How Much Is Car Insurance in New Mexico? (2026)

How much is car insurance in New Mexico?

New Mexico car insurance averages $133 per month for full coverage and $65 per month for liability-only coverage, according to Insurify data. This is significantly lower than both the national average and the averages in neighboring Texas, Colorado, Arizona, and Oklahoma. 

See a breakdown of New Mexico’s average car insurance rates in the table below.

Coverage Type	Average Monthly Quote	Average Annual Quote
State-minimum coverage	$65	$782
Full coverage	$133	$1,601

Disclaimer: Table data is based on real-time New Mexico quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

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Minimum car insurance requirements in New Mexico

New Mexico drivers must have a minimum amount of bodily injury liability coverage and property damage liability coverage, per state law. This is less coverage than some states require (for example, North Dakota requires five types of coverage). 

You can see New Mexico’s car insurance requirements in the table below.^[1]

Coverage Type	New Mexico Minimum Requirement
Bodily injury liability	$25,000 per person/$50,000 per accident
Property damage liability	$10,000 per accident

Cheapest car insurance companies in New Mexico

Progressive is the cheapest insurer for liability-only car insurance in New Mexico, according to Insurify data. Choosing only state-minimum liability coverage gives you lower premiums than a full-coverage policy. Full coverage (which includes collision and comprehensive coverage) extends to you and your car, while liability-only coverage doesn’t.

New Mexico’s liability-only premiums are lower than those in all four surrounding states, potentially due to its lower population density. The state has just 17 residents per square mile, according to the U.S. Census Bureau.^[2] The companies below offer the cheapest liability-only insurance in New Mexico.

The below rates in New Mexico are estimated rates current as of: Wednesday, October 21 at 7:44 AM PDT. 

Insurance Company	Average Monthly Quote: Liability Only
Progressive	$41
National General	$49
State Farm	$51
Sun Coast	$52
The General	$52
GAINSCO	$54
Bristol West	$55
Root	$56
Allstate	$62
USAA	$62
Direct Auto	$66
Safeco	$66
GEICO	$72
Dairyland	$78
Liberty Mutual	$106
Farmers	$122

Disclaimer: Table data sourced from real-time New Mexico car insurance quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual car insurance quotes in New Mexico may vary based on the policy buyer's unique driver profile.

Average New Mexico car insurance rates by city

The cheapest cities for car insurance in New Mexico are Farmington, in the northwestern corner of the state, and Clovis, on the New Mexico-Texas border. Albuquerque, in the central part of the state, has the highest rates, according to Insurify data.

This could be due to the population differences between these cities (556,000 in Albuquerque versus only 37,000 in Clovis and 46,000 in Farmington) or to their longer commute times. Albuquerque residents drive an average of 22.4 minutes to work, while Clovis residents drive only 16.4 minutes, according to the U.S. Census Bureau.^[3]

Use the table below to see how auto insurance rates compare across several New Mexico cities.

The below rates in New Mexico are estimated rates current as of: Wednesday, October 21 at 7:44 AM PDT. 

City	Average Monthly Quote
Farmington	$70
Clovis	$83
Roswell	$91
Las Cruces	$94
Carlsbad	$96
Santa Fe	$98
Hobbs	$103
Rio Rancho	$110
Albuquerque	$116

Disclaimer: Table data sourced from real-time New Mexico car insurance quotes from Insurify's 500+ partner insurance providers and quote estimates from Quadrant Information Services. Actual car insurance quotes in New Mexico may vary based on the policy buyer's unique driver profile.

Average New Mexico car insurance rates by age

Younger drivers typically pay higher car insurance rates than more experienced drivers, due to their higher risk of an accident (and, therefore, filing a claim). 

For example, teen drivers in New Mexico pay an average of $272 per month for full-coverage car insurance, while senior drivers aged 60 and older pay $112 per month.

The table below shows the costs of auto insurance in New Mexico across several different age groups.

Age	Average Monthly Liability-Only Quote	Average Monthly Full-Coverage Quote
Teens	$133	$272
Adults (40s)	$68	$140
Seniors	$55	$112

Disclaimer: Table data is based on real-time New Mexico quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

How your driving record affects car insurance rates in New Mexico

Your driving history can have a big effect on your premiums. Generally speaking, drivers with speeding tickets, accidents, or driving while intoxicated (DWI) convictions on their driving records pay higher insurance rates than people with clean driving records, as they’re at higher risk for filing a claim.

In New Mexico, just less than 4% of drivers have an accident on their record, while 4.4% have a speeding ticket. Only 0.75% have a DWI, according to Insurify data. Use the table below to see how average car insurance rates vary for good drivers versus high-risk drivers.

Driving Record	Average Monthly Quote in NM	% Increase Compared to Clean Driving Record
Clean driving record	$135	N/A
With speeding ticket	$164	21%
With accident	$194	44%
With DWI	$204	51%

Disclaimer: Table data is based on real-time New Mexico quotes from Insurify’s network of 500+ insurance partners. Actual rates may vary depending on the policyholder’s individual profile and coverage needs.

What affects car insurance rates in New Mexico?

Car insurance rates vary by state. Factors like local population, weather, insurance laws, and more can all influence what drivers pay for insurance coverage.

In New Mexico, a few important influencing factors include:

• Minimum car insurance requirements: New Mexico requires only liability insurance, and its property damage liability limit is just $10,000 — among the lowest in the nation. These minimal requirements can help keep premiums low for drivers.

• Credit history: New Mexico allows insurers to use credit when pricing policies, so having poor credit can mean higher premiums. The average credit score in New Mexico is 701, according to Experian. This is in the “good” credit score range.

• Rural nature and lower population: New Mexico is much more rural than many other states. It has just 2 million residents despite being one of the largest states by size.^[4]

• Weather risks: New Mexico faces a range of potential weather hazards, including high winds, flooding, tornadoes, earthquakes, wildfires, and more.^[5]

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How New Mexico car insurance rates have changed over the past five years

New Mexico car insurance rates have decreased nearly 15% since the end of 2024, falling from an annual $1,632 in June 2026 to a projected $1,587 by the end of the year. Insurify’s projections show 2026 could result in an overall 8.2% decrease.

The state’s declining vehicle thefts could be behind the drop. The number of stolen vehicles fell 37% in Albuquerque alone between the first half of 2024 and the first half of 2025, according to Insurify data.

How to lower car insurance costs in New Mexico

You can reduce your New Mexico car insurance costs in several ways:

• Clean up your credit. New Mexico is one of many states that allow insurers to use credit when rating policies. Because of this, improving your credit — by paying your bills on time, reducing your debt load, and disputing errors on your credit report  — could help you get better premiums.

• Shop around for your insurer. The best car insurance premiums vary widely among car insurers in New Mexico, so get an auto insurance quote from several New Mexico insurance companies. 

• Consider a regional insurer. Sometimes, buying your policy from a local or regional insurer can save you money on your premium. Farm Bureau Financial Services is an option to consider.

You can also get car insurance discounts that can reduce your premiums, so be sure to ask about these when comparing quotes. You can also opt for a higher deductible.

New Mexico average car insurance cost FAQs