Colorado Car Insurance Requirements: Minimums, Uninsured Motorist Coverage and More

By Kamber Insurance Agency, a Farmers Insurance agency in Longmont. Reviewed by Seth Kamber, licensed Colorado insurance agent (License #642099).
Last reviewed: October 2026

Colorado requires every driver to carry liability insurance of at least $25,000 per person and $50,000 per accident for injuries, and $15,000 for property damage (25/50/15). Insurers must also include uninsured/underinsured motorist coverage and $5,000 of medical payments coverage unless you reject them (C.R.S. 10-4-620, Colorado Division of Insurance).

This guide explains each rule in plain English: what's required, what your insurer has to include or offer, what's optional, and why Colorado premiums run high. It was written by Kamber Insurance Agency, a Farmers Insurance agency in Longmont, CO.

Want help applying this to your own policy? See car insurance in Longmont or call (303) 551-6950.

Colorado car insurance at a glance

Coverage	Required?	Colorado rule	Source
Bodily injury liability	Required	At least $25,000 per person and $50,000 per accident	C.R.S. 10-4-620
Property damage liability	Required	At least $15,000 per accident	C.R.S. 10-4-620
Uninsured/underinsured motorist (UM/UIM)	Included unless you reject it in writing	Insurer must offer it at limits equal to your bodily injury liability limits	C.R.S. 10-4-609
Medical payments (med pay)	Included unless you reject it	$5,000 is included unless you reject it in writing or the same way you applied	C.R.S. 10-4-635
Collision	Optional by law	Insurers must offer $100 and $250 deductibles. Lenders usually require it.	C.R.S. 10-4-621
Comprehensive	Optional by law	Covers hail, theft, fire, vandalism and falling objects. Lenders usually require it.	Colorado DOI
Uninsured motorist property damage (UMPD)	Optional	Available on request if you don't carry collision	C.R.S. 10-4-610

Colorado's minimum liability limits (25/50/15)

Colorado law requires liability coverage of at least $25,000 for injuries to one person, $50,000 for all injuries in one accident, and $15,000 for property damage in one accident (C.R.S. 10-4-620). You'll see this written as 25/50/15.

Here's what each number means:

• $25,000 per person: the most your policy pays for one injured person.
• $50,000 per accident: the most it pays for everyone injured in one accident, combined.
• $15,000 property damage: the most it pays for damage you cause to other people's cars or property.

An example with round numbers (an illustration only, not a typical crash): Say you cause a crash that injures two people. One has $30,000 in injury costs and the other has $10,000. With 25/50/15 limits, your policy pays up to $25,000 for the first person and the full $10,000 for the second. The $5,000 left over for the first person is on you.

Liability pays for other people. It does not pay for your injuries or your car.

The minimums are a floor, not a ceiling. You can buy higher limits, and Colorado law says an insurer can't surcharge, refuse, cancel or nonrenew a complying policy based only on the level of coverage you chose (C.R.S. 10-4-621).

Is the state minimum enough?

That depends on what you have to protect. If you cause a crash and the costs go past your limits, you can be personally responsible for the rest. That's why many drivers look at higher liability limits, and some add an umbrella policy on top. Learn more about umbrella insurance in Colorado.

Uninsured and underinsured motorist coverage (UM/UIM) in Colorado

UM/UIM is optional in Colorado, but your insurer must include it on your policy unless you reject it in writing (C.R.S. 10-4-609). Before a policy is issued or renewed, the insurer must offer it at limits equal to your bodily injury liability limits. It doesn't have to offer more than that.

What UM/UIM pays for

UM/UIM pays for injuries to you and the people insured on your policy when the at-fault driver has no insurance, not enough insurance, or drives away (hit-and-run) (Colorado Division of Insurance). It covers bodily injury. It does not pay for damage to your car.

Why it matters in Colorado

The Colorado Division of Insurance estimates that 15 to 20% of drivers are uninsured (DOI). If one of them hits you, their policy isn't there to pay for your injuries.

"Added on" coverage

Colorado UM/UIM coverage is added on top of the at-fault driver's liability coverage. Under C.R.S. 10-4-609(1)(c), it covers the difference between the other driver's liability limits and your damages, up to your UM/UIM limit.

In plain words: if the other driver's policy pays its full limit and your injury costs are higher, your UM/UIM can help pay the gap, up to your limit. Colorado law also says your UM/UIM amount can't be reduced because you got money from other coverage, like med pay or health insurance. One thing to know: if one UM/UIM policy covers several cars for a single premium, it may be limited to applying once per accident.

Every claim is different. For a specific claim, talk with your insurer or an attorney.

Rejecting or changing UM/UIM

To drop UM/UIM, the named insured has to reject it in writing. Your insurer has to offer this coverage, but you can sign a rejection if you don't want it.

Once you pick your UM/UIM limits or reject the coverage, your insurer doesn't have to offer it again at renewal. But you can ask in writing to add it or raise your limits at any time (C.R.S. 10-4-609(3)). If you rejected it years ago, it's worth a second look.

UM/UIM vs. collision

They pay for different things. UM/UIM pays for your injuries and your passengers' injuries. Collision pays for damage to your car. Having one doesn't replace the other.

Medical payments coverage ($5,000 default)

Colorado policies include $5,000 of medical payments coverage unless you reject it in writing or in the same way you applied for the policy, such as online (C.R.S. 10-4-635).

According to the Colorado Division of Insurance:

• Med pay helps pay reasonable medical costs for you and your passengers after a car accident, no matter who was at fault.
• It pays before your health insurance.
• It can go toward your health plan's deductible and coinsurance.
• Insurers don't have to offer it on motorcycles, low-power scooters, off-road vehicles and some other vehicles.

If you rejected med pay, you can ask to add it later. Your insurer doesn't have to remind you at renewal.

Uninsured motorist property damage (UMPD)

UMPD is optional coverage for your car if you don't carry collision. Your insurer must provide it if you ask (C.R.S. 10-4-610).

• It pays when an at-fault uninsured driver damages your car.
• The two vehicles must make physical contact.
• It pays the actual cash value of your car or the cost to repair or replace it, whichever is less.
• It may have a deductible.
• It doesn't pay for loss of use, like a rental car while yours is in the shop.

What happens if you drive without insurance in Colorado

Driving without insurance in Colorado is a class 1 misdemeanor traffic offense (C.R.S. 42-4-1409).

• Fines: a minimum fine of $500. For a second offense within five years, the minimum is $1,000. On a first offense, the court may suspend up to half of the fine if you show you've since bought insurance.
• Community service: the court can order at least 40 hours.
• Points: failure to maintain or show proof of insurance adds 4 points to your license (C.R.S. 42-2-127).
• License suspension: the DMV can suspend your license until you show proof of insurance, and for longer on a second or third offense (Colorado Department of Revenue).

You can show proof of insurance on your phone (C.R.S. 42-4-1409).

After some suspensions or revocations, the DMV may require an SR-22 to reinstate your license. An SR-22 is a form, not a policy, that goes with your liability insurance and gets filed with the DMV (Colorado DMV).

Is Colorado a no-fault state?

No. Colorado has been an at-fault (tort) state since July 1, 2003, when the legislature repealed the no-fault law and its mandatory personal injury protection (PIP) coverage (House Bill 03-1188; Colorado Legislative Council, 2005).

That means the at-fault driver's liability insurance pays for the other people's injuries and damage. There is no PIP requirement in Colorado today.

It's also why med pay and UM/UIM matter more now. Med pay helps with your medical bills right away, no matter who caused the crash. UM/UIM helps when the at-fault driver can't pay.

Coverages lenders and leases usually require

If you have a car loan or a lease, your lender will likely require collision and comprehensive coverage (Colorado Division of Insurance). That comes from your loan or lease contract, not from state law.

If your car is totaled, the insurer pays based on the car's market value at the time of the loss. If that's less than what you owe on the loan, you're responsible for the difference. GAP protection, if you bought it, covers that difference (DOI hail FAQ).

Why car insurance costs so much in Colorado

Colorado premiums are pushed up by repair costs, hail and other weather, fraud, distracted driving, auto theft and uninsured drivers, according to state sources.

The Colorado Division of Insurance names these drivers of general rate increases:

• Inflation and rising repair costs
• Cars that are more complex to repair because of new technology
• Hail, wind and flood losses on comprehensive coverage
• Insurance fraud
• Distracted driving
• Uninsured drivers

The Governor's Roadmap to Reduce Auto Insurance Premiums focuses on five areas: road safety, auto theft, the uninsured rate, auto repair costs, and weather.

Auto theft is improving but still high. Colorado had 16,291 reported auto thefts in 2025, down 34% from 2024. Its theft rate of 271 per 100,000 residents still ranked 6th worst in the nation, according to the Colorado Auto Theft Prevention Authority's 2025 annual report.

What sets your own premium

Your own price depends on your details. The Colorado Division of Insurance lists these as things that can raise a premium:

• A change of address
• Adding or changing a vehicle
• Adding a driver
• A change in how you use your car
• How many miles you drive each year
• A change in your credit-based insurance score
• Moving violations and at-fault accidents
• A general rate increase for a whole group of policyholders

Adding a young driver is one of the bigger changes. Here are ways to help lower teen driver costs.

What does car insurance cost on average in Colorado?

According to the National Association of Insurance Commissioners, Colorado drivers spent an average of about $1,453 per insured vehicle in 2023, the latest year in its report (NAIC 2023 Auto Insurance Database Average Premium Supplement, June 2025).

That figure is an "average expenditure." It's the total liability, collision and comprehensive premium written in Colorado, divided by the number of insured vehicles. It reflects the mix of coverage people actually bought, so some had full coverage and some had liability only. It's also from 2023, so current prices are likely different.

It isn't a quote. Your price depends on the factors above and the coverage you choose.

Who has the cheapest car insurance in Colorado?

There's no single cheapest company for every driver. Price depends on your driving record, your vehicle, where you live, and the coverage and deductibles you choose.

What you can control:

• Coverage limits: higher limits cost more and protect more.
• Deductibles: a higher deductible can lower your premium, but you pay more if you have a claim.
• Your driving record: violations and at-fault accidents can raise your price.
• Your vehicle: what you drive affects repair and theft costs.
• Continuous coverage: the Division of Insurance says gaps in coverage can lead to paying more. Here's how to switch car insurance without a coverage gap.
• Bundling: combining policies may lower your premium where it's available. Eligibility varies.

If you use your car for work, that's different. Business use may need commercial auto coverage.

How to check your own policy against Colorado's rules

Here's how to check your own policy.

1. Find your declarations page. It's usually the first page of your policy, or in your insurer's app.
2. Check your liability limits. Make sure bodily injury and property damage are at least 25/50/15.
3. Look for UM/UIM and med pay. See whether they're on your policy, and at what limits.
4. Check your deductibles. Look at collision and comprehensive, and make sure you could pay them if you had a claim.
5. Revisit anything you rejected. If you turned down UM/UIM or med pay in the past, decide whether that still fits your life today.

Not sure your limits fit? Kamber Insurance Agency is a Farmers Insurance agency in Longmont. Call (303) 551-6950 or request a quote. We try to call you back within about a minute during business hours, when we're able. Or read about car insurance in Longmont.

Frequently asked questions

What are the minimum car insurance requirements in Colorado?

Colorado requires liability coverage of at least 25/50/15: $25,000 per person and $50,000 per accident for injuries, and $15,000 for property damage (C.R.S. 10-4-620). Uninsured/underinsured motorist coverage and $5,000 of medical payments coverage are also included unless you reject them, according to the Colorado Division of Insurance.

Is uninsured motorist coverage required in Colorado?

Not strictly. UM/UIM is optional, but your insurer must include it unless you reject it in writing (C.R.S. 10-4-609). The Colorado Division of Insurance estimates that 15 to 20% of drivers are uninsured, so it's worth knowing whether you have it and at what limits before you decide.

Do I need uninsured motorist coverage if I have collision and comprehensive in Colorado?

They cover different things. UM/UIM pays for your injuries and your passengers' injuries when the at-fault driver has no insurance or not enough. Collision and comprehensive pay for damage to your car. The Colorado Division of Insurance estimates that 15 to 20% of drivers are uninsured.

Is Colorado still a no-fault state?

No. Colorado has been an at-fault (tort) state since July 1, 2003, when the no-fault law was repealed. That means the at-fault driver's liability insurance pays for the other people's injuries and damage. There is no personal injury protection (PIP) requirement in Colorado today.

What happens if I'm hit by an uninsured driver in Colorado?

If you have UM/UIM, it can pay for your injuries up to your limit. Collision, or UMPD if you don't carry collision, may pay for damage to your car, minus any deductible. Report the crash to the police and to your insurer. For questions about a specific claim, talk with your insurer or an attorney.

What is the penalty for driving without insurance in Colorado?

Driving uninsured is a class 1 misdemeanor traffic offense in Colorado. The minimum fine is $500, and at least $1,000 for a second offense within five years (C.R.S. 42-4-1409). It also adds 4 points to your license (C.R.S. 42-2-127), and the DMV can suspend your license until you show proof of insurance.

Why is car insurance so expensive in Colorado?

State sources point to several causes. The Colorado Division of Insurance names repair costs, hail and other weather, fraud, distracted driving and uninsured drivers. The Governor's office also targets auto theft and road safety in its plan to bring premiums down. Your own price still depends on your car, your drivers and your coverage.

Who has the cheapest car insurance in Colorado?

There is no single cheapest company for every driver. Price depends on your driving record, vehicle, location, coverage limits and deductibles. The best way to know your number is a quote based on your details. Call Kamber Insurance Agency at (303) 551-6950 and we'll review your policy with you.

About the reviewer

Seth Kamber is the owner of Kamber Insurance Agency, a Farmers Insurance agency in Longmont, CO, and a licensed Colorado insurance agent (License #642099). Meet Seth and the team.

Kamber Insurance Agency, 255 Weaver Park Rd, Ste 206, Longmont, CO 80501. (303) 551-6950. Monday to Friday, 8 AM to 5 PM. Closed Saturdays and Sundays. Requests sent after 5 PM, on weekends or on holidays get a call the next business day.

Have questions about your own policy? Call (303) 551-6950, get a quote or contact us. Or see car insurance in Longmont.

This page explains Colorado law in general terms. It is not legal advice. Your policy's own terms decide what is covered.