COLORADO SPRINGS, Colo. (KKTV) -Homeowners in Colorado are facing insurance costs that are $894 above the national average, a surge of 52% in just the last five years, driven by the state’s susceptibility to wildfires and hailstorms.
The high frequency of these natural disasters has led to an increase in insurance claims, pushing up the cost of homeownership. However, relief came in 2023 with the introduction of the FAIR Plan during the legislative session, designed to assist homeowners in high-risk areas who are unable to secure standard insurance. To be eligible, homeowners must show that three insurers have denied them coverage.
“If people are unable to find insurance on the traditional market, if it’s too expensive, or they’re getting denied by insurance companies, that’s what the FAIR Plan is for,” said Vince Plymell, assistant commissioner for communications and outreach at the Colorado Division of Insurance.
Plymell also recommends saving on insurance costs by bundling policies, installing safety features such as fire alarms, raising deductibles, and inquiring about discounts with agents.
The public is unable to access the FAIR Plan right now, but click here for updates and more on the program.
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Alice J. Roden started working for Trending Insurance News at the end of 2021. Alice grew up in Salt Lake City, UT. A writer with a vast insurance industry background Alice has help with several of the biggest insurance companies. Before joining Trending Insurance News, Alice briefly worked as a freelance journalist for several radio stations. She covers home, renters and other property insurance stories.