The first of two forums on affordability and home insurance in Teller County attracted 140 people on Feb. 7 at the Woodland Park library conference room and lobby.   

“I understand that folks are mad. I’m mad, too, mad that we haven’t been able to find solutions,” said Michael Conway, Colorado’s insurance commissioner. “We have pockets in the state where some homeowners aren’t able to buy insurance,”

When several insurance companies pulled out of Colorado, by 2020, the state took notice that just five big companies were “gobbling up the business,” Conway said. The next year the state created the FAIR – Fair Access to Insurance Requirements – as insurance of last resort, he added.

But the main cause of the high cost of insurance in Colorado is hail.

“Hail drives all of the affordability issues we have in the state for homeowner’s insurance,” Conway said.

While failing to pass a bill that would have established a grant program for homeowners to add hail-resistant roofs, the legislators did pass SB26-049. The bill allows people to set up a disaster savings account.

“So, you will have money tucked away when you need it,” Conway said.

Homeowners can make changes to their policies, said John Bradley, a local insurance broker.

“I’m not representing any carrier or company, I just want you to work with your agent, look at your policy and move forward from there,” Bradley said, adding that 52 clients received non-renewal notices from their insurance companies.

Bradley speaks of the risks for homeowners by not being informed.

“If you currently have insurance with any carrier that’s out there, you should keep it,” Bradley said. “If you do shop it and get another great price, don’t cancel your current policy.”

When doing an annual review of the policy, be sure it covers wildfire and consider adding coverage for replacement costs, Bradley said.

“When you rebuild a house – the cost of materials, and everything went up after COVID and have come down a little – but it’s expensive to rebuild your house,” he said.

With money up front by raising the deductible, maybe to $5,000 or $10,000, the policy would be less expensive, he said.

Insurers are requiring mitigation, cutting down trees and screening decks, Bradley said.

If an insured home has roof damage, check replacement costs and check with the agent first because filing a claim goes on the insurer’s chart. 

“Before putting a claim in make sure it’s for something really big,” he said.

Mitigation is about keeping the community safe, said Eugenia Woods, wildfire prevention specialist.

“I want us all to be safe. Firefighters will come in and look at mitigation efforts at no charge,” she said. “That’s a great place to start.”

Woods cautioned homeowners about embers.

“It’s not the flames that burn down the house; it’s the embers,” she said.

As a result, Woods recommends that homeowners add protection to their home, with fire-resistant roofs and siding and stucco exterior, for instance.

“If using propane tanks store them away from the house; same thing with firewood,” she said.

Houses that are fire-resistant have no vegetation within five feet, reduced vegetation up to 30 feet, and vertical and horizontal spacing from 30 to 100 feet.

“And have reduced vegetation from 100 to 200 feet to avoid chain events,” Woods said.

After the presentations, the audience submitted written questions, among them:

Q. If you’re building a house at what point do you contact your insurance company?
A.  As soon as you have a plan. Talk to the builders about mitigating factors such as stucco and fire-resistant siding. Before breaking ground, take out a builders’ risk policy.

Q. Do insurance companies have statewide standards for mitigation?

A. No. But work with the insurance agent before taking out a policy.

Q. What constitutes a hail-fortified roof?

A. A metal roof qualifies but still check with the insurance agent about the cost of replacing a fortified roof.

Q. What if there is zoning change in the home’s location? Insurance companies can add a percentage of the value that would have been covered if that cost went up.

Sponsored by Braver Angels, the Teller County Democrats and Teller County Republicans, the forum featured Holly Sample as master of ceremonies, Carl Andersen and Dennis Luttrell, Republican and Democratic candidates, respectively, for Teller County commissioner.

The second forum is from 2 to 4:30 p.m. Feb. 28 at Summit Elementary School in Divide.