1. Home
  2. The Best Cheap Homeowners Insurance in Colorado

The 5 Best Homeowners Insurance Companies in Colorado

Price is just one of the factors you should consider when looking for the right policy. However, you also need to ensure that your insurance comprehensively covers your needs. Taking into account factors like coverage options, quality of customer service, pricing and the ability to pay claims can help you choose the best homeowners insurance policy possible.

To help you choose the best homeowners insurance in Colorado, MoneyGeek has ranked the top five companies in the state based on several factors, including the cost of their policies, their J.D. Power customer satisfaction ratings and their ability to pay claims according to AM Best’s financial stability rating.


1

USAAScore: 92

4.3/5

Affordability

5/5

User Satisfaction

5/5

Financial Stability


USAA provides excellent customer service and generally affordable prices. Policies can be bundled for discounts, and their homeowners insurance policies come with identity theft coverage. You can even report and view claims using their mobile app. However, USAA has a closed membership structure, offering their policies only to past and present members of the military and eligible family members.

2

Auto-Owners Insurance CoScore: 91

4.5/5

Affordability

4.5/5

User Satisfaction

5/5

Financial Stability


Auto-Owners boasts an excellent financial rating and can be a great option if you like a personal touch. Policyholders in Colorado can communicate directly with their personal agents and take advantage of multiple policy options. They offer discounts for fully paid premiums, new or renovated homes and protection devices. They also provide discounts for seniors. Auto-Owners’ large network of agents ensures excellent customer service. Their website, while basic, provides adequate information about the available products and service options.

3

AllstateScore: 90

4.7/5

Affordability

4.2/5

User Satisfaction

4.5/5

Financial Stability


In Colorado, Allstate offers personalized service through its network of agents. Several technology features come with an Allstate policy, including a mobile app, online bill payments, a common and costly claims tool and an online claims application. Apart from standard and extended coverage, you can also purchase liability protection, personal property coverage, discounts for safe homes and multiple policies, storm shutters, hail-resistant roofs and smoke-free homes.

Read MoneyGeek's Allstate Home Insurance Review

4

State FarmScore: 89

4.5/5

Affordability

4.1/5

User Satisfaction

5/5

Financial Stability


State Farm offers a wide variety of property insurance policies, with coverage for homes, personal property, liability protection and replacement value. Special deals are available for customers with smart home monitoring systems. An online quoting system can be used to get quotes in very little time, and the website and mobile app have features for making claims, bill payments and finding local agents.

Read MoneyGeek's State Farm Home Insurance Review

5

TravelersScore: 89

4.6/5

Affordability

3.9/5

User Satisfaction

5/5

Financial Stability


Travelers Insurance in Colorado covers dwellings, personal property, personal liability and loss of use. There are substantial discounts for multi-policy bundles and green homes. With a certified green home, you get coverage to repair, rebuild or replace parts of your home using green materials. Making claims online can be convenient on the website or mobile app, and the online quoting system is detailed.

Read MoneyGeek's Travelers Home Insurance Review

What Is the Average Cost of Homeowners Insurance in Colorado?

$0
$0

home insurance is 0.0% more than the average.

For a dwelling coverage baseline amount of $250,000, the average cost of home insurance in Colorado is $3,156. This is 50.1% higher than the national average of $2,103, with a difference of $1,053.

Home Insurance Calculator: Estimate the Cost of Homeowners Insurance in Colorado

The cost of your homeowners insurance can depend on individual circumstances and several factors relevant to the area. The value of the dwelling, its age, its roof quality, your credit score and your claim frequency are all considered by carriers while determining your estimated costs.

moneygeek-logo

Home Insurance Calculator

State

Colorado

Dwelling Coverage

$250,000

Deductible

$500

Liability

$300,000

Personal Property

$50,000

Credit Score

Excellent
moneygeek-logo

low end

on average

high end

These are annual estimates. Get a personalized quote to determine your costs.

The Cheapest Homeowners Insurance Quotes in Colorado

While the average annual premiums for Colorado residents are higher than the national average, a policy from Chubb can be your best option if you are looking for cheap homeowners insurance in Colorado. For a baseline dwelling coverage amount of $250,000, the average annual premium for a Chubb policy is $1,598, which is 49.4% cheaper than the state average.

Cheapest Homeowners Insurance by Dwelling Coverage

Dwelling Coverage:

$250,000

Scroll for more

swipe icon
  • Company
    Amountper year
  • 1. Chubb
    $1,598
  • 2. Allstate
    $2,353
  • 3. MetLife
    $2,538
  • 4. Travelers
    $2,606
  • 5. American Family
    $2,660

Best Cheap Homeowners Insurance Companies for Expensive Homes

If you own an expensive home, it can make sense to purchase the best home insurance in Colorado to cover all of your bases. On average, the most affordable coverage for $2 million homes in Colorado comes from Chubb, with an average annual premium of $8,632. Similar policies with other companies can be significantly more expensive, sometimes exceeding an average of $25,000 a year.

Cheapest Homeowners Insurance Companies for High-Value Homes

Scroll for more

swipe icon
  • Company
    Amountper year
  • 1. Chubb
    $8,632
  • 2. American Family
    $8,774
  • 3. Allstate
    $9,641
  • 4. USAA
    $10,198
  • 5. MetLife
    $14,727

Best Homeowners Insurance Companies if You Have a Pool

A pool can be a great addition to your home. However, it can also increase your insurance costs and the amount of coverage you need. For an average dwelling cost of $250,000, homeowners insurance rates can vary to a great extent. The cheapest option in Colorado for a home with a pool is offered by Chubb with an average annual cost of $1,590.

Cheapest Homeowners Insurance for Pool Home

Scroll for more

swipe icon
  • Company
    Amountper year
  • 1. Chubb
    $1,590
  • 2. Allstate
    $2,485
  • 3. Travelers
    $2,609
  • 4. American Family
    $2,629
  • 5. State Farm
    $2,873

Cheapest Home Insurance in Colorado if You Have Poor Credit

Your credit score is one of the most important factors when determining your premium costs. Having poor credit can cause insurance premiums to increase. The cheapest option for a Colorado homeowner with poor credit is Auto-Owners, with an average rate of $2,902 annually for a baseline dwelling coverage amount of $250,000.

Cheapest Homeowners Insurance for Poor Credit

Scroll for more

swipe icon
  • Company
    Amountper year
  • 1. Auto-Owners Insurance Co
    $2,902
  • 2. Chubb
    $3,292
  • 3. Travelers
    $3,970
  • 4. Allstate
    $3,999
  • 5. Country Financial
    $4,428

How to Get Homeowners Insurance Quotes in Colorado

In order to get home insurance in Colorado, you need to provide certain information to your provider that allows them to calculate your premium, like your name, Social Security number, home address and phone number. You also need an accurate monetary value of your home, its contents and all relevant add-ons like pools and solar installations. Valuables in the home, security systems and your distance from a nearby fire station can also be important factors. In addition, you should determine the amount of coverage you need. Comparing personalized quotes from multiple providers can be a good way to get the best deal.

Insurance Rates

Compare Home Insurance Rates

Ensure you're getting the best rate for your home insurance. Compare quotes from the top insurance companies.

Other Considerations for Homeowners Insurance in Colorado

There are other factors that merit consideration when getting homeowners insurance in Colorado, like average home value, crime rates and weather risks. As an example, Colorado is ranked 14th in the country in terms of crime. According to FBI statistics, Colorado had 22,624 instances of violent crime in 2018, with 152,163 property crimes.

In terms of home value, Colorado ranks 9th overall in the country with an average cost of $397,820. There can also be risks associated with hazardous weather conditions in Colorado, so it’s smart to be prepared by understanding your risks and getting the relevant insurance coverage.


Do You Need Fire Insurance in Colorado?This is an icon

Fire insurance can be a good idea if you live in Colorado. Statistics indicate that 17% of all properties in the state, a total of 371,100 properties, are at risk for fire damage. The appropriate insurance can be a great thing to have, along with fire safety systems installed in your home.

Do You Need Hail Insurance in Colorado?This is an icon

You might want to include coverage for hail damage in your homeowners insurance if you live in Colorado. The state experienced more than 300 hail events in 2018 and had the second-most hail loss claims in the nation from 2017–2019.

Expert Advice on Home Insurance in Colorado

  1. What advice would you give for first-time buyers looking for homeowners insurance in your state?

    Find an expert. This starts with your realtor, your mortgage broker and your insurance broker. It is a myth that using an expert costs more. When you do that math, an expert will do it right the first time and save you time and money.

    While Colorado is one of the few states that does not require a homeowner to purchase homeowner’s insurance, it is likely that if the home carries a mortgage, the lender will require coverage. As such, the lender will also usually recommend a carrier (to cover the amount of the lender’s liability in the event of damage, such as a fire destroying the home). However, do not automatically select the lender’s suggested carrier for homeowner’s insurance. Shop around! But do not let price considerations outweigh the quality rating of the insurer. Use insurance ratings to help determine the insurance carrier you select- and then use the same carrier for homeowner’s as auto insurance since a premium discount will likely be available for multiple lines of insurance.

  2. How do regulations and laws in your state impact the amount or type of coverage a homeowner should buy?

    Colorado is unique when it comes to your home insurance and your lender. Your lender might have you believe that you need to buy insurance that equals the amount of your loan. That’s wrong. Insurance companies don’t insure your loan, they insure your home.

    A good broker will use rebuild cost calculators to make sure you have the right amount of insurance. Not too low and not too high.

    Even the state realized that consumers were being overcharged for insurance, as homebuyers were insuring to the amount of the loan. This was corrected in 2016 by the state legislature, under Colorado Revised Statutes Title 10 – Insurance Property and Casualty Insurance Article 4 - Property and Casualty Insurance Part 1 – General § 10-4-114. Requirements on hazard insurance coverage for loans secured by real property. This legislation states that a lender will not require you to insure your home for the amount of the loan and if they do so, you may be entitled to injunctive relief damages and reasonable attorney fees and costs. This is why you need an expert, this is why you need to work with a knowledgeable and well-regarded insurance broker.

    In Colorado, there are minimum personal liability limits for auto insurance, but not for homeowner’s insurance. Regardless, a minimum amount of personal liability for homeowner’s insurance should be purchased. Why? Because of a needed, but often overlooked, insurance coverage popularly referred to as “umbrella liability” insurance. In today’s litigious society, such insurance is needed, particularly by self-employed professionals. Moreover, umbrella coverage is usually written for limits where an underlying “floor” has been met by both auto and homeowner’s personal liability amounts. In most policies, this is $300,000 per individual or accident. The first time buyer should check with the carrier as to the amount of required underlying liability on both auto and homeowner’s policy and whether the same carrier must maintain both coverages to secure umbrella coverage.


Dan Mahoney
Dan MahoneyAgent Broker at Insurance Group of Denver
Keith Fevurly
Keith FevurlyEsq., CFP (R), Senior Lecturer in Finance at Metropolitan State University of Denver

Methodology

MoneyGeek analyzed homeowners insurance premiums from 16 of the top insurance companies in Colorado that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Colorado. Quotes were gathered with an average home profile of 2,500 square feet, built in 2000, with an average dwelling coverage value of $250,000, liability coverage of $100,000 and personal property coverage of $100,000.

About the Author


expert-profile

The MoneyGeek editorial team has decades of combined experience in writing and publishing information about how people should manage money and credit. Our editors have worked with numerous publications including The Washington Post, The Daily Business Review, HealthDay, and Time, Inc., and have won numerous journalism awards. Our talented team of contributing writers include mortgage experts, veteran financial reporters, and award-winning journalists. Learn more about the MoneyGeek team.


sources