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New Mexico Car Insurance Information

Requirement : Yes

Car insurance is required in New Mexico . Drivers must have a minimum of liability, and uninsured/underinsured coverage.

Minimum Coverage Car Insurance Requirements:

A minimum of liability and uninsured/underinsured coverage is required:

    • $25,000 for bodily injury to one person.
    • $50,000 for bodily injury per accident.
    • $10,000 for property damage liability per accident.
  • Uninsured/Underinsured motorist coverage – Covers you in case you’re involved in an accident with an uninsured party, or they don’t have adequate coverage.
    • Uninsured/underinsured motorist coverage must be offered as part of your liability insurance, but can be waved.

Other Car Insurance Coverage Options:

Liability, and uninsured/underinsured coverage are the only requirements for New Mexico motorist to have, there are several other types of coverage available to drivers:

  • Collision – Covers damages to your vehicle due to an accident.
  • Comprehensive – Covers damages due to your non-accident related damages to your car, such as inclement weather.
  • Medical Payments – Helps cover your medical or funeral costs due to an accident.
  • Roadside assistance/towing coverage – Typically adds coverage for towing, tire changes, lockout services, and more.

  • Note: Comprehensive and or collision coverage is optional, unless the vehicle is being financed or leased, the lending/leasing agency may require you to purchase comprehensive and collision coverage.

Other Forms of Financial Responsibility:

Other legal ways around buying car insurance include:

    • $55,000 cash or securities deposit with the state comptroller.

Proof of Insurance: Yes

You must carry proof of insurance and registration with your vehicle at all times. New Mexico uses an electronic data base to monitor the car insurance status or all vehicles registered in the state.

Insurance Violations:

Violations, Fines & Penalties:

  • Should you be found operating a vehicle without the mandatory minimum insurance coverage, you face:
    • $300 maximum fine.
      • Suspension, and revocation of vehicle registration.

  Credit Scores & Determining Your Insurance Premium :

All New Mexico drivers are required to have car insurance, however, insurance providers are reserved the right to deny coverage to high-risk drivers. High-risk drivers should try to find a provider that specializes in high-risk, non-standard drivers.


Other factors that may be used to determine your premiums include:

  • Credit history
  • Driving history
  • Year, make, model of car
  • Deductible

Discounts : Yes

Discounts available in New Mexico:

  • Good student discount
  • Good driver discount
  • Multi-vehicle discount
  • Anti-theft discount
  • Safety-device discount

Cellphone Use:

Novice drivers with a learner’s permit, or intermediate license are prohibited from using cell phones while driving. With exception to novice drivers, and local ordinances, there is no ban on texting while driving. Cell phone and texting violations are considered secondary offenses.

New Mexico Minimum Coverage Laws

Carriers in New Mexico

Full Insurance Laws for New Mexico