Best car insurance in New Mexico for 2025

To drive legally on public roads, you must carry a certain amount of liability insurance to meet New Mexico state law. While it’s impossible to purchase a New Mexico car insurance policy with limits less than the state minimum requirements, knowing these requirements can help provide a baseline when tailoring your coverage package. Additionally, insurance professionals recommend that drivers consider choosing the highest liability coverage they can afford. Higher liability limits and additional coverage types may help reduce your out-of-pocket costs in the event of an at-fault accident or other incident.

If you’re financing or leasing your vehicle, you will likely have other insurance requirements you must meet to satisfy the terms of your loan or lease agreement. Whether you are financing or leasing, you’ll almost certainly need to carry comprehensive and collision, and you may have a maximum deductible restriction (usually $500 or $1,000). For those leasing, you will probably have liability limit requirements to meet, too. Your lender wants to be sure that its property will be repaired in the event of a covered claim, which is why it requires extra coverage. Failure to meet your lender or leasing company’s insurance requirements could lead to expensive force-placed insurance.

An important part of finding the best car insurance for you is tailoring your policy to meet your needs. For instance, it could be dangerous to experience a vehicle breakdown while driving through the New Mexican desert. You might want to add emergency roadside assistance to your coverage package to prepare for this possibility. Perhaps you have a less-than-stellar driving record. If so, you might want to seek out companies known to offer high-risk car insurance. Maybe you prefer the personal touch that an in-person agency experience can provide. If that’s the case, you probably won’t want to shop with companies that only do business over the phone and online.

Before shopping, you might want to make a list of what you’re looking for in your insurance company, as this might narrow down the carriers you're considering.

No single company is always the cheapest option for every driver, all the time. Car insurance premiums are highly personalized and based on a range of factors, including your age, location and driving history, as well as your car's age, make and model. Finding the cheapest company in NM for your needs is a matter of considering your priorities. For example, if you have prior infractions on your license, you may want to consider a company known for offering cheap rates to high-risk drivers. Or perhaps you have a teen driver in your family, in which case you'd probably want to look at companies offering good discounts for young drivers. If you are retired or work from home and don't drive much, a company with a robust telematics program may provide you with the best rate. Thinking about your priorities can help you find the company that will offer the best coverage for your unique needs at an affordable price.

Unless you pay a surety bond or cash deposit of $60,000 to the New Mexico State Treasurer, car insurance is legally required in New Mexico. If you fail to maintain the mandated minimum amount of liability coverage required in New Mexico, the state could suspend your vehicle registration and you will be required to return your license plate to the Motor Vehicle Department (MVD). The minimum liability insurance requirements in New Mexico are:

• $25,000 bodily injury liability per person
• $50,000 bodily injury liability per accident
• $10,000 property damage liability per accident

Additionally, uninsured and underinsured coverages must be offered but can be rejected in writing.

Yes, insurance is required to register your car in New Mexico. When registering your vehicle, you will need to prove to the Department of Motor Vehicles that you have at least the minimum liability coverage on your vehicle. There are several acceptable documents you can bring to the DMV to prove your insurance, including your current insurance card, a copy of your current auto insurance policy or a letter from your auto insurance company (on company letterhead) that verifies your auto insurance coverage. You will also need to provide the vehicle's VIN, title, proof of your identity, proof of residency and a completed application.

When requesting car insurance quotes, you’ll need to provide some basic information, including the names and birthdays of the drivers you’d like listed. You will also need to give the insurance company your address, a basic rundown of your claims and insurance history, as well as the types of coverage options you would like to include. Finally, you’ll need to provide the information for all of the vehicles you’d like covered. While you should be able to get a quote by only providing your car's year, make and model, your quote will likely be more accurate if you provide the vehicle identification number (VIN). Although some companies may offer anonymous quotes that don’t require as much information, these tend to be less accurate.