Report on Property and Casualty Insurance Challenges in Colorado Released by Metro Denver Economic Development Corporation
Denver, CO – The Metro Denver Economic Development Corporation (EDC), in partnership with the Colorado Competitive Council, today released its findings on the property and casualty insurance market in Colorado, following several months of research and stakeholder interviews.
“Colorado’s property and casualty insurance ranks among the most expensive in the nation, and options for Coloradans are shrinking as companies leave our market or reduce their scope,” said Shaun Brog, Metro Denver EDC economist and author of the report. “Our report examines the drivers of cost and availability challenges in Colorado so that policymakers can make data-driven decisions.”
Key findings include:
- Colorado’s property and casualty insurance market is under pressure from increasing regulatory burdens, more frequent and costly natural disasters, and soaring reinsurance costs.
- Homeowners insurance premiums rose 30% from 2019 to 2023 statewide.
- In Colorado’s largest cities, premiums increased an additional 16% on average in 2024.
- Colorado has seen a steep rise in natural disasters—from 5 in the 1980s to 21 events in just the first four years of the 2020s.
- Insurers lost money in Colorado in 8 of the past 11 years, especially after major disasters, leading to insurance companies reducing product offerings in Colorado and increasing the risk that they exit Colorado entirely.
- Recent and proposed laws increase operational burdens, risk exposure, and litigation potential.
“In an already-challenging market, there is a serious risk that legislation intended to help will actually make it harder for insurance companies to operate here and force them to leave the state,” said Rachel Beck, Executive Director of the Colorado Competitive Council. “If we really want to save Coloradans money on their insurance bills, this report can help us mitigate the factors unique to Colorado that drive insurance costs up and availability down.”
“The report shows we can learn from other states who’ve had to address these issues, but have failed,” said J. J. Ament, President and CEO of the Denver Metro Chamber of Commerce. “Let’s not make the same mistakes they have that led to fewer choices and massively higher costs for their residents.”
The Colorado Competitive Council convened a working group of insurance experts and other affected industries to examine cost and availability drivers and recommend policy solutions. The group commissioned the study.
View the full report or view a summary of the report.
The Metro Denver EDC and the Colorado Competitive Council are affiliates of the Denver Metro Chamber of Commerce.
About Denver Metro Chamber of Commerce
The Denver Metro Chamber of Commerce (DMCC) is the architect of tomorrow, igniting change and driving progress to build dynamic economies and communities. We champion innovation, forge powerful partnerships, and relentlessly advocate for our members and all Coloradans. With more than 150 years of trust and impact, we help business flourish.
The DMCC’s vision is Economic Empowerment for Every Coloradan and is achieved by advocating for effective public policy, developing civic leaders, and driving a sustainable economy. We promote a vibrant economy by fostering a business-friendly environment, supporting a skilled workforce and facilitating connections. Dedicated to boosting business and employee opportunities, the Chamber drives sustainable growth and prosperity across Colorado.
About Metro Denver EDC
The Metro Denver Economic Development Corporation (Metro Denver EDC) is a private, business-led economic development organization driven by the support of its corporate and community investors. Funded by businesses, for businesses, Metro Denver EDC focuses on fostering a robust economic ecosystem by attracting and retaining companies, talent, and investment to the 11-county front range region in Colorado. Through strategic collaboration with more than 100 communities and innovative initiatives, the Metro Denver EDC is committed to advancing the region’s position as a global hub for business success and community prosperity.
About Colorado Competitive Council
The Colorado Competitive Council advocates for public policy in Colorado that facilitates good jobs, entrepreneurship and business development, and a healthy economy that benefits all Coloradans. The Colorado Competitive Council advocates for sound public policy at the State Capitol; works with Chambers and EDCs across the state to amplify and activate their public policy work; and organizes statewide tours that bring together business, elected and community leaders to discuss Colorado’s most pressing regional issues. For more information, go to coloradocompetes.org.