Colorado has some of the most expensive car insurance in the nation, according to a recent report.

The state is the seventh costliest, despite rates remaining steady in the first part of 2025.

Costs are expected to rise through the rest of the year, especially in light of tariffs, according to a report from Insurify.

“Without tariffs affecting rates further, Insurify analysis suggests rates would rise about 4 percent by the end of 2025, based on systemic factors, like inflation and how much money insurers are paying out in claims,” the report found. “But if insurers still need to account for tariffs in rate setting, Insurify projects that the increase could rise to 7 percent — as insurers covering repair claims pay more to replace foreign-sourced car parts.”

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A report from Bankrate found that, while the average cost of car insurance in the U.S. is $2,679 per year, Colorado has an average of $3,230. That is a 21 percent difference.

The national average for minimal coverage is $808 per year, while Colorado’s is $570.

That means Coloradans are spending anywhere from $269 per month (for full coverage) to $48 per month (for minimum coverage).

In the first six months in 2025, Insurify reported that Colorado saw a 0 percent increase in the average annual cost of full-coverage car insurance. It was one of just three states to not see increases. In contrast, other states like Michigan saw a 14 percent increase in costs.

Insurify predicts that Colorado’s insurance prices over the rest of the year will increase at a rate slower than the national average, but will still rise.

“Colorado auto insurance rates held steady in early 2025, but that pause may be short-lived. Inflation, ongoing supply chain concerns, and insurer losses are combining to push rates higher in the months ahead,” Avery Williams, Insurify data journalism associate said.

“Insurify data scientists analyzed our proprietary database of over 97 million insurance quotes to project a 3 percent increase in Colorado auto insurance rates by the end of 2025,” Williams said. “Even with newly reduced tariffs, premiums could still increase by as much as 5 percent.”

Nationally, Insurify predicts that prolonged tariffs could raise the average annual cost of full-coverage car insurance to $2,472 by year’s end, compared to $2,402 without a tariff-related increase.

Tariffs and the impact on car insurance isn’t a sure thing though.

“Estimating if and when tariffs could start to raise car insurance rates is complicated,” Insurify’s report stated. “Insurance is heavily regulated, and insurers typically must demonstrate that tariffs have consistently driven up their costs before state regulators allow them to raise rates in response.”