Insurance Market Overview – Longmont, Colorado (2025)
Auto Insurance
Pricing Trends:
- Average full-coverage auto insurance in Longmont is approximately $135 per month.
- Liability-only coverage is around $94 per month, while full coverage can reach about $176.
- Rising vehicle repair costs and inflation are contributing to gradual increases in premiums.
Policy Changes:
- More drivers are opting for higher deductibles to reduce monthly costs.
- Coverage levels are being reduced as customers shop for more affordable options.
- Usage-based insurance and bundling policies (e.g., with homeowners insurance) are becoming increasingly popular.
Homeowners Insurance
Pricing Trends:
- Colorado homeowners have experienced significant premium increases over the past five years—upwards of 75%.
- In Longmont, homeowners insurance can average $4,175 per year, or about $348 per month.
- The rise is due to wildfire risk, hailstorm claims, increased construction costs, and tighter reinsurance markets.
Policy Changes:
- Many insurers are choosing not to renew high-risk policies.
- Deductibles, especially for hail and wind damage, have increased.
- Some coverage lines, such as roof replacements, are being capped or require depreciation calculations.
Consumer Responses:
- More homeowners are switching insurance carriers or increasing their deductibles to reduce premiums.
- Home upgrades, like hail-resistant roofs or wildfire mitigation landscaping, are becoming key to qualifying for coverage or discounts.
Business Insurance
Pricing Trends:
- Commercial insurance premiums continue to grow but have recently stabilized.
- Rate increases are still seen in property and liability lines due to natural disaster risk and inflationary repair/replacement costs.
Policy Changes:
- Underwriting standards are tightening, especially for businesses in fire-prone or flood-prone areas.
- Higher deductibles and stricter terms are being applied to reduce insurer risk.
- Business owners are encouraged to review policies annually and invest in risk mitigation.
Key Takeaways for Longmont Residents and Businesses
- Auto: Consider increasing deductibles and bundling to manage costs.
- Home: Review your current policy against rebuild values; explore mitigation steps to remain insurable.
- Business: Conduct annual reviews, adjust deductibles, and invest in risk reduction strategies.
What You Can Do:
- Review your policy – don’t assume your current policy is still competitive.
- Work with a local agent who understands the Longmont market.
- Consider bundling auto and home or adding renters/business coverage for multi-policy discounts.
- Document all property improvements and mitigation efforts—these can help reduce premiums or make you eligible for preferred programs.