Average homeowners insurance cost in Colorado

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Whether you’re buying a new home or safeguarding the one you already own, it’s important to have comprehensive homeowners insurance. However, the amount you’ll pay depends on the insurance company and the coverage limits you choose.

Homeowners insurance in Colorado costs an average of $4,086 a year, according to Insure.com’s study.

Read this guide to learn more about the average homeowners insurance rates in Colorado by insurance company and ZIP code.

Key Takeaways

Homeowners insurance costs an average of $4,086 a year, based on our analysis.
Of all the ZIP codes in Colorado, 81504 has the most affordable home insurance rates at around $2,389 annually.
In Colorado, State Farm provides the most affordable home insurance at an average annual premium of $3,190.

Average home insurance cost in Colorado by coverage level

The average cost of homeowners insurance in Colorado is $4,086 per year for the coverage limits of $300,000 dwelling coverage and $100,000 liability with a $1,000 deductible.

However, if you increase the dwelling coverage limit from $300,000 to $400,000, you will pay $4,976 per year for homeowners insurance in Colorado for $100,000 in liability protection and $1,000 deductible. Below, you can find the average cost of homeowners insurance in Colorado for dwelling coverage of $300,000, $400,000 and $500,000.

Coverage	Average annual rate	Average monthly rate
$200,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$3,158	$263
$200,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$3,169	$264
$300,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$4,086	$341
$300,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$4,099	$342
$400,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$4,976	$415
$400,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$4,976	$415
$600,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$6,874	$573
$600,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$6,890	$574
$1,000,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$10,725	$894
$1,000,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$10,745	$895

Homeowners insurance companies in Colorado decide rates based on risk. They consider your location, claims history, credit history and coverage limit when calculating premiums.

If your neighborhood has seen many claims over the past few years, you can expect to pay higher home insurance rates than an area with few to no claims. Your credit score can also play a role in determining your home insurance costs.

According to S&P Global Market Intelligence’s RateWatch application, the average homeowners insurance premium for owner-occupied homes nationwide increased by over 11% in 2023.

Best homeowners insurance companies in Colorado

It’s always wise to shop around and compare prices before you buy homeowners insurance. There are many factors that go into deciding the best homeowners insurance company.

We have compared the insurers in Colorado using their NAIC score and AM Best rating and compiled a list of the best homeowners insurance in Colorado. Based on the analysis, American Family received the lowest NAIC score and A rating from AM Best. A lower NAIC score indicates fewer complaints relative to the company’s size, suggesting higher customer satisfaction.

Company	Average annual premium	AM Best rating	NAIC Complaint Index	Overall score
American Family	$3,472	A	0.37	5
Allstate	$3,224	A+	0.9	4.03
State Farm	$3,190	A++	0.95	4.02
Farmers	$4,782	A	0.54	3.82
Nationwide	$5,375	A+	0.87	2.81

Average homeowners insurance cost by company in Colorado

State Farm offers the most affordable homeowners insurance in Colorado, at an average annual premium of $3,190, followed by Allstate and American Family.

You can save hundreds — if not thousands — of dollars each year if you shop around for homeowners insurance.

Here are the average annual and monthly insurance rates for Colorado homeowners for a policy with $300,000 dwelling coverage and $100,000 liability protection with a $1,000 deductible.

Company	Average annual rate	Average monthly rate
State Farm	$3,190	$266
Allstate	$3,224	$269
American Family	$3,472	$289
Nationwide	$5,375	$448
Farmers	$5,712	$476
USAA*	$3,891	$324

*USAA is only available to military community members and their families.

Colorado homeowners insurance rates by ZIP code

Insurance companies in Colorado assess the risk associated with a specific location. ZIP codes prone to higher crime rates or frequent natural disasters are often classified as high-risk areas, which can lead to increased insurance premiums. The cost of rebuilding or repairing homes in a specific ZIP code can also impact how much you pay for a homeowners insurance policy.

Make sure you shop around and compare quotes from various insurance companies to get the best deal on homeowners insurance rates in Colorado. Don’t forget to ask about any available discounts, such as bundling policies or a smart home discount.

Most affordable ZIP codes for home insurance rates in Colorado

Not every area in Colorado has the same home insurance cost. How much you pay for homeowners insurance in Colorado depends on many factors, including your ZIP code. Our data shows that 81504 ZIP has low-cost home insurance rates in Colorado, at about $2,389 a year or $199 monthly.

Below you can find homeowners insurance rates for some of the most affordable ZIP codes in Colorado.

ZIP code	Average annual rate	Average monthly rate
81504	$2,389	$199
81503	$2,404	$200
81521	$2,410	$201
81506	$2,421	$202
81505	$2,430	$203
81501	$2,439	$203
81527	$2,470	$206
81520	$2,480	$207
81610	$2,482	$207
81416	$2,499	$208

Most expensive ZIP codes for home insurance rates in Colorado

Your ZIP code is a key factor in determining the cost of your homeowners insurance coverage. In Colorado, certain areas have higher insurance premiums due to elevated crime rates, increased risk of natural disasters, and higher living costs.

81052 has the most expensive homeowners insurance rates in Colorado at an average annual cost of $6,624.

Below, we’ve highlighted some of the most expensive ZIP codes in Colorado for home insurance:

ZIP code	Average annual rate	Average monthly rate
81052	$6,624	$552
80805	$6,558	$547
80740	$6,555	$546
80807	$6,544	$545
80836	$6,528	$544
80812	$6,527	$544
80747	$6,524	$544
80802	$6,520	$543
80834	$6,512	$543
81045	$6,509	$542

Home insurance rates vary from one city to another. But with Insure.com, finding the right home insurance policy is easy. Learn more about homeowners insurance costs for different cities below.

Home insurance rates in Colorado by city

See rates in your city

Arvada

Colorado Springs

Mesa

Home insurance rate trend in Colorado

We analyzed home insurance rate trends in Colorado and found that homeowners insurance rates experienced an overall increase of 21% or $710, from 2022 to 2023.

The below data shows how much homeowners insurance rates have changed since 2019.

2019 rates	2022 rates	2023 rates
$3,123	$3,376	$4,086

To find the right homeowners insurance, research thoroughly and compare costs from multiple insurers, as they assess risk differently. Getting quotes from at least three companies helps ensure you get the most affordable coverage in Colorado.

Resources & methodology

Source

S&P Global. “US homeowners insurance rates jump by double digits in 2023.” Accessed September 2024.

Methodology

Insure.com worked with Quadrant Information Service to get homeowners insurance data. We analyzed 20,739,560 insurance quotes from 82 national and regional insurance companies across 34,588 ZIP codes to determine the average premiums.

The insurance rates are based on a sample profile of a homeowner with good credit and the following coverage level:

$300,000 dwelling coverage
$100,000 liability protection
$1000 deductible

We have taken into account 3 important factors such as average annual cost, NAIC score and AM Best rating, to determine the list of best homeowners insurance companies. The quoted insurance rates are for comparison purposes, and your individual rates may vary.

Shivani Gite

Contributing Writer

Shivani Gite is a personal finance and insurance writer with a degree in journalism and mass communication. She is passionate about making insurance topics easy to understand for people and helping them make better financial decisions.