(800) 253-1482Affordable Landlord Insurance in Colorado
How Much Does Landlord Insurance in Colorado Cost?
Landlord insurance in Colorado costs between $900 and $2,700 per year and $2,039 on average. But depending on where your rental property is located, the type of home you are insuring, and various other factors, your premiums can vary.
When it comes to determining the cost of your rental home insurance premiums, carriers are looking at the same thing: risk. The more risk you pose as a client, the higher your costs are going to be. However, each brand also looks at risks in its own unique way.
This means landlords can receive the same coverage for a range of different prices and is a core reason why Freedom Insurance Group always recommends shopping and comparing your coverage. You’ll want to search among multiple brands to ensure you aren’t overpaying for your policy.
What Landlord Insurance in Colorado Covers
Landlord insurance in Colorado can protect you against a variety of perils that will otherwise cause property owners to suffer a loss. Also known as a dwelling fire policy, landlord coverage is similar to standard home insurance policies, but is specifically built for properties in which the owner doesn’t live on the premises.
While CO landlord insurance won’t cover as much as a standard home insurance policy (HO-3), you’ll still have plenty of protection for your home. Here are some common coverages available for landlords:
Dwelling Coverage
The core of your rental property’s coverage. This portion of your landlord insurance will protect the home’s dwelling area and any garages that are attached to the structure.
Other Structures Coverage
If your property has other structures such as detached garages, you’ll need to make sure that they too are covered by your policy. Even fencing can receive protection from perils with this coverage.
Personal Property Coverage
If you have personal property on your rental property, landlord insurance in Colorado will provide coverage. It’s important to note, however, that any personal property must be imperative to maintaining your rental property in order to receive coverage. Otherwise, it isn’t covered. It’s also worth pointing out that this coverage will not include personal property belonging to your tenant. They’ll need their own separate renter’s insurance policy.
Loss-of-Income Coverage
When properties are uninhabitable due to a loss, losing income is adding insult to injury. It can also be an issue for landlords that aren’t receiving income as a result of tenants refusing to pay their rent. Some landlord insurance policies offer protection against such issues, but you’ll want to speak with a landlord insurance agent to ensure your policy offers this coverage.
Liability Coverage
Visitors that injure themselves on your property can face medical expenses and you can be held liable as the landlord. Liability coverage can help you avoid costly lawsuits and medical bills. It can even help you pay for legal expenses if you do have to go to court because of a liability dispute.
Types of Rental Property Insurance in Colorado
Colorado landlord insurance companies offer various types of rental property insurance for your property. There are more basic forms of coverage that protect against less and more advanced coverages that offer a wider range of protection. Here are your options:
| Insurance Policy | Description |
| DP-1 | The most basic form of a dwelling fire coverage. Your policy will protect against named perils, meaning if the peril is named on your policy, you are covered. |
| DP-2 | Offering more coverage than a DP1 policy, you’ll also operate under a named peril basis, but there are more perils you are protected from. This includes burglary damage, the weight of snow and ice, electrical damage, accidental overflow of water and steam, frozen pipes, falling objects, loss of rent, and more. The specifics of your policy may differ by insurance provider and because you are protecting against more, DP2 policyholders will pay a bit more in premium. |
| DP-3 | The most common and form of dwelling fire coverage. Here, landlords gain the best form of protection and a policy that is an open peril-based coverage. Your DP3 policy most resembles a home insurance policy and is the recommended form of protection from insurance experts including Freedom Insurance Group. |
As great as these coverage options are, they are not blanket coverage. This means there are common perils your landlord coverage will be up for the task to protect against, but others may require additional coverage. Here are common perils landlord insurance in Colorado protects against:
- Damage from fire, lightning, and smoke
- Wind/hail damage
- Damage caused by riots and civil commotion
- Explosions
- Damage from aircraft & vehicles
- Sudden and accidental water damage (does not include flooding)
- Volcanic eruptions
- Vandalism (depending on your policy)
Again, there are still exclusions that may require more coverage or additional policies. These are perils not covered by rental property insurance in Colorado:
- Flooding
- Intentional damage to your property from tenants
- Your tenant’s personal property (requires renters’ insurance)
- Mold damage
- Earth movement
- War
- Government action, local ordinances, and laws
- Nuclear hazards
- Shared property (landlord insurance is reserved for a non-owner-occupied property)
Additional Coverages for Landlords in Colorado
As you can see, landlord insurance in Colorado is great at protecting your home against a variety of perils, but exclusions exist and your policy is not blanket coverage. This means there are several perils that may still threaten to damage your home.
But there are still options available including flood insurance, vandalism coverage, and even coverages to protect against a loss of income in the event there is a major loss to your rental property.
Your coverage should be unique to the needs of you and your rental property. This is one great reason why it’s important to speak with a licensed insurance agent when shopping for rental home insurance.
The right agent will be able to compare your needs among a wide range of coverage options. This means you’ll be able to enroll in coverage that keeps you protected against appropriate threats to your property. Additionally, it allows the opportunity to shop and compare your protection and ensure you pay the lowest price possible.
Colorado Is Filled With Rental Opportunities
With nearly 35% of all the homes in Colorado occupied by renters, Colorado is on the upper side of things compared to nationwide trends and rental properties. Landlords have plenty of opportunities to invest in their rental business. Here are the top five markets according to Colorado Realty and Property Management:
- Aurora, CO
- Denver, CO
- Colorado Springs, CO
- Longmont, CO
- Fort Collins, CO
These urban centers require the most landlord insurance in Colorado as they are prone to having the highest renting populations among The Centennial State.
Can a Landlord Require Renters Insurance in Colorado?
Yes, while it might not be a law for renters to have coverage, landlords may make it a term and condition of a rental agreement. Doing so can help both landlords and tenants protect their property and finances while avoiding complicated, uncomfortable situations following a loss.
Does Landlord Insurance Cover Vandalism in Colorado?
Yes, landlord insurance in Colorado covers vandalism. But it depends on which policy you enroll in. Remember, there are different types of dwelling fire policies available and to make sure that you’re protected, you’ll want to speak with a licensed agent about the specific risks you face and the coverages your policy offers.
Colorado Landlord Obligations Insuring Habitable Premises
According to Colorado law, landlords must maintain the safety and health standards of their properties. Failure to do so can mean landlords may face issues with local government agencies and potential legal action from tenants. Dilapidated properties may also lose coverage or have claims denied after a loss.
How To Find the Best Landlord Insurance in Colorado
If you have a property, or properties, in need of coverage, Freedom Insurance Group is here to help. Since 2005, we’ve been helping landlords cover their rental properties all while saving
Our agents have established relationships with top-rated insurance carriers which allows us to quickly and accurately deliver quotes. By comparing your coverage among many different companies, we continue to pinpoint the coverage you need at the lowest price possible.
Losses can devastate your rental income, but they don’t have to. Stay protected with landlord insurance in Colorado that safeguards your finances.
If you own rental properties in The Centennial State, you’re going to need protection. Landlord insurance in Colorado helps you protect your investment and finances against losses from a variety of perils.
Not all coverage is the same. Landlords will want to make sure that they have an adequate level of protection for their property and are also enrolling in protection that doesn’t overcharge them in premiums.
Freedom Insurance Group is here to help landlords gain peace of mind through specific policies that are there to protect their rental property.
If you need a landlord insurance quote, our team can help you find rental property insurance in Colorado that protects your investment for less. Get a landlord insurance quote and learn more about coverage options and save on premiums.
