10 Best Car Insurance Companies in Colorado [2021 Update]
Most of the car insurance Colorado drivers are offered is slightly more expensive than the US average. This is mainly due to the state’s high vehicle theft rate, the significant number of uninsured drivers, and the frequent risk of natural disasters. However, by shopping around and getting quotes from the right companies, you can pay way below the average price.
To make things easier, we ranked the cheapest and the best insurers. There’s other helpful info in here too, like a short guide on common discounts as well as Colorado’s insurance laws. We even researched which companies offer the most affordable insurance in the five biggest cities. If you’re searching for dirt-cheap, high-quality car insurance in Colorado, you’ll find all your answers here.
The Cheapest and the Best Car Insurance Companies in Colorado
- Overall Winner: CSAA Insurance Group
- Runner Up: State Farm
- Cheapest Option: Progressive
- Best for the Military: USAA insurance
- Best for Senior Drivers: The Hartford
The Overall Winner: CSAA Insurance Group
Unlike in our Texas guide, the choice for best car insurer in Colorado was easy. CSAA Insurance Group stands out from the pack due to its affordable rates and decent record in customer service. CSAA is the largest branch of AAA, meaning you’ll get all the benefits of its club membership. These include perks like free roadside assistance, travel vouchers, rental car discounts, and even free passport photos.
On top of that, CSAA offers reasonable Colorado car insurance rates, though it’s slightly more expensive than Progressive. Additionally, its customer service record is better than several insurance companies in J.D. Power’s 2019 regional ratings in Colorado.
The only significant downside of CSAA is that its financial strength isn’t as good as that of the biggest US insurers. For instance, State Farm’s A. M. Best rating is “A++,” while CSAA’s is only “A.” Nonetheless, this may have to do more with the way AAA clubs are organized than with CSAA’s weak financial operations.
Choose CSAA for the many benefits that come with being an AAA club member, and its relatively cheap auto insurance in Colorado.
Look elsewhere if you want the best financial strength.
The Runner Up: State Farm
If you like what CSAA has to offer, but you want a financially stronger company, State Farm is a terrific alternative. The company has the highest market share out of any US insurer, and its business savviness is reflected in its superior financial strength. Its A. M. Best rating is “A++” or “Superior”—the highest possible.
On top of its premier financial stability, State Farms gets excellent scores in customer service. It’s the second best Colorado auto insurance company in J.D. Power’s 2019 regional rankings, with a perfect score of five stars. Additionally, State Farm offers sleek online tools and a variety of optional coverages and discounts.
The most significant disadvantage of State Farm is its higher prices, especially for younger drivers. Nevertheless, for middle-aged and senior drivers, its insurance might be worth the extra outlay.
Choose State Farm for excellent financial strength and high-quality customer service.
Look elsewhere if you are a young driver looking for affordable insurance.
The Cheapest Option: Progressive
Out of all companies we checked, Progressive auto insurance in Colorado by far is the cheapest. Additionally, Progressive specializes in high-risk drivers, meaning it won’t overcharge them, unlike some other insurers. And it’s not only affordability that makes Progressive appealing. Its online tools and quoting system are among the best in the market. Progressive also offers a number of optional coverages and useful features that will satisfy even the pickiest shoppers.
Nonetheless, its customer service scores are below par. Progressive gets only two out of five stars in the 2019 J.D. Power regional study. However, no insurer is perfect, and if you want to get the lowest rates, Progressive should be your starting point.
Choose Progressive for the cheapest auto insurance in Colorado and slick online tools.
Look elsewhere if you want the best customer service.
The Best for the Military: USAA insurance
Giving USAA an award for the best car insurance company for the military is a constant in our guides. The company sells its products only to US army members and their families. But for this restricted group, it’s a superior option. Whether you’re looking for a basic liability policy or full coverage auto insurance in Colorado, USAA offers everything you could ask for.
That includes top-of-the-line customer service, reasonable prices, a polished website, and superior financial strength. The only reason we aren’t ranking USAA as the best insurer in Colorado is its limited availability. However, if you can obtain their auto insurance, we cannot think of a rival that performs better.
Choose USAA for its superior overall performance.
Look elsewhere if you are not a member of the US army or close family.
The Best for Senior Drivers: The Hartford
Since an AARP membership is required for The Hartford insurance, we didn’t include this company in our comparison of auto insurance quotes in Colorado. Nonetheless, we verified that this insurer offers affordable rates, especially for older drivers. Additionally, the Hartford excels in customer service, coming at the top of the 2019’s J.D. Power regional study with full five stars. Furthermore, the insurer has the second-best A. M. Best rating in financial strength: “A+,” or “Superior.”
The Hartford insurance even comes with the benefits of an AARP membership, including discounts in restaurants, bookstores, and pharmacies. Overall, The Hartford isn’t just the best option for senior drivers, it’s an excellent alternative to the all-conquering CSAA for all age demographics.
Choose The Hartford for its excellent scores across the board and unique benefits for senior drivers.
Look elsewhere if you want the best financial strength or the lowest prices.
Another Affordable Option: Geico Insurance
Our list of the best and the cheapest auto insurance options in Colorado wouldn’t be complete without Geico. The company offers reasonable prices, market-leading online tools, and a sufficient number of discounts to satisfy most customers. Additionally, when it comes to financial strength, Geico delivers. Its A. M. Best rating is the highest possible, “A++.” On top of that, Geico’s a subsidiary of Berkshire Hathaway, the third US company on 2018’s Fortune 500 list.
However, Geico has one glaring weakness, and that’s its Colorado customer service ratings. The company scores only three out of five stars in J.D. Power’s regional rankings. Despite this, Geico may be a solid choice, especially for younger customers.
Choose Geico for its affordable rates, first-rate financial strength, and polished online tools.
Look elsewhere if you want reliable customer service.
Cheap auto insurance in Colorado by City
We obtained auto insurance quotes in the five most populated cities in Colorado to determine which companies offer high-quality, affordable insurance. We chose full coverage limits, which means we selected uninsured/undesired motorist coverage, together with comprehensive and collision insurance, each with a $500 deductible. A driver with a clean record driving a 2018 Honda Accord was the reference we used for our car insurance quotes in the following Colorado cities.
Denver is the most populous city in Colorado. It’s called the Mile High City because its elevation is exactly one mile (5280 feet). Its rarified air makes alcoholic drinks hit stronger, and golf balls travel faster than they do at sea level. The higher altitude even makes water boil at the lower temperature of 202 degrees. Denver also has a strong sports tradition. The Denver Broncos are one of the most decorated NFL franchises, and the Denver Nuggets, led by Serbian basketball savant Nikola Jokic, have only improved their rankings for the last six seasons.
The Mile High City is also the most expensive one in Colorado, but there are still some high-quality, cheap car insurance options in Denver. Progressive is the most affordable, while Geico, CSAA, and Allstate all offer reasonable prices. CSAA would be our top pick since that company scores best in the customer service department. Additionally, you’ll get the perks of being a AAA member, like free roadside assistance and discounts at selected shops and hotels.
Colorado Springs is the largest city by area and the second most populous in Colorado. It’s home to the United States Olympic Committee and 23 other national governing athletic bodies. In the 1890s, it was also a place where Nikola Tesla conducted experiments on wireless electricity. U.S. News named Colorado Springs the most desirable place to live in the US in 2018.
The average elevation may be higher in Colorado Springs than in Denver, but car insurance prices aren’t. Based on our car insurance quotes comparison in Colorado Springs, the median price is $38 lower than in the capital. Progressive is the most affordable option, but we think CSAA still has an edge due to better customer service. Geico is also a reasonably priced insurer that scores well in all departments, while American Family offers good rates, but only for senior drivers.
Aurora is one of the largest Denver suburbs. It recently surpassed the Mile High City in total area by 1.7 square miles. The town is famous for its craft beer scene, with over ten excellent micro-breweries calling Aurora home. Palatable beer isn’t the only upside of living in Aurora. BetterDoctor ranked Aurora as the most active city in the US in 2015, meaning its residents take their exercise seriously.
Based on our car insurance quotes in Colorado, Aurora is less expensive than Denver but pricier than Colorado Springs. For younger driver’s, Progressive, Geico, and CSAA stand out as the best options. Middle-aged drivers should give State Farm a chance too. Seniors are spoiled for choice since all the insurers in our quote comparison offer reasonably cheap auto insurance for Colorado drivers in that demographic. We also heartily recommend The Hartford for older customers here.
Aurora may be famous for its craft beer scene, but Fort Collins is the state leader in this area. More than 70% of Colorado’s craft beer is produced in Fort Collins. The nearby Rocky Mountains provide fresh snowmelt for Cache la Poudre River, which makes it a perfect setting to brew beer. Fort Collins is also one of the most bicycle-friendly places in the US. It’s one of only five towns that was awarded the title of Platinum Level Bike-Friendly Community by the League of American Bicyclists.
Getting around on a bike may be all the rage in Fort Collins, but traveling by car isn’t shabby either. The city has the cheapest car insurance in Colorado. The monthly average for full coverage is only $254, which is more than $50 less than Lakewood, the next least expensive city. For younger customers, CSAA, Geico, and Progressive are all great options. CSAA leads the way since it’s the number one company in customer satisfaction in Colorado. More experienced drivers will enjoy the low rates and first-rate customer service from American Family and State Farm too.
Lakewood is the fifth most populous city in Colorado. It’s located west of Denver, and it’s part of the Denver-Lakewood-Aurora metropolitan area. According to recent research, Lakewood is a great place to live. The city’s unemployment rate is 6% lower than the US average, while the average household income is 5% higher.
Lakewood is also a terrific location for those looking for affordable car insurance in Colorado. The city is the second least expensive, after Fort Collins. Progressive is the single most affordable option, while American Family sticks out as a more expensive insurer. Older drivers in particular have a great choice, since all the companies we tested offer reasonable prices. They should give a chance to The Hartford, too, based on the company’s additional benefits and excellent customer service scores.
What Is the Average Car Insurance Price in Colorado?
The average car insurance cost in Colorado is $321 per month. We based that number on quotes from the biggest insurers in Colorado across three different age demographics. We requested full coverage limits, meaning we selected higher liability coverage than the minimum. Additionally, we purchased uninsured/underinsured, comprehensive, and collision plans, each with a $500 deductible.
Discounts on Auto insurance in Colorado
Good Driving Discount
If you’ve had your car insurance with the same company for an extended period without a violation or an accident, you could receive a discount. The exact period varies from three to five years, depending on the insurance company.
If you’re protecting various vehicles or buying different kinds of policies from the same company, you’re bound to save.
Good Student Discount
Teens and students can get a discount on car insurance in Colorado by maintaining a GPA of 3.0 (B) or higher. Drivers under 21 can also qualify for an even higher premium reduction by completing a certified training program.
Tracking Driving Habits
Many insurers offer a program where they grant you a discount based on your driving habits. You’ll either need to install a tracking device in your vehicle or use a mobile app. The insurance company will monitor how safely you drive and whether you often drive at night. If the results qualify, you can get up to a 50% discount. Be careful, though—some insurers may increase your rates if your results are subpar.
Safety Features Discount
This is one of the easiest ways to get affordable car insurance in Colorado. Common factory-installed safety mechanisms like antilock brakes, airbags, and anti-theft devices can get you lower rates for collision/comprehensive coverage.
You can often save up to 10% by paying the entire premium before the policy’s first effective date. Furthermore, many insurers will grant you an additional 5% if you opt to handle your policy fully electronically.
Colorado Car Insurance Laws
Colorado’s Minimum Insurance Requirements
When it comes to minimum car insurance limits, Colorado’s car insurance laws are relatively lenient. Here are the coverages you must carry:
Bodily Injury Liability – $25,000 per person/$50,000 per accident
This coverage pays for the injuries you’ve caused to others in an at-fault accident (it may include other medical expenses too).
Property Damage Liability – $15,000
This coverage reimburses the damage to other people’s property that you’ve caused in an at-fault accident. Most often, that property is their car, but it may also include personal property and items such as fences and mailboxes.
These Colorado auto insurance minimums are the only coverages that drivers must carry. In fact, uninsured/underinsured motorist coverage is not mandatory in this state. Additionally, no-fault insurance (personal injury protection) is not even available in Colorado, meaning you’ll need to purchase MedPay coverage if you want to have medical protection regardless of who was at fault.
SR22 Insurance in Colorado
SR22 isn’t a coverage type but a form that your insurance company has to fill out and send to the nearest DMV after a severe violation. It serves as proof that your auto insurance policy carries sufficient limits. You will likely need an SR22 form after driving under the influence or inflicting bodily injury in an at-fault accident. Once you enter the program, the government will track your driving record for three years, in accordance with Colorado law. Once that time period passes, you’ll be fit to buy regular auto insurance again.
The majority of the state’s insurance companies can provide this certificate, meaning you’ll still be able to shop around for the best coverage if you need an SR22 form in Colorado.
Driving in Colorado When You Aren’t a Full-Time Resident
If you’re licensed in another state, you can drive up to 90 days in Colorado. If you plan to stay longer, you’ll need to apply for a Colorado driving license.
No-Fault Laws and Price Optimization
Colorado isn’t a no-fault state, meaning the at-fault driver’s liability insurance is the only mandatory coverage that pays for medical expenses. Nonetheless, you can still add MedPay to your Colorado car insurance policy, or even rely on your regular health insurance in some instances.
While the absence of a no-fault system makes getting reimbursed for medical expenses more complicated, we prefer it this way. That’s because car insurance price statistics show that no-fault laws substantially increase auto insurance costs. The worst offender is Michigan, which has the highest car insurance premiums in the US due to its limitless no-fault system.
When it comes to price optimization, Colorado Commissioner Marguerite Salazar issued Bulletin B-5.36 in 2015, putting the procedure under significant pressure. It defines price optimization as “ratemaking methodologies [that] make use of data analysis techniques that measure the willingness of individual insureds to pay higher rates for insurance coverage than other insureds with similar underwriting characteristics.” In simpler language, it means that an insurer could charge you more for auto insurance in Colorado if they estimate that you are unlikely to leave them for a better offer. This bulletin notes that such a practice is against the law. It is even monitored—Colorado insurers now have to deliver their rating strategies for a review.
This is great news because now you know that an insurer you like won’t overcharge you if you remain a loyal customer. Nonetheless, we would still recommend shopping around from time to time.
Tips for Finding Cheap Colorado Auto Insurance
Compare Multiple Quotes
Many factors determine the final price of your car insurance. First, there’s your profile, which includes things such as your age, experience, previous violations, and the model of your car.
Second, insurance companies often have different market strategies. For instance, MetLife always strives to offer a good deal to its associated employees, while Progressive specializes in high-risk drivers. State Farm is expensive, but it offers many perks and optional coverages, while Texas Farm Bureau is affordable, but it offers only basic insurance.
Since so many factors determine your rate, it’s wise to get quotes from various Colorado auto insurance companies. Don’t overdo it, but we would include at least five different insurers. The whole ordeal shouldn’t take more than one afternoon.
When you’re making your shortlist of car insurance companies, you need to know a little about their prices and the quality of their products. However, every insurer advertises low prices and superior service.
That’s where reading expert car insurance reviews can help. They provide price comparisons, customer service ratings, and data on discounts and optional coverages. On our site, you can find 22+ reviews, and we always recommend—even if you prefer a specific insurer—checking other insurance reviews too. We often found that we generally agreed with other experts, but there are always going to be subtle differences.
Check the Discounts
The easiest way to get cheap car insurance in Colorado is by taking full advantage of the discounts. Start out by researching different companies and shortlisting only those that offer the discounts you qualify for. After that, make sure to select all the discounts you can get. In an online quote, that’s just a couple of clicks. If you communicate with an agent by phone, it may be more complicated, but remind them to mention all the available discounts.
Sometimes, it’s even worth taking proactive measures to reduce your premium further. For a senior customer, that may mean passing a defensive driving course, while for a student, that’s maintaining good grades.
Frequently Asked Questions
1. What are the minimum auto insurance requirements in Colorado state?
Colorado’s minimum auto insurance requirements are much less demanding than most states and only include the following:
- Bodily Injury Liability – $25,000 per person and $50,000 per accident
- Property Damage Liability – $15,000
Beyond these two, no other coverage is mandatory.
2. How much is car insurance in Colorado?
We got quotes from multiple Colorado insurers for three different age demographics in the five biggest cities. Our quote was for full coverage, meaning we selected higher liability limits than the minimum. Additionally, we purchased comprehensive and collision car insurance, each with a $500 deductible. Our average price was $321 per month. If you select lower limits or choose a more affordable insurer, expect to pay around $180 per month.
3. What is full coverage auto insurance in Colorado?
There’s no universal definition of full coverage insurance. Instead, it represents an insurance plan that leaves you completely protected.
Our version of full coverage would include $50,000/$100,000 in liability limits, together with comprehensive and collision coverages, each with $500 deductibles. We would also add uninsured/underinsured motorist coverage. If possible, we would base our medical coverage on our current health insurance or add MedPay insurance.
4. Does Colorado have no-fault car insurance?
No. Colorado has the at-fault insurance system, meaning that the liability coverage of the driver who caused the crash covers the medical expenses. Personal injury protection isn’t even available in Colorado. The state of Colorado changed from no-fault to at-fault insurance back in 2003.
5. How long does a traffic violation stay on your record in Colorado?
Your driving record is permanents, but most car insurance companies in Colorado look back up to five years for violations.