Cheapest Liability Car Insurance In Colorado 2026
Drivers in Colorado can find the lowest rates for liability coverage with American National, with average rates starting around $29 a month.
We’ve saved shoppers an average of $600 per year on their car insurance.
American National is the clear winner for the cheapest liability car insurance in Colorado. It is the best option overall and also offers the lowest rates for military members. However, your specific driving history might make other companies a better fit.
State Farm is the most affordable choice if you have a past accident. American National is the budget leader for both teens and young adults. Seniors will find the best pricing with USAA. Finally, American Family offers the lowest premiums for drivers with a DUI.
Key Takeaways
American National has the most affordable liability coverage in Colorado, with an average cost of $29 per month.
Drivers in the state must meet minimum limits known as 25/50/15.
This type of insurance protects other drivers and their property. It does not provide coverage for your personal vehicle.
Cheapest Liability-Only Car Insurance In Colorado, 2026
Cheapest Liability Car Insurance In Colorado: American National
American National is the top choice for budget-conscious drivers, offering the cheapest liability car insurance in Colorado, with average rates starting at $29 per month
This low rate is especially helpful for those facing the high cost of living in cities like Colorado Springs, Denver, or Aurora. Saving money on premiums allows Coloradans to maintain financial stability without giving up essential coverage.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| USAA* | $41 | $494 |
| American National | $29 | $353 |
| GEICO | $37 | $439 |
| State Farm | $52 | $618 |
| Colorado Farm Bureau | $39 | $466 |
*Military Only
Cheapest Liability-Only Car Insurance In Colorado For Teens: American National
American National stands out as a budget-friendly option for Colorado teens. Their liability policies average about $116 a month.
Finding a low rate is crucial because insurance for young drivers is notoriously expensive. Companies view teens as riskier to insure. Choosing a provider like American National helps parents and new drivers manage these high costs more effectively.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| State Farm | $182 | $2,184 |
| American National | $116 | $1,392 |
| GEICO | $206 | $2,472 |
| American Family | $199 | $2,388 |
| Colorado Farm Bureau | $238 | $2,856 |
Cheapest Liability-Only Car Insurance In Colorado For Young Adults: American National
If you are a young adult driver in Colorado, American National likely offers your best deal. Their average monthly rate for liability coverage is just $43.
This is essential for those balancing the cost of living with the need for reliable transportation. Liability insurance satisfies Colorado law and keeps premiums low. It is a smart way to manage costs while navigating the shift toward financial independence.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| American National | $43 | $516 |
| Progressive | $78 | $936 |
| USAA* | $54 | $648 |
| Travelers | $89 | $1,068 |
| State Farm | $72 | $864 |
*Military Only
Cheapest Liability-Only Car Insurance In Colorado For Seniors: USAA
USAA is typically the most affordable choice for senior drivers in Colorado. Their liability policies cost an average of just $28 a month.
Since many seniors rely on a fixed income, finding these lower rates is essential for financial health. Choosing a cost-effective insurer like USAA allows older drivers to maintain their independence while keeping expenses in check.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| GEICO | $33 | $396 |
| American National | $48 | $576 |
| USAA* | $28 | $336 |
| Travelers | $59 | $708 |
| State Farm | $44 | $528 |
*Military Only
Find Affordable Car Insurance In Colorado
Cheapest Liability Car Insurance In Colorado For Military Members: American National
American National offers the best price for military members in Colorado. You can expect to pay around $27 per month for liability insurance.
This is a great option for families who need to keep a tight budget. Military life comes with unique financial challenges. Lowering your car insurance bill is a smart way to maintain stability and stay compliant with state laws.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| GEICO | $31 | $372 |
| Colorado Farm Bureau | $36 | $432 |
| State Farm | $45 | $540 |
| American National | $27 | $324 |
| USAA* | $33 | $396 |
*Military Only
Cheapest Liability Car Insurance In Colorado After An Accident: State Farm
If you have caused an accident, State Farm is likely your most affordable option. They offer affordable liability coverage in Colorado for about $141 per month.
Premiums almost always go up after a crash. This makes finding a low rate critical. Switching to a budget-friendly provider like State Farm can help you manage the financial impact of an at-fault record.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| Colorado Farm Bureau | $156 | $1,872 |
| State Farm | $141 | $1,692 |
| USAA* | $168 | $2,016 |
| GEICO | $146 | $1,752 |
| American National | $153 | $1,836 |
*Military Only
Cheapest Liability-Only Car Insurance In Colorado After A DUI: American Family
American Family provides the lowest rates for Colorado drivers with a DUI. You can expect to pay about $148 per month for liability coverage.
This is a crucial savings opportunity. A DUI mark on your record almost always results in expensive premiums. Choosing a budget-friendly insurer helps you handle the extra costs without breaking the bank.
| Insurance Provider | Average Monthly Cost | Average Annual Cost |
| State Farm | $159 | $1,908 |
| Progressive | $168 | $2,016 |
| American National | $182 | $2,184 |
| American Family | $148 | $1,776 |
| Colorado Farm Bureau | $175 | $2,100 |
How To Get Cheaper Liability-Only Insurance
Finding affordable liability car insurance in Colorado requires a proactive approach, but the savings are often worth the effort. Since rates fluctuate based on how different carriers measure risk, you should never settle for the first price you see.
To secure the lowest possible premium, consider the following strategies:
- Compare Multiple Quotes: Prices for the exact same coverage can vary wildly between companies. Use comparison tools or speak with an independent agent who can check rates from several insurers at once.
- Audit Your Discounts: Ensure you are getting credit for every discount available. Common savings include price breaks for safe driving records, paperless billing, and bundling your auto policy with renters or homeowners insurance.
- Check Low-Mileage Options: If you work from home or have a short commute, ask about low-mileage discounts. You might pay significantly less simply because you spend less time on the road.
- Review Your Limits: The most direct way to lower costs is to choose the state minimum liability limits. While this reduces your monthly bill, you must ensure you are comfortable with the lower level of financial protection.
- Boost Your Credit: In many places, insurers use credit-based insurance scores to determine rates. Improving your credit score over time can lead to lower premiums.
- Take a Defensive Driving Class: Some providers reward drivers who voluntarily complete an approved safety course. This is a great way to erase points from your license while lowering your insurance costs.
By combining these tactics and maintaining a clean driving history, you can find a liability policy that fits your budget without leaving you legally exposed.
How Much Liability Coverage Does Colorado Require?
Driving legally in Colorado requires every motorist to carry a specific level of liability insurance. This policy is designed to cover the costs if you injure someone else or damage their property during a crash.
The state enforces a “25/50/15” minimum standard for all drivers. You must maintain a policy that meets or exceeds these limits to stay legal on the road:
- $25,000 for Bodily Injury (Per Person): This covers medical expenses for a single person you hurt in an accident.
- $50,000 for Bodily Injury (Per Accident): This is the maximum amount your insurer will pay for all injuries combined in a single crash, regardless of how many people are hurt.
- $15,000 for Property Damage: This pays to repair or replace another driver’s vehicle or property, such as a fence or mailbox.
While buying the state minimum is the cheapest option, it carries financial risk. These limits may be too low to cover a serious wreck. If damages exceed these amounts, you could be personally responsible for the remaining balance.
Should You Get Liability-Only Insurance?
Choosing to carry only liability insurance is a strategic financial decision. It requires you to weigh your monthly budget against the value of your car. Remember that liability policies only pay for damages you cause to other people. They do not provide any funds to repair or replace your own vehicle after an at-fault accident.
This coverage level is usually the best choice for drivers with older vehicles. If your car is paid off and has low market value, the price of full coverage might outweigh the benefits. A good rule of thumb is to consider whether you can afford to replace your vehicle with cash right now. If you have the savings to buy a replacement car out of pocket, liability-only coverage is a smart way to save money.
Your daily driving habits also impact this choice. Safe drivers with clean records generally face lower risks. However, if you have a long commute or drive frequently in heavy traffic, the odds of an accident increase. You must decide if the monthly savings are worth the potential cost of a wreck.
Ultimately, this decision comes down to your financial security. If losing your car would create a financial crisis for you, full coverage provides the necessary peace of mind. But if your priority is cutting expenses and you are comfortable assuming the risk, liability-only insurance is the most affordable option available.
Find Affordable Car Insurance In Colorado
Cheapest Car Insurance In Different Cities In Colorado
| City | Average Monthly Cost | Average Annual Cost |
| Fort Collins | $120 | $1,440 |
| Colorado Springs | $154 | $1,848 |
| Arvada | $145 | $1,740 |
| Aurora | $180 | $2,160 |
| Lakewood | $140 | $1,680 |
| Grand Junction | $110 | $1,320 |
| Pueblo | $156 | $1,872 |
| Denver | $168 | $2,016 |
Compare The Cost Of Liability Car Insurance To Other States
The cost of liability-only coverage changes drastically depending on where you live. This price difference comes from a mix of local factors, including state laws, regional weather patterns, and the overall danger level on the roads.
These variables create a wide gap in pricing across the country. For example, drivers in South Dakota often pay the least, with average monthly premiums around $29. In contrast, Michigan drivers typically face the highest costs, averaging about $154 per month for the same type of coverage.
The table below provides a full breakdown of the average liability insurance cost for every state in the U.S.
| State | Average Monthly Cost | Average Annual Cost |
| Alabama | $55 | $660 |
| Alaska | $64 | $768 |
| Arizona | $59 | $708 |
| Arkansas | $50 | $600 |
| California | $65 | $780 |
| Colorado | $73 | $876 |
| Connecticut | $79 | $948 |
| Delaware | $107 | $1,284 |
| Florida | $101 | $1,212 |
| Georgia | $80 | $960 |
| Hawaii | $45 | $540 |
| Idaho | $34 | $408 |
| Illinois | $48 | $576 |
| Indiana | $42 | $504 |
| Iowa | $37 | $444 |
| Kansas | $56 | $672 |
| Kentucky | $75 | $900 |
| Louisiana | $98 | $1,176 |
| Maine | $41 | $492 |
| Maryland | $83 | $996 |
| Massachusetts | $88 | $1,056 |
| Michigan | $154 | $1,848 |
| Minnesota | $78 | $936 |
| Mississippi | $52 | $624 |
| Missouri | $63 | $756 |
| Montana | $44 | $528 |
| Nebraska | $50 | $600 |
| Nevada | $114 | $1,368 |
| New Hampshire | $49 | $588 |
| New Jersey | $95 | $1,140 |
| New Mexico | $47 | $564 |
| New York | $92 | $1,104 |
| North Carolina | $39 | $468 |
| North Dakota | $46 | $552 |
| Ohio | $43 | $516 |
| Oklahoma | $60 | $720 |
| Oregon | $61 | $732 |
| Pennsylvania | $68 | $816 |
| Rhode Island | $101 | $1,212 |
| South Carolina | $72 | $864 |
| South Dakota | $29 | $348 |
| Tennessee | $55 | $660 |
| Texas | $69 | $828 |
| Utah | $65 | $780 |
| Vermont | $35 | $420 |
| Virginia | $52 | $624 |
| Washington | $66 | $792 |
| Washington D.C. | $77 | $924 |
| West Virginia | $58 | $696 |
| Wisconsin | $43 | $516 |
| Wyoming | $31 | $372 |
Our Methodology
To evaluate the car insurance companies and determine the cheapest liability-only coverage options in Colorado, we employed a comprehensive methodology focused on several key factors. First, we analyzed premium rates provided by each insurer for different driver profiles, including military members, teens, young adults, seniors, and drivers with a history of accidents or DUIs. These profiles were carefully selected to represent a wide range of typical insurance needs, ensuring that our findings are applicable to a broad audience. We collected data from multiple sources, including other insurance review websites, consumer reports, and direct quotes from the insurers. By comparing rates across these varied profiles, we were able to identify the most affordable options for each category.
In addition to premium rates, our evaluation also considered factors such as customer service ratings, claims handling efficiency, and financial stability of the insurance companies. We believe that while affordability is important, the overall quality of service provided by the insurer is equally important. Companies that offer low rates but fail to deliver reliable customer service or timely claims processing may not be the best choice in the long run. Therefore, our methodology balances both cost and quality, ensuring that our recommendations are not only budget-friendly but also trustworthy and dependable for Colorado drivers.
Quotes Analyzed
Years Of Industry Experience
Brands Reviewed
Research Hours
FAQs
Why is car insurance in Colorado so high?
Car insurance premiums in Colorado are high due to factors like frequent severe weather, a high number of uninsured drivers, and increasing medical and repair costs.
How do I save on car insurance in Colorado?
You can save on car insurance in Colorado by comparing quotes from multiple providers, bundling policies, maintaining a clean driving record, and taking advantage of available discounts, such as those for safe driving or low mileage.
About Bob Phillips
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