Auto Insurance Colorado
Are you looking at auto insurance? Do you need an auto insurance quote in Colorado? Look no further as we are here to help you with all your auto insurance needs. No matter if you’ve had auto insurance for years and are looking for a better quote, or are a new vehicle owner and shopping for auto insurance for the first time. We can answer all your questions, provide you a quote, and find the right coverage that best fits your needs and budget.
We also offer discounts on auto insurance when paired with homeowners insurance. Additionally, we offer custom auto policies for farm and ranch insurance.
Auto Insurance Policies in Colorado
Auto insurance policies and mandates vary from state to state. There are several types of auto insurance mandates in Colorado, where state law requires that drivers have Liability Insurance and Uninsured and Underinsured Driver Insurance (UM/ UD). Collision, Comprehensive and Medical Payments (Med Pay) insurance are optional in Colorado, along with a variety of additional coverages such as glass, towing, and many others.
Our team is highly knowledgeable on all topics auto insurance. So, don’t wait until an unfortunate or catastrophic event occurs: reach out to our office today for an auto insurance quote.
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Uninsured/ Underinsured Motorist (UM/ UIM)
Liability Insurance, also referred to as Body Injury Liability (BIL), covers you in the event you cause an accident which results in bodily injury or death to someone else. An example: should you collide with another person’s vehicle, your insurance plan will pay to up to your policy’s limits, for the injuries and car repair sustained by the party affected. Colorado in particular requires the minimum “25/50” plan, in which $25,000 is assigned per person for bodily injury, and $50,000 per accident for bodily injury. Our office will help you consider your assets and what you can afford when it comes to Liability Insurance. In general, we always recommend our clients have much more than state minimum coverage as costs are rising, and state minimums can run out very quickly.
Comprehensive Insurance covers vehicle damages sustained in non-collision events. For example: your vehicle is damaged by hail, or totaled after hitting a deer. Other risks that are covered are theft, fire, flood, earthquake, falling objects, explosion, etc. Though not required by Colorado law, your bank may require you to carry comprehensive coverage if you have an auto loan.
Should you sustain injuries caused by negligence by an uninsured driver, UM/ UIM will cover medical wages and wage losses. This type of insurance also covers you should the driver at fault possess an insurance plan whose limits do not adequately cover your injuries.
Collision insurance is just that: when your vehicle is damaged by collision by another another vehicle. As with comprehensive auto insurance, collision insurance is not required by Colorado law, but your bank may require you do so should you have an auto loan.
Medical Payments, also referred to as Med Pay, covers the cost of injury treatment, rehab, and funeral expenses, as a result of an auto accident. Know that whenever you purchase auto insurance in Colorado, $5,000 in Medical Payments are automatically added to your plan. You also have the option to buy additional Medical Payments.
The Consequences of not having Auto Insurance
What are the consequences of not having auto insurance? In Colorado, driving without auto insurance is considered a Class 1 Misdemeanor. If you are convicted, you will face fines as steep as $1,000, and also the possibility of having to surrender your license for up to eight months. Repeat offenders can face jail time and community service. You can avoid these nightmare scenarios by reaching out to our team to discuss obtaining auto insurance.
Common Misconceptions about Auto Insurance
You know that having auto insurance is essential; it can protect you, your passengers, and other drivers. Unfortunately, there are several common misconceptions about auto insurance when it comes to utilization, and what is and is not covered. Being aware of these “myths” can help you better understand auto insurance and your individual policy.
Myth #1: Personal Auto Insurance Covers Business Use of Your Vehicle
This is one of the most common misconceptions regarding auto insurance: many folks assume their personal auto insurance automatically extends to when they drive their personal vehicle for business use. However, this is not the case. For example, if you and/ or others use your vehicle for business purposes, such as transporting materials for your company, or driving for Uber, then you will need business vehicle insurance.
Myth #2: Auto Insurance Covers Personal Belongings in Your Vehicle
Items in your car such as a phone, laptop, GPS unit, etc., are not covered by auto insurance. When it comes to protecting your personal belongings, you will need personal property insurance.
Myth #3: A Vehicle’s Color Determines the Cost of Auto Insurance
Contrary to popular belief, a vehicle’s color does not affect or determine the cost of auto insurance. For example, many folks believe that red cars have higher premiums, which is not true. Factors that do play into auto insurance rates are the make, model, age, sticker price, etc., of a vehicle - but color is not one of them.
Myth #4: Credit Score Has No Effect on Insurance Rates
Your age, gender, type of vehicle, accident history, etc., are factors in determining rates for auto insurance. Credit history can play a part as well. Research has shown that as those with higher credit scores tend to have fewer auto accidents. A good credit score is an indicator of financial responsibility, and insurance companies can use this to determine rates. The higher your credit score, the more likely you are to save money on insurance premiums.
Myth #5: If Your Friend Wrecks Your Car, Their Insurance Will Cover It
One of the most important aspects of auto insurance to know: auto insurance in Colorado follows the vehicle, not the driver. If you let a friend or family member borrow your car and they are involved in an accident, the insurance policy of the car, not that of the driver, will cover damages. However, not all insurance companies provide the same level of protection to others who drive your car as they do to you. Make sure you are fully aware of what your specific policy does and does not provide!
Myth #6: Your Policy Can Get Cancelled at Any Moment
Insurance companies are prohibited from dropping your coverage unless in the case of missed payments and/ or fraud. As long as you keep paying your premiums on time and have a valid license, then there is little chance of having your insurance policy cancelled in the middle of a term.