#2 Dropped By Insurance

Homeowner’s Insurance in Colorado

#2 My insurer dropped me. What can I do?

Many residents in the foothills are receiving non-renewal notices from their insurers. If you are one of these people, don’t panic – you have 60 days to find new insurance. Colorado offers a FAIR plan available to homeowners who have been denied insurance by a minimum of three companies, but it is not cheaper. See FAQ #6 to see why the FAIR plan is considered “insurance of last resort.”

More Details: By law in Colorado, your insurer must give you 60 days of notice and provide a reason for the non-renewal.

Call your insurer or agent and gather as much information as possible about the reasons for non-renewal. Many insurers in Colorado are relying on “wildfire risk scores.”  The new law in Colorado (HB 25-1182) which goes into effect July 1, 2026, requires insurers to submit their risk models to the Colorado Division of Insurance, which is currently developing rules to implement the legislation. A number of companies sell risk scores to insurers, and their risk scores can vary considerably depending on the model. Thus, one insurer may decline to insure your property while another will insure it. Also, in our experience, the assumptions about your property may be incorrect. For example, your risk score calculation might not include the fact that you’ve replaced your roof or siding with a material that is fire-resistant. Ask:

  • Is the company not renewing everyone in your geographic area, or was there something specific about your house?
  • If the reason was your risk score, what was it and what company generated it?
  • If it is before July 1, 2026, when the new law goes into effect, ask for an inspection of your property so that you can see if there is anything you can do that will allow you to retain your insurance.
  • The law that is effective July 1, 2026, gives you the right to appeal your risk score. Insurers must also tell you what, if anything, you can do to have your insurance renewed.

Although you have 60 days to find new insurance, you should begin the process while gathering information about why your current insurer declined to renew your coverage. See FAQ #5 for tips on shopping for insurance.

While deciding to forgo insurance (self-insure) is a possibility, be sure you can afford to deal with the entire loss (home, property and contents). FAQ #7 deals with this in more detail. FAQ #12 discusses costs associated with a total loss of a house and its contents in more detail. 

If you are having trouble finding insurance or believe your insurer is treating you unfairly, contact DOI Consumer Services: doi.colorado.gov and find “File a Complaint.”