Colorado drivers can choose from a variety of major and regional auto insurance companies when looking for a policy. However, each provider has unique advantages and drawbacks and rates will vary by company for each driver. Before choosing a car insurance company, insurance experts recommend you compare quotes from at least three providers based on your unique coverage needs and preferences for price and customer experience.
Reviews evaluated some of the largest Colorado car insurance companies and determined that American Family, State Farm, Progressive, and USAA are among the best car insurance companies in Colorado, based on available third-party data and 2021 average annual rates from Bankrate.com. These companies stand out for their excellent financial strength, good discounts and coverage options, as well as their standings for customer experience with agencies like J.D. Power.
4 Best Auto Insurance Companies in Colorado
- American Family: Best for Customizable Coverage
- State Farm: Best for Customer Service
- Progressive: Best for Discounts
- USAA: Best for Military-Focused Coverage
Compare the Best Colorado Auto Insurance Companies
| Average Annual Full Coverage Premium* | Average Annual Minimum Coverage Premium* | AM Best Financial Strength AM Best rates insurance providers creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim. | 2021 J.D. Power Claim Satisfaction J.D. Power scores are based on surveys for customer satisfaction and product quality. | ||
|---|---|---|---|---|---|
| Pin American Family | $1,909 | $699 | A (Excellent) | 889/1,000 | |
| Pin State Farm | $1,696 | $435 | A++ (Superior) | 892/1,000 | |
| Pin Progressive | $3,024 | $761 | A+ (Superior) | 862/1,000 | |
| Pin USAA** | $1,310 | $303 | A++ (Superior) | 909/1,000 |
*Data from Bankrate.com
**Not officially ranked by J.D. Power due to eligibility restrictions
American Family
American Family offers a long list of optional coverages, which is why it may be a good choice for Colorado drivers who want to personalize their policy with add-ons. In addition to the basics, like roadside assistance, you can also get accidental death and dismemberment coverage, accident forgiveness, OEM coverage, and travel coverage.
Best for Customizable Coverage
Why we chose it
Why we chose it
Pros
- Multiple add-ons coverage options to choose from
- Highest J.D. Power customer satisfaction rating in the region
Cons
- Lower financial strength rating from AM Best compared to other major insurers
Discounts available
- Loyalty
- Early bird
- Low mileage
- KnowYourDrive
- Young volunteer
- Generational family discount
Add-on coverages
- Personal injury protection coverage
- Gap coverage
- Rental reimbursement coverage
- Emergency road service coverage
- Accidental death and dismemberment coverage
- Accident forgiveness
- OEM coverage
- Rideshare coverage
- Travel coverage
- ForeverCar
American Family Insurance Reviews
State Farm
State Farm is the largest car insurance company by market share, according to a study by the Insurance Information Institute in 2020, and it also has some of the best customer service ratings. In J.D. Power’s 2021 U.S. Auto Insurance Study, State Farm was ranked second on the list of 11 providers for overall customer satisfaction in the Southwest region, which includes Colorado. For overall claim satisfaction, State Farm ranks above average in the 2021 study, with 892 out of a 1,000 points.
Best for Customer Service
Why we chose it
Why we chose it
Pros
- Highly-rated for customer service and claim satisfaction by J.D. Power
- Superior financial strength ratings from AM Best
Cons
- Fewer add-on coverage options than competitors
Discounts available
- Accident-free
- Defensive driving course
- Student away at school
- Drive Safe and Save program
- Steer Clear program
Add-on coverages
- Rental car and travel expenses coverage
- Roadside assistance coverage
- Rideshare driver coverage
State Farm Insurance Review
Progressive
Progressive is a standout in our review for its car insurance discounts, especially when compared to other insurers. Although Progressive’s average rates are above average for the state, Colorado drivers may be able to take advantage of more than a dozen discounts to get a lower premium. The company also offers several online tools to ensure that drivers are paying the best possible price for their Progressive auto insurance policy.
Best for Discounts
Why we chose it
Why we chose it
Pros
- Extensive discounts and savings options
- Variety of add-on policies for customization
- Helpful online tools and resources
Cons
- Below-average claim satisfaction ratings
- Highest premiums of major insurers included in this review
Discounts available
- Automatic payment
- Continuous insurance
- Distant student
- Good student
- Homeowner
- Multi-policy
- Multi-car
- Online quote
- Paperless
- Pay in full
- Sign online
- Snapshot program
- Teen driver
Add-on coverages
- Roadside assistance
- Gap insurance
- Rental car reimbursement
- Custom parts and equipment coverage
- Rideshare coverage
- Deductible savings bank
Progressive Insurance Review
USAA
USAA is widely considered to be one of the best car insurance companies for active duty and former military service members and qualifying family members. Eligible drivers can take advantage of the company’s highly-rated customer service, discounts and military-lifestyle-oriented coverage options. Plus, USAA’s average rates are much lower than the average premium in Colorado, based on quoted annual premium data for full coverage.
Best for Military-Focused Coverage
Why we chose it
Why we chose it
Pros
- Exceptional ratings for financial strength and customer service
- Competitive rates
- Wide variety of discounts
Cons
- Eligibility restrictions limit availability
- Few branch locations
Discounts available
- Safe driver
- New vehicle
- Annual mileage
- Vehicle storage
- Family discount
- Length of membership
- Military installation
ADD-ON COVERAGES
- Personal injury protection
- Extended benefits coverage
- Roadside assistance
- Rental car reimbursement
- Accident forgiveness
USAA Insurance Review
*Data from Bankrate.com
**Not officially ranked by J.D. Power due to eligibility restrictions
Average Cost of Auto Insurance in Colorado
Car insurance in Colorado is significantly more expensive than the national average rate, based on our study of 2021 quoted annual premiums from Bankrate.com. In Colorado, the average cost of car insurance is $2,016 per year for a full coverage policy. For comparison, the average rate in the U.S. for full coverage is $1,674 per year.
These rates are based on 2021 data from Bankrate.com, but keep in mind that car insurance premiums are different for every driver based on coverage options and policy limits, as well as personal factors like age, vehicle make and model, ZIP code, and motor vehicle record, among other factors.
Average Annual Premiums from Auto Insurance Companies in Colorado
Every car insurance company in Colorado charges a different rate for coverage, and some companies have cheaper average annual rates than others. In the table below, you can see the difference in rates from some of the larger providers in Colorado. Because average rates can vary significantly between companies, it’s important to compare quotes before choosing an insurance carrier.
| Company | Average annual full coverage premium* |
| American National | $767 |
| Geico | $1,106 |
| USAA | $1,310 |
| State Farm | $1,696 |
| Allstate | $1,711 |
| Acuity | $1,872 |
| Farmers | $1,883 |
| American Family | $1,909 |
| Auto-Owners | $1,951 |
| Grange | $2,010 |
| California Casualty | $2,411 |
| Colorado Farm Bureau Insurance | $2,870 |
| Progressive | $3,024 |
*Data from Bankrate.com
Top 3 Most Expensive Companies for Colorado Full Coverage
- Progressive: $3,024
- Colorado Farm Bureau Insurance: $2,870
- California Casualty: $2,411
Top 3 Cheapest Companies for Colorado Full Coverage
- American National: $767
- Geico: $1,106
- USAA: $1,310
Additional Auto Insurance Considerations
In order to legally drive in Colorado, you are required to carry a minimum amount of car insurance. However, there are a variety of optional coverages that drivers may consider purchasing for additional protection. Here are some of the popular coverage types that most Colorado drivers can get:
- Comprehensive coverage: Comprehensive coverage pays for your vehicle’s repairs after an other-than-collision claim. Examples include theft, vandalism, hail, falling objects, and accidents with animals.
- Collision coverage: Collision coverage pays for your vehicle’s repairs after an accident that you cause. Collision insurance is commonly considered part of a full coverage car insurance policy, along with comprehensive coverage.
- Gap insurance: If you lease or finance your car, your lender may recommend getting gap insurance. This coverage will help pay off your remaining loan balance if your car gets totaled or stolen in a covered claim and the payout is insufficient to cover the loan amount. Typically, this is recommended for vehicles 1 year old or newer, as the vehicle can depreciate faster than the loan can be paid off.
Frequently Asked Questions
Methodology
Reviews.com reviews products, services and companies based on five criteria to help readers understand how companies compare based on similar metrics. For the best car insurance companies, our editorial team compared affordability, customer support, coverage options, customer satisfaction scores and online resources from each company to determine top providers.
As for average pricing, we used Bankrate.com’s data of car insurance in Colorado, based on the profiles of a 40-year male and female. For full coverage, the details used were the following:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.
About the Authors
Elizabeth Rivelli is an insurance writer for Reviews.com. Over the last year, she has covered insurance providers, best policies, industry trends and more. Elizabeth has been featured in The Simple Dollar, Bankrate and Coverage.com, among others. She holds a bachelor's degree in Communication Studies from Northeastern University in Boston, MA. The Best Term Life Insurance Companies is Elizabeth’s favorite review on Reviews.com.
