto insurance is a requirement in the state of Colorado. At the very least, you have to carry liability coverage. Many drivers seek more coverage and policies with broader limits, however. Doing some research and comparison shopping will help you find the best policies and insurers for your needs.