Cheap Car Insurance in New Mexico (2023)

New Mexico is the seventh-cheapest state for car insurance, with average monthly premiums of $146 per month, according to Insurify’s proprietary database. To land the best deal on an auto policy in the Land of Enchantment, it’s a good idea to shop around. You can compare quotes and find cheap car insurance within minutes by using an insurance comparison platform.

Best cheap car insurance in New Mexico: State Farm

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State Farm

A number of car insurance companies in New Mexico offer affordable rates. State Farm, USAA, and GEICO are a few examples of top insurers with average monthly quotes of $41, $51, and $53, respectively. The table below, sourced through Insurify’s proprietary database of more than 70 million quotes, can give you an idea of the cheapest auto insurance options in the state.

Learn More: Best Car Insurance Companies

Minimum car insurance requirements in New Mexico

The state of New Mexico requires all motor vehicles that are operated or parked on its roadways to be insured. Proof of insurance must be carried in your car at all times and must be available when:

• Requested by law enforcement

• Renewing vehicle registration

• The vehicle is involved in a car accident

The minimum liability insurance requirements for private passenger vehicles in New Mexico are:1

• $25,000 per person for bodily injury

• $50,000 per accident for bodily injury

As a major part of your liability insurance, bodily injury coverage covers medical bills for people other than the policyholder who are injured during an accident. New Mexico is an at-fault state, meaning the driver who is responsible for the collision is also responsible for paying for any resulting expenses, either through their car insurance provider or out of their own pocket.  

• $10,000 per accident for property damage

If it’s determined that an insured driver is at fault for an accident, this coverage pays for repairs to the property of the other involved parties. Additionally, property damage coverage can cover legal costs if the insured driver is involved in a lawsuit following the accident. 

New Mexico DMV information

Based in Santa Fe, the New Mexico Motor Vehicle Division (MVD) offers a number of services that you can use online. These include driver’s license and registration renewals, citation payments, placard renewals, and more. If you prefer in-person service, however, you’ll be pleased to learn that there are 32 field offices with 39 office locations across the state. 

You can schedule an appointment at a time and location that’s most convenient for you. Once you arrive, you may stay in your vehicle and use the virtual check in feature. You’ll be notified when it’s time to come in.[2]

Public transportation in New Mexico

The largest transit agency in New Mexico is ABQ RIDE, which provides bus service to the Albuquerque area. Many other cities and counties have their own transit systems, such as the Rio Rancho Transit, Clovis Area Transit System (CATS), City of Carlsbad Municipal Transit System (CMTS), and Hobbs Express (City of Hobbs).

You can also get around with Greyhound buses, Amtrak, and New Mexico Park and Ride. If you do choose to get around via car in the Land of Enchantment, you’ll need to purchase at least the minimum amount of car insurance required by the state. 

Tips for getting cheap car insurance in New Mexico

If you’re in the market for cheap car insurance in New Mexico, don’t overlook the importance of comparison shopping. Since rates in the state vary greatly by insurer, it’s important to explore your options and compare quotes. By doing so, you can find the most affordable auto insurance policy for your budget and ideal coverage level. 

Liability-only vs. full-coverage insurance in New Mexico

If you live in New Mexico, you can opt to carry liability-only auto insurance, which pays for expenses related to injuries and damage to the other party’s car if you cause an accident. Each state sets its own minimums for how much liability insurance it requires drivers to carry. Liability-only insurance can make sense if:

• You have a low-value vehicle.

• You can afford to repair or replace your car out of your own pocket.

• Getting the cheapest insurance possible is your top priority.

For a higher level of protection, you can choose full-coverage insurance, which includes basic liability plus collision and comprehensive coverage. Collision coverage pays for damages to your car, even if you’re at fault for an accident. Comprehensive coverage pays for damages caused by events out of your control, like vandalism, theft, weather, and damage caused by animals. Auto lenders and leasing companies typically require drivers to carry full coverage on a car they’ve financed.

You may also opt for full coverage if:

• You have a high-value vehicle.

• You wouldn’t be able to afford to repair or replace your car out of pocket.

• Your car’s actual cash value (the payout you’d likely get if your car is totaled) exceeds your annual premium to carry full coverage.

Here’s a look at the average monthly quotes for the cheapest auto insurance in New Mexico by policy type.

How your driving history affects New Mexico car insurance rates

Every car insurance company has a unique risk assessment for determining rates for New Mexico drivers. But insurers usually consider drivers with infractions on their driving records — such as an at-fault accident, speeding ticket, or DUI — a higher risk than those with a clean record. The good news is affordable rates for drivers with mistakes on their records do exist. 

Check out the table below for an idea of what high-risk drivers pay for car insurance in New Mexico. Quotes are sourced from Insurify’s proprietary database of more than 70 million car insurance quotes.

See More: High-Risk Car Insurance New Mexico

SR-22 insurance in New Mexico

Some states require your insurer to file an SR-22 form on your behalf after a serious traffic violation, like a DUI or reckless driving. Put simply, an SR-22 proves that a driver has met the minimum auto insurance requirements. New Mexico is one of the few states that doesn’t have an SR-22 requirement. However, you’ll still need basic liability coverage to drive legally in the Land of Enchantment. 

How credit scores affect New Mexico car insurance quotes

Your credit score can play a role in your car insurance costs. In general, a good or excellent credit score leads to lower rates, and those with average or poor credit often pay higher premiums. In New Mexico, drivers with excellent credit pay an average monthly premium of $130, while drivers with poor credit pay $146. 

Check out the average car insurance quote for each credit tier in the table below, sourced from Insurify’s proprietary database. 

See More: Bad Credit Car Insurance New Mexico

How your city affects New Mexico insurance quotes

New Mexico’s auto insurance rates vary based on where you live in the state. If you’re a resident of a more populous area, like Albuquerque, you can expect higher premiums than someone who lives in a smaller city or rural town, such as Deming or Chaparral. 

Here’s a look at average monthly car insurance quotes for drivers in various cities in New Mexico.

How your age affects your New Mexico car insurance rates

Your age will affect your car insurance rates. This is because the risk of getting into an accident is higher for younger drivers, and reduces as drivers grow older and gain more experience on the road.3 4 

In New Mexico, teen drivers pay an average monthly premium of $319. Drivers in their 50s with decades of experience under their belt enjoy the best rates, with an average monthly premium of $102. Find the average quote for your age group in this table, sourced from Insurify’s proprietary database of more than 70 million quotes.

Quotes for younger drivers

Drivers under the age of 25 in New Mexico can expect to pay the highest car insurance rates of any age group. Without a proven driving record, these drivers are riskier to insure than other age groups. If you add in an infraction like an accident or a DUI, you can expect car insurance quotes to be even more expensive. 

Take a look at the table below to get an idea of how much young drivers in New Mexico pay for insurance. Quotes shown below are sourced from Insurify’s proprietary database of more than 70 million car insurance quotes.

Quotes for middle-aged drivers

Middle-aged drivers in New Mexico generally benefit from cheaper car insurance rates as they have a proven driving record and safer driving behaviors. Have a look at the cheapest car insurance quotes for middle-aged drivers in New Mexico below, complete with quotes for liability-only and full-coverage policies, as well as quotes for drivers with a DUI or accident on their record.

Quotes for senior drivers

Senior drivers in New Mexico enjoy the cheapest rates of all age groups. This is because older drivers typically have safer driving behaviors than their younger counterparts, and as such, are less risky to insure.4 Check out the cheapest car insurance quotes for senior drivers in New Mexico below, courtesy of Insurify’s proprietary database.

New Mexico car insurance FAQs

Insurify Insights

How New Mexico Drivers Measure Up

While most drivers know that car insurance quotes are determined in part by your personal driving history, many may be unaware that rates are also impacted by the average risk of the drivers around you as well. Check out Insurify's latest analysis of driving records in New Mexico below:

Methodology

Drawing from an internal database of over 4 million car insurance applications, the research team at Insurify analyzes patterns in car ownership and driver behavior - including how New Mexico drivers measure up to their fellow motorists across the United States in areas including speeding, DUIs, and more.
Insurify Insights publishes data-driven articles, trend analyses, and national rankings each week on all factors related to cars and those who drive them.

Ford F-Series Pickup

Most Popular Car in New Mexico

#33

State with the Most Speeding Tickets Rank

#40

State with the Moving Violations Rank

#24

State with the Most DUIs Rank

#33

State with the most Suspended Licenses

• Accidents in New Mexico

  While car accidents are a sadly unavoidable feature of time spent on the road, rates of accidents do vary from city to city and from state to state. New Mexico is the #45 state in the country for drivers with an at-fault accident on their driving record.

  • Rank among states: #45
  • Percent of drivers in New Mexico with an accident: 6.2%
• DUIs in New Mexico

  While driving while intoxicated is never acceptable, it’s a more common offense than many assume. New Mexico is the #24 state in the country for drivers with a prior drunk driving conviction.

  • Rank among states: #24
  • Percent of drivers in New Mexico with a DUI: 1.4%
• Reckless Driving in New Mexico

  Reckless driving refers to a specific traffic violation: when drivers willfully act dangerously in spite of the risks they’re imposing on both themselves and others. New Mexico is the #45 state in the country for drivers with a reckless driving offense on record.

  • Rank among states: #45
  • Percent of drivers in New Mexico with a reckless driving offense: 0.8%
• Rude Driving in New Mexico

  The Insurify team classifies rude drivers as those who commit one or more of the following driving offenses: failure to yield or failure to stop, improper backing, passing where prohibited, tailgating, street racing, or hit-and-run. New Mexico is the #44 state in the country for drivers with a rude driving violation on record.

  • Rank among states: #44
  • Percent of drivers in New Mexico with a rude driving violation: 1%
• Speeding in New Mexico

  Exceeding the speed limit can endanger others and have a serious impact on your insurance costs. New Mexico is the #33 state in the country for drivers with a speeding ticket on record.

  • Rank among states: #33
  • Percent of drivers in New Mexico with a speeding ticket: 7.7%
• Failure to Yield Rates in New Mexico

  Failing to yield the right of way isn’t just frustrating for other drivers; it’s dangerous, too. New Mexico is the #32 state in the country for drivers with a failure to yield violation on record.

  • Rank among states: #32
  • Percent of drivers in New Mexico with a failure to yield violation: 0.1%

Insurify Insights

Insurify's team of data scientists and content specialists presents Insurify Insights, a series of automotive, home, and health studies focusing on the topics that impact us all. through expert analysis of over 4 million car insurance applications and an array of top data sources, the Insurify Insights team produces new data-driven articles, trend analyses, regional superlatives, and national rankings every week. See Insurify Insights as featured in Forbes, Fox News, USA Today, NPR, and more.