New Mexico Car Insurance
Everything You Need to Know About Auto Insurance in New Mexico
New Mexico, bordered by Oklahoma, Texas, Mexico, and Arizona, covers over 121,000 square miles, making it the fifth-largest state in terms of size. While the state is known as the Land of Enchantment, it has also been referred to as the Tyrannosaur State due to the discovery of multiple Tyrannosaurus Rex fossils. This state’s diverse geography includes a nature-lover’s paradise: cottonwood forests at the Bosque in Albuquerque, white sand dunes at White Sands National Park, and mysterious caves formed from sulfuric acid-dissolved limestone at Carlsbad Caverns.
New Mexico became the 47th state in 1912. Today, around 86,000 people live in the capital city of Santa Fe, and about 2.1 million live in the state, with a third of its residents speaking Spanish at home. Pay close attention when driving, especially on I-40, which sees heavy traffic and has a reputation for a large number of accidents. Narrow medians and a lack of safety barriers, along with high speed limits, make U.S. Route 550 near Bernalillo another risky route.
Wherever you are in the state, having the best auto insurance options in New Mexico can help give you peace of mind on your drive. The expert agents at InsureOne are ready to help you find superior policy options at affordable rates.
How Much Does Car Insurance Cost in New Mexico?
You can expect to pay a yearly average of $1,591 for full coverage and $346 for minimum liability car insurance in New Mexico. The national average is $2,014 for full coverage and $622 for the minimum liability coverage. That means you can expect to pay less than the national average each year — about $423 less for full coverage and $276 less for the minimum coverage.
Dust storms and hail are common in the state, increasing the risk of insurance claims. And just like elsewhere across the country, costs for healthcare, repair parts, labor, and replacement cars are rising. The state also has a large number of uninsured drivers. All these factors work together to raise rates across the state.
What Does It Mean If New Mexico Is An At-Fault or No-Fault State?
In a no-fault state, each driver is responsible for their own medical bills, regardless of who caused the accident. New Mexico is an at-fault state. What this means is New Mexico at-fault vs. no-fault rules find you responsible for covering the damage in a car crash that is your fault, which is reason enough to have high-quality coverage.
Affordable Car Insurance Rates Comparison by Cities in New Mexico
If you live in a larger city, you may pay a bit more for your coverage due to the increased number of cars on the road. The chart below provides an idea of how much insurance costs each month in different cities in the state:
| City | Full Coverage Insurance | Liability Insurance Coverage |
|---|---|---|
| Albuquerque | $155 | $40 |
| Deming | $115 | $29 |
| Farmington | $117 | $30 |
| Las Cruces | $120 | $33 |
| Roswell | $133 | $32 |
| Santa Fe | $133 | $35 |
| Silver City | $115 | $29 |
We arrive at our average auto insurance costs by using a male driver, aged 30, with a clean driving record. Liability insurance coverage is the state‑required minimum. Full coverage is a 100K/300K/100K policy. Your costs will be different and based on your individual factors.
How Bundling Can Save Money in New Mexico
Some insurers offer a multi-policy discount, which is also referred to as insurance bundling. So, if you need another type of coverage along with your auto insurance in New Mexico, ask your agent about buying them all in one visit.
Need homeowners insurance for your adobe home in Albuquerque? Ask about bundling it with your auto coverage and earn up to 25% off your policies. Or if you need renters coverage for your rental home in Rio Rancho, you can bundle that too and earn up to 15% in savings.
Besides the money saved, here are some added benefits:
- Time saved managing paperwork (one policy)
- One bill payment to remember
- A relationship with one agent you trust
Your agent will shop around for you to find you personalized coverage with cost savings.
Auto Insurance Discounts in New Mexico
There are no state-specific programs for lowering your premium. If you have been wondering how to get affordable car insurance in New Mexico, though, be sure to ask your agent about discounts for car insurance in New Mexico.
Here are a few examples of ways to save money on your car insurance premium:
- Low mileage
- Maintaining a good driving record
- Good student
- Military
- Homeowner
- Telematics
New Mexico Car Insurance Laws
New Mexico DMV insurance requirements state that you, as a driver in the state, must carry minimum liability coverage to prove you are financially responsible in case you cause an accident.
Once you have obtained this coverage, your insurer must provide proof to the Insurance Identification Database (IIDB). If your insurer fails to do so within 30 days of your receipt of Notice of Noncompliance, the MVD will suspend your registration. You may contact the IIDB yourself, however, if necessary.
What Are the Mandatory Car Insurance Requirements in New Mexico?
Auto insurance laws in New Mexico say that drivers must comply with state rules to drive legally, which means you need the following minimum liability coverage:
- Bodily injury or death to one person in any accident: $25,000
- Bodily injury to or death of two or more persons in any one accident: $50,000
- Destruction of property of others in any one accident: $10,000
Keep in mind, these minimums may be lower than necessary to cover damage in a serious accident involving a high-end car or multiple cars. If you have ready money available to cover damage beyond your policy limits, you may choose to keep just the minimum. On the other hand, some people buy extra liability coverage or add collision and comprehensive coverage to avoid paying out of pocket for damage beyond the minimum liability limits.
What Is the Penalty for Driving Without Insurance in New Mexico?
If you are caught driving uninsured, you face consequences, such as 90 days of jail time and fines of up to $300. If you fail to return your license plate and registration right away to the New Mexico Motor Vehicle Division, your jail time may increase to six months, and your fines may be up to $1,000. There is no SR-22 requirement in New Mexico unless you move here from another state in which you already have an SR-22.
What Factors Does New Mexico Law Allow in Determining Your Premiums?
Insurers look at your personal information, including vandalism, auto theft, and accident rates in your area, to determine your unique premium.
Here are some factors insurers review:
- Your age
- Your gender
- Your driving record
- Credit score
- Vehicle details (make, model, age, safety features)
What Happens If I Damage Property?
Imagine you are caught on the highway in the worst of the worst dust storms — a haboob — in Southern New Mexico, and you crash into the car in front of you. Your New Mexico liability coverage will pay for the damage you cause (up to policy limits) in an accident that is your fault. That means your insurer will cover $10,000 in damages if you have minimum coverage.
Your own damage will be excluded from coverage unless you have collision insurance — a good reason to have this added protection so you can get back on the road. Even better, get full coverage car insurance in New Mexico and protect yourself from other hazards like fire, vandalism, car theft, an incident with an animal, or any other non-driving event with your comprehensive coverage.
Driving Conditions in New Mexico
The weather varies depending on where you are in the state — deserts, forests, mountains, or canyons. Spring may bring thunderstorms, flash flooding, and even tornadoes while summer highs reach into the mid-90s. Driver distraction may increase in Albuquerque during the hot air balloon festival in October.
New Mexico holds eight of the 126 America’s Byways, scenic, less-traveled roads recognized, in part, for their archaeology, culture, and history. These include the Billy the Kid Scenic Byway, which travels from Lincoln to Ruidoso and Ft. Stanton, and the El Camino Real National Scenic Byway, which takes drivers along the same route as 500 colonists in 1598 from north of Las Cruces to Albuquerque, then Santa Fe and Ohkay Owingeh Pueblo. These roads may see traffic from vacationers who are not as familiar with the roads as the locals. But anywhere you drive in the state, the scenery can lead to distracted driving.
You can stay updated with road conditions to help you plan a safe trip. Your agent can also prepare you for your many state explorations by setting you up with the best options for car coverage.
How Many Crashes Occur in New Mexico?
There were 402 fatal crashes in New Mexico in 2023, according to the National Highway Traffic Safety Administration. Here are the number of accidents in some New Mexico cities in 2023:
| City | Annual Average Number of Fatal Car Crashes |
|---|---|
| Albuquerque | 106 |
| Deming | 3 |
| Farmington | 5 |
| Las Cruces | 16 |
| Roswell | 6 |
| Santa Fe | 8 |
| Silver City | 1 |
Uninsured/Underinsured Motorists in New Mexico
With 24.1% of New Mexico’s drivers having no insurance, the state ranks 2nd among the 50 states for having the most uninsured drivers. You can avoid being one of those uninsured statistics — and help protect your assets — by spending about $35 a month for the minimum coverage.
Get the Best Car Insurance in New Mexico Today
If you are looking for affordable auto insurance options in New Mexico, you have come to the right place — InsureOne. We compare car insurance quotes to help you find full coverage or the minimum car insurance requirements in New Mexico. Whether you are looking for just an auto policy or would like to bundle with homeowners, renters, or any other kind of insurance, we provide concierge service and customized policies. Think of us as your one-stop insurance shop that helps make the process easier, whether you are in Santa Fe, Clovis, Center Point, or anywhere else in the state.
Our expert InsureOne agents are here to provide you with white-glove service in English or in Spanish. We shop around to find you the best policy options for all your insurance needs with competitive rates. It is the top-tier service you deserve. You can visit us online, drop by your local New Mexico office, or call us at (800) 836-2240 for a quote.
