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Average cost of car insurance in New Mexico for 2024

Updated Oct 19, 2023
The average annual cost of car insurance in NM is $2,225 for full coverage and $540 for minimum coverage.
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How much is car insurance in New Mexico? 

New Mexico drivers pay an average of $540 for minimum coverage and $2,225 for full coverage car insurance per year. Several factors may impact auto insurance rates in New Mexico, including the city you live in as well as your age, gender, marital status, driving record and credit history. It may be beneficial to notify your insurance carrier and shop around anytime you have a significant life event, such as a change in your daily commute or marital status.

The average cost of car insurance in the U.S. is $640 per year for minimum coverage and $2,311 for a full coverage policy. When compared to average car insurance rates in many other states, drivers in New Mexico typically enjoy lower premiums.

Key takeaways

  • The average full coverage premium in New Mexico is $2,225 per year, which is around $185 per month. For minimum coverage, the average is $540 per year, which is approximately $45 per month.
  • New Mexico drivers with poor credit pay, on average, 94 percent more than drivers with good credit.
  • A speeding ticket conviction increases New Mexico car insurance rates by an average of 17 percent more, while a DUI causes an average increase of around 71 percent more.
  • In New Mexico, 18-year-old drivers on their own policies typically pay more than any other age group.

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New Mexico car insurance rates by city

The city you live in may also impact your New Mexico car insurance rate. Each city has its own crime statistics, repair costs, population density and weather events that may raise or lower average car insurance costs. Below you can compare average rates in some of New Mexico's largest cities against the state average.

City Avg. annual full coverage premium Avg. savings vs. state average

Average car insurance costs by age and gender in New Mexico

The average cost of car insurance in NM varies based on your age and gender. Although not all states allow the use of age and gender as insurance rating factors, New Mexico does. Those under the age of 25 typically pay more for car insurance and are viewed as high-risk drivers, while average rates tend to decline as you age (until your 70s). Men also pay more, on average, than women because they are more likely to engage in risky driving behaviors like speeding.

The average premiums below are based on drivers with their own policy, with the exception of 16-year-old drivers, who are listed on their parents' policy.

Age 16*
Average annual full coverage premium in NM
$4,625
Average minimum coverage premium in NM
$1,390
Age 18
Average annual full coverage premium in NM
$7,071
Average minimum coverage premium in NM
$2,006
Age 20
Average annual full coverage premium in NM
$4,776
Average minimum coverage premium in NM
$1,291
Age 25
Average annual full coverage premium in NM
$2,822
Average minimum coverage premium in NM
$684
Age 30
Average annual full coverage premium in NM
$2,369
Average minimum coverage premium in NM
$554
Age 40
Average annual full coverage premium in NM
$2,229
Average minimum coverage premium in NM
$525
Age 50
Average annual full coverage premium in NM
$2,065
Average minimum coverage premium in NM
$486
Age 60
Average annual full coverage premium in NM
$2,023
Average minimum coverage premium in NM
$488
Age 70
Average annual full coverage premium in NM
$2,204
Average minimum coverage premium in NM
$575
Age 40
Average annual full coverage premium in NM
$2,229
Average minimum coverage premium in NM
$525
Age 50
Average annual full coverage premium in NM
$2,065
Average minimum coverage premium in NM
$486
Age 60
Average annual full coverage premium in NM
$2,023
Average minimum coverage premium in NM
$488
Age 70
Average annual full coverage premium in NM
$2,204
Average minimum coverage premium in NM
$575
*16-year-old calculated on parents' policy with discounts applied; 18- and 20-year-old are renters on their own policies with no discounts applied
Age 16*
Average annual full coverage premium in NM
$4,372
Average minimum coverage premium in NM
$1,331
Age 18
Average annual full coverage premium in NM
$6,318
Average minimum coverage premium in NM
$1,859
Age 20
Average annual full coverage premium in NM
$4,229
Average minimum coverage premium in NM
$1,211
Age 25
Average annual full coverage premium in NM
$2,675
Average minimum coverage premium in NM
$663
Age 30
Average annual full coverage premium in NM
$2,342
Average minimum coverage premium in NM
$580
Age 40
Average annual full coverage premium in NM
$2,221
Average minimum coverage premium in NM
$555
Age 50
Average annual full coverage premium in NM
$2,021
Average minimum coverage premium in NM
$500
Age 60
Average annual full coverage premium in NM
$2,013
Average minimum coverage premium in NM
$501
Age 70
Average annual full coverage premium in NM
$2,172
Average minimum coverage premium in NM
$574
Age 40
Average annual full coverage premium in NM
$2,221
Average minimum coverage premium in NM
$555
Age 50
Average annual full coverage premium in NM
$2,021
Average minimum coverage premium in NM
$500
Age 60
Average annual full coverage premium in NM
$2,013
Average minimum coverage premium in NM
$501
Age 70
Average annual full coverage premium in NM
$2,172
Average minimum coverage premium in NM
$574
*16-year-old calculated on parents' policy with discounts applied; 18- and 20-year-old are renters on their own policies with no discounts applied
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Bankrate’s take: While younger drivers pay more for car insurance due to inexperience, historically, men tend to pay the most. Statistically, men are more prone than women to road rage and aggressive behaviors that trigger it, such as speeding, gesturing and preventing other cars from merging. As drivers get older, the average cost of car insurance starts to even out, though.

Cost considerations for young drivers in New Mexico

Young drivers may be able to offset some of their age-related premium hikes by remaining insured on their parents' policies. For instance, an 18-year-old on their own policy would pay, on average, 77 percent more for coverage than they would on their parents’ policy. Unfortunately, drivers who own their own vehicle or no longer live with their parents may be required to carry their own policy.

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Age 16*
Avg. annual premium for drivers in NM
$4,498
Age 17
Avg. annual premium for drivers in NM
$4,121
Age 18
Avg. annual premium for drivers in NM
$3,778
Age 19
Avg. annual premium for drivers in NM
$3,434
Age 20
Avg. annual premium for drivers in NM
$3,228
*16-year-old calculated on parents' policy with discounts applied; 18- and 20-year-old are renters on their own policies with no discounts applied
Age 18
Avg. annual premium for drivers in NM
$6,694
Age 19
Avg. annual premium for drivers in NM
$5,009
Age 20
Avg. annual premium for drivers in NM
$4,503
*16-year-old calculated on parents' policy with discounts applied; 18- and 20-year-old are renters on their own policies with no discounts applied
Age Avg. annual premium difference for drivers on their own policy
Age 18 77 percent more
Age 19 46 percent more
Age 20 40 percent more

*18- and 20-year-old are renters on their own policies with no discounts applied

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This advertisement is powered by Coverage.com, LLC, a licensed insurance producer (NPN: 19966249) and a corporate affiliate of Bankrate. The offers and links that appear on this advertisement are from companies that compensate Coverage.com in different ways. The compensation received and other factors, such as your location, may impact what offers and links appear, and how, where and in what order they appear. While we seek to provide a wide range of offers, we do not include every product or service that may be available. Our goal is to keep information accurate and timely, but some information may not be current. Your actual offer from an advertiser may be different from the offer on this advertisement. All offers are subject to additional terms and conditions.

Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.

How does driving record impact the cost of car insurance in New Mexico?

Drivers with tickets, accidents or DUI convictions on their records typically see higher rates than drivers with a clean record. More serious offenses, like a DUI or multiple at-fault accidents, tend to impact premiums more than a single speeding ticket conviction. Note that not all carriers will extend coverage to drivers with a DUI on their record. For more information, you could reach out to carriers directly.

Here is a look at how your driving record can impact your car insurance premium.

Clean driving record
Avg. annual premium* in NM
$2,225
Percentage increase from NM avg. annual premium*
0%
Avg. annual premium* in NM
$2,600
Percentage increase from NM avg. annual premium*
17%
Avg. annual premium* in NM
$3,049
Percentage increase from NM avg. annual premium*
37%
Avg. annual premium* in NM
$3,804
Percentage increase from NM avg. annual premium*
71%
*The rates reflected are for full coverage policies.

Car insurance rates in New Mexico by credit score

Although credit is not a factor in states where the law prohibits it, carriers can consider your credit history when determining rates in New Mexico. Drivers with poor credit-based insurance scores pay average rates 94 percent more than those with good credit, so improving your credit standing might be an effective strategy to reduce insurance costs.

Here is how car insurance premiums vary between credit tiers.

Avg. annual premium* in NM
$4,317
Percentage change from NM average annual premium*
94%
Average
Avg. annual premium* in NM
$2,415
Percentage change from NM average annual premium*
9%
Avg. annual premium* in NM
$2,225
Percentage change from NM average annual premium*
0%
Excellent
Avg. annual premium* in NM
$1,873
Percentage change from NM average annual premium*
-16%
*Rates reflect full coverage policies.

New Mexico car insurance rates by vehicle type

Another factor New Mexico car insurance companies use to determine rates is your vehicle's make and model. If you're looking to save on your premium, considering the vehicle you drive may help. As demonstrated below, luxury vehicles and those with high repair costs or low safety ratings tend to cost more to insure.

See how vehicle type can impact your car insurance rate below:

Avg. annual premium* in NM
$2,225
Avg. annual premium* in NM
$2,191
Avg. annual premium* in NM
$1,991
BMW 330i
Avg. annual premium* in NM
$2,665
Toyota Prius
Avg. annual premium* in NM
$2,288
*Rates reflect full coverage policies.

Estimate your car insurance cost in New Mexico

Having a good idea of what a realistic price for car insurance is can help you when creating an insurance budget. At Bankrate, we want to alleviate some of the stress you may feel from these financial decisions, so we made the handy tool below. Once you enter some basic information, you’ll receive a rough insurance premium estimate. While this isn't an exact quote, it can help you get a general feel of what you might pay for budgeting purposes.

Calculate your monthly car insurance payment

Get a quick estimate to make sure you're not overpaying.

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How to save on car insurance in New Mexico

Although average New Mexico car insurance premiums are below the national average, many drivers still want to get the lowest rate possible. If your average premium is out of reach, look for ways to cut costs instead of driving without insurance. With a bit of effort, there are several things you can do to potentially lower your premiums:

  • Shop around: Companies weigh rating factors differently when calculating insurance rates. Comparing insurance rates from a handful of carriers may help you narrow down the company that could offer you the lowest rate for your circumstances.
  • Raise your deductible: A deductible is the amount you will pay out of pocket for comprehensive or collision claims. Raising one or both deductibles may save you money on your premium, but note that insurance professionals recommend keeping your deductibles low enough that you could comfortably pay them out of pocket in the event of a claim.
  • Look for discounts: Almost all carriers offer discounts. Some of the most common include safe driver, bundling and good student discounts. Reviewing potential discounts with an agent may help ensure you're taking advantage of all the savings opportunities you're eligible for.
  • Take a defensive driving course: If you take a defensive driving course, not only do you learn valuable driving skills that could make you a better driver, but you might earn an additional discount. Many carriers give you a break on your premiums if you take one, as long as it is an approved course.

Frequently asked questions

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Methodology 

Bankrate utilizes Quadrant Information Services to analyze the latest rates in June 2024 for ZIP codes and carriers in all 50 states and Washington, D.C. Rates include the most recent approved rate changes filed by insurance companies that affect our profile. These revised rates are then weighted based on the population density in each geographic region so that policyholders can see the impact rates have in their areas. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

  • $100,000 bodily injury liability per person
  • $300,000 bodily injury liability per accident
  • $50,000 property damage liability per accident
  • $100,000 uninsured motorist bodily injury per person
  • $300,000 uninsured motorist bodily injury per accident
  • $500 collision deductible
  • $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2022 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Credit-based insurance scores: Rates were calculated based on the following insurance credit tiers assigned to our drivers: “poor, average, good (base) and excellent.” Insurance credit tiers factor in your official credit scores but are not dependent on that variable alone. Four states prohibit or limit the use of credit as a rating factor in determining auto insurance rates: California, Hawaii, Massachusetts and Michigan.

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket and single DUI conviction.

Model: To determine cost by vehicle type, we evaluated our base profile with the following vehicles applied: BMW 330i, Ford F-150, Honda Odyssey, Toyota Prius and Toyota Camry (base).

Age: Rates were calculated by evaluating our base profile with the ages 16-70 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.

Gender: The following states do not use gender as a determining factor in calculating premiums: California, Hawaii, Massachusetts, Michigan, North Carolina, Pennsylvania.

Teens: Rates were determined by adding a 16- or 17-year-old teen to their 40-year-old married parents' policy. The rates displayed reflect the total cost of a driver this age added to their parents’ policy unless otherwise noted.

Written by
Shannon Martin
Writer, Insurance
Shannon Martin is a licensed insurance agent and Bankrate analyst with over 15 years of experience in the industry. She enjoys helping others navigate the insurance world by cutting through complex jargon and empowering readers to make strong financial decisions independently.
Edited by Editor, Insurance