Colorado is close to becoming the first state in 40 years to create a program to deal with the growing scarcity of property insurance in disaster-prone areas.
The state’s goal: Don’t be like Florida.
With property insurers reducing coverage in Colorado after recent wildfires and hail storms, a new state board is creating a state-chartered insurance plan that it hopes will fill the gaps and avoid the monstrous growth of plans in other states.
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“If this insurer of last resort provides too expansive of coverage, [it] becomes insurance of choice,” said board member Carole Walker, the executive director of the Rocky Mountain Insurance Information Association. “That is where the problems start.”
