6 Best Car Insurance Companies in Colorado of 2025

Every driver in Colorado should have car insurance because it protects them from events that may damage or destroy their vehicles, including collisions, theft, and injuries to themselves or their passengers.

Whether you live in a big city like Denver or Boulder or one of Colorado’s many small towns such as Durango or Steamboat Springs, your car insurance will provide you with peace of mind whenever you hit the road.

Colorado is an at-fault state, which means that all drivers are required to carry minimum amounts of liability insurance to protect themselves if they are in an accident.

• $25,000 for bodily injury or death to any one person in an accident;
• $50,000 for bodily injury or death to all persons in any one accident and
• $15,000 for property damage in any one accident.

Many drivers in Rocky Mountain State purchase coverage beyond the minimum required to ensure they are protected if their car is totaled or stolen.

We will share costs for each of the companies on our list. Still, for now, you should know that the average cost of car insurance in Colorado is about $60 per month for basic coverage. However, you should expect the cost to be significantly higher if you opt for full coverage.

At PropertyNest, it’s our mission to take the guesswork out of buying car insurance, and we understand that it can be difficult to choose a company and find the coverage that’s best for your needs.

We’ve taken the time to research and rank the best car insurance companies in Colorado, with details about costs, discounts, coverage, and pros and cons.

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The Best Car Insurance Companies in Colorado

• GEICO: Best for Affordable Car Insurance
• Progressive: Best for Coverage After a DUI
• State Farm: Best for Younger Drivers
• Allstate: Best for Telematics
• Travelers: Best for New Cars
• American Family: Best for Customer Service

GEICO: Best for Affordable Car Insurance

GEICO is the second-largest car insurance company in the US and has been providing affordable car insurance since 1936.

GEICO made our list easily because they have the most affordable coverage in Colorado, both for basic coverage and for those drivers who choose to upgrade their coverage and protection.

In addition to being affordable, GEICO also provides excellent customer service and a wide range of policy options so that you can customize your coverage.

Remember that if you opt for high policy limits or customize your policy with add-ons, you should expect to pay more than you would for a basic policy.

The average cost of basic coverage with GEICO can be as low as $250 per year, with full coverage at just $1,050 per year.

Read a full GEICO car insurance editors' review.

What Car Insurance Discounts Does GEICO Offer?

GEICO’s costs are low, partly because they offer an impressive range of discounts broken down into these categories.

• Driver Education. Education discounts include a discount for completing a Driver’s Ed course or defensive driving course; there’s also a good student discount of up to 15%.
• Driver Affiliation. This category includes discounts for first responders, military service members, federal employees, and other groups, any of which may save you up to 10%.
• Driver History & Habits. There’s a 22% discount for drivers who have gone 5+ years without an accident and another discount for regular seat belt use.
• Vehicle Equipment. There’s a 15% discount to insure a new vehicle, plus additional discounts for safety features such as airbags, anti-lock brakes, anti-theft system, or daytime running lights.
• Customer Loyalty. GEICO has a multi-policy discount if you buy two or more policies and a multi-vehicle discount that can be as high as 25%.

Progressive: Best for Coverage After a DUI

Progressive Insurance has a reputation for providing car insurance at affordable prices, and while their prices are impressive, we chose them for our list for another reason.

Driving under the influence is a common violation that can make getting car insurance difficult (and expensive); we like Progressive because they offer the most affordable coverage for people with a previous DUI.

On the flip side, we also appreciate that Progressive rewards good driving with its Progressive Snapshot, which uses a device to track driving behavior and reward drivers who make good choices, such as leaving enough space behind the car in front of you or driving within the speed limit.

Drivers who prefer usage-based coverage can sign up for Progressive Snapshot and track their driving with a smartphone or a Progressive device.

According to Progressive, their average cost in Colorado is $602 for minimum coverage, but you should expect to pay more if you opt for complete coverage or have a DUI on your record.

Read a full Progressive car insurance review.

What Car Insurance Discounts Does Progressive Offer?

Progressive provides a lot of discounts that can help Colorado drivers save on car insurance.

• Driver Discounts. Safe drivers can save with Progressive Snapshot plus additional discounts for adding a teen driver, covering a student driver who lives more than 100 miles from home, a good student discount, and one for owning a home.
• Loyalty Discounts. Loyalty discounts include discounts for multi-vehicle coverage, policy bundling, and continuous insurance.
• Other Discounts. Additional discounts are available for people who get a quote or buy their Progressive policy online, and enroll in paperless billing or electronic payments.

State Farm: Best for Younger Drivers

State Farm is the biggest car insurance provider in the US, with 100 years of experience protecting consumers.

There are many good things about State Farm, but we selected them as one of Colorado's best car insurance companies because they provide the Steer Clear Program, a special discount for drivers under 25 years old.

We also appreciate State Farm’s generous policy bundling discounts, allowing people to save money by bundling auto insurance with one or more other policies from State Farm.

The average cost of basic car insurance in Colorado with State Farm is just $452, although you should expect to pay more for additional coverage.

What Car Insurance Discounts Does State Farm Offer?

State Farm offers car insurance discounts in these three categories.

• Safe Vehicle. There are discounts available based on the vehicle's safety features, including airbags, plus discounts for having an anti-theft device in your vehicle and a discount on medical coverage if your pre-1993 vehicle has passive restraints.
• Safe Driving. State Farm’s Steer Clear program for drivers under 25 offers a discount; other discounts include the Drive Safe & Save discount and discounts for accident-free driving or completing a defensive driving course.
• Policy Bundling. State Farm offers big savings to drivers to bundle car insurance with other policies such as homeowners, renters, or life insurance; you can also save by insuring more than one car.

Nationwide: Best for Vanishing Deductible

Nationwide Insurance has provided insurance to American consumers for decades and is one of the most widely recognized car insurance companies.

Paying a deductible is a concern for most drivers when they file a claim, so we selected Nationwide for our list because they offer a vanishing deductible rider that will automatically knock $100 off your deductible for each year you don’t file a claim; you can reduce your deductible by up to $500.

We also appreciate Nationwide’s hands-on approach to insurance, which means their agents connect with clients before their policies expire to review coverage and make changes as needed.

Nationwide’s average cost in Colorado for full coverage car insurance is $1,215 per year, but you can reduce the amount you pay by layering discounts.

What Car Insurance Discounts Does Nationwide Offer?

Nationwide offers multiple discounts in these three categories.

• Driving habits. Nationwide has discounts for 5+ years of safe driving, using a SmartRide device to track your driving habits, and for drivers over 55 who complete a defensive driving course; they also offer a discount for student drivers who maintain at least a B average in school.
• Bundling and more. Drivers can save up to $646 per year by bundling car and homeowners insurance, by signing up for paperless billing, and by signing up for automatic payments.
• Vehicle features. Get a discount if your vehicle is equipped with an anti-theft device.

Allstate: Best for Telematics

Allstate is one of the largest and most respected insurance companies and has a good reputation for providing reliable coverage.

We selected them for our list because their telematics program, SmartWise, can be used even by people who aren’t insured with Allstate yet, and good driving habits can add up to serious discounts.

We also like Allstate for its affordable rates and customizable coverage.

The average cost of basic car insurance with Allstate in Colorado is $530 per year, putting it slightly below the state average.

What Car Insurance Discounts Does Allstate Offer?

Allstate offers impressive discounts to help policyholders save money on car insurance.

• Vehicle Discounts. You can get a discount if you’re the first owner of a car that’s either a current or previous year’s model, for anti-lock brakes, or for installing an anti-theft device.
• Driving Discounts. Get discounts if you use Allstate’s Drivewise telematics program and qualify for their Safe Driver Club; other discounts include a smart student discount.
• Policy Discounts. This is the biggest discount category; discounts include bundling, insuring multiple vehicles, signing up for ePolicy, signing up for EZ-pay, buying your policy early, paying your premiums on time, or paying your annual premium in advance.

Travelers: Best for New Cars

Travelers Insurance is the US's second-largest property & casualty insurer and has earned a spot in the Fortune 500.

We selected them for our list because they have the best coverage option for new cars, including new car replacements.

We also like that they have received high scores for their easy and stress-free claims-paying process, which we think every driver will appreciate.

Travelers’ average premium for total coverage is $1,040 per year, making it one of the more affordable options on our list.

What Car Insurance Discounts Does Travelers Offer?

Travelers Insurance offers substantial discounts in these three categories.

• Car and Driver Discounts. You can get a discount if you buy a new or hybrid/electric car, maintain a safe driving record, take a driver safety course, or have a young driver on your policy who has a good GPA or is away at college, not driving.
• Bundling. You can save by bundling your car insurance with home or condo insurance for a discount of up to 13%; you can also get a discount for insuring multiple vehicles or owning a home.
• Policy and Pay Discounts. There are many discounts in this category for paying in advance, having continuous coverage, signing up to make automatic payments, or getting a quote from Travelers before your existing policy has expired.

American Family: Best for Customer Service

American Family is a regional insurance company that provides car insurance in 19 states, including Colorado.

We selected them for our list because of all the companies we researched; they had the best and most consistently well-reviewed customer service.

We also like American Family’s impressive array of customizable policy options, including ride-share coverage, classic car coverage, and roadside assistance.

The average Colorado car insurance premium for basic coverage is $730, higher than the state average; however, you can save with multiple discounts.

What Car Insurance Discounts Does American Family Offer?

American Family offers a nice selection of discounts to help drivers save on car insurance.

• Safety Discounts. Get a Good Driving discount if you’ve gone 5+ years without an accident or moving violation, and there’s a discount for drivers 55 and over who complete a defensive driving course.
• Young Drivers and Families. There are multiple discounts to help families save: Teens who use the Teen Safe Driver app can get a discount, as can students who maintain a high GPA. Additional discounts in this category include a School discount and a generational discount for drivers whose parents have a policy with American families.
• Policy Discounts. You can get a discount by bundling car insurance with another policy, insuring multiple vehicles, and discounts for low usage, signing up for automatic payments, switching to American Family from another company, or maintaining your coverage with American Family–you’ll save more the longer you’ve been with the company.

Is Car Insurance Mandatory in Colorado?

Car insurance is mandatory in the state of Colorado.

What Types and Amounts of Car Insurance Are Required in Colorado?

Colorado state law requires all drivers to purchase liability coverage in these amounts:

• $25,000 for bodily injury or death to any one person in an accident;
• $50,000 for bodily injury or death to all persons in any one accident and
• $15,000 for property damage in any one accident.

Many drivers purchase additional coverage, including collision protection or additional liability, but these are not legal requirements.

What Does Car Insurance Cover?

Each car insurance company has a unique policy, and it’s essential to read the fine print; in Colorado, all drivers must buy these two types of minimum coverage.

Liability

Liability coverage protects you if you’re in an accident that leads to the death or injury of someone in your car or another vehicle.

Property Damage

Property damage coverage protects you if you damage or destroy someone else’s property, including fences and detached garages; personal belongings inside vehicles are not covered but would be covered under your homeowners or renters insurance.

Should I Buy Additional Coverage?

You are legally required to buy minimum insurance as dictated by Colorado law, but you may want to purchase additional coverage to add to your protection.

Comprehensive coverage includes collision protection and protection for non-collision events, including damage caused by severe weather, theft, vandalism, and animal accidents.

You may also want to consider uninsured/underinsured driver protection, which protects you if one driver is at fault and doesn’t have adequate insurance.

Is Colorado a No-Fault State?

Colorado is an at-fault state, which means that insurance investigators will determine who was at fault for an accident, and claims related to the accident will be submitted to and paid by the at-fault driver’s insurance company.

What Does Car Insurance Typically Cover?

Basic car insurance covers your personal liability in an accident and will pay for a limited amount of expenses related to personal injuries to you and your passengers or for passengers in another vehicle.

Opting for comprehensive insurance adds coverage for damage to a vehicle and may also pay for things like roadside assistance or rental car reimbursement.

These things are typically not covered by car insurance.

• Normal wear and tear.
• Mechanical failure is unrelated to a covered event.
• Intentional damage means any damage you intentionally cause to your vehicle.
• Contents in your car. If someone breaks into your car and steals something, you’ll need to submit a claim under your homeowners or renters insurance.

What Factors Impact the Cost of Car Insurance?

Some factors can impact how much you pay for car insurance.

• Your driving record
• The driving record of other insured drivers
• Your age
• Your gender
• The type and replacement value of your car
• The area where you live

Tips to Reduce the Cost of Car Insurance in Colorado

Here are some tips to help you decrease the cost of car insurance in Colorado.

• Drive safely.
• Take a safe driving or a defensive driving course.
• Install safety features in your car.
• Bundle several insurance policies with one provider.
• Take advantage of any available discounts to increase your savings.

You can save hundreds of dollars a year by layering discounts; for example, bundling your policies, taking a driving course, and paying your premium annually in advance could all help you save.

Synopsis

Every Colorado driver is required by law to buy basic car insurance, and at PropertyNest, we suggest buying comprehensive coverage to protect yourself and provide peace of mind.

Adding collision coverage, theft coverage, and other riders will ensure you have all the protection you need, and taking advantage of discounts will help you save money.

We recommend obtaining a minimum of three quotes from three companies to evaluate your options and compare costs and coverage before buying a policy.

How We Picked the Best Car Insurance Companies for Colorado

We researched many insurance companies before choosing the one we included on our list using these criteria.

Average Cost

We understand that car insurance costs concern many Colorado drivers, so we focused on companies with low rates compared to the state and national averages.

Discounts

Drivers can reduce their costs when they qualify for discounts; we selected companies with a broad array of discounts in multiple categories, particularly those that offer easy-to-qualify discounts like policy bundling or paperless billing.

Coverage

Many drivers in Colorado like being able to customize their car insurance policies with riders and add-ons, so we prioritized companies with useful riders, including the following.

• Accident forgiveness
• Gap protection
• New car replacement
• Rental reimbursement
• Ride-share coverage
• Roadside assistance

Technology

We believe technology and convenience go hand in hand, so we chose companies with well-designed and user-friendly websites, free mobile apps, and discounts linked to driving technology.