Average Costs and Cheapest Homeowners Insurance Companies in New Mexico

Home insurance costs vary depending on your personal needs. If you have a new home or a pool on your property, the cheapest insurer in the state is Travelers. Customers with expensive homes and individuals with bad credit can find the cheapest coverage, on average, from Allstate. MoneyGeek sourced quotes from different providers to provide you with low-cost homeowners insurance in New Mexico.

If you’re looking to balance affordability with a strong service experience, MoneyGeek also scored the best home insurance companies in New Mexico.

MoneyGeek researched thousands of quotes from various insurers in New Mexico to establish the cost of homeowners insurance across different levels of coverage. Based on our findings, the cheapest provider for a baseline coverage of $250,000 is Travelers, with an average annual cost of $1,130.

The cheapest insurer depends on the dwelling coverage and include:

• Cheapest for $100,000: Travelers
• Cheapest for $250,000: Travelers
• Cheapest for $500,000: Travelers

New Mexico residents can use home replacement costs to determine the right dwelling coverage for their needs. The table below allows you to compare rates in the state across various dwelling coverage levels.

The average cost of homeowners insurance in New Mexico can vary significantly among coverage levels. The higher the cost to replace your home, the more coverage you need — increasing the cost of insurance.

For the baseline dwelling coverage amount of $250,000, residents pay an average annual cost of $1,408 in the state. If you need a policy with a dwelling coverage of $100,000, you will pay an average of $716 per year, which is $692 lower.

Factors like your property’s dwelling value, age, roof quality, presence of a pool and personal belongings can impact homeowners insurance costs in New Mexico. Your residence’s location is also vital because areas with higher exposure to elements like natural disasters may increase your home insurance premiums.

You can change your dwelling coverage limits and deductible to see how the costs will change in the state across different factors.

MoneyGeek obtained thousands of quotes from insurers in New Mexico to help you secure the cheapest policy for an expensive home. The sample policy had a dwelling coverage of $2 million.

From the findings, the cheapest home insurance companies in New Mexico for expensive homes, on average, are:

• Allstate: $5,010 per year
• Travelers: $7,901 per year

For a sample homeowners insurance policy with a $250,000 in dwelling coverage and a home built in 2015, MoneyGeek discovered that the cheapest insurers in New Mexico, on average, are:

• Travelers: $760 per year
• Allstate: $893 per year

The age of your home determines the amount you'll pay for homeowners insurance. A home that was built in 2015 will be cheaper than one that was built in 2000 by about $266 per year.

The rates for homes built in 2000 vary from the first section due to differences in the ZIP code collection process.

Older homes are more expensive to insure due to increased difficulty related to replacing older materials. On average, newer homes cost $1,170 to insure, while those built in 2000 cost $1,436 per year, for an annual difference of $266.

Having a pool on your property causes the value of your home to increase, resulting in higher insurance costs.

On average, the most affordable homeowners insurance companies in New Mexico for homes with pools are:

• Travelers: $1,078 per year
• Allstate: $1,143 per year

Pools are considered a liability in your home since they may cause accidents and injury.

Homeowners with a pool pay an average of $1,436 per year for a dwelling coverage of $250,000. New Mexico residents also pay the same amount without a pool. However, costs may vary depending on other factors, including your location and dwelling coverage limit.

MoneyGeek also evaluated thousands of quotes to determine the cheapest insurers in New Mexico for residents with poor credit.

Our analysis revealed that the top insurers with the most affordable homeowners insurance in New Mexico for those with a poor credit rating and $250,000 dwelling coverage, on average, are:

• Allstate: $1,964 per year
• Travelers: $2,167 per year

If you have a poor credit score, you are more likely to pay more for your home insurance. Insurers often use your credit score to determine your level of risk and how likely you are to file a claim.

While calculating home insurance rates, insurers consider various factors, including credit score. Generally, New Mexico residents with poor credit pay higher premiums for homeowners insurance than customers with good credit. If you have a solid credit score, you will pay an average of $1,436 per year for your homeowners insurance coverage in the state. With bad credit, you will pay $2,539 annually, which is $1,103 higher.

Aside from your dwelling coverage, your location in New Mexico can also influence your homeowners insurance rates. The average cost in Albuquerque is $1,408 per year, and the cheapest insurer in Travelers, at an average cost of $1,130 per year.

Click on your city to find more information about the average costs across different factors.

To obtain an accurate quote for home insurance in New Mexico, make sure to have all necessary information ready to present to your prospective insurer.

Required information includes your home’s age, current market value and condition, location, and proximity to a fire department. Talk with your insurer about the amount and scope of insurance protection you seek for your property.

You may also request for an anonymous home insurance estimate using MoneyGeek’s New Mexico home insurance calculator. Our rates are based on thousands of quotes from different companies in the state.

MoneyGeek analyzed homeowners insurance premiums from four of the top insurance companies in New Mexico that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across New Mexico. Quotes were gathered with an average home profile of 2,500 square feet, built in 2000, with an average dwelling coverage value of $250,000, liability coverage of $100,000 and personal property coverage of $100,000.