In Colorado, drivers and owners of motorized vehicles are required to carry a minimum amount of bodily injury and property damage liability insurance. The minimum required amount of Colorado auto insurance is 25/50/15. Simply stated, if you are involved in an accident and found to be at fault, your insurance will pay up to $25,000 for any bodily injury to a single individual or up to $50,000 for all individuals injured by your actions. The policy will also pay out up to $15,000 in property damage you may have caused as a result of the accident.
While these are the minimum requirements, in today’s world an accident can result in far more financial costs than the minimum insurance requirements will cover. If you are found responsible for an accident, you can and very possibly will be held responsible for any amount of damage above the minimum coverage limits. A prudent person should have adequate liability coverage to protect their personal assets.
Mandatory car insurance in Colorado does not require you to carry Comprehensive or Collision coverage to protect your own vehicle. However, if you finance a car, the lender may require you to have this type of coverage. Comprehensive insurance covers you against such things as theft, vandalism or other damage other than collision. Collision insurance covers your car regardless of which party was at fault. If the other party was at fault, your insurance company may try to recover the repair costs from the other driver’s insurance company.
In addition to Comprehensive and Collision coverage, Colorado drivers can elect to purchase Uninsured/Underinsured coverage that protects them, their named resident relatives and any passengers in their vehicle in the event of an accident with a person who has no insurance or an inadequate amount of insurance.
Finally, another optional type of coverage is Medical Payments that pays for reasonable and necessary medical expenses for you and you covered passengers without regard to liability in an accident that causes bodily injury.