The Cheapest Car Insurance in New Mexico for 2022

To guide you as you look for car insurance, MoneyGeek researched the cheapest car insurance companies in New Mexico by city. If you want a policy that’s both reasonably priced and has outstanding quality, we found the best car insurance companies in New Mexico.

In New Mexico, minimum liability coverage is the cheapest kind of car insurance policy, but it only meets the state’s requirements. This insurance covers the costs of property damage and medical treatment incurred by others in an at-fault accident, but not your own vehicle or medical expenses.

On average, the least expensive car insurance companies in New Mexico for minimum coverage are:

• State Farm: $507 per year
• Progressive: $579 per year

The costliest car insurance company in New Mexico for minimum coverage is Allied, with an average annual premium of $745.

These prices are only estimates based on rates for an average New Mexico driver and should not be used to compare insurance prices.

It’s wise to compare car insurance quotes from several providers so you can find the most affordable prices. A full coverage policy with comprehensive and collision insurance and higher liability limits can protect against most road accidents and off-road incidents in New Mexico. This will cost more than minimum coverage, but it safeguards against the cost of damages to your car, not just others.

On average, the most affordable car insurance providers of full coverage in New Mexico are:

• State Farm: $1,044 per year
• Allstate: $1,070 per year

Meanwhile, Allied offers the most expensive full coverage package in this state, with average costs of $1,442 per year.

Please remember that your individual premiums will be different than these examples. Prices are for a policy with comprehensive and collision insurance, along with $100,000 in bodily injury liability coverage per person, $300,000 in bodily injury liability coverage per accident and $100,000 in property damage coverage per accident.

Most car insurance providers offer a convenient and reasonably accurate online quote tool. You should ideally use the same consistent coverage amounts when comparing quotes. For example, if you get a quote with one carrier for comprehensive and collision insurance with a $500 deductible, you should make sure to use the same deductible when comparing quotes with another insurer.

You can use MoneyGeek’s car insurance calculator to get a quote estimate. If you want a personalized quote, you will need to provide more details or use MoneyGeek’s pricing information as a guide to select insurance company websites to shop on. MetLife, State Farm and Progressive are the three cheapest car insurance providers in New Mexico, and you can start by getting premiums from these firms.

Age is a large factor in the cost of car insurance in New Mexico. Young drivers typically pay more for car insurance since they are a higher-risk category due to inexperience. On average, a 16-year-old in New Mexico will pay $3,337 yearly for car insurance, while a 25-year-old will pay $1,129 per year.

MoneyGeek found that the cheapest auto insurance policy provider for most teen drivers between the ages of 16 to 25 is State Farm. However, Progressive, Allstate and GEICO offer the most affordable rates for young people depending on their specific age.

Car insurance rates for young drivers are typically higher due to a lack of driving experience. To save money, it’s important to ask about discounts for young drivers.

It’s also important to review potential rates with multiple insurers in New Mexico since rates can vary depending on the company. The cheapest insurer for a 16-year-old driver in New Mexico is Progressive, with a premium that costs $2,079 per year. A 25-year-old driver in New Mexico, on the other hand, only needs to pay $1,107 per year if they choose GEICO.

Senior drivers in New Mexico typically pay slightly more than young adults and middle-aged drivers. In this state, a senior driver needs to pay an average of $1,211 per year for their car insurance, compared to $1,132 for the average 40-year-old driver.

The cheapest average auto insurance companies in New Mexico for senior drivers with full coverage are:

• State Farm: $1,015 per year
• Allstate: $1,156 per year

These two providers also offer the cheapest full coverage options for the average non-senior driver. At approximately $1,508 annually, Allied is the priciest option for seniors in New Mexico.

Car insurance rates tend to be higher for seniors because their vision and reaction time can be compromised due to age. Because of these factors, they are more likely to be involved in fatal traffic accidents.

Seniors can save money on their car insurance rates by shopping around. In fact, this could save them up to $493 per year on their car insurance premiums. Seniors can also take advantage of discounts from their insurers.

Drivers with even a minor driving violation in New Mexico, such as a ticket, could pay higher rates for insurance. In this state, a driver with a speeding ticket on their record might pay $1,351 per year on average for auto insurance coverage, compared to $1,132 for the average driver.

The least expensive insurers in New Mexico for a driver with a speeding ticket and full coverage are, on average:

• State Farm: $1,120 per year
• Allstate: $1,187 per year

These two companies also offer the cheapest full coverage packages for drivers with clean records. The most expensive option for drivers with tickets in New Mexico is Allied, at approximately $1,693 annually.

Some insurance companies will allow you to avoid a rate increase by taking a safe driving course, but this isn’t universal, so check with your insurance company if you receive a ticket while driving. If you aren’t able to remove the ticket from your record, the points will stay on your record for at least a year, possibly more. Earning 12 points in a year can get your license suspended for up to 12 months.

The average cost of car insurance in New Mexico for drivers with a DUI is $2,124 per year, compared to $1,132 for the average driver with a clean record.

The cheapest average car insurance firms for a driver with a DUI and full coverage in New Mexico are:

• State Farm: $1,120 per year
• Progressive: $1,328 per year

At roughly $4,032 annually, GEICO is the most expensive option for DUI drivers in New Mexico.

Purchasing car insurance with a DUI on your record is significantly more expensive. Plus, a DUI in New Mexico can earn you up to 90 days in jail, along with a $500 fine and a suspended license for up to one year.

If you need car insurance after getting a DUI, comparison shopping can help you get the best rates. You could save up to $2,912 annually by shopping around for rates.

In New Mexico, your driving history significantly impacts car insurance costs. Drivers who have an at-fault accident on their record pay significantly higher rates at an average of $1,712 per year vs. approximately $1,132 annually for drivers with a clean record.

For drivers with an at-fault accident, the cheapest average car insurance companies in New Mexico are:

• State Farm: $1,120 per year
• Allstate: $1,384 per year

Meanwhile, the most expensive insurer for a New Mexico driver with at-fault accidents is Allied, averaging $2,438 per year.

New Mexico drivers with poor credit scores pay higher rates than those with good credit scores. The average cost of auto insurance for drivers with poor credit in New Mexico is $2,114 per year, which is roughly $992 more than the typical driver pays.

On average, the most affordable car insurance carriers for a driver with poor credit and full coverage in New Mexico are:

• Allstate: $1,357 per year
• Progressive: $1,549 per year

The most expensive insurer for drivers with bad credit in New Mexico is Allied at $2,135 per year on average.

Credit scores influence the cost of your car insurance. To insurers, a higher credit score means more responsibility in terms of your finances. They also perceive drivers with a high credit score as someone who is less likely to file a claim.

Ultimately, rates are different with every company. By taking the time to compare prices, you could save up to $778 per year. In addition, taking steps to improve your credit score can help you save money.

Car insurance in New Mexico can vary depending on where you live in the state. This is because factors like traffic density, incidences of car theft and other risk factors can vary from city to city. In Albuquerque, drivers will pay an average of $1,133 yearly or about $94 per month for full coverage car insurance.

You can check the average costs of car insurance in your city by clicking on your city.

All drivers in New Mexico either need to be covered by a car insurance policy or have an alternative way to insure themselves and their vehicles.

In New Mexico, you need to carry a hard copy of your policy or your insurance card when you’re driving. It is the only state that does not allow electronic proof for your car insurance. During vehicle registration at the MVD, you will need your current auto insurance card, a copy of your current policy and a verification letter from your insurer.

Drivers in New Mexico are required to have the minimum coverage requirements for car insurance:

• $25,000 for bodily injury to one person
• $50,000 for bodily injury per accident
• $10,000 for property damage

Only meeting the minimum requirements can give you a cheaper rate, but it might not provide enough coverage. Experts recommend having minimum bodily liability insurance of at least $100,000 per person and $300,000 per accident.

Drivers are required to inform the MVD if they cancel or fail to renew their policy. An alternative to car insurance could be a surety bond or a cash deposit of $60,000 with the state treasurer.

High-risk drivers may find it difficult to find an insurer. The New Mexico Motor Vehicle Insurance Plan helps high-risk drivers get coverage from insurers. The Western Association of Automobile Insurance Plans (WAAIP) can also connect these drivers with insurance companies as New Mexico is its member.

Here are replies to some frequently asked queries about auto insurance coverage and prices in New Mexico to help you make an educated choice.