Colorado landlords and condo associations just got a lifeline. Honeycomb Insurance announced its expansion into the state November 18, 2025—bringing tech-driven property coverage to one of America’s toughest insurance markets. If you own rental property built before 1990, you probably know the struggle. Traditional carriers have been pulling back for years, leaving well-maintained older buildings stranded without coverage options.
The timing matters. Colorado agents report more policy cancellations than new placements, with wind and hail exposure ranking as a top concern. Now Honeycomb’s proprietary underwriting platform evaluates each property individually using high-resolution imagery and advanced technology. No blanket age restrictions. No automatic rejections for pre-1990 buildings.
Here’s what changed, why it affects your wallet, and whether this solves Colorado’s rental insurance crisis.
Why Colorado’s Rental Property Insurance Market Collapsed
The numbers tell the story. Admitted carriers—those state-regulated insurers you’ve relied on for decades—have been tightening their appetite across Colorado. Properties built before 1990 face automatic rejections from most carriers, regardless of condition or maintenance history. Wind and hail claims drove the exodus, but the result hits landlords and condo associations hardest.
Colorado agents describe a frustrating pattern:
- Limited carrier options force property owners into non-standard markets with higher premiums and reduced coverage terms, sometimes paying 40-60% more than comparable policies from admitted carriers.
- Age restrictions automatically disqualify buildings. A well-maintained 1985 apartment complex gets the same rejection as a deteriorating property.
- Non-renewals outnumber new placements. Existing policyholders lose coverage faster than new policies get written.
- Wind and hail exposure creates blanket market withdrawals, leaving entire regions without viable options regardless of individual property risk profiles.
That’s the gap Honeycomb targets. Traditional underwriting uses broad categories—construction year, ZIP code, claims history. Honeycomb’s platform evaluates each property’s actual condition using satellite and aerial imagery technology.
How Honeycomb’s Tech Platform Changes Underwriting
Most insurers ask: When was this built? Honeycomb asks: What’s the current roof condition? The difference matters for your premium.
Their proprietary underwriting system uses high-resolution imagery to assess individual property characteristics. A 1985 building with a new roof, updated electrical, and storm-resistant features gets evaluated on those factors—not just its age. The platform examines:
| Traditional Underwriting | Honeycomb’s Tech Platform |
|---|---|
| Construction year cutoff (1990+) | No age restrictions |
| ZIP code risk ratings | Individual property assessment |
| Manual inspection required | High-resolution aerial imagery |
| Weeks to underwrite | Days to decision |
The result: Coverage for properties traditional carriers automatically reject. But there’s a catch—this works best for well-maintained buildings. Deferred maintenance still gets flagged, just through satellite photos instead of application questions.
What This Means for Your Rental Property
If your property got non-renewed or rejected for age reasons, Honeycomb’s platform might offer a path back to admitted market coverage. The company operates as a managing general agent (MGA), meaning they underwrite policies on behalf of insurance carriers but aren’t the actual insurer. This structure lets them move faster than traditional carriers while still offering admitted market protections.
Honeycomb has grown 2-3x annually for four consecutive years and now operates across 20 major states, covering over 60% of the U.S. population. They manage insured assets exceeding $55 billion—suggesting their underwriting model works at scale, not just as a niche experiment.
Does This Actually Help Colorado Landlords?
New market entrants sound promising until you check the fine print. Here’s what Honeycomb solves and what it doesn’t:
What you gain:
- Coverage for older properties that traditional carriers reject outright. Pre-1990 buildings qualify if they meet condition standards.
- Faster underwriting decisions through automated imagery analysis instead of manual inspections that take weeks.
- Individual risk assessment rather than broad ZIP code or age category rejections.
- Access to admitted market coverage through MGA structure, avoiding non-standard market limitations.
What you don’t gain:
- Lower premiums aren’t guaranteed. Individual risk assessment could mean higher rates if your property shows deferred maintenance or high-risk features.
- Wind and hail exposure still drives pricing. Technology changes how risk gets evaluated, not the underlying hazard.
- Not available for all property types. Honeycomb specializes in landlord and condo association coverage—single-family homeowners need different solutions.
Colorado agents eager to submit business suggests real market demand. But one MGA entering the state doesn’t solve systemic capacity problems. It adds options, which matters when you’re down to zero.
Condo Associations Face Different Challenges
Condo association master policies got hit even harder than rental properties during Colorado’s insurance pullback. The problem: One carrier insures an entire building, and if that carrier exits the market, every unit owner loses coverage simultaneously.
Honeycomb’s entry helps here specifically. Their platform can underwrite entire condo complexes using the same imagery-based risk assessment, potentially replacing carriers that non-renewed associations en masse. This matters for unit owners who need proof of master policy coverage to maintain their individual condo insurance and mortgage requirements.
However, association boards should note: Switching to a new carrier mid-policy year often triggers coverage gaps and increased administrative burden. The availability of Honeycomb as an option doesn’t necessarily mean immediate switching makes financial sense unless your current policy faces non-renewal or unaffordable rate increases.
3 Steps Colorado Property Owners Should Take Now
Even with new market entrants, Colorado’s insurance challenges aren’t disappearing overnight. Here’s your action plan:
1. Document your property condition immediately. Honeycomb’s platform uses imagery to assess risk, but you’ll want your own records showing maintenance and improvements. Photograph roof condition, updated systems, and storm-resistant features. These strengthen your underwriting profile whether you apply with Honeycomb or other carriers.
2. Contact agents writing Honeycomb policies. Not all Colorado agents have appointments with Honeycomb yet. Ask your current agent if they’re appointed, or search for agents who specialize in difficult-to-place properties. The company’s announcement mentions “agencies eager to launch,” suggesting distribution is still expanding.
3. Compare actual quotes, not promises. New market entrants often promise competitive rates but deliver premiums comparable to or higher than existing options once underwriting completes. Get written quotes from Honeycomb and compare them against your current carrier (if you have one) or other non-standard market options.
For condo associations, involve your board early. Master policy changes require board approval and often 60-90 days advance notice to unit owners. Don’t wait until non-renewal notices arrive.
Frequently Asked Questions
What types of properties does Honeycomb Insurance cover in Colorado?
Honeycomb specializes in property and casualty coverage for landlords and condominium associations. This includes multi-family rental properties, apartment buildings, and condo complex master policies. They don’t cover single-family homeowner policies—those require different carriers. The key advantage: no automatic age restrictions on properties, meaning buildings constructed before 1990 can qualify based on condition rather than construction year alone.
How does Honeycomb’s underwriting technology actually work?
Their proprietary platform uses high-resolution aerial and satellite imagery to evaluate individual property characteristics without requiring manual inspections upfront. The system assesses roof condition, property maintenance, structural features, and risk factors visible from imagery analysis. This technology-driven approach allows faster underwriting decisions (days instead of weeks) while evaluating properties on actual condition rather than broad category assumptions like age or ZIP code alone.
Will Honeycomb Insurance offer lower premiums than my current carrier?
Not necessarily. Honeycomb’s advantage is availability for properties other carriers reject, not automatic premium savings. Individual risk assessment could result in higher premiums if your property shows maintenance issues or high-risk features visible in aerial imagery. However, if you’re currently in the non-standard market or facing non-renewal, Honeycomb might offer competitive rates compared to surplus lines carriers. Always get written quotes from multiple carriers before making coverage decisions.
How do I get a quote from Honeycomb Insurance in Colorado?
Honeycomb operates through independent insurance agents and brokers, not direct-to-consumer sales. Contact your current insurance agent to ask if they have an appointment with Honeycomb. If not, search for Colorado agents who specialize in difficult-to-place properties or landlord insurance. Since Honeycomb just entered the Colorado market in November 2025, agent distribution is still expanding. Give your agent property details including construction year, square footage, occupancy type, and any recent improvements to expedite the quote process.
Does Honeycomb’s expansion solve Colorado’s insurance crisis?
It adds capacity but doesn’t solve systemic problems. Colorado’s insurance challenges stem from wind and hail exposure, climate risk, and overall market capacity constraints. One MGA entering the market provides additional options for landlords and condo associations but doesn’t change underlying risk factors driving carrier exits. Think of it as increasing competition and availability rather than eliminating the crisis. Property owners still need to maintain buildings, mitigate risks, and expect premium increases to continue due to statewide loss trends.
Bottom Line: More Options, Not Magic Solutions
Honeycomb’s Colorado expansion brings real benefit: coverage options for properties traditional carriers reject. Their technology-driven underwriting removes arbitrary age restrictions and evaluates individual property risk instead of broad category assumptions. For landlords and condo associations stuck with non-standard market options or non-renewal notices, that matters.
But this isn’t a market transformation. Colorado’s insurance challenges stem from wind and hail exposure, climate trends, and capacity constraints that one MGA can’t solve alone. Premiums won’t magically drop, and well-maintained properties still get the best rates regardless of carrier.
The real test comes in 6-12 months when Honeycomb’s loss experience in Colorado determines whether they maintain appetite or tighten underwriting like carriers before them. For now, Colorado property owners have one more option in a shrinking market. Use it while it lasts, but don’t skip the maintenance and risk mitigation work that makes any property insurable long-term.
Contact your agent to explore whether Honeycomb’s platform works for your specific property. And if you’re a condo board member, start the conversation now—master policy changes take months to execute properly.