Auto Insurance Main Page Updated

Colorado law requires you to have liability coverage on your automobile. This coverage pays bodily injury to another person and property damage to another’s property that are the result of an accident in which you are found to be at fault.

Coverage is not provided for any automobile owned by you or a resident relative that is not insured for liability under your policy. There is no coverage for intentional acts.

Uninsured and underinsured motorist coverage will be included in your policy unless you reject it in writing.

Uninsured Motorist coverage pays for your bodily injury damages that are the result of a not at fault accident with an uninsured or hit and run driver.

Underinsured Motorist coverage pays for your bodily injury damages that are the result of a not at fault accident with an underinsured driver. A motorist is considered underinsured if his or her liability coverage is not enough to pay the full amount you are legally allowed to recover as damages.

You must be offered collision coverage with deductibles of $100 or $250. You may select higher deductibles.

Collision coverage pays for damage to your own automobile when it collides with another automobile or object. It also pays if your automobile overturns. Comprehensive coverage pays for damage to your automobile from causes such as fire, theft, vandalism, hail, and falling objects.

Collision and comprehensive coverage may be written with a deductible. A deductible is that part of a loss you will pay. We will pay the balance of covered repairs subject to your policy provisions.

A lender may require you purchase both collision and comprehensive coverage. Unless you have purchased the appropriate endorsement, coverage does not apply to losses that occur while your automobile is rented or leased to others. There is no coverage for wear, tear, freezing, mechanical failure or breakdown, or road damage to tires.

Medical payments coverage of $5,000 will be included in your policy unless you reject it. You may reject the coverage in writing or in the same method in which you applied for the policy.

Medical payments coverage is not required to be offered on motorcycles, low-powered scooters, off-road vehicles or other miscellaneous vehicles.

Medical payments coverage pays for you and your passengers reasonable health care expenses incurred for bodily injury caused by an automobile accident.

If you are in an automobile accident, your medical payments coverage will pay before your health insurance coverage.

Medical payments coverage will apply toward health insurance coverage coinsurance or deductible amounts.
We must prioritize the payment of your benefits in a manner consistent with Colorado insurance law.

Injuries to you that are the result of an at-fault accident will not be paid, under an automobile insurance policy, unless medical payments coverage is purchased.

This coverage pays for damages to your automobile caused by an at-fault owner of an uninsured automobile.

This is an optional coverage you can request if you do not have collision coverage on your automobile.

This coverage will not apply if the automobiles do not make physical contact.

This coverage only pays the actual cash value of your automobile or cost of repair or replacement, whichever is less.
 

Auto insurance is regulated on a state by state level.

The Division cannot endorse or recommend any particular company. We would encourage you to review the Division's Complaint Ratio/Index page and/or the Premium Comparison Tool.

Complaint Ratio/Index

Premium Comparison Tool

The Division does not maintain a database of this information.  You will need to request this information directly from the entity or individual. 

The Division does not determine coverage owed or make liability decisions in claims.  Ultimately, coverage and liability are determined by the insurance company. However, the insurance company is required to conduct a reasonable investigation before accepting or denying the claim.  If you have concerns that the company did not conduct a reasonable investigation, we recommend you file a formal complaint by clicking here. 

The Division cannot negotiate a settlement amount. Ultimately liability and amounts owed are determined by the insurance company.  The Division can review the claim handling to ensure the company has completed a reasonable investigation and has complied with Colorado insurance laws. If you would like the Division to review the company’s handling of the claim you may file a formal complaint by clicking here.

Every inquiry and claim  is unique. It is important to consider weekends, holidays and other times that may limit the company's ability to respond.  With that said, there are no timeframes included in our laws; however, the Division can address unreasonable delays directly with the company.

At this time, there are no Colorado insurance laws that address diminished value.  Although there may be case law related to diminished value, the Division's regulatory authority is based on the Colorado Revised Statutes. 

No, you have the right to choose whichever contractor or vendor you wish to use. However, the company can provide information related to preferred providers and they can guarantee the work performed by their preferred providers.  See Section 10-4-120, C.R.S. 

The company will pay reasonable market costs; however, they may not pay additional fees or excessive costs charged by the repair facility.  See Section 10-4-120, C.R.S. Unreasonable costs, such as excessive storage fees or labor rates, etc. may not be paid in full.  If you have any questions contact the Consumer Services team at 303.894.7490, option #3.

Insurance companies file their rates based on their own individual loss and expense experience.  There is no minimum or maximum amount the company can file. The Division of Insurance does not set rates in Colorado.  However, Division staff do review rate filings to ensure the Company can adequately support the requested rates.  

-Change of garage location of the automobile;
-Change of automobile(s) insured;
-Addition of a driver;
-Change in use of your automobile;
-Annual mileage driven;
-A general rate increase. This results from the loss experience of a large group of policyholders rather than from a single policyholder. A general rate increase applies to everyone in the group, not just those who had a loss. 

• Economic and Market Factors
  • Economic inflation and rising repair costs:  Inflation affects the overall economy, raising the costs of goods and services related to insurance.
• Societal and Behavioral Factors
  • Insurance Fraud: The prevalence of fraudulent claims across the industry contributes to higher premiums for all policyholders, as insurers seek to recoup losses from these deceptive practices.
  • Distracted Driving: Researchers and state insurance regulators, such as the Colorado Division of Insurance (DOI), all point to distracted driving as a major cause of more frequent, more costly and, too often, deadly accidents. And higher accident rates result in higher insurance premiums for many. In 2010, three years after the introduction of the iPhone, auto insurance average rates increased nationwide for the first time in six years. They have gone up each year since. 
• Uninsured drivers
  • Drivers without insurance that are involved in accidents with people who are insured drive up costs, as the carriers and victims of these accidents are typically left to foot the bill from the accident.
• Policyholder-Specific Factors
  • Personal Claims History and Policy Changes: Individual claims history and adjustments in policy coverage can lead to higher premiums.