Cheap Auto Insurance in New Mexico for 2025 (Find Savings With These 10 Companies)
The top providers of cheap auto insurance in New Mexico are State Farm, Progressive, and Travelers. State Farm has the lowest car insurance rates, starting at $24 a month. The cheapest car insurance companies provide excellent rates, customer service, and tailored coverage options.
Free Auto Insurance Comparison
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
Dani Best
Licensed Insurance Producer
Dani Best has been a licensed insurance producer for nearly 10 years. Dani began her insurance career in a sales role with State Farm in 2014. During her time in sales, she graduated with her Bachelors in Psychology from Capella University and is currently earning her Masters in Marriage and Family Therapy. Since 2014, Dani has held and maintains licenses in Life, Disability, Property, and Casualt...
Licensed Insurance Producer
UPDATED: Jan 17, 2025
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We partner with top insurance providers. This doesn’t influence our content. Our opinions are our own.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
17,760 reviewsCompany Facts
Minimum Coverage in New Mexico
A.M. Best Rating
Complaint Level
17,760 reviews
13,128 reviewsCompany Facts
Minimum Coverage in New Mexico
A.M. Best Rating
Complaint Level
13,128 reviews
1,731 reviewsCompany Facts
Minimum Coverage in New Mexico
A.M. Best Rating
Complaint Level
1,731 reviewsThe best options for cheap auto insurance in New Mexico are State Farm, Progressive, and Travelers, with State Farm’s rates starting as low as $24 per month.
State Farm is the top pick overall for its affordable pricing and excellent bundling options. Progressive offers competitive pricing and helpful online tools, while Travelers best in comprehensive discounts and high financial stability.
Our Top 10 Company Picks: Cheap Auto Insurance in New Mexico
| Company | Rank | Monthly Rates | A.M. Best | Best For | Jump to Pros/Cons |
|---|---|---|---|---|---|
 | #1 | $24 | B | Bundling Options | State Farm |
 | #2 | $30 | A+ | Online Tools | Progressive |
 | #3 | $32 | A++ | Comprehensive Discount | Travelers |
 | #4 | $33 | A++ | Liability Coverage | Geico |
 | #5 | $36 | A | Multi-Policy Savings | American Family |
 | #6 | $40 | A | Customer Service | Safeco |
 | #7 | $46 | A | Bundling Policies | Farmers |
 | #8 | $56 | A | Multi-Policy Discounts | Liberty Mutual |
 | #9 | $57 | A+ | Accident Forgiveness | Allstate |
 | #10 | $76 | A+ | Claims Handling | Nationwide |
These providers offer coverage options that work well for various drivers, including high risk drivers, ensuring everyone can find a plan that meets their needs. Find the best auto insurance company near you by entering your ZIP code into our free quote tool.
- State Farm offers cheap auto insurance in New Mexico starting at $24/month
- Progressive and Travelers provide competitive rates with added discounts
- New Mexico drivers benefit from bundling options and financial stability
#1 – State Farm: Top Pick Overall
Pros
- Affordable Monthly Rates: State Farm provides auto insurance in New Mexico for as low as $24 a month, which makes it an excellent option for budget-conscious drivers.
- Strong Bundling Options: State Farm drivers in New Mexico can enjoy significant savings by bundling their auto and home insurance policies.
- Reliable Claims Handling: Albuquerque customers appreciate the quick and efficient process of State Farm claims.
Cons
- Limited Discounts for High-Risk Drivers: Our State Farm auto insurance review indicates that drivers with a poor driving history may find fewer discounts, limiting savings for high-risk individuals.
- A.M. Best Rating: State Farm’s B rating for financial stability falls behind its car insurance competitors in New Mexico.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
#2 – Progressive: Best for Online Tools and Discounts
Pros
- Comprehensive Online Tools: Our Progressive auto insurance review highlights how Albuquerque customers can easily manage their car insurance in New Mexico policies through an intuitive online platform.
- Snapshot Discount: Drivers in New Mexico can earn discounts by using Progressive’s Snapshot, which rewards safe driving habits.
- Competitive Pricing: Progressive offers affordable car insurance in New Mexico, with rates starting at $30 per month.
Cons
- Mixed Customer Service Reviews: Some Santa Fe drivers report inconsistent customer service experiences with Progressive.
- High Premiums for High-Risk Drivers: Albuquerque residents with past accidents may face higher-than-average premiums.
#3 – Travelers: Best for Comprehensive Discounts
Pros
- Exceptional Discounts: According to our Travelers auto insurance review, New Mexico drivers can save by bundling multiple insurance policies or maintaining a safe driving record.
- Excellent Financial Strength: Holding an A++ rating for financial strength, Travelers can be relied upon as a viable option for auto insurance in New Mexico.
- Comprehensive Coverage Options: Santa Fe drivers can use many alternative coverage options that suit their needs.
Cons
- Higher Initial Rates: At $32 per month for minimum coverage, Traveler’s insurance premiums are higher than State Farm’s, making it less ideal for those seeking cheap car insurance in New Mexico.
- Limited Mobile Features: Some Albuquerque customers have found the Travelers app lacking advanced features compared to competitors.
#4 – Geico: Best for Low Premiums and Liability Coverage
Pros
- Low Monthly Premiums: As highlighted in this Geico auto insurance review, drivers in New Mexico can access car insurance starting at just $33 per month, making it an affordable option for many drivers.
- Strong Liability Coverage: Geico offers strong liability protection, benefiting Albuquerque drivers with solid coverage under their New Mexico auto insurance policies.
- User-Friendly App: New Mexico drivers appreciate Geico’s app for easy policy management and claims submission.
Cons
- Fewer Local Agents: In Santa Fe, residents may find it challenging to access in-person assistance due to a shortage of local agents for their auto insurance in New Mexico.
- Limited Customization: Geico offers fewer personalized coverage options than other NM insurance providers.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
#5 – American Family: Best for Multi-Policy Savings
Pros
- Multi-Policy Discounts: According to our American Family auto insurance review, New Mexico drivers can enjoy substantial discounts by bundling home and auto insurance.
- Exceptional Customer Service: New Mexico customers receive personalized, attentive support.
- Financial Rating: With an A rating, American Family offers reliable auto insurance in New Mexico.
Cons
- Higher Premiums Without Bundling: Drivers who do not bundle their policies may face higher premiums, starting at $36, making it challenging to find the cheapest car insurance in New Mexico.
- Basic Mobile App: Compared with competitors such as Progressive and Geico, American Family’s app has few advanced features.
#6 – Safeco: Best for Customer Service
Pros
- Excellent Customer Service: Our Safeco auto insurance review reveals the company’s robust support for New Mexico drivers through their claims and policies.
- Homeowners Discounts: New Mexico motorists enjoy massive savings as they can have both home and car insurance policies together at Safeco.
- Competitive Add-On Options: Policyholders benefit from multiple add-ons, such as accident forgiveness, when they choose auto insurance coverage in New Mexico.
Cons
- Higher Minimum Rates: At $40 per month, Safeco’s rates are higher than those of Geico or State Farm, making it less ideal for those seeking cheap auto insurance in New Mexico.
- Limited Digital Functionality: New Mexico drivers find Safeco’s app lacks advanced features for policy management compared to other options.
#7 – Farmers: Best for Bundling Opportunities
Pros
- Bundling Discounts: Our Farmers auto insurance review highlights significant savings for New Mexico drivers who bundle auto and home insurance.
- Finance Strength: With an A rating, Farmers offers reliable auto insurance in New Mexico.
- Flexible Coverage Options: New Mexico car insurance rates vary, but Farmers offers several customizable plans for Albuquerque customers.
Cons
- Higher Premiums: At $46 per month, New Mexico auto insurance with Farmers is relatively more expensive than, say, Progressive, and this may worry some budget-sensitive drivers.
- Limited App Features: Some New Mexico drivers report that the Farmers’ app lacks advanced tools for policy management.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
#8 – Liberty Mutual: Best for Multi-Policy Discounts
Pros
- Discounts for Multiple Policies: Our Liberty Mutual auto insurance review shows that bundling policies helps New Mexico residents save on insurance premiums.
- Options for All-Inclusive Coverage: New Mexico drivers can benefit from roadside assistance and enhanced car replacement options with Liberty Mutual.
- Economic Stability: Liberty Mutual, rated A, offers reliable auto insurance in New Mexico.
Cons
- Higher Starting Rates: Liberty Mutual’s $56 monthly premium in Albuquerque may not be as competitive as other providers for cheap car insurance in NM.
- Complicated Discount Structure: New Mexico drivers may find it harder to qualify for Liberty Mutual’s discounts than competitors like Geico or State Farm.
#9 – Allstate: Best for Accident Forgiveness
Pros
- Accident Forgiveness: Allstate auto insurance in New Mexico offers accident forgiveness, which prevents rate hikes after your first at-fault accident.
- Highly Rated for Financial Stability: Allstate’s A+ rating ensures reliable coverage for New Mexico drivers.
- Customizable Coverage: In Santa Fe, Allstate allows you to tailor your policy to fit your needs. Look at our Allstate auto insurance review for more insights.
Cons
- Higher Premiums: At $57 per month, Allstate’s rates are higher than other options, making it less ideal for those seeking cheap car insurance in NM.
- Limited Local Availability: Albuquerque drivers may face difficulty accessing Allstate agents due to a smaller local presence.
#10 – Nationwide: Best for Claims Handling
Pros
- Efficient Claims Process: Our Nationwide auto insurance review shows that the company has an efficient claims process, making it the best choice for auto insurance in New Mexico.
- Strong Financial Stability: Nationwide’s A+ rating reflects its financial strength, ensuring dependable coverage.
- Discounts for Bundling Policies: Bundling your auto with home insurance at Nationwide will help you yield savings, making coverage even more affordable than the average cost of car insurance in New Mexico.
Cons
- Higher Monthly Premiums: At $76 per month, Nationwide’s rates are higher than the average cost of auto insurance in New Mexico.
- Fewer Customizable Coverage Options: Nationwide offers fewer add-on options than other New Mexico auto insurance providers.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
New Mexico Car Insurance Coverage and Rates
Auto insurance in New Mexico can be confusing, especially with varying coverage options and rates. New Mexico car insurance rates differ by provider and coverage level.
New Mexico Auto Insurance Monthly Rates by Provider & Coverage Level
| Insurance Company | Minimum Coverage | Full Coverage |
|---|---|---|
| $24 | $69 |
| $30 | $86 |
| $32 | $91 |
| $33 | $90 |
| $36 | $103 |
| $40 | $122 |
| $46 | $131 |
| $57 | $158 |
| $56 | $161 |
| $76 | $96 |
For instance, minimum coverage costs $24 with State Farm and $76 with Nationwide, while complete coverage ranges from $69 with State Farm to $161 with Liberty Mutual.
Compare the rates; knowing what you need and what impacts your rate when seeking New Mexico vehicle insurance will be helpful. Inquiring about car insurance discounts becomes easy once you know the average prices.
How to Find the Cheapest Insurance Rates in Your City
Finding affordable car insurance in New Mexico is simple, with discounts from providers like Allstate, Geico, and Progressive. Discounts such as good student discounts, multi-policy, and safe drivers can save up to 25%.
Auto Insurance Discounts From the Top Providers in New Mexico
| Insurance Company | Available Discounts |
|---|---|
| Bundling, Safe Driver, Good Student, Anti-Theft, Vehicle Safety, Pay-in-Full, Defensive Driving, Early Signing, New Car, Multi-Car |
| Bundling, Safe Driver, Good Student, Vehicle Safety, Anti-Theft, Homeowner, Defensive Driving, Multi-Car, Paperless, Loyalty |
| Bundling, Safe Driver, Claim-Free, Green Vehicle, Multi-Car, Defensive Driving, Good Student, Paperless, Homeowner |
| Bundling, Safe Driver, Military, Good Student, Defensive Driving, Anti-Theft, Vehicle Safety, Emergency Deployment, Multi-Car, Affinity Group |
| Bundling, Safe Driver, New Car, Good Student, Vehicle Safety, Anti-Theft, Multi-Car, Homeowner, Accident-Free, Pay-in-Full |
| Bundling, Safe Driver, Accident-Free, Good Student, Vehicle Safety, Anti-Theft, Multi-Car, Paperless, Defensive Driving, Pay-in-Full |
| Snapshot (Usage-Based), Bundling, Safe Driver, Paperless, Good Student, Homeowner, Multi-Car, Pay-in-Full, Defensive Driving, Vehicle Safety |
| RightTrack Discount, Accident-Free Discount, Bundling Discount, Teen Safe Driver Discount |
| Safe Driver, Bundling, Vehicle Safety, Accident-Free, Defensive Driving, Multi-Car, Passive Restraint, Drive Safe & Save, Student, Homeowner |
| Bundling, Safe Driver, Anti-Theft, Vehicle Safety, Good Student, Homeowner, Multi-Car, Defensive Driving, Pay-in-Full, Hybrid/Electric Car |
Geico even offers vehicle safety, multi-car, military, and emergency deployment savings, while Progressive’s Snapshot program rewards safe driving with personalized discounts.
To find the cheapest car insurance in Doña Ana County, NM, check the discounts listed in our comparison tables. Options like anti-theft, defensive driving, and good student programs help lower premiums.
New Mexico Report Card: Auto Insurance Discounts
| Discount Name | Grade | Savings | Participating Providers |
|---|---|---|---|
| Multi-Policy | A | 25% | State Farm, Geico, Progressive |
| Safe Driver | A- | 20% | Allstate, Nationwide, Farmers |
| Good Student | B+ | 15% | American Family, Travelers, Liberty Mutual |
| Anti-Theft Device | B | 10% | USAA, State Farm, Allstate |
| Defensive Driving Course | B- | 10% | Geico Nationwide, Progressive |
Bundling policies or maintaining a claim-free record can also reduce costs. Use these options to find the best rates for your needs.
Driving in New Mexico
Driving in New Mexico involves risks, with rear-end collisions making up 29% of claims at an average cost of $3,800. Single-vehicle accidents account for 24% and cost $4,700, while theft claims average $6,000.
Most Common Auto Insurance Claims in New Mexico
| Claim Type | Portion of Claims | Cost per Claim |
|---|---|---|
| Rear-End Collision | 29% | $3,800 |
| Single Vehicle Accident | 24% | $4,700 |
| Side-Impact Collision | 19% | $5,100 |
| Fender Bender | 15% | $2,500 |
| Theft Claim | 13% | $6,000 |
New Mexico auto insurance requirements mandate liability coverage, but additional options like comprehensive and collision insurance coverage are often necessary. Cities like Albuquerque report the most accidents, but risks exist statewide.
New Mexico Accidents & Claims per Year by City
| City | Accidents per Year | Claims per Year |
|---|---|---|
| Albuquerque | 12,500 | 11,800 |
| Las Cruces | 3,200 | 3,000 |
| Rio Rancho | 2,800 | 2,600 |
| Roswell | 1,900 | 1,700 |
| Santa Fe | 2,500 | 2,300 |
You can make better policy decisions by considering local accident trends and the state’s coverage laws. Knowing how much car insurance in New Mexico is can help you determine the coverage you need and ensure you’re prepared for unexpected events.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
Minimum Insurance Coverage Law in New Mexico
Driving without auto insurance or proof of financial responsibility is illegal in New Mexico. Drivers must have a minimum of $25,000 in bodily injury liability per person, $50,000 per accident, and $10,000 in property damage liability per accident. This coverage helps pay for medical expenses and property damage if you’re at fault in an accident.
State minimums, however, may not provide enough security. If the damages surpass the coverage limits, you could be held personally liable and possibly lose your possessions. This type of coverage increases your liability limits and covers benefits, such as PIP and MedPay, that help to pay medical bills and lost income.
New Mexico drivers should exceed minimum auto insurance requirements by increasing liability limits and adding coverage like PIP and MedPay for better protection against serious accidents.
Daniel Walker Licensed Insurance Agent
While minimum coverage meets legal requirements, higher limits offer better financial protection and peace of mind in the event of a serious accident.
Premiums as a Percentage of Income
Factors like weather, traffic, and uninsured drivers influence car insurance in New Mexico. The state faces moderate weather risks, including hail and storms, contributing to claims and earning B.
New Mexico Report Card: Auto Insurance Premiums
| Category | Grade | Explanation |
|---|---|---|
| Weather - Related Risk | B | Moderate weather-related risks, with occasional hail and storms affecting claims. |
| Average Claim Size | B- | Average claim costs are slightly higher due to regional labor and material costs. |
| Traffic Density | C+ | Lower traffic density compared to urban states, reducing accident frequency. |
| Vehicle Theft Rate | C | Elevated vehicle theft rates in urban areas like Albuquerque increase insurance costs. |
| Uninsured Drivers Rate | C- | High rate of uninsured drivers (20.8%) contributes to increased premiums. |
Claim sizes are higher due to regional labor and material costs, resulting in a B- rating. Low traffic density reduces accidents, but high vehicle theft rates and a significant uninsured driver rate (20.8%) increase premiums.
New Mexicans spent 2.76% of their income on full coverage auto insurance in 2014 for those seeking cheap insurance in NM. In comparison, Arizona’s rate was 2.8%, and Texas had a lower rate of 2.59%.
| Particulars | 2012 | 2013 | 2014 |
|---|---|---|---|
| Income | $32,526 | $31,573 | $33,358 |
| Full Coverage Average Premiums | $866 | $889 | $920 |
| Percentage of Income | 2.66% | 2.82% | 2.76% |
Between the years of 2012 and 2014, premiums went from $866 to $920. Residents are forced to look elsewhere for more reasonable prices.
How to Choose the Best Car Insurance Companies in New Mexico
The cost of car insurance in New Mexico can be considered when understanding common claims and accident statistics. The rear-end collision comprises 29% of claims, costing an average of $3,800.
- Understand Common Claims and Accident Statistics: Rear-end collisions make up 29% of claims ($3,800), followed by single-vehicle accidents at 24% ($4,700), side-impact collisions at 19% ($5,100), and fender benders at 15% ($2,500). Theft claims average $6,000.
- Review Accident Data by City: Albuquerque has approximately 12,500 accidents and 11,800 claims annually. Smaller cities like Roswell report fewer incidents.
- Compare Insurance Rates for Auto Claims: After you familiarize yourself with the types of car accidents and auto claims, it is essential to compare quotes from different insurers to find the best deal tailored to your needs.
- Check the Insurer’s Financial Strength: Ensure the insurer can settle claims promptly by checking their financial stability.
- Read Customer Reviews: Look for insurers with positive reviews, particularly for their claims-handling reputation, to ensure reliable service when needed.
By following these steps, you may choose an insurance company in New Mexico that offers the best value and service.
Enter your ZIP code below to compare auto insurance rates.
Secured with SHA-256 Encryption
Top Affordable Auto Insurance Providers in New Mexico
State Farm, Progressive, and Travelers also give affordable car insurance in New Mexico, starting at $24 monthly. These companies are competitive in pricing and customer service and provide a range of types of auto insurance coverage to suit different needs.
This article compares the top auto insurance providers in New Mexico, covering rates, coverage options, and discounts. It also explains New Mexico car insurance requirements, helping drivers find affordable options that meet the state’s minimum coverage standards. Start comparing total coverage auto insurance rates by entering your ZIP code here.
Frequently Asked Questions
What are the cheapest auto insurance options in New Mexico?
State Farm, Progressive, and Travelers offer auto insurance in New Mexico starting at $24 per month. They provide competitive rates and reliable service. Explore our auto insurance coverage options for more insights.
What factors affect auto insurance costs in New Mexico?
Factors include driving history, location, coverage level, weather risks, and the state’s uninsured driver rate. Get fast and cheap auto insurance coverage today with our quote comparison tool.
Are there specific insurance plans for New Mexico drivers in Roswell?
Yes, providers like State Farm offer flexible auto insurance coverage in Roswell, NM, that residents can trust, from essential to comprehensive plans.
How can I lower my monthly premiums in New Mexico without reducing coverage?
You can bundle multiple insurance policies and engage in safe driving programs to minimize your premiums. Dive into our Progressive Snapshot Program Review for more information.
What factors affect auto insurance costs in New Mexico?
Factors include driving history, location, coverage level, weather risks, and the state’s uninsured driver rate. Use our free comparison tool to see what auto insurance quotes look like in your area.
How can I get the best auto insurance price in New Mexico?
To get the cheapest auto insurance in New Mexico, compare provider quotes, explore discounts for safe driving or bundling, and assess your coverage needs to avoid unnecessary costs.
How does the state’s uninsured motorist rate affect my auto insurance?
New Mexico’s high uninsured motorist rate makes UM/UIM auto insurance coverage essential for added protection.
How do car insurance rates in New Mexico compare to other states?
Average New Mexico car insurance costs are lower than in neighboring states like Arizona but higher than in states with fewer uninsured drivers. Avoid expensive auto insurance premiums by entering your ZIP code to see the cheapest rates.
Does my driving history affect my car insurance rate in New Mexico?
A clean driving record lowers rates, while accidents or violations may increase premiums. Understanding New Mexico car insurance laws is key, as they affect your insurance based on your driving history.
What is the difference between liability and full coverage insurance in New Mexico?
Automobile liability coverage pays for damages and injuries to others, while complete coverage includes liability, collision, and comprehensive protection for your vehicle.