The best car insurance in New Mexico

Ed Zuccarelli

By

Ed Zuccarelli

Ed Zuccarelli

Freelance contributor

Ed Zuccarelli is a freelance writer and former police officer whose law enforcement experience made him an expert in motor vehicle law and the car insurance industry.

Published November 18, 2021

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The average cost of a full coverage car insurance policy in New Mexico is $1,480 a year. But rates vary widely depending on where in the state you live. Albuquerque drivers pay an average of $1,711 a year for full coverage, while in Alamogordo, drivers pay $1,246 for the same coverage.

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No matter where in New Mexico you live, the best way to save money on car insurance is to compare quotes before you buy. Policygenius can help you see what you’ll pay for coverage from top companies, so you can choose the coverage that’s best for you.

Key Takeaways

  • With an average rate of $907 a year, USAA is the cheapest car insurance company in New Mexico

  • The cheapest company for drivers with poor credit in New Mexico is GEICO 

  • Santa Fe drivers pay an average of $1,506 a year for car insurance

Cheapest car insurance companies in New Mexico

Car insurance rates are based on everything from your age to your credit score to your address. The cheapest company for one person may not be the best deal for another, which is why it’s so important to shop around and compare options before you buy.

Company

Average cost

JD Power Rating

USAA

$907

890

State Farm

$950

881

GEICO

$1,042

871

Central Insurance

$1,274

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MetLife

$1,308

886

Cheapest car insurance companies by age in New Mexico

Younger drivers pay the most for car insurance because they’re more likely to have an accident and file a claim. Rates typically drop over time as younger drivers age and gain experience, often leveling-out at 25.

Age

Cheapest company

Average cost

16

Central Insurance

$2,943

18

USAA

$2,031

21

USAA

$1,263

25

USAA

$1,062

30

USAA

$947

35

USAA

$910

45

USAA

$863

55

USAA

$836

Choosing the right car insurance company in New Mexico

There’s actually no one right company for every driver — the right company for you is the one that offers you the most coverage at the lowest rates. And the only way to figure out which company can offer you the best deal is to shop around and compare quotes.

Policygenius can help you see options from top companies in New Mexico, so you can find your best rates.

Car insurance rates for drivers with driving violations in New Mexico

Any accidents or moving violations on your record will mean higher rates. The more serious the incident, the more you’ll pay. A violation like a DUI or a hit-and-run can mean you’ll pay hundreds, or sometimes thousands more dollars a year for coverage.

Violation

USAA

State Farm

GEICO

Central Insurance

MetLife

At-fault Accident

$1,366

$1,036

$1,744

$1,772

$2,335

DUI

$1,870

$1,036

$2,126

$2,254

$3,582

Driving with a suspended license

$1,778

$1,036

$1,908

$2,254

$4,062

Driving with an open container

$1,294

$1,036

$2,126

$1,589

$1,848

Driving with expired registration

$1,192

$1,036

$1,324

$1,528

$1,848

Driving without Lights

$1,192

$1,036

$1,324

$1,528

$1,848

Failure to show documents

$1,192

$1,036

$1,324

$1,528

$1,848

Failure to stop at a red light

$1,192

$1,036

$1,324

$1,589

$1,848

Cheapest car insurance for drivers with bad credit in New Mexico

Car insurance companies also use credit score as a factor when setting rates, and a poor credit score usually means higher rates. 

But New Mexico has some rules around how car insurance companies can use your credit score — including a stipulation that drivers must be informed when their credit score is being used to set their rates — and your credit can’t be the sole reason you’re denied coverage.

Company

Rates for drivers with bad credit

GEICO

$1,478

USAA

$1,696

State Farm

$1,937

Nationwide

$2,033

Progressive

$2,070

Car insurance costs in New Mexico cities

Location matters a lot when it comes to car insurance. The rates of accidents and claims in your area, as well as reports of car thefts and vandalism and even average repair costs in your city will affect what you’ll pay for car insurance coverage. Here’s what drivers pay in the 10 biggest cities in New Mexico:

  • Albuquerque: $1,711

  • Las Cruces: $1,346

  • Rio Rancho: $1,598

  • Santa Fe: $1,506

  • Roswell: $1,489

  • Farmington: $1,329

  • Clovis: $1,496

  • Hobbs: $1,523

  • Alamogordo: $1,246

  • Carlsbad: $1,518

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Buying car insurance in New Mexico

New Mexico requires that all drivers have at least the following amount of coverage, although most drivers will need more than this to be protected in case of an accident:

  • Bodily injury liability coverage per person: $25,000

  • Bodily injury liability coverage per accident: $50,000

  • Property damage liability coverage: $10,000

New Mexico is an at-fault state. That means that the insurance company of the driver found responsible for an accident will pay for the other party’s repair bills and medical expenses (that’s what liability coverage is for). If you cause an accident and your liability levels aren’t high enough to cover the damage, you’ll be stuck with the rest of the bill, which is why it’s a good idea to set high limits.

How to get cheap car insurance in New Mexico

There are a few simple tips for finding your cheapest car insurance coverage, no matter who you are:

  • Always compare quotes before you buy, so you can be sure that you are not missing out on a better deal from another company

  • Know the discounts you’re eligible for, like savings for being a safe driver, paying your premium in full instead of monthly, driving fewer total miles each year, or getting good grades in school if you’re a full time student

  • Bundle your policies. This means getting multiple insurance policies from the same company, which saves you money on all of them

  • Shop before you renew. Even if you’re happy with your current company, you might be missing out on savings elsewhere, so always reshop before you renew

Frequently asked questions

What are collision and comprehensive coverages, and do I need them too?

Collision coverage covers the cost of repairs for your vehicle even if the accident is your fault. Comprehensive coverage covers other forms that aren’t from a collision, like weather damage, theft, fires, vandalism, or other animal damage.

Is car insurance mandatory in New Mexico?

Yes, the penalties for driving without car insurance in New Mexico include a fine of $300, imprisonment of up to 90 days, and the potential suspension of your registration.

I just bought a second car, will that increase my insurance?

Yes. How much depends on the type of vehicle, how often you drive it, and what you use it for. Safe, reliable cars typically cost less to insure than flashier, more expensive ones.

Methodology

Policygenius has analyzed car insurance rates provided by Quadrant Information Services for every ZIP code in all 50 states plus Washington, D.C. For full coverage policies, the following coverage limits were used:

  • Bodily injury liability: 50/100

  • Property damage liability: $50,000

  • Uninsured/underinsured motorist: 50/100

  • Comprehensive: $500 deductible

  • Collision: $500 deductible

In some cases, additional coverages were added where required by state or insurer.

Rates for overall average rate, rates by ZIP code, and cheapest companies determined using averages for single drivers ages 30, 35, and 45. Our sample vehicle was a 2017 Toyota Camry LE driven 10,000 miles/year.

Rates for driving violations and “Poor” credit determined using average rates for a single male 30-year-old driver with a credit score under 578.

Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.