What is underinsured motorist (UIM) coverage in Colorado?

Underinsured motorist (UIM) coverage is a type of insurance that protects you when you are hit by a driver whose liability insurance is insufficient to cover your damages. If the at-fault driver's policy limits are too low to compensate you fully, your own UIM coverage can pay the difference.

Is UIM coverage required in Colorado?

Colorado requires insurance companies to offer UIM coverage, but drivers can reject it in writing. If you did not specifically reject UIM coverage, you likely have it. Mandelaris Law can review your policy to determine your coverage and help you file a UIM claim.

What should I do if I'm hit by an underinsured driver in Colorado?

If you are hit by an underinsured driver: (1) Seek medical treatment immediately. (2) Document all injuries, expenses, and lost wages. (3) Do not accept a quick settlement from the at-fault driver's insurer. (4) Notify your own insurance company of a potential UIM claim. (5) Contact an attorney before settling any claims.

Can my own insurance company deny a UIM claim?

Yes, unfortunately insurance companies sometimes deny or undervalue UIM claims. If your insurer unreasonably denies your UIM claim, they may be acting in bad faith under Colorado law, which can entitle you to additional damages. Mandelaris Law represents clients against their own insurance companies.

Colorado Underinsured Motorist Attorney

Name: Mandelaris Law
Address: 501 S. Cherry Street, Suite 1100, Denver, CO, 80246, US
Telephone: (303) 357-9757
Price range: Contingency Fee — No Fee Unless We Win
Rating: 5

Colorado drivers who carry underinsured motorist (UIM) coverage pay for a protection that their own insurer will fight hard to avoid paying. When the at-fault driver’s policy is not enough to cover what was taken from you — your medical bills, your lost income, your pain — your own UIM coverage is supposed to fill that gap.

It rarely does without a fight.

At Mandelaris Law, UIM litigation is a significant part of our practice. We know how Colorado carriers evaluate these claims, the internal scoring models they use to resist payment, and the legal framework that compels them to pay what they owe. If you have been seriously injured and the at-fault driver did not carry enough coverage, call us.

What Is Underinsured Motorist Coverage?

UIM coverage is first-party insurance — a contract between you and your own insurer. Colorado law requires insurers to offer UIM coverage in amounts equal to your liability limits (C.R.S. § 10-4-609). Drivers may reject or reduce UIM coverage in writing, but most carry at least some amount.

UIM coverage triggers when the at-fault driver’s bodily injury liability limit is less than the full value of your damages. It is not a windfall. It is coverage you paid for and are legally entitled to collect.

How Colorado UIM Claims Work

You exhaust the at-fault driver’s liability policy — or establish that it is clearly insufficient
You put your own carrier on notice of a potential UIM claim
Your carrier has the right to consent to the third-party settlement before you accept it
You submit a UIM demand to your own insurer with supporting documentation: medical records, billing, lost wage evidence, and expert opinions on future care needs
If your carrier fails to make a reasonable offer, you may have grounds for a first-party bad faith claim under Colorado law

Common UIM Disputes We Handle

Carrier disputes the value of your injuries or treats pre-existing conditions as a basis to deny
Low-property-damage defenses — insurer argues minimal vehicle damage means minimal injury
Disputes over policy stacking when multiple vehicles are insured on the same policy
Carrier bad faith for unreasonable delay, lowball offers, or improper claims investigation
Arbitration proceedings when the policy requires it

Colorado Bad Faith Law Protects You

Colorado law imposes a duty of good faith on insurers handling first-party claims. Under C.R.S. § 10-3-1115, an insurer may not unreasonably delay or deny payment of a claim for benefits owed. If your carrier violates this statute, C.R.S. § 10-3-1116 entitles you to two times the covered benefit that was delayed or denied, plus reasonable attorney fees and court costs.

This is a powerful remedy that applies specifically to UIM and other first-party insurance claims. If your own insurer is stringing you along, offering fractions of what your case is worth, or manufacturing pretextual reasons to deny your claim — bad faith may be in play.

Frequently Asked Questions — Colorado UIM

Q: How long do I have to make a UIM claim in Colorado?
Your policy will specify a deadline for notice of a UIM claim. Colorado’s general statute of limitations for contract claims is three years under C.R.S. § 13-80-101(1)(a). Do not wait — timely notice obligations under your policy may be shorter, and missing them can waive your rights entirely.

Q: Do I have to exhaust the at-fault driver’s policy before making a UIM claim?
Generally yes, but you must also get your own carrier’s consent before settling with the at-fault driver’s insurer. Failing to notify your carrier before settling can eliminate your UIM claim. Call us before you accept any settlement offer from a third-party insurer.

Q: My own insurance company is lowballing me. What can I do?
Colorado’s bad faith statutes under C.R.S. §§ 10-3-1115 and 10-3-1116 give you real leverage. If your carrier unreasonably delays or underpays a valid UIM claim, you can pursue two times the delayed benefit plus attorney fees. We handle these claims on contingency.

Q: Do I need an attorney for a UIM claim?
The carrier has lawyers. You should too. UIM claims involve complex valuation disputes, policy interpretation, and strategic decisions about arbitration versus litigation. We advance all costs and take nothing unless we recover for you.

Call Mandelaris Law for a Free UIM Consultation

UIM claims are won or lost in the details — the timing of your notice, the documentation supporting your damages, and the legal pressure applied when your carrier refuses to pay fairly. At Mandelaris Law, we have handled high-value UIM claims throughout Colorado and know exactly how to build a demand that moves the needle.

If you were seriously injured in a Colorado accident and the at-fault driver’s coverage is not enough, call (303) 357-9757 or submit our online form for a free consultation. We work on contingency — you pay nothing unless we recover for you.

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