Cheapest Homeowners Insurance in New Mexico (2024 Rates)

In New Mexico, homeowners have access to a variety of affordable home insurance options. Foremost offers the most budget-friendly rates overall, even for new homes and varying deductibles. If you own a high-value home, State Farm provides the cheapest rates. State Farm is also the go-to option for bundled home and auto insurance packages. Explore your options for the best rates to find the ideal home insurance that fits your needs.

If you're in New Mexico, Foremost offers the cheapest average rate for $100K in dwelling coverage at $739 per year. Remember, home insurance rates greatly vary with your amount of dwelling coverage. Here's a quick look at the cheapest options in New Mexico:

• Cheapest for $100,000: Foremost at $739 per year
• Cheapest for $250,000: Foremost at $1,650 per year
• Cheapest for $500,000: State Farm at $3,128 per year

Learn more about cheap home insurance with MoneyGeek's table demonstrating how costs differ by dwelling coverage.

For affordable home insurance in New Mexico, comparing quotes from multiple insurance providers is best. MoneyGeek's home insurance calculator lets you receive New Mexico quotes quickly without needing to provide your personal details at the start.

For the most affordable home insurance for high-value homes in New Mexico, State Farm offers the lowest average rate for $750K in dwelling coverage at just $4,084 annually. Remember that dwelling coverage is a significant factor in home insurance costs, and higher-value homes can bear more substantial rates. Find your cost-effective options for high-value homes below:

• Cheapest for $750,000: State Farm at $4,084 per year
• Cheapest for $1,000,000: State Farm at $4,989 per year

We recommend homeowners opt for dwelling coverage that matches their home's rebuild cost, not property value. See how costs fluctuate with dwelling coverage using our table of cheap home insurance rates.

Foremost offers the cheapest home insurance in New Mexico for new homes, setting its annual premiums for $100K in dwelling coverage at just $516. Lower insurance costs for newer homes may appear counterintuitive, but it's primarily because modern construction has updated safety features and uses advanced materials, reducing risks for insurers.

To give you the best deal for your needs, here is a breakdown of the cheapest companies for other dwelling coverage values:

• Cheapest for $100,000: Foremost at $516 per year
• Cheapest for $250,000: State Farm at $929 per year
• Cheapest for $500,000: State Farm at $1,355 per year

For a detailed view of how costs vary with dwelling coverage for a newly constructed home, explore MoneyGeek's comprehensive table.

In New Mexico, Foremost provides the most affordable home insurance for homeowners with poor credit scores at most tiers of dwelling coverage. Credit score significantly affects home insurance rates as insurers use it to evaluate the likelihood of a policyholder defaulting on payments.

• Cheapest for $100,000: Foremost at $1,605 per year
• Cheapest for $250,000: Foremost at $3,582 per year
• Cheapest for $500,000: Foremost at $7,832 per year

The disparity due to credit score becomes apparent when looking at the average cost of home insurance for policyholders with poor credit ($2,297 per year) versus those with good credit ($937 per year) for $100K in dwelling coverage. Check MoneyGeek's table for how costs vary with differing credit ratings and dwelling coverage.

Foremost is the most affordable option in New Mexico for homeowners with one claim in the past five years, charging an average annual premium of $878 for $100K in dwelling coverage. Typically, homeowners with a claim history can expect to pay more for future coverage.

The lowest-priced options for similar claim and construction year conditions across three coverage levels are as follows:

• Cheapest for $100,000: Foremost at $878 per year
• Cheapest for $250,000: Foremost at $1,960 per year
• Cheapest for $500,000: State Farm at $3,774 per year

Considering a construction year of 2000 and $100K in dwelling coverage, the average cost difference across all companies between claim-free homeowners and those with two claims over the past five years is $272 annually. This highlights how beneficial maintaining a clean claim record can be, particularly in New Mexico, where conditions such as wildfires can lead to more frequent insurance claims.

The type of home construction and roofing materials can significantly influence the cost of your home insurance. If your home in New Mexico has frame construction with a shake-treated roof, the most cost-effective home insurance comes from Foremost, with an annual premium of $914. This cost is relatively high due to the increased risk associated with these materials, as they are more prone to fire and weather damage.

Regarding different coverage values, the cheapest available policies include the following:

• Cheapest for $100,000: Foremost at $914 per year
• Cheapest for $250,000: Foremost at $2,040 per year
• Cheapest for $500,000: State Farm at $3,128 per year

A deeper analysis reveals that superior construction with tile roofing can lower insurance premiums. Even though these materials are of higher quality, you can expect to pay, on average, $793, almost $231 less than you would pay for a frame and shake-treated roof house ($1,024). This variation is particularly relevant in New Mexico's dry climate, where better construction and roofing materials can fend off damages and, in turn, reduce insurance costs.

Switching your deductible may save hundreds yearly. For instance, the lowest annual premium for a $2,000 deductible in New Mexico is from Foremost at $598. Meanwhile, the most economical rate for a $500 deductible is also from Foremost, at $801.

Foremost offers the lowest rates for each coverage level:

• $2,000 deductible: Foremost at $598 per year
• $1,500 deductible: Foremost at $739 per year
• $1,000 deductible: Foremost at $739 per year
• $500 deductible: Foremost at $801 per year

A deductible is your cost before insurance covers the rest. Notice a $273 difference in average premiums between $500 and $2,000 deductibles in New Mexico.

State Farm, the cheapest company for a home and auto bundle policy in New Mexico, gives you an average annual premium of $2,610. You can benefit from significant discounts by bundling home and auto insurance.

• State Farm at $2,610 per year
• Farmers at $2,637 per year

Bundling policies not only offer savings but also adds the convenience of managing both policies under one insurer. This ensures an efficient policy management system and a single contact point. Discover more benefits of the best New Mexico insurance bundle and optimize your insurance buying experience.

Foremost is the most affordable home insurance provider in New Mexico, offering rates from $610 to $686 annually, depending on your location. Costs vary significantly between cities due to local building practices, crime rates and climate. For example:

• Las Cruces enjoys the lowest annual premium in the state from Foremost at $610.
• In contrast, the most affordable insurance in Albuquerque is $686 from the same provider.

It's advisable to shop around as insurance costs are highly dependent on local variables, potentially unlocking significant savings. Take a look at our table below to compare home insurance quotes between cities in New Mexico.