Skip to content
Valoroath

Total loss at 100%

Car insurance claim rules in Colorado

The deadline a Colorado insurer has to meet on your claim, when a damaged car counts as salvage, when to call the police, and how long you have to sue.

By Valoroath Editorial Team Updated 6 min read

In plain terms

Colorado sets one main number. On a claim under your own policy, the insurer must pay or deny within 60 days after receiving a valid and complete claim, unless there is a reasonable dispute, or owe interest and possible penalties. The Division of Insurance says the law sets no timeframe for answering claim communications. A car is a salvage vehicle when the insurer declares it a total loss or repairs would cost more than its retail value, with hail and theft damage left out. Drivers must report any crash with injury or property damage to the police at once. You have three years to sue over a crash.

Total loss rule
Repairs over 100% of value
Insurer must decide
60 days after full claim
Deadline to sue
3 years
Fault system
At-fault
Map of the United States with Colorado highlighted

Colorado claim rules on one sheet

  1. Total loss rule Repairs exceed retail value (100%), or insurer declares a total loss Salvage title definition, C.R.S. §42-6-102(17); hail and theft damage excluded.
  2. Insurer must acknowledge No fixed number of days in law The Division of Insurance says no timeframe is set for answering claim communications.
  3. Insurer must decide Pay or deny within 60 days of a valid and complete claim First-party claims, unless reasonably disputed. 8% interest plus possible $100/day penalty (Reg. 5-1-14).
  4. Deadline to sue 3 years for injury and for property damage
  5. Fault system At-fault; barred if your fault equals or exceeds theirs
  6. Police report needed At once for any crash with injury, death or property damage
  7. State crash report None from drivers; officers report within 5 days The state may ask a driver for a supplemental report (C.R.S. §42-4-1606(3)).

A summary by Valoroath of the state's statutes and regulations, not an official document. The sources are listed at the end of this page.

The clock on a Colorado claim

Regulation 5-1-14 of the Colorado Division of Insurance, in 3 CCR 702-5, applies to every insurer writing property and casualty coverage in the state and covers first-party claims: collision, comprehensive, medical payments and uninsured motorist claims under your own policy.

Time limits under Colorado Regulation 5-1-14
StepTime limit
Pay or deny a valid and complete claim, or make a good-faith offer60 days after receipt
Tell you why, while an investigation is ongoingUpdates every 30 days
Interest on late benefits over $1008% a year until paid
Civil penalty after notice and hearing$100 a day beyond 60 days

The 60 days run only from a valid and complete claim: the insurer has all the information it needs, has done a reasonable investigation, and coverage is established. A reasonable dispute, such as missing or conflicting information, a coverage question or an ongoing appraisal, stops the clock. You carry the burden of showing the claim was complete; the insurer carries the burden of showing a reasonable dispute. Keep dated copies of everything you send.

When a Colorado car is salvage

Section 42-6-102(17) of the Colorado Revised Statutes defines a salvage vehicle as one that is damaged and either declared a total loss by the insurer or costs more to repair to a roadworthy condition than its retail fair market value just before the damage, measured with price guides or certified appraisals used in the insurance industry. Damage from hail or theft is excluded from that test. Flood-damaged cars and cars branded salvage by another state are salvage too.

  • The 100% line is for the title. An insurer may total a car below it when repairs plus salvage value approach the car's value.
  • Collector's items, horseless carriages and street rods that qualify under Colorado's collector vehicle law are left out of the definition, as are off-highway vehicles.
  • The settlement is the actual cash value minus your deductible. How to check the number is in our guide to total loss claims.

The total loss check applies the Colorado line to your repair estimate and the car's value.

Reporting a Colorado crash

Section 42-4-1606 requires the driver in a crash that causes any injury, any death or any property damage to give immediate notice of its location to the nearest police office, after stopping and exchanging information. If the police tell you to, you must return to the scene and stay until they finish.

The statute has no driver's report to the state. Officers send their reports to the state within five days, and the state can ask a driver for a supplemental report. Officers do not have to investigate a crash with no injury where damage to any one person looks like $1,000 or less, unless someone asks for a report or a driver can't show proof of insurance.

Fault and who pays

Colorado is an at-fault state: the driver who caused the crash, through their liability insurance, pays for the damage and injuries they caused. Under Section 13-21-111, you can recover only if your negligence was less than the negligence of the person you claim against, and your damages shrink by your share. At 50% each, you recover nothing from the other driver.

  • Example: with $10,000 in damages and 30% of the fault, you can recover $7,000.
  • Your own collision coverage pays for your car while fault is argued, minus your deductible; your insurer can then seek its money from the other side.
  • Uninsured motorist coverage pays when the at-fault driver has no insurance or too little; see uninsured motorist claims.

Deadlines to sue and where to complain

Section 13-80-101(1)(n) of the Colorado Revised Statutes gives three years to file a tort lawsuit for bodily injury or property damage arising out of the use or operation of a motor vehicle. Talks with an adjuster do not stop the clock.

  1. Ask the insurer in writing for the reason for a denial or a low offer and the policy language it relies on.
  2. Call the Colorado Division of Insurance at 303-894-7499 in Denver or 800-930-3745 toll-free outside the Denver area.
  3. File a complaint through the division's online complaint page. Our guide to insurance department complaints shows what to include.

Questions people ask

How long does a Colorado insurer have to pay a car insurance claim?

On a claim under your own policy, it must pay or deny within 60 days after receiving a valid and complete claim, unless there is a reasonable dispute. Late benefits over $100 earn 8% a year in interest under Regulation 5-1-14.

What percentage of damage totals a car in Colorado?

For title purposes, a car is salvage when the insurer declares it a total loss or repair costs exceed its retail value before the damage, not counting hail or theft damage. An insurer may still total a car at a lower share.

Do I have to report a minor crash to the police in Colorado?

The driver must give immediate notice to the police after a crash with any injury, death or property damage. Officers may decline to investigate a no-injury crash with $1,000 or less of damage unless someone asks for a report.

How long do I have to sue after a car accident in Colorado?

Three years for injury and property damage claims arising from the use of a motor vehicle, under Section 13-80-101(1)(n).

Sources on record

Facts on this page were checked against these sources on November 11, 2026. Regulation 5-1-14 applies to claims under your own policy, not claims against another driver's insurer.

Ask a licensed agent to review your coverage

After a claim, the policy you had is the one you can still change. Describe your situation and Valoroath passes it to licensed insurance agents and insurers who can review your coverage and quote, if you want them to. Valoroath itself does not sell insurance or handle claims.

  1. 1 Five questions about your car, your record and your policy.
  2. 2 Who to ask for, and your consent to be contacted.
  3. 3 A licensed insurance agent or insurer reviews what you have. You change nothing unless you choose to.

Step 1 of 2

Your car, your record, your policy
Accidents or claims in the last 3 years
Cars on the policy
What you carry now

Sending this request shares your answers and contact details with the licensed insurance agents and insurers who receive it, which some state privacy laws treat as a sale; see your privacy choices. An agent reviews your coverage; they can't take on your claim or a dispute with your insurer. You pay Valoroath nothing. The licensed insurance agents and insurers who contact you pay Valoroath for requests and set their own prices and terms; your claim stays with your insurer. How we make money.

Next in the file