Updated June 2026
What Is Uninsured Motorist Coverage Insurance?
Uninsured Motorist Coverage kicks in when you're hit by a driver with no insurance, insufficient coverage to pay your damages, or who leaves the scene without identification. It pays your medical expenses, lost wages, vehicle repair costs, and pain and suffering up to your policy limits. The coverage operates like the other driver's liability insurance should have — it pays what they owe you but can't cover because they have no policy or inadequate limits. Colorado law allows you to reject this coverage in writing, but that rejection means you bear full financial responsibility if an uninsured driver causes a crash.
- A driver merges into your lane on I-25 near Denver, forcing you off the road and causing $9,000 in vehicle damage and $4,500 in medical bills. The driver flees and is never identified. Your collision coverage pays the $9,000 vehicle repair minus your deductible, but you have no collision coverage. Without Uninsured Motorist Coverage, you pay all $13,500 out-of-pocket. With $25,000 UM coverage, your policy pays the full amount minus any deductible, and you avoid financial loss from someone else's decision to flee.
- A driver runs a red light in Colorado Springs and T-bones your vehicle, causing $7,200 in damage and $11,000 in medical expenses. The driver has no insurance. Your liability-only policy won't cover your own damages. If you carry $25,000 Uninsured Motorist Coverage, your policy pays the $18,200 total. If you don't, you can sue the uninsured driver, but collecting a judgment from someone who couldn't afford insurance is usually futile — you'll likely recover nothing and still owe the bills.
- You're rear-ended on Highway 36 in Boulder County by a driver carrying Colorado's minimum $25,000 bodily injury liability. Your medical bills reach $48,000 after surgery and physical therapy. The at-fault driver's policy pays its $25,000 limit, leaving you $23,000 short. Underinsured Motorist Coverage — often bundled with or purchased alongside Uninsured Motorist — pays the gap up to your UM policy limit. Without it, you're responsible for the $23,000 shortfall even though you did nothing wrong.
Who Needs Uninsured Motorist Coverage Insurance?
You need Uninsured Motorist Coverage if you're driving with a suspended license and maintaining insurance to satisfy reinstatement requirements — you're statistically more likely to encounter uninsured drivers in high-risk corridors, and you can't afford the financial hit of an uninsured crash while also managing reinstatement costs. It's also critical if you carry liability-only insurance because you don't own a vehicle or can't afford collision coverage — UM is the only coverage that pays your medical bills and lost income when someone else causes the crash. If your license suspension requires an SR-22 filing, adding UM coverage protects you during the reinstatement period when you're rebuilding financial stability and can't absorb a $15,000 out-of-pocket loss.
If an uninsured driver hits you tomorrow and causes $20,000 in medical bills and vehicle damage, where does that money come from? If the answer is your savings or a payment plan you can't afford, buy Uninsured Motorist Coverage. If the answer is existing health and collision coverage that leaves you whole, you can skip it but verify your health plan covers auto injuries without subrogation limits. For drivers under suspension, UM coverage is cheap insurance against a catastrophic financial loss during a period when you're already financially strained.
How Much Does Uninsured Motorist Coverage Insurance Cost?
Uninsured Motorist Coverage typically adds $8–$18 per month ($96–$216 annually) to a Colorado auto insurance premium for $25,000 per person / $50,000 per accident limits.
- Your chosen UM coverage limits — $25,000/$50,000 costs less than $100,000/$300,000, but higher limits protect you better against serious injuries.
- The local uninsured driver rate in your county — Denver and Pueblo counties have higher uninsured rates than suburban Douglas or Larimer counties, which can raise premiums slightly.
- Whether you bundle Uninsured Motorist with Underinsured Motorist coverage — many carriers price them together, adding $3–$8/month for the underinsured component.
- Your driving record and claims history — a clean record keeps UM premiums low, while prior at-fault accidents or claims can increase cost by 10–20%.
- Whether you select stacked or non-stacked coverage in states that allow it — Colorado doesn't require stacking, but if you insure multiple vehicles, stacked UM coverage (which combines limits across vehicles) costs 20–40% more.