Non-Owner Car Insurance in Colorado

Colorado has seven insurers that offer non-owner car insurance, with American National providing the cheapest non-owner policy at $38 per month. That's a savings of $46 compared to the most expensive option, making it worth your time to shop around. 

You'll need to call insurers directly since online quote tools aren't available for non-owner coverage, and not all major carriers provide this type of policy.

Traditional car insurance costs more because it includes comprehensive and collision coverage for your vehicle, while non-owner insurance is one of the more affordable types of car insurance since it's liability-only. 

Non-owner policies meet Colorado's minimum requirements by covering property damage and injuries you cause to others. You'll pay less, but you won't have protection for damage to your own vehicle.

The seven insurers in our comparison average $61 monthly for non-owner car insurance, while Colorado's overall average runs $78 per month or $938 annually. Rates vary based on market data, showing potential savings when you compare quotes from multiple providers.

Several factors affect non-owner car insurance rates in Colorado, though your personal characteristics and choices matter more than state laws.

• Choice of insurer: Rates vary between companies. American National offers the most affordable option at $38 monthly, while Auto-Owners charges $84 for similar coverage. Shopping around can save you significant money.

• Driver age and experience: Age impacts your premiums across all insurance types. In Colorado, seniors pay the least at $60 monthly, young drivers pay $62, and adults face the highest rates at $73 per month.

• Driving history: Your record directly affects what you'll pay. Clean driving keeps costs down, but an accident raises your monthly premium to $81, and a DUI pushes it to $84 per month.

• Coverage limits: Higher liability limits increase your costs. Basic minimum coverage runs $78 monthly, while full coverage with higher limits jumps to $118 per month.

If you rent cars frequently, borrow vehicles from friends or need to file an SR-22 without owning a car, non-owner insurance might be what you're looking for. Non-owner car insurance provides liability coverage for individuals who drive but don't own a vehicle. This type of policy meets Colorado's minimum liability requirements of $25,000 for bodily injury per person, $50,000 per accident, and $15,000 for property damage.

The policy doesn't cover damage to the vehicle you're driving, which is an important limitation to understand. It covers liability for injuries and damages you cause to others when you're behind the wheel. When borrowing a car, non-owner insurance provides liability coverage for you as the driver. When renting a car, though, non-owner insurance may not cover rental vehicles, so you might need additional coverage from the rental company.

Non-owner car insurance is a legitimate product that's fully recognized in Colorado. This type of coverage meets the state's financial responsibility requirements for drivers who don't own a vehicle and can fulfill SR-22 requirements when the state mandates them. 

Getting non-owner coverage means you'll need to call insurance companies directly or work with an agent. Online quotes aren't available for these specialized policies, so you won't see this option on insurer websites. MoneyGeek found average rates and phone numbers for insurers who offer policies in Colorado.

Non-owner insurance works for Colorado drivers who don't own vehicles but frequently rent or borrow cars, need continuous coverage, or must meet license reinstatement requirements.

• Regular car rentals: Rental companies charge daily liability fees that add up quickly. A non-owner policy provides consistent coverage across all rentals while saving money for frequent renters compared to paying daily rental insurance rates.
• Frequent vehicle borrowing: When you regularly drive friends' or family members' cars, their insurance covers accidents you cause, but their rates go up. Your non-owner policy pays claims first, protecting the their premiums from increases.
• License reinstatement: Colorado requires proof of insurance to reinstate suspended licenses. A non-owner policy meets this state requirement even when you don't own a vehicle, helping you get back on the road legally.
• Maintaining continuous coverage: Coverage gaps cause future insurance rates to increase. A non-owner policy keeps your insurance history clean, preventing rate increases when you eventually buy a car.

A non-owner policy isn't appropriate for those who:

• Own a vehicle (standard auto policies are required instead)
• Drive infrequently (occasional borrowing doesn't justify the ongoing cost)
• Have access to household vehicle insurance (getting added to that policy is better)
• Need coverage for just one trip (rental company insurance handles single-use situations)

Here are answers to common questions about non-owner insurance in Colorado:

MoneyGeek gathered Colorado auto insurance rates from the Colorado Division of Insurance and Quadrant Information Services. We analyzed 240 car insurance quotes from seven providers and determined the state's most affordable and best options.

Coverage Levels

We evaluated non-owner car insurance rates from companies in Colorado at minimum coverage levels. Colorado's minimum coverage requires:

• $25,000 for bodily injury liability per person
• $50,000 for bodily injury liability per accident
• $15,000 for property damage liability per accident

Drivers and Cars in Colorado

We used a standardized driver profile having these characteristics to identify the most affordable and best companies for non-owner car insurance in Colorado:

• 40-year-old male
• Clean driving record
• Good credit history

Learn more about MoneyGeek's car insurance methodology.