What can I do if my Colorado Springs homeowners insurance is non-renewed or too expensive?

If your policy is non-renewed

Colorado law says an insurer can't cancel or refuse to renew a homeowners policy without mailing you notice at least 60 days in advance that states the specific reasons. (Cancellation for nonpayment needs only 10 days' notice.) Those 60 days are your window to act.

• Read the reason closely. Ask the insurer or your agent what would change the decision.
• Fix what you can. Common reasons include an older roof or a roof in poor condition, past claims, and wildfire risk. How old is too old for a roof covers the roof side.
• Use your wildfire score rights. Since October 1, 2026, insurers that use wildfire models must give you the property's wildfire risk score in writing, explain how mitigation affects it, and let you appeal an inaccurate score. Wildfire risk and Colorado Springs homes explains those rights.
• Shop. The Colorado Division of Insurance encourages people to shop other companies, because one company's change doesn't mean every company is doing the same. An independent agent can compare several at once.
• Call the Division if something seems wrong. If the notice seems inappropriate or you can't find coverage, the Division of Insurance's Consumer Services team (303-894-7490) can answer questions and take complaints.

The Colorado FAIR Plan: a last resort

If no regular insurer will cover your home, the Colorado FAIR Plan is the state's insurer of last resort. It's meant to be a safety net, not a first stop:

• You generally need three declinations from regular (admitted) insurers to qualify, and the home must be habitable.
• It pays actual cash value (replacement cost minus depreciation), not full replacement cost.
• Residential coverage is capped at $750,000.
• The basic policy covers fire and lightning; other perils such as wind and hail are optional add-ons you request.
• It doesn't include personal liability or loss of use, so many owners pair it with a separate "difference in conditions" policy to fill gaps.

You apply through an agent licensed to sell FAIR Plan policies.

If it's just too expensive: start with the deductible

When a client's insurance gets non-renewed or jumps, I refer them to the insurance professionals we work with. I make sure they know what questions to ask, but I don't try to solve the insurance part myself, because I don't want to lead anyone wrong.

The thing I make sure people understand is the deductible, because that's the part that surprises them. Not only do you want a quality insurance company, you want to know what you're signing up for.

Many Colorado policies carry a separate wind and hail deductible set as a percentage of your dwelling coverage, often 1%, 2%, or 5%, instead of a flat dollar amount. If a hailstorm's damage comes in under the deductible, the insurer pays nothing.

Hypothetical example, dwelling coverage of $500,000:

For buyers who don't have a lot in savings, including many of the military families I work with, a percentage deductible can be a hard surprise after the first big storm. Choosing a lower premium with a higher deductible can make sense, but only if you could cover that deductible tomorrow.

Questions to bring to your insurance agent

• What is my wind and hail deductible in dollars, not just as a percentage?
• Is my roof covered at replacement cost or actual cash value? Does the policy use a roof age schedule?
• What's driving my premium: the roof, claims history, wildfire risk score, or the estimated cost to rebuild?
• Which discounts apply, such as an impact-resistant roof, wildfire mitigation, or bundling?
• Am I covered for water that backs up through a drain or overflows from a sump? Drainage around Colorado Springs homes explains why that matters.
• What's my limit for additional living expenses if I have to move out during repairs?
• Is my dwelling coverage enough to rebuild at today's costs?

If you're buying: get the quote before your deadline

Thankfully, Colorado's standard purchase contract gives buyers a property insurance deadline, so you can get quotes on that specific house and end the contract if the coverage doesn't work for you. What contingencies to consider explains the deadlines.

Insurance is also pricing some people out of homes. Your premium is usually part of your monthly mortgage payment, so a higher premium lowers the price you can qualify for. That's between you and your loan officer, but at the end of the day the money has to come from somewhere, and it usually comes from the price of the home you can afford. How much house you can afford in Colorado Springs walks through the full monthly number.

Why it's so noticeable in Colorado Springs

Hail is the biggest reason. A February 2026 state analysis found hail drives up to 54% of homeowners premiums in parts of Colorado. Wildfire risk adds to it in homes near trees and open space. Why homeowners insurance varies so much between Colorado Springs houses covers the other factors.

Some help is on the way. Colorado's SB26-155, signed in June 2026, created the Strengthen Colorado Homes program. Starting in 2027, a fee on insurers funds grants that help homeowners install hail-resistant roofs, with priority for primary residences, and contractors who receive grant money can't waive deductibles. Check the Division of Insurance for when grants open.

What could change the answer

• The reason the insurer gave, and whether you can fix it.
• Your roof's age, material, and condition.
• The home's wildfire risk score and the mitigation you've done.
• Your claims history.
• Changes in Colorado insurance law or the FAIR Plan's rules.

When to talk with a professional

Start with an independent insurance agent who can shop several companies and explain deductibles and roof coverage. A roofer can document your roof's condition, and the Colorado Springs Fire Department or a mitigation contractor can help with wildfire mitigation. If you're buying, bring your loan officer the insurance quote early so the monthly payment is accurate.