Colorado’s breathtaking landscapes come with a growing wildfire threat. In recent years, wildfires have destroyed thousands of homes, forcing residents to evacuate and rebuild. With wildfires increasing in frequency and intensity, having the right homeowners insurance coverage is crucial. Here’s what every Colorado homeowner needs to know to protect their property.

Why Wildfire Insurance is Essential in Colorado

Colorado ranks among the most wildfire-prone states in the U.S. Factors that contribute to high wildfire risk include:

• Drought conditions: Dry vegetation fuels fires, making them spread rapidly.
• Strong winds: Colorado’s high winds can carry embers miles ahead of a fire.
• Expanding development: More homes are being built near fire-prone areas, increasing potential damage.

In 2021 alone, the Marshall Fire in Boulder County caused over $500 million in damages, destroying more than 1,000 homes. Without adequate insurance, homeowners in wildfire-prone regions face devastating financial losses.

Does Homeowners Insurance Cover Wildfire Damage?

Most standard homeowners insurance policies cover wildfire damage, but coverage limits and exclusions vary. Here’s what to check in your policy:

• Dwelling Coverage: Pays for repairs or rebuilding your home after wildfire damage. Ensure your coverage limit reflects current construction costs in Colorado.
• Personal Property Coverage: Replaces belongings damaged or lost in a wildfire. High-value items like jewelry or electronics may need additional coverage.
• Loss of Use Coverage: Covers temporary living expenses if your home becomes uninhabitable due to a wildfire.
• Liability Coverage: Protects against legal claims if your property’s fire spreads to a neighbor’s home.

What If You Live in a High-Risk Fire Zone?

Some insurance companies may refuse coverage or charge higher premiums if you live in a wildland-urban interface (WUI) zone, where wildfire risk is highest. If you struggle to find coverage, consider:

• State-backed FAIR plans: Colorado’s Fair Access to Insurance Requirements (FAIR) program offers coverage for high-risk homeowners.
• Surplus Lines Insurance: Private insurers specializing in high-risk properties.
• Mitigation Discounts: Some insurers offer lower premiums if you take wildfire prevention measures.

How to Reduce Your Wildfire Risk and Lower Insurance Costs

Taking steps to protect your home can help lower insurance costs and improve your safety:

1. Create Defensible Space Around Your Home

• Clear dead vegetation within 30 feet of your house.
• Use fire-resistant landscaping, like gravel paths and low-flammability plants.
• Keep gutters clean to prevent ember ignition.

2. Upgrade to Fire-Resistant Building Materials

• Install Class A fire-rated roofing, such as metal or asphalt shingles.
• Use non-combustible siding, like stucco or fiber cement.
• Replace wood decks and fences with fire-resistant materials.

3. Prepare an Emergency Evacuation Plan

• Have go-bags ready with important documents, medications, and emergency supplies.
• Sign up for local wildfire alerts and evacuation notices.
• Create a home inventory with photos and receipts for insurance claims.

Filing a Wildfire Insurance Claim

If your home is affected by a wildfire, follow these steps to file a claim efficiently:

1. Contact your insurer immediately to report the damage.
2. Document everything with photos and videos of property damage.
3. Secure your property to prevent further damage.
4. Keep all receipts for temporary living expenses if you need to evacuate.
5. Work with the claims adjuster to assess damage and negotiate a fair payout.

Final Thoughts

Wildfires are an unavoidable reality in Colorado, but proactive planning and proper insurance coverage can provide financial protection and peace of mind. Review your policy annually, make necessary updates, and invest in fire mitigation measures to safeguard your home against wildfire threats.