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With so many companies claiming to have the cheapest auto insurance rates in New Mexico, it’s tough to separate the wheat from the chaff and find the best policy for your needs. Our team has done the legwork for you and compared quotes from some of the leading insurance carriers in the state.
Cheapest Car Insurance Companies in New Mexico
Minimum Car Insurance Requirements
Penalties for Driving Without Auto Insurance
Cheapest Car Insurance Companies in New Mexico
To find the most affordable rates in New Mexico, you’ll have to compare quotes from different providers. To save you time, we’ve outlined the results of our comparison study in the table below:
| Cheapest Insurer | Driver Category |
|---|---|
| Liberty Mutual | Safe Drivers |
| USAA | Drivers in the Military |
| Esurance | Drivers Who Pay Their Premiums Upfront |
Allstate | High-Risk Drivers |
| State Farm | Drivers with a DUI |
Best Car Insurance Companies in New Mexico
We took into account consumer feedback such as reviews and complaint data to formulate a list of New Mexico’s best auto insurance providers. Take a look at our findings below:
| Rank | Company | Our Rating |
|---|---|---|
| 1 | Allstate | A |
| 2 | Liberty Mutual | A- |
| 3 | USAA | B+ |
| 4 | State Farm | B |
| 5 | Esurance | B- |
Minimum Car Insurance Requirements in New Mexico
Drivers in the state of New Mexico must carry car insurance that meets these minimum liability limits:
- For Bodily Injury To One Person: $25,000
- For Bodily Injury Per Collision: $50,000
- For Property Damage: $10,000
Penalties for Driving Without Auto Insurance in New Mexico
The penalties for driving without car insurance in New Mexico include a fine of up to $300, up to 90 days in jail, and license plate confiscation or registration suspension. The fine increases to $1,000 if you do not immediately return your vehicle registration and license plates after the suspension.
New Mexico Car Insurance FAQs
How Can I Save Money on Car Insurance in New Mexico?
You might be surprised to learn just how easy it is to get your premiums reduced when you know the factors that go into your monthly car insurance rates. In particular, the following have a significant impact on your premiums:
- Whether you have been involved in a recent collision;
- Your history of traffic citations or lack thereof;
- Any DUI or DWI convictions;
- The number of years you’ve been a licensed driver;
- Your zip code;
- The year, make, and model of your vehicle;
- The mileage you put on your vehicle each year; and
- Whether you will use your car business, pleasure, or to commute.
Now it’s time to identify strategies to convince your insurance carrier that you deserve lower premiums. You may be able to do this if you:
- Avoid collisions for multiple consecutive years;
- Make a concerted effort to abide by all traffic laws;
- Never drive after consuming alcohol;
- Find out which cars are cheapest to insure and consider purchasing one; and
- Try to spend less time on the road to reduce your yearly mileage.
You may also want to get quotes from other insurance carriers to find out if you could reduce your premiums by switching. This is especially important if you were recently involved in a collision or convicted of DUI.
What Types of Car Insurance Are Available in New Mexico?
Bodily injury liability coverage is a type of insurance that covers expenses associated with injuries other drivers involved in accident you caused. These expenses can include treatment costs, legal fees, lost wages, funeral costs, and pain and suffering.
Property damage liability insurance covers the replacement or repair expenses of damage to another party’s property in a crash you caused. In most cases, this will cover damage to the other driver’s vehicle, but it may also kick in if you collided with someone’s personal property, such as their home’s walls.
What Terms Should I Know Before Buying Car Insurance in New Mexico?
Don’t make the mistake of purchasing a new policy without first understanding what you’re buying into. Below, you’ll find a glossary of common insurance terms to help you find the cheapest auto insurance rates in New Mexico:
Deductible: Essentially, a deductible represents how much you will have to pay to cover the costs of damages in an accident before these policy feature – such as Comprehensive Coverage or Collision Coverage – kick in to reimburse you for the remaining amount. For example, if the cost of repairs is $4,000 and the deductible on your Collision Coverage is $500, your insurer will pay out a total of $3,500.
Premium: An insurance policy is a form contract between you and your insurer wherein your provider agrees to cover specific types of loss stemming from a car accident. However, this contract hinges on your ability to pay your premiums on time. Your premiums (or rates) are calculated based on a variety of factors such as your deductible, accident history, driving record, marital status and more. If you fail to make payments or time, your policy will be deactivated or cancelled.
Accident Forgiveness: Typically, if you’re involved in an accident and make a claim, your rates will increase. Statistics have shown that motorists who have been involved in a collision are more likely to crash again. As a result, your insurer will adjust your rates to reflect this added risk. Accident forgiveness is a feature baked into many policies that will protect you against a rates hike after your first accident. However, only safe drivers tend to qualify for this bonus addon.
How Can I Get My Driving Privileges Reinstated?
If your license is suspended due to a Driving Without Insurance offense, you will have to reapply to have your driving privileges reinstated. This process might require you to:
- Pay reinstatement fees;
- Apply for a new license and complete the relevant driving tests; and
- Enroll in an approved driver improvement course.
Fortunately, unlike many other states, you won’t have to fulfil expensive SR-22 filing requirements to restore your vehicle registration and driver’s license in New Mexico.
What Are Some Important New Mexico Traffic Laws?
New Mexico Child Safety Seat Laws
As a mother or father, your kid’s safety is your number one priority. And you’ll find no place more dangerous for your kid than on the road. Every year, accidents claim the lives of hundreds of children in the U.S.
Safety seats are designed to absorb impact forces in a crash, keeping your kid cradled in a safe position no matter how severe the accident. In New Mexico, children younger than 6 years old and weighing less than 60 pounds, must travel restrained in a child safety seat. If your child is between the ages of 6 and 12, but is too small to use your car’s seatbelts, he or she must be restrained in an appropriate booster seat.
New Mexico Drunk Driving Laws
New Mexico law enforcement officers are working around the clock to rid state roads of drunk drivers. If you’re stopped by authorities, you may be tested for drugs and/or alcohol. It’s illegal for adults older than 21 to drive with a blood alcohol concentration (BAC) of 0.08% or higher (the equivalent of drinking a 12-ounce can of beer). Drivers under the age of 21 will be penalized for testing at 0.02% BAC or higher. And drivers operating a commercial vehicle must adhere to a 0.04% BAC limit.
When you drive in New Mexico (or any other part of the U.S.) you enter into an unspoken agreement to be tested at any time while on the road. As a result, motorists who refuse testing receive an automatic 365-day license suspension for violating “implied consent” laws.
If you take a chemical test and test over the limit or test positive for a traceable amount of any banned substance, you could face the following penalties:
First Offense
- 6-month license suspension;
- Fines up to $500;
- Community service sentence;
- BAC testing fees of $65; and
- Cover the costs of additional court-ordered screening and treatment.
Second and Third Offense
- 2-year license suspension (3-year suspension for your 3rd offense);
- Fines up to $1,00;
- Up to a year behind bars;
- Community service sentence;
- BAC testing fees of $65; and
- Cover the additional costs of court-ordered screening and treatment.
Fourth or Subsequent Offense
- Permanent driving ban;
- Fines up to $5,000;
- Minimum 6-month prison sentence;
- BAC testing fees of $65; and
- Cover the additional costs of court-ordered screening and treatment.
If you cause an accident while under the influence of alcohol or drugs, you could be subjected to longer prison sentences and increased fines.
If you are eligible for a restricted license, you will have to install an ignition interlock device in your vehicle before you can drive again. This device immobilizes your vehicle until you’ve taken and completed a breathalyzer test to show that you are below the blood alcohol limit for the state. If you fail the test, your vehicle will be disabled and you will have to wait until the system resets before trying again.
New Mexico Texting and Driving Laws
A recent statewide ban on texting and driving is a new effort by lawmakers to curb the number of distracted driving-related deaths in New Mexico. According to the new laws, drivers are prohibited from texting, reading, or viewing messages on their phones while driving or stopped at traffic lights.
If you’re caught violating these laws, you could be fined $25 for your first offense. Serial offenders could be fined as much as $100 for this traffic violation.
How Does New Mexico’s License Points System Work?
Whenever you are ticketed for a traffic offense, you could receive points on your license. The number of points can vary based on the severity of your offense. For example, if you failed to use a turn signal before making a turn, you would receive only 2 points on your permanent driving record. However, if you are ticketed for street racing, you could receive a total of 6 points.
If you collect 7 to 10 points in a single year, there is no special prize, instead you could lose your license for up to three months. Accumulate 12 points or more in that same period of time and you’ll be barred from driving for a full calendar year.
Points are removed after a certain period of time has passed after the offense was first committed. Unlike many other states, such as New York, you won’t be able to take a driving safety course to reduce your points total.
Is Comprehensive Coverage Necessary in Mexico?
With a name like this, you’d think this insurance would have you covered no matter what. While, technically, this is almost true, comprehensive coverage is a feature that’s only worth your money if you live in high-crime areas or parts of the U.S. prone to fires, tornados, and other natural disasters. This optional addon will kick in to reimburse you for any damage to your vehicle caused by anything that isn’t a collision with another vehicle, object, or pothole. This can include property damage caused by:
- Fires
- Protests
- Theft
- Hailstorms
- Tornados
In many cases, this feature can double your premiums. Unlike motorists who are leasing or financing their vehicles who have an obligation to purchase this addition to their basic policy, most of us can weigh the pros and cons before pulling the trigger.
If you live in the eastern parts of New Mexico, where tornados are prevalent, you should consider purchasing comprehensive coverage. For everyone else, our advice is simple: If you have the financial means to do so, and have an expensive car that is worth insuring against any eventuality, it’s worth forking out extra funds to include comprehensive coverage as part of your insurance.
New Mexico Car Accident Statistics
In 2017, 379 people were involved in fatal road accidents in New Mexico. This marked a significant decrease from the previous year which saw 405 road users lose their lives in collisions in the state, according to a report released by the National Highway Traffic Safety Administration.
Meanwhile, law enforcement officers reported a decrease in observed seatbelt use, which dropped from 92.3% in 2016 to 91.5% in 2017.
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