Everything You Need to Know About 2022 Colorado Car Insurance Laws
In Colorado, all drivers are required by law to carry car insurance, and if you drive or park a vehicle on a public road, you are mandated to carry proof of insurance. If you go without proof of insurance, you’re in danger of being held financially responsible in the event of an accident.
Liability Auto Insurance
As a vehicle owner in Colorado, you are required to carry liability insurance that covers injury to another party or damage to their property if you are at fault for an accident. The minimum requirements for liability insurance are:
- $25k – for one person’s bodily injury/death in an accident
- $50k – all people’s bodily injury/death in an accident
- $15k – property damage in an accident
Being covered by the minimum is not recommended, as these amounts do not go very far. It is wise to carry more than the minimum amount of coverage because you are on the hook financially for anything your insurance doesn’t cover. An emergency room visit for just one person adds up to a large sum, so holding above the minimum is wise in the event of severe accidents and significant injuries.
What About My Injuries?
Liability insurance does not cover your injuries or medical expenses. If the other driver involved does not have adequate coverage for your damages, you are financially responsible. For this reason, it’s wise to have Uninsured Motorist/ Underinsured Motorist coverage to protect yourself.
Driving Without Insurance
You can face serious penalties if you get caught driving without insurance in Colorado. These penalties include:
- First Offense – Your license is suspended until you show proof of insurance and you incur a $500 (minimum) fine.
- Second Offense – Your license is suspended for four months, and you incur a $1,000 (minimum) fine.
- Third Offense – Your license is suspended for eight months, and you incur a $1,000 (minimum) fine.
In all cases, you get four points added to your driver’s license, and you could get as many as 40 hours of community service added to each offense. If you have been caught driving without insurance in Colorado and need representation on your case, get in touch with an insurance lawyer in Denver.
Coverage Options in Colorado
Providers in Colorado offer a myriad of coverage types, including:
- If your vehicle was damaged or destroyed by an event out of the driver’s control, like weather, theft, or vandalism, you are covered by comprehensive insurance.
- Collision insurance covers repair and replacement costs if you collide with another vehicle or a static object such as a curb.
- Medical Payments
- No matter who is at fault, medical payments insurance covers the cost of medical care, childcare, funeral expenses, and loss of services.
- Gap Coverage
- If you are leasing your vehicle, gap coverage will cover the difference between what you owe and what your car is worth at the time of the accident.
- Roadside Assistance
- This type of coverage reimburses you for services like towing, refueling, locksmiths, and more.
- Uninsured and Underinsured Motorists
- If the driver at fault does not have insurance, or if they do not have enough insurance, this coverage protects you from paying out-of-pocket.
- Rental Reimbursement
- If your vehicle is in the repair shop for over 24 hours, rental reimbursement insurance covers the cost of a rental vehicle.
A “Fault” State
Until 2003, Colorado was considered a “no-fault” state regarding car accidents, which meant that a driver had to resort to using their personal injury protection coverage to cover their medical bills and other costs – no matter if they were at fault for the crash or not.
But now, Colorado is a “fault” state. That means if you are at fault for causing the car accident, you are also considered responsible for the damages and harm resulting from the accident – or your insurance is. The damages usually refer to bodily harm, lost income, or a damaged vehicle.
To get compensation for the damages you’ve suffered in a Colorado car accident, there are three pathways you can take:
- File a claim with your own insurance company.
- File a third-party claim with the at-fault driver’s carrier.
- File a personal injury lawsuit in civil court against the driver at fault.
Getting Protected and Staying Protected
At Boyle Law Firm, we are experts in car insurance laws and Colorado bad faith insurance law. We are the team to call if you have been involved in an accident, whether you are at fault or not, and need representation.
We are known for our outstanding skills and ethics. Get in touch with us so we can start working on your case.