If you are in the market for homeowners insurance in Colorado, it can be challenging to figure out which company is right for you. Colorado homeowners now typically pay roughly $3,000–$4,000 per year for a standard policy, based on recent analyses from Bankrate, Policygenius, and Insurify. The state is also rolling out a last-resort option via the Colorado FAIR Plan to help homeowners who cannot find coverage in the private market. To simplify your shopping experience, Reviews.com did some research to find the best homeowners insurance in Colorado.

We determined that the top providers in Colorado are Auto-Owners, USAA, Allstate, American Family, Travelers, and State Farm. We chose these providers based on their average rates, coverage options, discounts, financial strength scores, and third-party ratings. Keep in mind that pricing and eligibility vary widely by ZIP code, roof age/material, and wildfire exposure; recent independent evaluations also point to strong options like Amica Mutual (service and claims) and Chubb (high-value homes) for certain profiles (J.D. Power 2024 U.S. Home Insurance Study; Bankrate Colorado guide).

Earlier comparisons in this guide relied on historical 2021 sample rates. Since then, premiums have risen sharply statewide; for current context, see Bankrate’s 2025 update and Policygenius’ Colorado guide. Policygenius’ Home Insurance Price Index also shows double-digit national year-over-year increases through 2024. Comparing quotes from carriers that provide home insurance in Colorado remains the best way to find the right mix of price and coverage.

The 6 Best Home Insurance Companies in Colorado

• Auto-Owners: Best Colorado Home Insurance for Affordable and Robust Coverage
• USAA: Best Colorado Home Insurance for Military-Centric Options
• Allstate: Best Colorado Home Insurance for Discounts
• American Family: Best Colorado Home Insurance for New Home Purchases
• Travelers: Best Colorado Home Insurance for Sustainable Homes
• State Farm: Best Colorado Home Insurance for Policy Bundling

Note: The comparison table above reflects sample data originally compiled in 2021. As of 2025, typical Colorado homeowners premiums average roughly $3,000–$4,000 per year depending on coverage, location, and insurer (Bankrate; Policygenius).

* Data originally provided by Bankrate.com for $250,000 in dwelling coverage; current statewide averages are substantially higher. See Bankrate’s latest Colorado update.

**J.D. Power 2024 U.S. Home Insurance Study. Based on a 1,000-point scale. USAA is not officially ranked due to eligibility restrictions.

* Data originally provided by Bankrate.com for $250,000 in dwelling coverage; for current statewide averages see Bankrate’s 2025 Colorado guide.

**J.D. Power 2024 U.S. Home Insurance Study. Based on a 1,000-point scale. USAA is not officially ranked due to eligibility restrictions.

Homeowners Insurance Companies in Colorado

*Historical sample rates for a $250,000 dwelling limit (source: Bankrate.com). Current statewide averages are much higher; see Bankrate’s 2025 update for context.

Top 3 Cheapest Homeowner Insurance Companies in Colorado

*Historical sample rates for a $250,000 dwelling limit (source: Bankrate.com). For current context, statewide averages are now roughly $3,000–$4,000 per year (Bankrate; Policygenius).

Top 3 Most Expensive Homeowner Insurance Companies in Colorado

*Historical sample rates for a $250,000 dwelling limit (source: Bankrate.com). Today’s market averages are significantly higher; see Bankrate 2025 for details.

Common Home Insurance Perils in Colorado 

There are a handful of common home insurance perils that homeowners in Colorado should be aware of. Understanding these risks can help you decide what type of coverage you might need, and how much coverage is necessary for your home.

Wildfire and severe convective storms (hail and wind) are major drivers of losses. Colorado sits in the nation’s hail corridor, and the December 2021 Marshall Fire underscored the state’s urban-interface wildfire risk with about $2 billion in insured losses (Insurance Information Institute). NOAA also reports an elevated number of billion‑dollar U.S. disasters in recent years, led by severe storms (NOAA Billion‑Dollar Disasters).

Flooding and flash flooding are additional concerns, especially after wildfire burn scars and during heavy rain or snowmelt. Standard homeowners insurance does not cover flood; consider separate coverage through the National Flood Insurance Program or a private flood insurer. New NFIP policies typically have a 30‑day waiting period, and even one inch of water can cause tens of thousands of dollars in damage (FloodSmart.gov).

Add-on Home Insurance Coverage in Colorado

Standard Colorado home insurance policies are pretty comprehensive. You can check your policy’s declaration page to see exactly what your policy does and does not cover. However, Colorado homeowners can benefit from purchasing certain optional coverages for added protection, such as water backup, service line, equipment breakdown, extended replacement cost, and ordinance or law coverage.

Flood insurance may be one of the most important policies to have because standard Colorado homeowners insurance policies don’t cover flooding, although other types of water damage are typically covered. You may be able to purchase flood insurance through the federally-funded National Flood Insurance Program (NFIP) or the private market; note that new NFIP policies usually have a 30-day waiting period (FloodSmart.gov). Many homes can also benefit from water backup endorsements (often offered in tiered limits and commonly about $50–$250/year, Triple‑I) and service line coverage (frequently starting around a $10,000 limit, sometimes near $30/year, The Hartford). Consider extended replacement cost for the dwelling and appropriate ordinance or law limits to address code upgrades (Triple‑I).

If you keep jewelry or other valuable items in your home, you should also consider getting valuables coverage or scheduled personal property coverage added to your home insurance in Colorado, which is available from all the providers we reviewed. This endorsement raises your coverage limits for certain items that might otherwise be covered at a very low limit.

For Colorado homeowners who need some extra help deciding how much or what type of coverage to get, check out these resources:

• Rocky Mountain Insurance Information Association: Colorado Wildfire and Insurance Guide
• Colorado Department of Insurance: Home Insurance Premiums Report
• Colorado Department of Insurance: My Homeowners Insurance Doesn’t Cover What?

Colorado Home Insurance Frequently Asked Questions

Methodology

We evaluated the companies based on their third-party agency ratings for customer experience, financial stability, and coverage options to determine which might be the best providers. 

To compare home insurance companies across the board, we considered the following factors:

• Customer Ratings — Customer ratings are an indication of satisfaction with the overall experience with a company. We measured this using 2024 J.D. Power U.S. Home Insurance Study ratings.
• Coverage — As there isn’t one company to fit everyone’s needs, we evaluated companies by the amount of coverage options and add-ons available. 
• Confidence — It is extremely important for insurance companies to fulfill customers’ claims. Companies with sound financial strength ratings indicate a positive history of being able to pay out claims. We measured this using AM Best ratings.
• Customer Experience — The amount of complaints a company receives is an indicator of the overall customer experience as it expresses dissatisfaction. We have based this measure on the National Association of Insurance Companies National Complaint Index.

Rates are based on quoted annual premiums from Bankrate.com. These are sample rates and should be used for comparative purposes only. Your quotes may be different. For current statewide averages and market context, see Bankrate’s 2025 Colorado guide and Policygenius.

The coverage limits for home insurance rates reflect the following coverage and limits:

• Coverage A, Dwelling: $250,000
• Coverage B, Other Structures: $25,000
• Coverage C, Personal Property: $125,000
• Coverage D, Loss of Use: $50,000
• Coverage E, Liability: $300,000
• Coverage F, Medical Payments: $1,000

The homeowners also have a $1,000 deductible and a separate wind and hail deductible (if required).

Keep Reading

Guide to Homeowners Insurance Coverage

Homeowners Insurance Buyer’s Guide

The Best Companies for Bundling Home and Auto Insurance in 2025