The Cheapest Car Insurance in Colorado for 2022
The cheapest car insurance in Colorado is from GEICO, at an average of $360 per year for a minimum coverage policy.
MoneyGeek reviewed car insurance rates across Colorado to find the cheapest options for different driver profiles. Whereas State Farm is the most affordable option for seniors, Allstate is better for young drivers. You could save up to $1,326 per year by comparing quotes in Colorado.
REVIEW AUTO INSURANCE RATES
The Cheapest Car Insurance in Colorado
For drivers looking for affordable auto insurance policies, MoneyGeek broke down the cheapest car insurance companies in Colorado by city. If you’re looking for a combination of quality and service, MoneyGeek also looked into the best car insurance companies in Colorado.
Why Trust MoneyGeek? Colorado car insurance rates in this study are based on our analysis of data and information from the Colorado Department of Insurance and Quadrant Information Services.
These rates were updated in August 2022 to reflect how car insurance rates in Colorado have changed up to this month.
Cheapest Minimum Liability Car Insurance in Colorado
Car insurance rates in Colorado are calculated based on various factors. The cheapest auto insurance policy in Colorado is a liability coverage policy that meets the state’s minimum insurance requirements.
On average, the companies with the lowest rates for minimum liability coverage in Colorado are:
- GEICO: $360 per year
- State Farm: $538 per year
The cheapest car insurance for military members and their families in Colorado is USAA at an average of $285 per year. The most expensive company is Progressive, which charges around $1,320 per year for similar coverage.
CHEAPEST MINIMUM CAR INSURANCE IN COLORADO
These prices are only estimates based on rates for an average Colorado driver and should not be used to compare insurance prices.
Compare Insurance Rates
Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.
Cheapest Full Coverage Car Insurance in Colorado
While full coverage car insurance costs more than the minimum liability coverage, this policy provides far more protection, including coverage for your own medical and car repair costs. Comparing auto insurance quotes from several companies can help you find the best rates in the state.
The cheapest companies for full coverage insurance in Colorado are, on average:
- GEICO: $841 per year
- Travelers: $1,002 per year
USAA is the cheapest full coverage car insurance in Colorado at an average cost of $671 per year. However, it is only available for military members, veterans and their families. The company with the highest rates for full coverage is Progressive, with an average annual cost of $1,997.
CHEAPEST FULL COVERAGE CAR INSURANCE IN COLORADO
The prices highlighted above are for an average driver in Colorado for a policy with comprehensive and collision insurance with $100,000 for bodily injury liability per person, $300,000 for bodily injury liability per accident and $100,000 for property damage per accident.
How to Compare Cheap Colorado Car Insurance Quotes Online
The majority of auto insurance companies in Colorado allow you to request a quote through their websites.
- While requesting car insurance quotes in Colorado, specify the same coverage limits for all providers. For example, if you request a quote for $50,000 in bodily liability insurance per accident from one company, be sure to specify the same figure for all other providers.
- To quickly compare companies in Colorado, MoneyGeek’s car insurance calculator can help you compare quote estimates for average Colorado drivers. If you are looking for personalized quotes, you’ll have to enter more information.
- USAA, GEICO and State Farm are the top three cheap car insurance providers for a minimum liability policy.
Auto Insurance Calculator
See how the Average Annual Auto Insurance Rates vary with the options chosen.
Cheapest Car Insurance in Colorado for Young Drivers
Age is also an important factor that impacts the cost of car insurance in Colorado. Insurance providers consider young drivers as riskier to insure. Therefore, young drivers tend to pay higher rates. On average, the annual premium for 16-year-old drivers in Colorado is $3,631. A 25-year-old, on the other hand, pays an average of $1,433 per year.
Based on average rates, Allstate is the cheapest company for young drivers between the ages of 16 and 20. Meanwhile, GEICO is most commonly the cheapest for those who are between 21 and 25 years old.
ANNUAL CAR INSURANCE IN COLORADO FOR YOUNG DRIVERS
In Colorado, insurers view young drivers as riskier to insure due to their inexperience behind the wheel. As a result, they tend to charge young drivers more for insurance. However, requesting discounts or getting added to their parent’s policy can help these drivers save money.
Additionally, the cheapest cost of car insurance for a 16-year-old is $2,348 with Allstate compared to only $879 for a 25-year-old with GEICO. Shopping around can help young drivers get the best rates.
Cheapest Car Insurance in Colorado for Seniors
If you are a resident of Colorado and a senior driver, your car insurance rates may be higher than middle-aged drivers. The average cost of car insurance for senior drivers in the state is $1,519 per year, which is roughly $120 more than a 40-year-old driver with similar coverage would pay.
On average, the cheapest providers in Colorado for senior drivers with full coverage are:
- State Farm: $1,087 per year
- Allstate: $1,118 per year
USAA is the cheapest car insurance for senior drivers in Colorado, at an average of $760 per year. This option is only available for military members, veterans and their families. Farmers has the highest average rates for Colorado seniors, with a typical annual premium of around $2,127.
CHEAPEST CAR INSURANCE RATES FOR SENIORS
Colorado state law requires senior drivers to renew driver's licenses every five years. Many seniors find that their car insurance rates increase with age. While some insurance companies may raise rates for older drivers, there are discounts for older drivers. If you drive infrequently or have a vehicle with enhanced safety features, you may qualify for additional discounts.
In addition to discounted rates, senior drivers can save up to $1,040 per year on auto insurance premiums by shopping around and finding the cheapest rates.
Cheapest Car Insurance for Drivers With Tickets in Colorado
Minor traffic violations, such as speeding tickets, can increase your car insurance rates significantly. Drivers in Colorado pay an average of $1,641 per year with a ticket, which is roughly $242 more than drivers with no violations.
The cheapest average car insurance providers in Colorado for full coverage with a speeding ticket are:
- GEICO: $1,069 per year
- State Farm: $1,207 per year
At around $818 per year, USAA is the cheapest option for drivers with tickets. However, it is only available for military members, veterans and their families. Progressive is the most costly option at an average of $2,464 per year.
AVERAGE CAR INSURANCE RATES WITH A TICKET
Having a ticket on your record for speeding or distracted driving can increase your car insurance premium. According to the National Highway Traffic Safety Administration (NHTSA), 588 Colorado car accidents were caused by distracted driving in 2018. Driving while distracted can cause accidents, so some insurers see tickets as a risk. Colorado state laws prohibit all handheld device use for drivers younger than 18 and prohibit text messaging for all drivers, according to the Governors Highway Safety Association. Avoiding distracted driving can help keep you safe and help you maintain lower insurance costs.
If you get a speeding or distracted driving ticket, your insurance rates may go up. Your insurer can also re-evaluate your rate if you get a moving violation, but you can also look for other insurance options. Shopping around after you get a ticket may help you find lower rates than your current provider offers.
Cheapest Car Insurance for Drivers With a DUI in Colorado
On average, auto insurance costs for drivers with a driving under the influence (DUI) conviction are $2,109 yearly, while drivers with a clean record pay $1,399 for similar coverage.
The cheapest companies for car insurance for drivers with a DUI in Colorado are, on average:
- State Farm: $1,207 per year
- Allstate: $1,480 per year
USAA is the second most affordable annual coverage for military members and their families at $1,300. Conversely, Farmers offers the most expensive annual car insurance for drivers with DUIs at approximately $2,488.
AVERAGE CAR INSURANCE RATES WITH A DUI
If you get a DUI, you'll likely pay hefty fines and court fees. Additionally, your insurance premium is likely to spike. When you have a DUI on your record in Colorado, you may need to shop around for affordable car insurance.
Comparing coverage costs can save you up to $1,281 annually after a DUI. Additionally, avoiding drinking and driving to improve your driving record can save you money.
Cheapest in Colorado for Drivers With an At-Fault Accident
Car insurance premium prices increase after an at-fault accident. In Colorado, drivers with an at-fault accident pay an average of $2,006 per year.
In Colorado, the cheapest car insurance policy providers for drivers with at-fault accidents are, on average:
- State Farm: $1,296 per year
- Travelers: $1,321 per year
USAA is the cheapest option for drivers with at-fault accidents in Colorado at approximately $961 per year. However, only military families are eligible for USAA policies. At roughly $3,231 annually, Progressive is the priciest option.
CHEAPEST CAR INSURANCE WITH AN AT-FAULT ACCIDENT
Cheapest Car Insurance in Colorado for Drivers With Bad Credit
Car insurance companies in Colorado consider credit score as a factor when calculating their annual rates. Drivers with bad scores are required to pay higher premiums than those with strong credit. In fact, Colorado drivers with poor credit scores pay an average of $1,000 more than a driver with good credit.
Insurance companies that provide the cheapest full coverage rates for drivers with bad credit scores in the state are, on average:
- GEICO: $1,234 per year
- Travelers: $1,526 per year
USAA offers military members and their families an affordable option at $1,186 per year on average. At around $3,354 annually, Progressive is the most expensive option for drivers with bad credit.
CHEAPEST CAR INSURANCE RATES FOR DRIVERS WITH BAD CREDIT
In Colorado, many insurance companies use credit scores as a factor to determine car insurance rates. If you have poor credit, you may want to compare rates from multiple insurers to find the best rates in Colorado.
Depending on the insurer you choose, you might be able to save up to $2,120 per year, even if you have a poor credit score. While it can take time to improve your credit score, doing so could also help lower your car insurance premiums and improve other areas of your financial life in the long run.
Cheapest Car Insurance in Colorado for Military Drivers
If you are a veteran or active military member, the cheapest car insurance in Colorado is USAA. Compared to the second cheapest company, GEICO, car insurance from USAA is $75 per year less expensive. However, USAA policies are only available to drivers with a military background.
- Average rate: $285 per year
- Ranks 1st out of 10 insurers
USAA offers significantly cheaper rates for car insurance in Colorado compared to other providers. You can save even more on your premiums by taking advantage of the various discounts USAA offers, including bundling and multiple car discounts. You can also get discounted rates for taking an approved defensive driving course, sticking with USAA for a specific period and having a vehicle less than three years old.
Cheapest Car Insurance in Colorado by City
Car insurance costs may also vary greatly within a state, depending on the city where you live. For instance, drivers from Fort Collins pay the cheapest car insurance in Colorado. The average rate in the city is $1,112 per year. The average cost of insurance in the most expensive city, Pueblo, is $1,518 per year. These rates are based on a car insurance policy with full coverage.
Click your city to learn more about auto insurance in your area.
AVERAGE INSURANCE RATE BY CITY IN COLORADO
Car Insurance in Colorado: What You Need to Know
Although there are some alternatives to auto insurance, Colorado requires all drivers to present proof of coverage and meet the state minimum requirements.
Colorado Insurance Requirements
You must prove that you carry at least the minimum required Colorado auto insurance in the form of an insurance card or a picture on a cell phone. Colorado will also accept the following as proof:
- A copy of your car insurance policy
- A letter from your insurance company, if it shows the company letterhead
- A computer printout from an insurer
- A faxed of proof of insurance
- Email from your car insurer
You'll need to show proof of auto insurance in Colorado:
- When you register your vehicle (or renew the registration)
- If a law enforcement officer asks for it
- If you are in a crash
The following minimum coverages are required by the state:
- $25,000 for bodily injury or death to one person in an accident
- $50,000 for bodily injury or death to all persons in any one accident
- $15,000 for property damage in any one accident
Colorado's minimum liability coverage is cheap, but it’s well below the recommended coverage levels. $50,000 is often not enough to cover all the costs in an accident.
Many consumer advocates recommend that policyholders get at least $100,000/$300,000 in liability coverage per person and per accident, respectively.
Although there is an alternative to car insurance in Colorado, it is not cheap. Drivers must pay $35,000 in cash or hold a surety bond in the same amount.
Colorado has a high-risk auto insurance program — the Colorado Motor Vehicle Insurance Plan (CO AIP) — created to provide automobile insurance to eligible drivers who could not get coverage otherwise. Check with your insurance company to see if you qualify for CO AIP.
FAQs About Car Insurance in Colorado
Car insurance questions in Colorado revolve around coverage limits and costs. Some of the most common FAQs include:
Expert Advice on Finding Cheap Car Insurance in Colorado
To help you find credible and accurate insight on car insurance in Colorado, MoneyGeek received expert advice from trusted professionals. The perspectives and opinions expressed are those of the individual contributor.
- What are the key factors drivers in Colorado should look for when searching for the best auto insurance coverage?
- What steps can drivers in Colorado take to find affordable car insurance?
Sorenson Distinguished Professor of Finance at the University of Denver
John J. Gilbert Endowed Professor and Director, School of Accountancy at the University of Denver
About the Author
- Centers for Disease Control. "Sobering Facts: Alcohol-Impaired Driving State Fact Sheets." Accessed December 13, 2020.
- Colorado General Assembly. "Mandatory Automobile Insurance in Colorado." Accessed March 13, 2020.
- Experian. "2019 Consumer Credit Review." Accessed March 13, 2020.
- Insurance Information Institute. "Auto Rate Setting." Accessed March 13, 2020.
- National Highway Traffic Safety Administration (NHTSA). "2018 Fatality Analysis Reporting System (FARS)." Accessed March 13, 2020.