COL INS Homeowner Ins Disclosure


On Apr. 19, COL INS proposed rule re homeowner coverage disclosure.


  • COL INS proposed COL INS 5-1-XX re homeowner coverage disclosure requirements.
  • Follows COL INS Jun. 2023 guidance for enforcement of Bill HB23-1174, see #175769.
  • Homeowner Coverage Disclosures
  • Requires insurers to offer certain percentages of Extended Replacement Cost and Law and Ordinance coverage, per Colorado revised statutes COL INS 10-4-110.8(6)(a).
  • Proposal sets forth the requirements for notifying policyholders of coverage availability.
  • Insurer that issues replacement cost homeowner’s policy in certain conditions, should offer extended replacement coverage for dwelling limit, law and ordinance coverage.
  • Coverage should be at least 50% for dwelling limit, 20% law and ordinance coverage.
  • Insurers will include bold disclaimer on the declaration page if the policyholder elects not to get extended replacement-cost coverage or law and ordinance coverage.
  • For new or renewal policies, the insurer is required to provide identification and explanation of the coverage or coverages the policyholder has not elected to purchase.
  • Must also include premium costs associated with each coverage that policyholder has not elected, the premium costs may be reflected as a percentage or dollar amount.
  • Requirements applicable to new policies effective, renewals sent on/after Jan. 1, 2025.
  • Comments
  • Comments on proposed regulation must be submitted no later than Apr. 25, 2024.
  • Apr. 30, 2024 COL INS Rule Hearing
  • On Apr. 30, 2024, COL INS scheduled rule hearing for May 30; comments due Jun. 4.
  • May 10, 2024 COL INS State Register
  • On May 10, 2024, COL INS published notice for rule hearing in the State register.
  • Jun. 2024 COL INS Final Rule
  • On Jun. 11, 2024, COL INS published the adopted final version of Regulation 5-1-25.
  • Regulation 5-1-25, entitled Concerning homeowner coverage disclosure requirements.
  • Requires insurers offering replacement-cost homeowner’s insurance policies to offer certain percentages of extended replacement cost and law and ordinance coverage.
  • This new regulation on homeowner disclosures shall become effective Jul. 30, 2024.
  • Jul. 2024 COL INS State Register
  • On Jul. 10, 2024, COL INS published final rule in the State register, in effect Jul. 30.

Regulators COL INS
Entity Types Ins
Reference COL SR Vol. 47, No. 13, 7/10/2024; RF, 6/11/2024; COL SR Vol. 47 No. 9, 5/10/2024; Nt, RF 5-1-25, 4/30/2024; RF 5-1-XX, 4/19/2024; Citation: COL INS 10-4-110.8(6)(a);
Functions Claims/Accelerated Benefits; Compliance; Operations; Product Administration; Reporting
Countries United States of America
Category
State
Products Insurance; Insurance-Property
Regions Am
Rule Type Final
Rule Date 4/19/2024
Effective Date 7/30/2024
Rule Id 209218
Linked to Rule :175769
Reg. Last Update 7/10/2024
Report Section US Insurance

Last substantive update on 07/15/2024