Every state is different when it comes to their car insurance requirements. Some states require their motorists carry full comprehensive coverage, while other states demand as little as liability coverage. The point is, we all have to have car insurance, no matter where we live. Where we live however, can impact our monthly insurance premiums. If you live in or are moving to Colorado, car insurance Colorado insurance rates vary by zip code. Let’s take a gander at what the car insurance laws are in Colorado, and how the place you call home can impact your coverage prices.
Colorado Car Insurance Must-Haves
As mandated by state law, Colorado drivers are required to have the following car insurance policies:
Property Damage Liability (PD): This insurance type offers financial coverage when you have damaged someone’s property in an accident, be it a fence, mailbox or car. Colorado demands that licensed Coloradans have a limit of $15,000 per accident.
Bodily Injury Liability (BI): This insurance type offers financial coverage in the event that a person is injured or killed in an accident for which you have been found at fault. Colorado requires that motorists carry $25,000 in coverage per individual and $50,000 overall per accident, according to the Rocky Mountain Insurance Information Association (RMIIA). However, RMIIA recommends that auto drivers carry at least $100,000 per person and at least $300,000 per accident.
Uninsured/Underinsured Motorist Protection: This insurance type offers financial coverage for medical and repairs if you are hit by another driver who does not have enough car insurance or no car insurance at all.
According to The Denver Post, 2015 marked the deadliest year in traffic collisions for the state of Colorado since 2008, with more than 500 fatalities. Transportation officials theorize that the rise in traffic deaths correlates with dropping fuel prices. As more people can afford to pay for gas, more are willing to travel by car to get to work and go on weekend getaways. More cars on the road equal more accidents.
Zip Codes and Insurance Premiums
Unfortunately, even if you are a superb driver, your zip code can raise your premiums. This is determined by the number of thefts and traffic collisions that occur in your county per year. If it is found that your county experiences a large number of traffic issues, your premiums are going to be on the higher side.
To show you how rates vary by zip code, we have compared two Coloradan cities with vastly different premium rate costs. Here are the variables we used to get our results:
Vehicle type and Model: 2006 Honda Ex Sedan
Vehicle Use: Commute
Miles Commuted: 15, 5 days a week
Ages: 25, 45, 65
Our results at CoverHound include two automatic discounts that we offer through our services: Senior and Good Driver discounts. These discounts are offered to you before you enter all of your personal history into our database. After gathering basic statistics, our site will ask you to enter other valid information including:
We can help you in your search for a custom and affordable insurance plan. Click or call today to find the auto insurance coverage that’s right for you.
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Insurance shopping simplified