The personal auto policy (ISO PP 00 01: liability, medical payments, UM/UIM, physical damage, duties after loss) is covered in the national guide. Colorado adds a heavy layer of statute, mostly in C.R.S. 10-4-601 to 10-4-641 and the Motor Vehicle Financial Responsibility Act (Title 42, Article 7). Learn the limits, the medical payments rules, the UM rules and the notice periods below.

Fault system and compulsory insurance

• Colorado is a tort (at-fault) state. The no-fault/PIP law (10-4-701 to 726) was repealed effective July 1, 2003.
• Modified comparative negligence (C.R.S. 13-21-111): a claimant recovers only if his negligence was less than the defendant's. Damages are reduced by his share of fault. At equal or greater fault, he recovers nothing.
• Every owner must keep a complying policy in force unless self-insured (10-4-619).
• Minimum limits: $25,000 bodily injury per person, $50,000 per accident, and $15,000 property damage (25/50/15) (10-4-620).
• A complying policy automatically meets other states' minimums while the car is driven there (10-4-622(3)).
• Driving uninsured: minimum fine $500 for a first offense and $1,000 for a second within five years (42-4-1409(4)). Proof of insurance may be shown on a phone or other electronic device.
• Proof of future financial responsibility: Colorado law names the SR-22 form, filed with the Department of Revenue (42-7-103(14)(b)). After an accident, security based on the accident report may be required, capped at $35,000 (42-7-301).

Who and what is covered

• Insured means the named insured, resident relatives, and anyone using the described vehicle with the named insured's permission (10-4-601(5)).
• Covered vehicles are private passenger types not used for hire, and other four-wheel vehicles with a load capacity of 1,500 lbs or less not used in business (10-4-601(10)(b)).
• Named driver exclusion: instead of refusing the whole policy, the insurer must offer to exclude by name a household member whose record would justify refusing that person (10-4-628, 10-4-630). The premium can't reflect the excluded driver's record. The exclusion must be re-noticed conspicuously at every renewal, or it is void (Reg. 5-2-2).

Medical payments ($5,000)

• Every auto liability policy includes $5,000 medical payments unless the named insured rejects it in writing (or in the same medium as the application). If the insurer can't prove the rejection, $5,000 is presumed. Proof is kept three years (10-4-635).
• Med pay is primary to health insurance and can pay the health plan's deductible and coinsurance (10-4-641).
• The insurer has no subrogation against the at-fault driver for med pay it pays (10-4-635(3)).
• Trauma reserve: $5,000 is held for 30 days for trauma care. Ambulance and air ambulance are paid first, then trauma physicians, then trauma centers (10-4-635(2)).
• Not required on motorcycles, scooters, snowmobiles, off-road vehicles and similar vehicles.

Uninsured/underinsured motorist

• UM (which in Colorado includes underinsured coverage) must be provided at the bodily injury limits unless the named insured rejects it in writing (10-4-609(1)).
• The insurer must offer UM up to the insured's liability limits but need not offer more. Once limits are selected or UM is declined, the insurer doesn't have to re-offer at renewal.
• No setoff: UM/UIM pays the difference between the at-fault driver's limits and the damages, up to the UM limit. It can't be reduced by other coverage (10-4-609(1)(c)).
• An at-fault driver who can't be located, and whose insurer isn't shown on the police report, is treated as uninsured (10-4-609(6)).
• UM property damage pays the lesser of ACV or repair cost. It excludes losses without physical contact, damage paid by other property insurance, and loss of use (10-4-610).

Physical damage and claims

• Collision must be offered with $100 and $250 deductibles (10-4-621(2)).
• No adverse action for not-at-fault accidents (10-4-628(1)). Under Reg. 5-2-12, insurers also can't surcharge for medical payments, UM, comprehensive (absent negligence) or towing claims.
• A single accident with a payout under $1,000 can't be counted against the insured unless a filed rating plan allows it.
• A single conviction under 8 points is not grounds to nonrenew.
• Insurers must offer a quarterly payment plan.
• Policy copies: provided within 30 days of a written request (10-3-1117).
• Disclosure of limits to a claimant: an insurer that fails to disclose owes $100 a day from the 31st day.
• Optional coverages can't be added without the insured's express consent (10-4-636(3)).

Cancellation and nonrenewal

• After the first 60 days, a policy may be canceled only for: nonpayment; suspension or revocation of a household or customary driver's license or registration; a knowingly false application statement; or a willfully false claim (10-4-602).
• Notice: 30 days for cancellation, 10 days for nonpayment (with the reason), and 30 days for nonrenewal (10-4-603, 10-4-604).
• On written request, the insurer gives the nonrenewal reason within 20 days. Proof of mailing is proof of notice (10-4-605).
• Reasons must be specific. Vague terms like "personal habits" are not enough (10-4-629).
• The cancellation notice must tell the insured about the Colorado Automobile Insurance Plan (10-4-606). The plan is the market of last resort, and every auto insurer must participate (10-4-412).
• Insurers may not refuse or nonrenew solely because of age, race, creed, color, religion, sex, sexual orientation, national origin, residence, marital status or lawful occupation, including military service (10-4-626). They also may not penalize a lapse in coverage during active military duty.

Rideshare (TNC) drivers

• During a prearranged ride: at least $1 million primary liability, plus UM of at least $200,000/$400,000 that can't be rejected (40-10.1-604).
• Logged in, waiting for a ride: primary limits of at least $50,000/$100,000/$30,000.
• A personal auto policy is not required to cover TNC driving.

Exam traps

• The limits are 25/50/15. Fifteen thousand dollars for property damage is lower than in most states.
• Colorado is tort, not no-fault, and has no PIP. What it does require is $5,000 of med pay, which can be rejected only in writing.
• At equal fault, the claimant recovers nothing.
• Notice periods are 30 / 10 / 30 days (cancel / nonpayment / nonrenew).