This study proposes a novel method for estimation of the acid value and the furfural contained in the insulating oil of an oil-filled transformer based on the information received from the color of the insulating oil. A spectrometer analysis is carried out on insulating oils. The color data, represented as L*, a*, and b*, are measured, and it is found that these values change on a certain trajectory in accordance with the degradation of the insulating oil. Subsequently, a method for the estimation of acid value and the furfural is proposed based on the trajectory. Finally, the effectiveness of the proposed method is verified through experimental procedures.