New Mexico is stunningly beautiful and the perfect picture of southwestern America. However, getting the most out of this breathtaking beauty means finding the best car insurance in New Mexico.
That is because the state is filled to the brim with sights to see and historic locations to visit. Families each year try their luck exploring the Carlsbad Caverns and the White Sands National Monument. And we can’t leave out those true believers that make an annual trek to the International UFO Museum and Research Center in Roswell.
But getting to all these places means quite a bit of driving. If you’re going to be hitting the road this hard, you need the protection of good car insurance coverage. Here is everything you need to know about car insurance in New Mexico.
- The state typically has 40,000 car accidents each year.
- Interstate-40 is one of the most dangerous interstates in the country. It runs east-west through New Mexico and replaced the iconic Highway 66.
How Much Is Car Insurance in New Mexico?
New Mexico drivers pay an average of $1,419 per year for full coverage car insurance. The state-required minimum liability insurance is $385 per year on average. These costs compare favorably with the national averages for car insurance, with full coverage costing $1,674 and minimum coverage at $565 across the U.S.
The exact types of auto insurance a driver has will play a major role in how much they pay each month. And every driver pays insurance premiums based on factors unique to them, such as age, driving history and much more. For those looking for the cheapest car insurance in New Mexico, switching carriers is one way to go.
Remember, if you think you are paying too much for your own car insurance, your best bet is to shop around and compare different auto insurance quotes to discover how much you can save.
What Is the Average Premium in New Mexico for Cheap Full Coverage Car Insurance?
The monthly average for full coverage car insurance in New Mexico is $118. This insurance consists of liability, collision car insurance and comprehensive auto insurance.
Liability protects against accidents you cause, collision protects your vehicle (regardless of who is at fault), and comprehensive protects your car against non-driving threats, such as hail, theft and vandalism.
Of course, full coverage insurance is the most expensive option as well.
How Much Is It for Cheap Liability Insurance or the Minimum Required Car Insurance in New Mexico?
The average for the minimum liability is $32 per month. This is the cheapest insurance in New Mexico. Liability car insurance consists of bodily injury/death liability insurance and property damage liability insurance. Liability is designed to help you financially if you cause an accident. It will pay for the injuries and damages you have caused other people up to your policy limits and after you’ve paid your deductible. Liability car insurance in New Mexico will not pay anything for your own damages.
Every state has its own minimum level of car insurance coverage that drivers must have. Getting minimum car insurance is a great way to save money on your auto insurance premium each month. However, you may be at a real disadvantage if there is an accident and you only have minimal insurance protection. If the bills are more than the insurance coverage you have, you could be left having to pay out of pocket.
How Do Insurance Rates Compare Across Major Cities in New Mexico?
One of the biggest factors that makes up your car insurance premium is your zip code. If you move from one New Mexico city to another, it can play a big difference in the cost of your premium. Below, we have a breakdown of average monthly car insurance costs in different New Mexico cities.
Rates in different zip codes take into account a collective number of claims associated with that area, including car theft, car accidents, personal injury lawsuits and more.
|City||Full Coverage Insurance||Liability Insurance Coverage|
Unless otherwise specified, we use the following methodology to arrive at our average cost: male, age 30, lowest possible legal coverage allowed by state. Your rates will be determined by several factors, including your age, your gender and the amount of coverage you want to purchase.
Are There Good Driver Discounts in New Mexico?
Yes, almost all insurance companies offer car insurance discounts for a variety of things, including a good driver discount. This discount typically applies if you have not had any infractions or incidents on your driving record for three to five years. One thing that every driver in New Mexico has in common is that everyone thinks they are paying too much for car insurance. But did you know you may be able to reduce the cost of your premium with a single phone call?
That is because every insurance carrier offers special discounts, and you may already qualify for some of them. This includes discounts for things like completing defensive driving courses, getting a good grades discount, and simply bundling insurance policies.
And one of the most common discounts is a good driver discount. Insurance carriers throughout New Mexico offer such discounts. If you have a relatively clean driving record, be sure to ask your carrier about potential discounts.
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New Mexico Car Insurance Laws
If you have lived in different states, one of the things you may have noticed is that each state has its own car insurance laws. It’s important to understand what the New Mexico car insurance laws are so that you can remain compliant and not end up paying any fees and jeopardizing your license.
New Mexico has very specific laws regarding how much insurance you must have, what penalties you face for driving without insurance, whether you are required to report accidents, and even which factors car insurance companies can use to determine your premium.
Keep reading to discover everything you need to know about New Mexico car insurance laws.
What Are the Mandatory Car Insurance Requirements in New Mexico?
The minimum car insurance requirements in New Mexico are:
- $25,000 per person for bodily injury
- $50,000 per accident for bodily injury
- $10,000 per accident for property
Keep in mind that liability insurance only pays out when you are at fault in an accident, and it only pays to cover the personal and property damage you cause to others. While sticking to minimum insurance may keep your premium low, you may be stuck with a lot of debt in the event of an accident.
What Factors Does New Mexico Law Allow in Determining Your Premiums?
Previously, we touched on the fact that your zip code partially determines how much you pay for your car insurance. But what are the other factors your insurance carrier is allowed to consider?
In New Mexico, your carrier may look at any and all of the following factors:
- Credit history
- Driving history
- Insurance history
- Zip code
- Marital status
- Employment status
- Driving history
If you make any changes to these factors (such as improving your credit history), you should alert your insurance carrier. It may result in a lower premium at the end of the month.
What Is the Penalty for Driving Without Insurance in New Mexico?
Upon the first offense, you will receive a fine of up to $300 and may be placed in jail for up to 90 days. Upon the second offense, the maximum fine jumps to $1,000 and the maximum jail time jumps to six months. Upon the third offense and beyond, the court may assign you even harsher punishments at their discretion.
While the fines may be very costly, keep in mind the biggest cost will come from any personal or property damage you cause while driving without insurance. Without the protection of liability coverage, you’ll be on the hook for every penny of damage caused!
Am I Required to Report an Accident in New Mexico to Authorities?
You must report an accident if it results in the injury or death of anyone involved. You must also report an accident if it results in property damage of $500 or more. Make sure to report these accidents to the local police department or, if you are outside a municipality, report to the nearest sheriff’s office.
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What Is Driving Like in New Mexico?
Relatively speaking, it is dangerous to drive in New Mexico. Given how many accidents happen each year and the fact that a fifth of the driving population has no insurance at all, it’s important to keep yourself safe with good car insurance coverage.
How Many Car Accidents Happen in New Mexico?
In 2019, there were 48,124 traffic crashes in New Mexico. Of those, 369 were fatal and 425 people (83 pedestrians) died as a result. Hit-and-run car accidents comprised 17.3 percent of crashes. Teen drivers have the highest crash rate out of any driver age group in New Mexico.
Make sure you have enough car insurance to protect you against both damage to your body and your car.
How Many Uninsured/Underinsured Motorists Are in New Mexico?
In New Mexico, over 21% of drivers are driving without any insurance coverage at all. And there are plenty of drivers on top of that who simply have insufficient insurance. Given these numbers, we highly recommend protecting yourself with additional coverage!
New Mexico does not require drivers to carry uninsured motorist coverage, but many choose to since it is not considered expensive in the face of a wreck with an uninsured or hit-and-run driver. The purpose of this insurance is simple: to protect you in the event that you are in a car accident with someone who either doesn’t have enough car insurance or has no insurance at all.
FAQs About New Mexico Car Insurance
I Am a Low-Income Driver. What Can I Do About Getting the Cheapest Car Insurance in New Mexico?
You cannot legally drive in New Mexico without car insurance. But what if you don’t have much money? Fortunately, there are easy steps you can take to get the cheap car insurance you need.
First, ask your insurance carrier about car discounts. You may already qualify for certain discounts that can drive your premium down.
Second, don’t be afraid to shop around for a new insurance carrier. Doing so is the best way to get a new and better rate. If you pay for insurance by the month, you can get a new carrier at any time.
Finally, make sure to only get the insurance coverage you need. If you drive a relatively old car, you may be better off just getting liability insurance and saving money on your premium each month.
Can an Undocumented Worker Get Cheap Car Insurance in New Mexico?
The short answer is yes. It is possible for undocumented workers to get a driver’s license in New Mexico. And so long as you have a license, you can purchase car insurance, though not every carrier is going to offer coverage to undocumented drivers. Once more, your best bet is to reach out to different carriers until you find the coverage and price that you need!
Is It Possible to Get Low-Cost Car Insurance in New Mexico With a DUI Mark on My Record?
Yes, you can still get DUI car insurance, though it will be more expensive. On average, New Mexico residents with a DUI pay an extra 56% each month on their car insurance. And you may need to shop around for another carrier because not every insurance company offers DUI solution coverage.
A DUI is one of the worst offenses you can get on your driving record. Getting a DUI means you could face nasty fines, a suspended license, and even jail time.
Get an Affordable Car Insurance Quote Online in New Mexico Today!
Now you know the most important things about getting car insurance in New Mexico. But do you know how to find an insurance carrier you can trust with your family’s life?
Here at Freeway Insurance, we specialize in keeping you and your family safe. And we’re ready to help you get started today! Come get started with a car insurance quote online, visit us at an office near you, or call us at 800-777-5620 for a quote.