Question 1

Does Colorado allow UM/UIM stacking?

Accepted Answer

It depends on the policy. The statute says a single policy or endorsement issued for a single premium covering multiple vehicles may be limited to applying once per accident, and that UM/UIM may not be reduced by a setoff from any other coverage, including other UM/UIM insurance (C.R.S. 10-4-609(1)(c)). Court annotations report decisions enforcing clear anti-stacking clauses; we did not verify the underlying opinions.

Question 2

Is UIM a separate coverage in Colorado?

Accepted Answer

No. Uninsured motorist coverage includes coverage for damages an insured is legally entitled to collect from the owner or driver of an underinsured motor vehicle, which is any land motor vehicle insured or bonded for bodily injury at the time of the accident (C.R.S. 10-4-609(4)).

Question 3

How much does Colorado UIM pay?

Accepted Answer

The difference, if any, between the limits of the at-fault driver's liability coverage and your damages, up to your UM/UIM limit, excluding exemplary damages. It is not reduced by a setoff from liability insurance, medical payments, health insurance or other UM/UIM coverage.

Question 4

Do I have to use up another policy first?

Accepted Answer

Not necessarily. In USAA v. Wenzell (2026 CO 25) the Colorado Supreme Court held that an exhaustion clause in an excess UIM policy is enforceable only when exhaustion is based on the policyholder's undisputed damages, and that all UIM insurers, primary or excess, have a duty to evaluate the claim.

Question 5

What limits must my insurer offer?

Accepted Answer

Before issuing or renewing a policy, the insurer must offer UM coverage equal to your bodily injury liability limits, though it need not offer higher. Minimum liability limits are $25,000 per person and $50,000 per accident (C.R.S. 42-7-103(2)). You may reject UM/UIM in writing as the named insured.

Colorado UM/UIM Stacking Calculator

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Colorado lets one policy be limited to once per accident

Colorado UM/UIM Stacking Calculator

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Colorado lets one policy be limited to once per accident

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