Boat Insurance in Colorado: What You Should Know

What Are Colorado’s Boat Insurance Laws?

Colorado does not require boat insurance by law for recreational use on public lakes or rivers. However, insurance may be required if you finance your boat, store it at a marina, or participate in organized boating events. Even if it’s not legally mandated, boat insurance is strongly recommended to protect your vessel and your finances from liability or loss.

What Are Colorado’s Minimum Boat Insurance Requirements?

There are no state-mandated minimum insurance requirements for boaters in Colorado. However, common marina or lender requirements include:

• Liability coverage for injuries or damage to others
• Hull coverage to protect your vessel from physical damage

Without coverage, you may be personally responsible for repairs, replacements, or legal expenses following an accident.

How Much Is Boat Insurance in Colorado?

Boat insurance in Colorado is typically affordable, especially for freshwater recreational use. Here’s a general breakdown:

• Small boats (under 26 feet): $150–$300 annually for basic coverage
• Larger vessels or performance boats: $400–$1,000+ annually depending on value and usage

Boating in busier areas like Cherry Creek Reservoir or Lake Pueblo may result in slightly higher premiums due to increased traffic and risk.

How Do I Lower My Boat Insurance in Colorado?

You can reduce your boat insurance costs with a few proactive steps:

• Increase your deductible to lower your premium
• Complete a Colorado-approved boater safety course—some insurers may offer a discount
• Store your boat securely in a locked facility or garage
• Avoid high-risk use such as racing or commercial charters, which are often excluded from standard policies
• Bundle policies (home, auto, boat) with one provider for potential multi-policy savings

Additional Requirements: Are You Financing a Boat?

If your boat is financed, your lender will most likely require extended insurance to protect their interest. This typically includes:

• Agreed value or actual cash value hull insurance (Agreed value pays a fixed total-loss amount; actual cash value deducts depreciation)
• Comprehensive and collision coverage
• Liability insurance

Lenders may also require coverage for salvage, wreck removal, or fuel spill liability depending on the size and use of your boat.

How to Get Boat Insurance in Colorado

Getting coverage is quick and easy. You can:

• Call us at (1-877-240-4678)
• Request a fast, free quote online through our portal

Be ready to provide the boat’s make, model, year, hull ID, storage location, and intended use (e.g., fishing, cruising, or watersports).

Colorado Boat Registration Information

All motorized watercraft must be registered with Colorado Parks and Wildlife (CPW). Registration is valid for one year and must be renewed annually. You’ll receive two registration decals and a validation sticker that must be displayed on your boat.

To register, you’ll need proof of ownership, a completed application, payment, and a valid hull identification number (HIN).

How Does Boat Insurance Differ Depending on Where I Live in Colorado?

Your location and boating habits may affect your insurance rates and requirements:

• Denver & Front Range Lakes: Slightly higher premiums due to traffic, theft risk, and marina storage
• Mountain Lakes: Moderate premiums with seasonal lay-up opportunities
• Rural or Western Colorado: Lower premiums, but fewer service providers and limited repair access

Marinas may require an annual certificate of insurance, especially in high-demand or limited-slip areas.

This guide is for informational purposes only and does not constitute legal or insurance advice.