In Colorado, and many other states, proper liability insurance is required to drive a car. In fact, since 1997, Colorado has maintained a database that lists specific individuals and whether they hold the proper amount of insurance. Because motor vehicle accidents are common, dangerous, and expensive, the goal of the database program is to decrease the number of uninsured drivers on the road and thus the expenses caused by these accidents. This database is available and often reviewed by traffic courts, government agencies, and law enforcement personnel.
The minimum amount of bodily injury liability insurance required in Colorado is $25,000 per person and $50,000 per accident. $15,000 per accident is mandatory for property damage. While not mandatory, underinsured and uninsured motorist coverage is also extremely important to purchase in order to protect yourself and ensure you are taken care of in the event you are injured in an accident and the at fault party has minimum or no insurance. You should also be aware that a policy holder must be advised about uninsured and underinsured coverage, given the option to purchase it, and can only waive this type of coverage in writing. If not waived in writing by the policyholder, the minimum limits of $25,000 per person and $50,000 per accident will apply to the policy.
Lastly, if you are ever in a situation where you receive your bill for your insurance premium and feel it is incorrect, be sure to pay your premium in a timely manner to ensure you are covered and then dispute the bill. Please do not put yourself in a situation where you do not pay your premium, lose your coverage, and then get in an accident without any insurance coverage. You can always get a refund from the insurance company if they did indeed charge you too much for your premium, but you can’t go back in time and get coverage for an accident that occurred during the period of time you refused to pay your premium because you were disputing the amount.
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