Liquor Liability in Colorado

Colorado requires proof that a licensee willfully and knowingly sold or served alcohol to someone under 21 or visibly intoxicated, and suit must begin within one year. The consumer cannot sue under the statute; damages are adjusted for inflation. A liquor liability policy is specifically required for qualifying promotional associations in common-consumption areas. ^1,^2,^3,⁴

What Is Liquor Liability?

Liquor liability can cover claims tied to your business selling, serving or furnishing alcohol. If you run a bar, restaurant or event where you provide drinks, check how the quote treats injuries, property damage and occasional service. Read the national Liquor liability guide.

Colorado Requirements

Requirement	Details
Common-consumption-area insurance	A qualifying promotional association for a common-consumption area must maintain properly endorsed general liability and liquor liability insurance acceptable to the local licensing authority and name that authority as an additional insured. This is a specific common-area condition, not a general rule for every liquor license. ²

What to Watch for in Colorado

A sale alone is not enough for the statutory claim
The plaintiff must prove willful and knowing service to a person under 21 or visibly intoxicated; an action must be commenced within one year, and the person who drank cannot bring the statutory action. ^1,⁴
Do not quote the base damage figure as today’s cap
Section 44-3-801 sets a $150,000 base limitation and requires inflation adjustments every two years; confirm the applicable adjusted amount for the claim date. ¹
Common-consumption areas create a separate insurance condition
A promotional association may be refused or decertified if it lacks the locally acceptable endorsed general and liquor liability policy or does not name the local licensing authority as an additional insured. ^2,⁴

Who Regulates Insurance in Colorado

Colorado Division of Insurance

The Division administers Colorado insurance laws and regulates insurers and insurance producers. You can search producer licenses through Colorado’s official DORA lookup and send insurance complaints to the Division. ^5,^6,⁷

Surplus-lines tax and stamping office

Reported tax rate: 3% of net premium When Colorado is the insured’s home state, its surplus-lines tax is 3% of taxable premium. The Colorado Surplus Lines Association says insurer or broker fees charged in connection with the placement are included in the tax base; federal or other-state taxes and examination fees are excluded. For multistate risks, a tax-sharing agreement may allocate premium tax to other states. ^8,^10,⁹

Providers With Documented State Licenses

These providers publish a national listing for Liquor liability; the state records document licenses for the entities and roles shown below. Some records rely on company-reported information rather than independent regulator verification. A national listing does not confirm the product is available in Colorado. Check the regulator’s license lookup and confirm state availability for your business when requesting a quote.

CorgiCorgi Insurance Services, Inc.Insurance producer · checked 2026-09-28Corgi’s company producer-license table lists 50 jurisdictions: 49 states and the District of Columbia, including DC license 3003091619. New Mexico does not appear in the table and is not included here; the omission does not establish that Corgi is unlicensed there. The company-reported table has no stated as-of date and does not establish product availability. ¹³

Questions to Ask Before You Buy in Colorado

Will the operation or a promotional association attach to a certified common-consumption area, and what endorsement and additional-insured wording does the local authority require?
Does the policy identify the licensed entity and cover service in every attached premises and event area?
What limit, defense treatment, and exclusions apply to an allegation of knowing service to an underage or visibly intoxicated patron?