Variety is the spice of life. Colorado residents have no shortage of variety in their home state, from spans of dry desert to beautiful green mountains and weather that can turn from sunshine to snow in no time at all.
Fortunately, one thing Colorado residents don't have to deal with is wide variety when it comes to insurance prices. Compared to national averages, Colorado falls in the middle in terms of homeowner, auto, and health insurance. But there are still plenty of ways to save money on Colorado insurance rates, and knowing coverage basics is the first step.
Auto Insurance
Your Colorado auto insurance rates should include liability coverage. This means that in the event you are found at-fault in an accident, your coverage will pay for the other party's expenses. Colorado minimums include:
- Bodily Injury: $25,000/$50,000 (meaning your company will pay medical expenses up to $25,000 for one person and up to $50,000 for everyone in the car)
- Property Damage: $15,000
These are bare minimums and don't cover expenses for your own car and injuries. If you want your car covered, add comprehensive and collision coverage. And if you want protection against uninsured drivers (an estimated 15% of drivers in Colorado), add that as well.
Home Insurance
Unlike auto insurance, with homeowners insurance there are no minimums—you simply need to have it. Colorado insurance for homeowners can get complicated. There are six main types to choose from:
- HO-2. This covers your home from damage from the most common perils: fire, lightning, wind or hail, and theft. This is the most basic of policies.
- HO-3. This protects your home from 16 types of perils. Keep in mind that this excludes flood, earthquake, war, and any other exclusions listed in your policy. This is the most common policy.
- HO-4. This renters' coverage insures a renter's possessions, loss of use, liability, and medical payments as a result of injury.
- HO-5. This is a premium policy that not only covers your home from all the perils that HO-3 covers, but it also protects your personal belongings as well.
- HO-6. This policy for condo owners covers condos against the most common perils as well as personal liability and medical payments.
- HO-8. This is a cash value property designed for older homes that may have a lower market value than replacement cost. It covers the structure and contents.
As you can see, there are different policies to choose from and plenty to keep in mind, like whether to add flood coverage or contents insurance.
Saving on Your Colorado Insurance Rates
Because you want to get the most for your money, it's a good idea to shop around and compare rates. The quickest, easiest way to do this is through a site like localinsurance.com. Here, you can find Colorado insurance rates for all types of Colorado insurance in your area, then compare rates so you know you're getting the best coverage at the best price.
