In recent years, homeowners in Boulder (and across Colorado generally) have seen their insurance premiums surge, and relief doesn’t appear just around the corner. The region’s escalating exposure to wildfires, hailstorms, inflation in repair costs, and a retreating insurance market have created a new insurance “normal” that every homeowner should understand.
Why the increase?
Boulder County and the surrounding foothills sit in zones where wildfires, like the 2021 Marshall Fire, and major hail events have caused billions of dollars in damage. Hail, in fact, now accounts for more than half of the submitted homeowners’ insurance claims in parts of Colorado (thank you Summer rainstorms). Some other factors that aren't nature related are also at play. Rebuilding costs have surged as materials, labor, and repair expenses climb, leading insurers to adjust premiums accordingly. At the same time, fewer insurance carriers are writing new policies in high risk areas, reducing competition and driving rates higher, especially for homes with elevated values or locations near wildfire zones, open space, or hail prone regions.
What does this mean for homeowners?
All of these combined factors have had measurable impact: homeowners in Colorado overall have seen average premiums jump by more than 50 % from 2018 to 2023 (and beyond). In Boulder County, some policyholders report their premiums doubling or even tripling in a short time span. For anyone buying or selling a home, insurance should be viewed as a key part of the budget and not just simply an afterthought.
What can you do to lessen risk (and perhaps even your premium)?
While you can’t change the weather (wouldn't that be nice), you can take steps to make your home more resilient and more insurable. Here are some actionable strategies:
- Wildfire reduction and prevention: If your home backs up to open space or forest, create tenable space by clearing dry brush, trimming trees away from the house, and using fire resistant materials on your home (think roof, siding, deck, and fences). These steps can make a big difference when it comes to wildfire risk.
- Hail resistant home enhancers: In areas that get frequent hail, consider impact resistant roofing or certified windows. They can help prevent costly damage and may even qualify you for discounts sometimes up to 25%.
- Don't skimp on home maintenance: Simple tasks like cleaning gutters, fixing leaks, and trimming branches show insurers you’re proactive. Fewer surprise repairs often mean fewer claims, and that can help keep your rates down.
- Review your coverage every year: Make sure your policy’s coverage keeps up with current construction and replacement costs. It’s also smart to keep a quick digital photo or video inventory of your belongings and home for easy reference.
- Shop around and ask about discounts: When renewal time comes, compare quotes, think about raising your deductible if it makes sense, and bundle your home and auto if you can. Ask your agent to check for discounts tied to safety systems, recent updates, or a clean claims history.
In Summary:
Rising homeowners insurance costs in the Boulder/Front Range area reflect changes in climate risk, construction economics and materials, and insurance market dynamics. But while you can’t control any of these factors, you can control how you respond. By strengthening your home’s resilience, staying informed about your insurance policy, and working with an informed agent, you’re better positioned to navigate this challenging environment and keep your overall cost of homeownership more manageable.
If you're curious about your current homeowners policy, or want to find out more about insurance companies that I recommend, let's connect. It doesn't matter if you’re getting ready to sell, buying a new place, or just checking in on your current coverage, as your trusted real estate advisor, I'm here to help you make confident, well informed choices regarding your home and homeownership.
