Colorado § 5-4-107 - Maximum charge by creditor for insurance.
Full text of Colorado Colorado Revised Statutes § 5-4-107 — Maximum charge by creditor for insurance., with citation guidance and answers to common questions.
§ 5-4-107. Maximum charge by creditor for insurance.
(1) Except as provided in subsection (2) of this section, if a creditor contracts for or receives a separate charge for insurance, the amount charged to the consumer for the insurance may not exceed the premium to be charged by the insurer as computed at the time the charge to the consumer is determined conforming to any rate filings required by law and made by the insurer with the commissioner of insurance.
(2) A creditor who provides consumer credit insurance in relation to a revolving credit account may calculate the charge to the consumer in each billing cycle by applying the current premium rate to:
(a) The average daily unpaid balance of the debt in the cycle;
(b) The unpaid balance of the debt or a median amount within a specified range of unpaid balances of debt on approximately the same day of the cycle. The day of the cycle need not be the day used in calculating the finance charge, but the specified range shall be the range used for that purpose; or
(c) The unpaid balances of the amount financed calculated according to the actuarial method.
Source: L. 2000: Entire article R&RE, p. 1227, § 1, effective July 1.
Editor's note: This section is similar to former § 5-4-107, as it existed prior to 2000.
Source: official Colorado text · Last verified 2026-08-27
Frequently Asked Questions About Colorado § 5-4-107
What does Colorado Revised Statutes § 5-4-107 cover?
Section 5-4-107 ("Maximum charge by creditor for insurance.") is part of the Colorado Revised Statutes, the codified statutory law of Colorado. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Colorado § 5-4-107?
A common citation format is "Colorado Revised Statutes § 5-4-107" (Colorado). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Colorado law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Colorado official source linked on this page or consult a licensed Colorado attorney.
How does Colorado § 5-4-107 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Colorado can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Colorado.