Cheapest Car Insurance in New Mexico

New Mexico's most affordable minimum coverage car insurance provider is Progressive, with an average cost of $30 monthly or $358 annually. This rate is $152 less than the state average, according to data from Quadrant Information Services as of December 2024. Read our research methodology to learn about how we found the cheapest New Mexico car insurance.

Progressive is the cheapest car insurance company for most drivers in New Mexico, with an average monthly rate of $51 for minimum and full coverage policies. This is $19 less than the state average of $70. Other affordable options include GEICO, State Farm, Farmers and Nationwide.

*We used combined minimum and full coverage rates for a 40-year-old driver with good credit and no driving violations to calculate these averages.

Progressive offers the cheapest minimum coverage in New Mexico, while GEICO is the most affordable for full coverage. However, the best rate for you depends on your details. Below are the most affordable car insurance rates for different driver profiles.

Progressive offers the cheapest minimum coverage in New Mexico. State Farm, Iowa Farm Bureau and GEICO also provide affordable options. Use the table below to compare these rates with the monthly state average.

GEICO is the cheapest full coverage auto insurance provider in New Mexico, with rates averaging $68 per month or $814 per year, $29 lower than the state average. Check the table below for other options.

In New Mexico, Progressive offers the best rates for young adult drivers. A minimum coverage policy averages $34 monthly for 25-year-olds.

*We used minimum coverage for a 25-year old driver with good credit and no driving violations to determine the cheapest provider.

Young drivers in New Mexico can find affordable minimum coverage with Progressive at $34 per month. GEICO offers the cheapest full coverage at $93 monthly. Rates may vary based on your driving record, but these companies are a great starting point for finding budget-friendly options.

In New Mexico, senior drivers can get affordable rates with Iowa Farm Bureau. The average policy costs $29 per month for 65-year-olds seeking minimum coverage.

*We used minimum coverage for a 65-year old driver with good credit and no driving violations to determine the cheapest provider.

Iowa Farm Bureau, GEICO, Progressive and State Farm offer affordable car insurance options for senior drivers. Rates start as low as $29 monthly for minimum coverage. Your quote may differ, but the rates in the table below can help guide your insurance search.

Drivers in New Mexico with a DUI, at-fault accident or speeding ticket are considered high-risk and pay higher premiums than those with a clean record. Rates vary by offense. Below are the best car insurance options for high-risk drivers.

Progressive provides the best rates for New Mexico drivers with DUIs, averaging $33 per month ($391 per year) for minimum coverage. Check the table below for more insurance providers and their average monthly premiums for drivers with DUIs in the state.

*We used a 40-year-old driver with good credit and a DUI on record to calculate these averages.

State Farm is the cheapest company for drivers after an at-fault accident, with rates averaging $41 per month ($492 per year). The table below shows other insurers offering affordable coverage for drivers with accidents on their records. Rates are for minimum coverage policies.

*We used a 40-year-old driver with good credit and an at-fault accident on record to calculate these averages.

Progressive has the cheapest insurance for New Mexico drivers with speeding tickets, averaging $35 monthly. The table below compares providers offering minimum coverage for drivers with speeding tickets.

We used a 40-year-old driver with good credit and a speeding ticket on record to calculate these averages.

Progressive is the cheapest car insurance provider for drivers with poor credit scores, offering rates at $39 monthly and $468 annually for minimum coverage. Review the table below for more options.

*These rates are based on a 40-year-old driver with bad credit and a clean driving record.

Location affects car insurance rates, with factors like population, flood risks and crime influencing costs. 

In New Mexico, Progressive offers a minimum coverage policy for $34 per month in Albuquerque, while the same policy costs just $28 in Las Cruces. Check the table below for your city's most affordable car insurance and its lowest average monthly premium.

*The lowest rate reference is for a minimum coverage policy for 40-year-olds with good credit and no driving violations.

For affordable bundle home and auto insurance in New Mexico, Allstate offers an average annual premium of $2,041. Check the table below for more cost-effective companies.

*Rates are for a 40-year-old driver with good credit and no driving violations.

In New Mexico, the average monthly cost of full coverage car insurance is $97, while state minimum coverage is $42. By understanding the average cost of car insurance in New Mexico, residents can gauge if their insurance offers a competitive rate.

In New Mexico, car insurance rates vary by city. See the table for average minimum and full coverage costs in your area.

Car insurance in New Mexico ranks as the 32nd most expensive, making it more affordable than in many other states. The lower cost can be attributed to factors like the state's lower population density, fewer weather-related disasters and a vehicle theft rate that's below the national average.

In New Mexico, drivers must have car insurance policies that meet the state's minimum coverage limits. This includes bodily injury liability of $25,000 per person and $50,000 per accident, along with $10,000 for property damage liability.

If you finance or lease a vehicle, you’ll likely need comprehensive and collision coverages in addition to the minimum requirements. While a minimum coverage auto insurance policy is the least costly upfront, it provides the lowest level of financial protection. For greater peace of mind, experts suggest opting for full coverage insurance with the highest deductible and liability limits that fit your budget.

A common alternative to car insurance in New Mexico is posting a surety bond. This bond guarantees payment for damages if you cause an accident, helping you meet the state's insurance requirements.

For business owners with fleets, self-insurance is a viable option. This involves proving financial stability to cover potential accident costs, offering a flexible way to meet coverage needs while managing multiple vehicles.

MoneyGeek recommends full coverage car insurance, which includes liability, collision and comprehensive coverage. We suggest the following liability limits:

• $100,000 in bodily injury liability per person
• $300,000 in bodily injury liability per accident
• $100,000 in property damage per accident

Comprehensive coverage is your financial safety net for off-road incidents, covering damage to your car from theft, vandalism or natural events like storms and fires. Collision coverage pays for damage to your car when it takes a hit on the road.

If you own a valuable car, it's wise to purchase both comprehensive and collision insurance, even though it’s not legally required. Tailor your deductible to what you can afford to pay out of pocket before your insurance covers the rest.

GEICO has the cheapest full coverage in New Mexico at $68 monthly, and Progressive is the most affordable for minimum coverage at $30. Cheap doesn't mean the best car insurance. Experts recommend buying the most coverage you can afford for the best financial protection.

We answer common questions about the cheapest car insurance in New Mexico to ensure you get the right minimum coverage for your needs.

MoneyGeek obtained New Mexico auto insurance rates from the New Mexico Department of Insurance and Quadrant Information Services. We examined 19,917 auto insurance quotes from nine providers across 29 ZIP codes to determine the most affordable car insurance companies in New Mexico.

New Mexico Driver Profile

We used a driver profile with the following background information to identify the cheapest auto insurance companies in New Mexico:

• 40-year-old male
• 2012 Toyota Camry LE
• Clean driving record
• 12,000 miles driven annually

To find the cheapest option for various driver backgrounds, we adjusted this sample profile by age, driving record, credit score, car make and model, and military service where specified.

Standard Coverage Levels in New Mexico

We compared New Mexico car insurance companies that offer minimum and full coverage policies. The minimum coverage liability limits in New Mexico are:

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

For full coverage policy rates, we used the following liability limits:

• $100,000 for bodily injury liability per person
• $300,000 for bodily injury liability per accident
• $100,000 for property damage liability
• Comprehensive and collision coverage with a $1,000 deductible

Home and Auto Coverage Levels in New Mexico

MoneyGeek analyzed the rates of insurance companies for a full coverage auto insurance policy that includes the following coverage and limits:

• $100,000 in property damage liability
• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• Comprehensive and collision coverage with a $1,000 deductible

We also analyzed rates for a homeowners insurance policy that includes the following limits and coverage:

• $250,000 dwelling coverage
• $25,000 other structures coverage
• $100,000 personal property coverage
• $25,000 loss of use coverage
• $100,000 personal liability coverage
• $1,000 medical payments coverage
• All-perils coverage with a $1,000 deductible