Homeowners insurance in Colorado will cover any costs that arise from structural damage, personal property damage, or liability claims.
Keep reading to determine the best home insurance company for you and your Colorado home.
Best Homeowners Insurance in Colorado
Here are the top providers of homeowners insurance in Colorado:
- J.D. Power Rating: N/A
- A.M. Best Rating: N/A
Lemonade is a new insurance company that lives by one rule—transparency. The provider wants customers to understand how the company operates and what happens to their premium money, which is why they created the Giveback program. Lemonade uses a set percentage of your insurance premiums to maintain the company, and the rest is left to pay any claims that you might file. Any unused premium money remaining at the end of the year is donated to the charity of your choice.
Pros and Cons of Lemonade Home Insurance
✔ Offers endorsements for jewelry, fine art, bikes, cameras, and musical instruments
✔ Is one of the more affordable providers in this review
✔ Has a unique coverage add-on for significant others
✘ Relatively new to the insurance industry
✘ Doesn’t provide other structures coverage
Learn More: Lemonade Home Insurance Quote
- J.D. Power Rating: 800/1000
- A.M. Best Rating: A++
Travelers has more than 160 years of experience providing insurance products and services. Its homeowners insurance policies allow customers to customize their dwelling, other structures, personal property, loss of use, liability, and medical payments coverage.
Pros and Cons of Travelers Home Insurance
✔ Offers a deductible up to $50,000
✔ Covers all 50 states and Washington D.C.
✔ Provides medical payments coverage up to $10,000 per person
✘ Customers have to talk to an insurance agent to get a quote in some states
✘ Doesn’t offer many endorsements
Learn More: Travelers Home Insurance Review
- J.D. Power Rating: 854/1000
- A.M. Best Rating: A+
Amica offers more customizable liability coverage than the other providers in this review. Travelers and Lemonade coverage only goes down to $100,000, but Amica allows homeowners to choose as little as $25,000 worth of liability coverage, which means the company has double the number of coverage options as Travelers and Lemonade.
Pros and Cons of Amica Home Insurance
✔ Has an online portal, mobile app, and chat function for self-service
✔ Provides a 24/7 claims center for customers
✔ Offers a unique add-on for home businesses
✘ Doesn’t help homeowners estimate the rebuilding cost of their home
✘ Doesn’t have customizable personal property coverage
Learn More: Amica Home Insurance Review
Colorado Homeowners Insurance Coverage
You can expect your policy to cover six coverage areas, along with company-specific endorsements:
- Dwelling—If an event destroys your home, this part of your policy will cover the cost to rebuild it. To determine how much of this coverage to purchase, calculate the cost of rebuilding your home. You can do this by talking to a local appraiser, purchasing $100–$155 of protection per square foot, or using the estimation provided by the insurance company.
- Other structures—This protects detached structures on your property, like fences and garages. It usually makes up 10% of your dwelling coverage.
- Personal property—This part of your policy will pay to replace your belongings if they are damaged by an event. You can get an actual cash value (ACV) or replacement cash value (RCV) policy. An ACV policy reimburses you based on your items’ current value, while an RCV policy reimburses you based on their new value. You usually get 50% of dwelling coverage for personal property coverage.
- Loss of use—If you’re kicked out of your home for repairs, your policy will pay for additional living expenses during that time. For example, if you usually spend $300 on food every month, but you spent $400 this month because you had to eat out for every meal, your provider will give you $100 back. This coverage is usually 20% of dwelling coverage.
- Personal liability—If you cause bodily injury or property damage to someone else, your policy will pay the cost of medical bills or the cost of repairing or replacing the items. An example of this would be if your dog bites your neighbor and they see a doctor to get stitches. We recommend purchasing at least $300,000 of liability protection.
- Medical payments to others—Similar to personal liability, this covers medical bills if a guest is injured in your home. We recommend purchasing $1,000 per person.
Each company will offer at least one add-on, or endorsement, to allow you to customize coverage for your policy. Common endorsements include valuable personal property, personal property replacement costs, and identity theft protection.
How Much Does a Homeowners Insurance Policy Cost in Colorado?
The average Colorado homeowner paid about $125 per month for home insurance in 2017, according to the Insurance Information Institute. This higher-than-average rate made Colorado the eighth-most expensive state for this type of insurance at the time.
Factors to Consider Before Buying Homeowners Insurance
Keep these factors in mind when looking for a home insurance policy in the Centennial State:
- Proximity to a fire station and fire hydrant—Insurance companies prefer to insure homes that are within five miles of a fire station and 1,000 feet of a fire hydrant. The closer you are to a fire station or fire hydrant, the faster firefighters can get to your home to put out a fire, which decreases the amount of damage your insurance company will have to cover.
- Bundling—Insurance companies typically offer a discount for bundling home insurance with other types of insurance policies, like life or auto insurance. If you’re happy with your auto insurance provider, we recommend getting a quote from them to see how much you could save by bundling policies.
- Weather-related damage—The weight of snow, sleet, and ice can cause structural damage to your home or cause pipes to freeze, which could lead to leaks or water damage. When you’re looking for an insurance policy, make sure the company will cover this type of damage.
- Deductible amount—If you’re looking for an easy way to save on your policy, select a higher deductible. Insurance companies will decrease the amount you pay each month if you choose a higher deductible because that deductible decreases the amount that the provider has to pay.
Comparing the Top Providers of Homeowners Insurance in Colorado
Compare Homeowners Insurance Coverage Options
|Other structures coverage limits||N/A||1%, 5%, 10%, 25%, 50%, 75%, or 100% of dwelling||10% of dwelling|
|Personal property coverage limits||40%–79% of dwelling||20%, 30%, 50%, 75%, or 100% of dwelling||75% of dwelling|
|Liability coverage limits||$100,000, $200,000, $300,000, $400,000, or $500,000||$100,000, $300,000, $500,000, or $1 million||$25,000, $50,000, $100,000, $200,000, $300,000, $400,000, $500,000, $750,000, or $1 million|
|Unique add-ons||Significant other, swimming pool liability||Equipment breakdown, roofing, siding matching package||Home business, catastrophic coverages|
|Customer service||Online||24/7 for claims; limited for sales and service||24/7 for claims; limited for sales and service|
*Based on sample quotes our team received
If you live in Colorado and want an affordable home insurance policy that covers your home and personal belongings, consider a policy through Amica, Travelers, or Lemonade. For a free quote from Lemonade, which often offers some of the lowest rates, visit the company’s website.
Homeowners Insurance in Colorado FAQs
Do I need a home inspection before getting homeowners insurance?
If you have an older home that hasn’t been inspected in over 10 years, an insurance company may require a home inspection to determine if your home poses a greater risk for claims. The company will look at elements like your roof, plumbing, electrical, and HVAC.
How do I get the best deal on homeowners insurance?
To save on a policy, look for discounts, maintain a healthy credit score of at least 700, choose a higher deductible, pay once, twice, or four times a year instead of every month, and consider installing safety features like a home security system and smoke detectors.
Which insurance company has the best claims process?
Every year, J.D. Power, an independent data analytics company conducts a survey on customer satisfaction for insurance companies. Amica ranked number one for the best claims process for the ninth consecutive year.
Another company that has an efficient claims process is Lemonade. Though new to the insurance industry, Lemonade approves and pays for most of its claims instantly.
Our Rating Methodology
The This Old House Reviews Team is committed to providing comprehensive and unbiased reviews to our readers. This means earning your trust through transparency and having the data to back up our ratings and recommendations.
With that in mind, we created an objective rating system to score each home insurance company. Here’s what that review process looked like:
- We analyze the information on each company’s website. This allows us to determine what products and services are offered by each home insurance provider.
- We get a sample quote from the companies by either talking to a sales representative or by using the online quote tool. This tells us what a policy looks like and costs.
- We test customer service by talking to a company representative, finding out their hours of operation, and determining what technological features are available for customers.
- We update all of this information on a continuous basis, storing it in a proprietary database that allows us to compare dozens of home insurance companies against each other.
With this data, we created a rating methodology to score each home insurance company. Our rating system is a weighted, 100-point scale based on the following factors:
- Coverage (30): We rated home insurance companies higher if they offered the six main types of homeowner protection—dwelling, other structures, personal property, loss of use, liability, and medical payments to others coverage.
- State availability (7.5): Companies scored higher if they covered more states than their competitors.
- Customer service (15): This factor is based on our communications with the company representatives, as well as the companies’ claims and quotes processes, availability throughout the week, and customer service information found on their websites.
- Technology (12.5): Technology can increase the efficiency of filing and tracking home insurance claims. Companies scored higher if they had technology options like mobile apps and online chat functions.
- Reputation (20): We gauged trustworthiness based on years of experience and Better Business Bureau ratings.
- Additional benefits (15): Companies that offered optional features, like discounts and endorsements, scored higher than competitors that didn’t.
The This Old House Reviews Team has a full-time researcher who collects and regularly updates data points from every company to help us compare them on key factors such as coverage, service, and dependability.
To share feedback or ask a question about this article, send a note to our Reviews Team at firstname.lastname@example.org.