Below, we've provided a guide on the cheapest car insurance companies in Colorado, on average. Or you can type your ZIP code above to start shopping for an insurance policy now.
We compared auto insurance quotes in the state of Colorado and found that the average cost of minimum liability car insurance, the cheapest type of policy, is $864 per year, or $72 per month.
But prices can change a lot depending on the insurer, your location, driving history and other factors. We suggest you compare rates across multiple insurers to make sure you get the best price.
Cheapest car insurance companies in Colorado for minimum coverage
The cheapest car insurance policies are the ones that only fulfill the minimum coverage requirements demanded by your state. On average, the lowest car insurance rates in Colorado are offered by:
- State Farm
The average cost of car insurance in Colorado is $864 per year. State Farm, the cheapest option, costs an average of only $438.
Find Cheap Auto Insurance Quotes in Colorado
In fact, State Farm is easily the cheapest liability-only policy available for our sample driver. Geico, the second most affordable company, costs $589 per year — over $150 more expensive.
Eligible drivers should also get a quote with USAA. A minimum coverage policy cost our driver $430 per year, making it the closest competitor to State Farm. But only active or former military members (and their families) can obtain a policy.
Learn how we conducted this analysis in our Methodology
The table above shows how all Colorado insurers stack up when quoted for a minimum coverage policy. Prices differ by hundreds or even thousands of dollars per year, so when looking for the best rates in your area, you should start with our cheapest recommendations and compare multiple companies.
Cheapest company for full coverage: State Farm
A minimum coverage policy in Colorado only covers the cost of damage or injury to others for which you're liable. A full coverage policy — which includes comprehensive and collision insurance — covers damage to your own car, whether that damage happens on or off the road.
After adding comprehensive and collision insurance, State Farm is still the cheapest insurance company in Colorado, with an average rate of $957 per year.
The average full coverage policy in Colorado cost our sample driver $3,120 per year, making it one of the most expensive states in the country. After State Farm, the next two companies with the biggest savings were Geico and Nationwide:
Comprehensive insurance protects you against damage to your car caused by events not strictly related to driving, such as theft or weather damage. Collision insurance covers you against damage that happens while driving that is not covered by another driver's liability insurance, such as if you strike an inanimate object.
Cheap car insurance for drivers with prior incidents
Unfortunately, having a less-than-perfect driving history can make your car insurance rates increase substantially. If you've recently been at fault in an accident or caught driving over the speed limit, you're likely to pay much higher rates than before. And that makes it even more important to shop around for the best price for you.
Here are the cheapest insurers for drivers who have:
Cheapest for drivers with an accident: State Farm
A driver with a history of accidents or traffic violations is likely to pay much higher auto insurance rates in Colorado.
After our driver was responsible for an accident causing $2,000 in property damage, State Farm only raised rates 16%, and it remained the cheapest insurer on average.
Other insurance companies in our study raised rates by an average of 48% after the same accident.
Cheapest car insurance for people with a speeding ticket: State Farm
We found that State Farm offered the lowest prices to drivers with a recent speeding ticket. Their rates were nearly four times less than the typical price we found among Colorado insurers. Geico was a distant second, though it still saved our sample driver nearly $800 per year when compared to the typical price across the state.
Cheapest car insurance for drivers with a DUI: State Farm
If you were recently convicted of a DUI, State Farm has the best price. It increased rates by a scant 8% for our sample driver — far less than is typical nationwide.
A DUI is a serious driving offense, so it's common to see a very large rate increase afterwards: For example, Nationwide more than doubled our sample driver's insurance costs after their DUI.
Cheapest car insurance for drivers with poor credit: State Farm
While poor credit doesn't necessarily indicate that you're a bad driver, it does suggest to insurers that you're not always able to meet an ongoing financial obligation — like an insurance bill. As a result, you're likely to pay more to insure your car.
In our research, State Farm had the lowest price for a driver with subpar credit, with a typical rate of $199 per month. That's 32% cheaper than the average among all the insurers we considered.
While repairing your credit isn't always fast, it's doable — here's how we recommend boosting your credit score.
Cheapest car insurance for young drivers: State Farm
Getting your license and your own car is a rite of passage for many young drivers — and unfortunately, it can be expensive once you begin shopping for insurance. From our research, we found that the cheapest car insurance overall for young drivers is from State Farm, which has an average full coverage cost of $2,735.
*USAA is excluded from rankings because it is only available to current and former military members and their families.
Cheapest for young drivers with one accident: State Farm
Young drivers with accidents will see their premiums rise when they go look for auto insurance or renew an old plan. On average in Colorado, premiums will increase by close to 28% for young drivers that get into an at-fault accident. When looking for a cheap policy, we would recommend getting a quote from State Farm, which has a yearly cost of $3,252.
Cheapest for young drivers with one speeding ticket: State Farm
Speeding will increase costs less on average when compared with an at-fault accident. Premiums only rise by 15% after receiving a speeding ticket. Drivers looking for the cheapest policy may be able to find affordable rates by shopping with State Farm.
Best car insurance companies in Colorado
Everyone should try to find savings on car insurance, as some companies will charge hundreds of dollars more per year than others for similar coverage and service. But if you can afford it, you shouldn't sacrifice customer service quality just to get the lowest rate.
Below, we've ranked the customer experience with Colorado insurers based on how satisfied customers are with their provider. By this standard, the best insurance companies in Colorado are:
Claim satisfaction rating
Customer service rating
|2||American Family (AmFam)||86%||50%|
*The overall rank takes both claim satisfaction and customer service ratings into account. We explain these ratings in the Methodology section.
To help you make an informed decision, we've also collected customer service information from other official sources: the Complaint Index from the National Association of Insurance Commissioners (NAIC), J.D. Power's Auto Insurance Claims Satisfaction Survey, and A.M. Best's Financial Strength Rating.
2019 NAIC Complaint Index
2020 J.D. Power claims satisfaction
A.M. Best rating
The Complaint Index is based on data from the NAIC. It is adjusted for the company's size, so complaints are measured in proportion to the amount of policies a company writes. The national median of the index is 1.0, so companies with a score below that provide better-than-average customer service.
J.D. Power's survey scores are out of 1,000 and represent how satisfied customers are with their insurers.
A.M. Best's Financial Strength Rating is a letter grade describing an insurer's financial ability to pay out claims. The highest grade is A++.
Colorado minimum auto insurance requirements
Colorado requires that all drivers maintain a minimum level of auto insurance coverage. Car insurance policies must include both bodily injury liability and property damage liability coverage. Below, we've included the minimum limits for liability insurance in Colorado.
Type of insurance
Colorado required minimum
|Bodily injury liability||$25,000 per person and $50,000 per accident|
|Property damage liability||$15,000 per accident|
In addition to the required coverages, Colorado residents also have the option to purchase auto insurance policies with additional coverages. Typical offerings include uninsured / underinsured motorist coverage, medical payments coverage and comprehensive and collision insurance.
Average cost of auto insurance in Colorado, by city
The average cost of a full coverage policy in Colorado is $3,120 per year, or $260 per month, making it one of the most expensive states in the country. Below, we've listed average insurance rates statewide.
- Pueblo is the most expensive city of all. Full coverage car insurance costs an average of $3,731 per year there.
- Fruitvale is the cheapest city. The same policy costs $2,381 per year.
Location is just one factor affecting auto insurance prices, and although these averages can give you a good idea of how prices may vary, your auto insurance quotes will be different. In general, big cities such as Denver will have more expensive rates, since there are more accidents and car thefts.
Average annual cost
Percent from average
Colorado rate increases by company
In Colorado, auto insurance companies decreased their rates by an average of 1.9% for the 2020 plan year. As shown below, although most companies did not adjust their premiums at all, State Farm cut their rates by 7.8%, while Progressive also decreased its premiums by 1.7%. The primary reason for their rate cuts can be attributed to the recent coronavirus pandemic, which saw a record low level of auto insurance claims, allowing insurers to reduce their rates for new policies.
Premiums written (millions) 2019
Rate change 2019
Rate change 2020
Recap of the cheapest auto insurance in Colorado
- Minimum coverage: State Farm
- Full coverage: State Farm
- After an at-fault accident: State Farm
- After a speeding ticket: State Farm
- After a DUI: State Farm
- Poor credit history: State Farm
- Young drivers: State Farm
- Young drivers with one accident: State Farm
- Young drivers with a speeding ticket: State Farm
Frequently asked questions
What is the cheapest car insurer in Colorado?
State Farm has the cheapest insurance for most drivers in Colorado. Its prices for minimum coverage ($438 per year) and full coverage ($957 per year) were both the lowest we found among mainstream insurers. We found even better prices at USAA, but only people affiliated with the military are eligible.
How much car insurance do I need in Colorado?
Colorado law requires that you have at least $25,000/$50,000 of liability coverage for bodily injury and $15,000 to cover property damage. Colorado doesn't require personal injury protection, as it is not a no-fault state. Uninsured motorist coverage is also not required.
What is the average cost of insurance in Denver?
The average price of car insurance in Denver is $3,534 per year for full coverage, which is about 13% more expensive than average statewide. However, it's not the most expensive city in Colorado for insurance — we found higher rates in cities like Aurora, Bennett and Pueblo.
What is the best car insurance company in Colorado?
The best-rated insurance companies in Colorado for service are State Farm, USAA and Nationwide. These insurers consistently received positive reviews for their service, especially during the process of making a claim.
We collected thousands of rates from ZIP codes across Colorado for the largest 10 insurers. We used a sample driver with the following profile:
- 30-year-old man
- Drives a 2015 Honda Civic EX
- Average credit
The base policy for the study was a full-coverage policy with the following limits:
|Bodily liability||$50,000 per person/$100,000 per accident|
|Personal injury protection||$10,000|
|Property damage||$25,000 per accident|
|Uninsured/underinsured motorist bodily injury||$50,000 per person/$100,000 per accident|
|Comprehensive and collision||$500 deductible|
For our minimum-coverage policy, we quoted a policy with the minimum required limits in Colorado, above.
For other rates analyses (age, credit score, accident history and marriage status) the base policy listed above was alternated to reflect the new driver.
ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes may be different.
ValuePenguin conducted a survey and asked current policyholders across multiple auto insurance companies about their satisfaction with claims and customer service. In the table, Claim Satisfaction Rating represents the percentage of respondents who were extremely satisfied with their most recent claim experience. The Customer Service Rating represents the percentage of respondents in the study who rated the customer service of their insurer as "excellent."