Gianetta Palmer is a writer, copywriter, and essayist. Her work has appeared in, Healthline, and The Dyrt Magazine. She is the author of Scrunchie-Fried and writes a lot about car insurance in her spare time.

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Joel Ohman is the CEO of a private equity-backed digital media company. He is a CERTIFIED FINANCIAL PLANNER™, author, angel investor, and serial entrepreneur who loves creating new things, whether books or businesses. He has also previously served as the founder and resident CFP® of a national insurance agency, Real Time Health Quotes. He also has an MBA from the University of South Florid...

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Reviewed by Joel Ohman
Founder, CFP®

UPDATED: May 6, 2021

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Compare RatesStart Now → licensed agents did a comparison study of the cheapest car insurance companies in New Mexico and found Safeco Insurance provides the cheapest state minimum rate at $387 annually or 35% less expensive than New Mexico’s average of $592 per year.

State Farm ($1,030 per year) provides the least expensive full coverage car insurance options for New Mexico drivers or 34% cheaper than the statewide average of $1,565 per year. 

Affordable New Mexico Car Insurance Rates

New Mexico insurance shoppers should compare quotes with the same coverage levels with at least three auto insurance companies to find the best rate and save more on their premiums.

Cheapest Car Insurance in New Mexico - Quick Hits
AutoInsureSavings.orgThe cheapest New Mexico car insurance options are:

Cheapest for minimum coverage: Safeco Insurance
Cheapest for full coverage: State Farm
Cheapest after an at-fault accident: State Farm
Cheapest after a speeding ticket: Progressive
Cheapest after a DUI: Progressive
Cheapest for poor credit history: GEICO
Cheapest for young drivers: Farm Bureau Financial
For young drivers with a speeding violation: Farm Bureau Financial
For young drivers with an at-fault accident: Liberty Mutual
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Enter your Zip Code or use this practical New Mexico auto insurance guide which is the best way to find top car insurance providers in your area regardless of your driving type.

Free Auto Insurance Comparison

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Cheapest Car Insurance in New Mexico for Minimum Coverage

Safeco Insurance offers the lowest minimum coverage rates for New Mexico drivers with a clean driving record, which provided us a $387 annual rate or $205 cheaper than the $592 average quote for our 30-year-old driver.

Suppose you are a military member or a family member of a service member. In that case, your best rates are with USAA, which offered our agents a $398 annual quote or $33 per month for minimum liability coverage.

InsurerAverage annual rate
State Farm$424
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*USAA is for qualified military members, their spouses, and direct family members. Your insurance rates may vary based on the driver’s profile.

Buying a minimum coverage policy is the cheapest way to meet New Mexico’s car insurance requirements to ensure you stay legal.

State minimums may not have sufficient coverage with the amount of bodily injury and property damage liability you need if you are involved in an auto accident.

A New Mexico state minimum auto policy only covers up to $50,000 per accident in bodily injury liability and $10,000 per accident in property damage liability.  

Cheapest Full Coverage Car Insurance in New Mexico

State Farm offers the cheapest car insurance rates for full coverage in New Mexico. State Farm’s $1,030 rate is 34% less expensive than the statewide average of $1,565 per year. 

InsurerAnnual costMonthly cost
State Farm$1,030$85
New Mexico average$1,565$130
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*USAA is for qualified military members, their spouses, and direct family members. Your average rates may vary based on the driver’s profile.

Full coverage car insurance policies cost more than liability-only policies but offer more asset protection with comprehensive and collision insurance included. Your motor vehicle is protected no matter who or any inclement weather caused the property damage. 

Cheapest Car Insurance With One Speeding Ticket in New Mexico

Progressive offers the cheapest auto insurance rates for New Mexico drivers with one speeding ticket on their driving record. Progressive’s $1,417 rate is 22% or $492 less expensive than the statewide average. 

InsurerAnnual costMonthly cost
State Farm$1,537$128
New Mexico average$1,909$159
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According to the Insurance Research Council, your auto insurance rates can increase by $344 per year or 22% with one traffic violation for speeding in New Mexico.

Most auto insurers will increase car insurance rates after traffic tickets, so you want to make sure to comparison shop for cheaper insurance coverage after any traffic violation on driving records. 

Cheapest Car Insurance in New Mexico With a Car Accident

According to our analysis, State Farm offers the cheapest insurance rates for drivers with one at-fault accident with a $1,859 annual insurance premium for our sample driver. 

State Farm’s rate is 25% less expensive than New Mexico’s average ($2,478) insurance premium for drivers with one accident in their driving history.

InsurerAnnual costMonthly cost
State Farm$1,859$154
New Mexico average$2,478$206
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Getting into an at-fault accident may cause a rate hike of 37% or $913 per year, showing the importance of shopping for cheaper auto insurance if you have a change on your driving record.

To make sure you get the best rates, be sure to compare quotes with at least three car insurance companies after a car accident.

Cheapest Car Insurance With a DWI in New Mexico

New Mexico drivers with DWI offenses on their driving records can find the cheapest car insurance with Progressive, which provided our insurance agents a quote at $2,247 per year or a $187 monthly rate for full coverage.

The average annual rate for drivers with DWI offenses is $2,955, making Progressive’s rate is 24% cheaper than New Mexico’s average DWI rate. 

InsurerAnnual costMonthly cost
State Farm$2,841$236
New Mexico average$2,955$246
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According to the National Highway Traffic and Safety Administration (NHTSA), car insurance premiums in the state increase by 48% on average for drivers with driving while intoxicated violations (DWI’s).

You will not need an SR-22, but a court may order an ignition interlock device (BAIID) installed in your motor vehicle for at least 90 days, depending on the severity of the DWI offense. 

Dairyland offers insurance quotes 20% cheaper at $2,398 per year, while State Farm’s rate of $2,841 is 4% less expensive than the DWI offense average or $2,955.

Cheapest Car Insurance for Drivers With Poor Credit in New Mexico

GEICO provides the cheapest insurance for drivers with poor credit in New Mexico with a $1,876 rate for full coverage or 20% less expensive than the average bad credit rate of $2,318 per year. 

InsurerAnnual costMonthly cost
State Farm$2,038$169
Farm Bureau Financial$2,166$180
New Mexico average$2,318$193
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Compare RatesStart Now → analysis shows drivers who have a poor credit score will pay 33% more for auto insurance coverage. And drivers with poor credit are more likely to file a claim or get involved in an at-fault accident. For that reason, their car insurance costs are higher than average. Make sure to maintain good credit scores to ensure your car insurance rates won’t increase at renewal. 

Cheapest Car Insurance for Young Drivers in New Mexico

We found young New Mexico drivers looking for the cheapest full coverage auto insurance is with Farm Bureau Financial, which provided our agents a $3,712 annual quote or 34% less expensive than our sample young driver’s average rates. 

USAA is the best car insurance option for younger drivers who qualify, which offered AutoInsureSavings’ agents a $3,048 annual rate for full coverage insurance.

The cheapest for state minimum coverage is Farm Bureau, which offered us a quote at $1,631 per year or 17% cheaper for young or teen drivers. The next best option for younger drivers is Allstate Insurance, with a $1,670 annual rate for liability insurance.  

InsurerFull coverageMinimum coverage
Farm Bureau Financial$3,712$1,631
State Farm$4,850$1,842
New Mexico average$5,572$1,946
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*USAA is for qualified military members, their spouses, and direct family members. Your insurance rates may vary based on the driver’s profile.

Statistics show drivers under 25 are more prone to car accidents than older experience drivers, making car insurance costs higher. Our licensed agents recommend young or teen drivers to buy full coverage policies, so their motor vehicle is covered in an auto accident. 

It is best to find a company that offers the cheapest car insurance rates for young or teen drivers in the Land of Enchantment, such as Farm Bureau Financial or Allstate Insurance, to cut down on your insurance costs.

Cheapest Car Insurance for Young Drivers with a Speeding Ticket

Young New Mexico drivers with one speeding violation should look to Farm Bureau Financial for the cheapest insurance coverage. The average car insurance cost from Farm Bureau is $4,012 annually or $1,980 less per year for auto insurance policies with collision and comprehensive coverage. 

Farm Bureau’s speeding ticket rate is 33% less expensive than the average $498 monthly rate for younger drivers.

InsurerAnnual costMonthly cost
Farm Bureau Financial$4,012$334
Liberty Mutual$5,739$478
New Mexico average$5,980$498
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Cheapest Car Insurance for Young Drivers with an At-Fault Accident

Inexperienced drivers in New Mexico with one at-fault accident can find the best car insurance with Liberty Mutual, which provided our agents a $5,739 annual rate ($478 per month) for full coverage insurance.

Liberty Mutual’s at-fault accident rate is 18% cheaper than New Mexico’s teen driver accident rate of $6,994 per year. 

InsurerAnnual costMonthly cost
Liberty Mutual$5,739$478
State Farm$5,861$488
Average in New Mexico$6,994$582
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Best Auto Insurance Companies in New Mexico team of licensed insurance agents rated the best car insurance companies in New Mexico by customer service and surveys, J.D. Powers claims satisfaction score, A.M. Best, and the National Association of Insurance Commissioners (NAIC) complaint index.

We found that USAA, Allstate, Farmers Insurance are the best insurers based on excellent customer service, claims satisfaction, and NAIC’s complaint index. 

ValuePenguin found similar results from their recent New Mexico customer survey, except State Farm, which had high customer service ratings, but lower (0.66) on NAIC’s complaint index behind Farm Bureau Financial and Farmers Insurance.

Group% respondents extremely satisfied with recent claim.% respondents rated customer service as excellent.
State Farm73%46%
Farm Bureau FinancialN/AN/A
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Our licensed insurance agents also collected information on each auto insurance company in New Mexico from the NAIC, J.D. Power, and A.M. Best’s financial strength ratings. 

The car insurance company with the lowest NAIC complaint ratio (0.19) is Farmers Insurance. Farm Bureau’s complaint index is below the national average of 1.00 at 0.43.

The NAIC’s complaint ratio compares the number of complaints an auto insurer has based on its market share in New Mexico. Any car insurance provider below 1.00 is better than the national average.

USAA has the highest J.D. Power claims satisfaction score of 890, and State Farm is second with a claims satisfaction score of 881.

InsurerNAIC Complaint Index J.D. Power claims satisfaction score AM Best Financial Strength Rating
Farm Bureau Financial0.43n/aA
State Farm0.66881A++
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A.M. Best financial strength ratings are a grade describing an auto insurer’s financial health and their ability to pay out claims.

While comparison shopping for car insurance companies in New Mexico, it is essential to remember that several risk factors contribute to your premium cost. Your age, driving history, and even your credit rating can influence your total monthly or annual cost.

It is always best for New Mexico drivers to compare car insurance plans to find the best company that offers the lowest insurance rate.

Average Car Insurance Costs by City in New Mexico

We collected insurance quotes from New Mexico zip codes from top insurance companies and found average rates can vary by $357. The lowest auto policy is in Gallina ($1,398), and the highest rate is in Albuquerque ($1,755). Typically, you will pay higher rates if you live in urban cities rather than the state’s rural areas. 

Your New Mexico rate is based not only on your zip code but the type of vehicle, liability limits, marital status, plus a variety of other risk factors.

Cheapest Car Insurance in Albuquerque, NM

In Albuquerque, drivers can find the cheapest insurance quotes with Safeco Insurance, which provided agents a rate of $1,162 annually or $90 per month. Safeco’s quote is 39% less expensive than the average Albuquerque rate at $1,755.

Albuquerque CompanyAverage Premium
State Farm$1,151
Albuquerque average$1,755
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Cheapest Car Insurance in Las Cruces, NM

Las Cruces drivers can look to State Farm for the cheapest coverage rates, with a quote at $1,156 per year with full coverage insurance. State Farm’s rate is 36% cheaper than Las Cruces’ $1,655 average rates for similar driver profiles. 

Las Cruces CompanyAverage Premium
State Farm$1,146
Liberty Mutual$1,525
Las Cruces average$1,803
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Cheapest Car Insurance in Rio Rancho, NM

Rio Rancho drivers can find the cheapest full coverage insurance policy with USAA, which offered us a $986 annual rate for our sample 30-year-old driver. USAA’s car insurance rate is $625 less annually than Rio Rancho’s average of $1,611 per year. 

Rio Rancho CompanyAverage Premium
Rio Rancho average$1,611
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Cheapest Car Insurance in Santa Fe, NM

The cheapest auto insurance rate our insurance agents found in Santa Fe is Safeco, with a $1,048 per year rate for a full coverage auto policy. Safeco’s quote is 40% less expensive than Santa Fe’s average rate of $1,729 per year. Both State Farm and GEICO offer insurance quotes in Santa Fe at least 10% lower than the citywide average.

Santa Fe CompanyAverage Premium
State Farm$1,260
Santa Fe average$1,729
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Cheapest Car Insurance in Roswell, NM

Drivers in Roswell can get cheap auto insurance with Allied Insurance, which provided our licensed agents a $1,126 annual rate for a full coverage policy with $100,000 in liability insurance. Allied’s quote is 32% less expensive than the average $1,637 yearly rate in Roswell. 

Roswell CompanyAverage Premium
Liberty Mutual$1,585
Roswell average$1,637
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Cheapest Car Insurance in Farmington, NM

Farmington’s least expensive car insurance policy is with Progressive, which offered us a quote at $1,138 yearly for full coverage with $500 deductibles for comprehensive and collision insurance. Progressive’s full coverage quote is 33% cheaper than Farmington’s average $1,700 rate for 30-year-old drivers. 

Farmington CompanyAverage Premium
Farmington average$1,700
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Average Car Insurance Cost for All Cities in New Mexico

CityAnnual Premium CostCityAnnual Premium Cost
Santa Fe$1,729Lake Arthur$1,482
Las Cruces$1,803Lakewood$1,486
Roswell$1,637Las Vegas$1,478
Farmington$1,700Lea County$1,498
Gallup$1,567Loco Hills$1,518
Rio Rancho$1,611Los Alamos $1,486
Alamogordo$1,478Los Ojos$1,518
Acoma$1,482Los Lunas$1,557
Arroyo Hondo$1,482Mesilla Park$1,498
Arroyo Seco$1,486Mesilla$1,482
Bluewater$1,518Mule Creek$1,478
Buckhorn$1,492Navajo Dam$1,498
Buena Vista$1,555New Laguna$1,501
Capitan$1,529Ohkay Owingeh$1,518
Carrizozo$1,486Ojo Caliente$1,492
Carson$1,501Ojo Feliz$1,442
Casa Blanca$1,478Organ$1,482
Catron County$1,492Orogrande$1,559
Cedar Crest$1,546Pecos$1,478
Cerrillos$1,444Pena Blanca$1,486
Church Rock$1,486Ponderosa$1,546
Cleveland$1,484Pueblo Of Acoma$1,478
Cliff$1,527Quay County$1,498
Clovis$1,548Radium Springs$1,456
Cochiti Pueblo$1,518Rainsville$1,492
Colfax County$1,559Ramah$1,482
Conchas Dam$1,492Ranchos De Taos$1,501
Continental Divide$1,446Red River$1,510
Coyote$1,486Roosevelt County$1,479
Crown Point$1,482Rowe$1,478
Crownpoint$1,510Ruidoso Downs$1,532
Curry County$1,501San Acacia$1,482
De Baca County$1,441San Antonio$1,546
Dexter$1,482San Cristobal$1,510
Dixon$1,486San Fidel$1,443
Dona Ana$1,498San Jose$1,427
DulceSan Miguel$1,482
Edgewood$1,478San Patricio$1,492
El Prado$1,482San Rafael$1,498
El Rito$1,527San Ysidro$1,486
Elida$1,518Sandia Park$1,546
Espanola$1,492Santa Clara$1,482
Fairacres$1,510Santa Cruz$1,501
Faywood$1,482Santa Teresa$1,554
Fence Lake$1,548Santo Domingo Pueblo$1,478
Flora Vista$1,486Sapello$1,527
Fort Wingate$1,559Serafina$1,403
Fruitland$1,501Sheep Springs$1,482
Gamerco$1,498Sierra County$1,518
Garfield$1,446Silver City$1,549
Gila$1,482Sunland Park$1,510
Guadalupe County$1,518Tesuque$1,486
Hachita$1,510Tierra Amarilla$1,498
Harding County$1,522Tohatchi$1,518
Hi Rls Mtn Pk$1,547Torrance County$1,492
Hidalgo County$1,429Trementina$1,478
High Rolls Mountain Park$1,559Tres Piedras$1,510
Holloman Afb$1,541Truchas$1,522
Holloman Air Force Base$1,522Tularosa$1,482
Hondo$1,498Union County$1,592
Hurley$1,501Valencia County$1,498
Jemez Pueblo$1,522Velarde$1,482
Jemez Springs$1,510Villanueva$1,419
Kenna$1,486Wagon Mound$1,492
La Jara$1,478Weed$1,522
La Joya$1,501White Rock$1,486
La Luz$1,492White Sands$1,528
La Madera$1,522Whites City$1,510
La Mesa$1,482Youngsville$1,478
La Plata$1,514Zuni$1,498
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Minimum Auto Insurance Coverage Requirements in New Mexico

The Motor Vehicle Department (MVD) requires all New Mexico drivers to have the minimum liability limits: 

LiabilityMinimum coverage
Bodily injury liability$25,000 per person / $50,000 per accident
Property damage liability$10,000 per accident
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New Mexico doesn’t require drivers to carry uninsured motorist coverage. However, we recommend drivers to buy uninsured motorist coverage since New Mexico’s uninsured motorist rate is 20.8%, according to the Insurance Information Institute ( agents also recommend higher liability limits with collision and comprehensive insurance. You may pay more for insurance coverage, but a full coverage insurance policy ultimately will save money if you get into a costly auto accident.

Frequently Asked Questions

Who has the Cheapest Car Insurance in New Mexico?

Safeco Insurance offers the state minimum’s cheapest auto insurance rate at $387 per year. The average annual premium for minimum coverage in New Mexico is $592, and Safeco’s premium costs 35% less per year. Other good options for affordable car insurance are USAA at $398, State Farm at $424, and Progressive at $547 per year. 

How Much is New Mexico Car Insurance per Month?

The average car insurance costs $1,565 in New Mexico for full coverage insurance and $592 per year for state minimum coverage for a 30-year-old driver with a clean driving record. 

How Much Is Full Coverage New Mexico Car Insurance?

The average cost of full coverage car insurance in New Mexico is $1,565 annually or $130 per month with $100,000 per accident in liability coverage. State Farm’s average rate for full coverage is $1,030 a year or $85 per month or 34% less per year, while Safeco’s rate of $1,081 is 31% below New Mexico’s average.

How Much Will My Car Insurance Increase With a Speeding Ticket in New Mexico?

You can expect your car insurance rates to increase 22% after a speeding violation in New Mexico. Most drivers pay around $1,909 annually for full coverage once they have a ticket on their driving record. Progressive’s rate is only $1,417 annually after one ticket for 30-year-olds. 

How do I Save on Car Insurance in New Mexico?

The best way to save on your insurance premium is to find out from your car insurance provider if you are eligible for a money-saving driver discount offered by the company. Many insurance providers in New Mexico will lower your overall car insurance rates if you have more than one policy with them, such as life or home insurance policies. 

Another way to save on your car insurance premium is to practice safe driving habits and maintain clean driving records. Many auto insurers offer good driving discounts for drivers in New Mexico that have clean driving records for three years or more. One example is Allstate Insurance which offers good drivers a safe driving bonus. Not only will you keep and your passengers with safe driving, but it will also help you avoid car accidents or traffic violations that could cause your premium to rise.

To learn more about New Mexico’s most affordable car insurance options, enter your zip code or contact the auto insurance experts at

Our licensed insurance professionals will be happy to answer any questions you have.

Methodology comparison shopping study used a full-coverage auto policy for a 30-year-old driving a 2018 Honda Accord with the following coverage limits:

Coverage typeStudy limits
Bodily injury liability$50,000 per person / $100,000 per accident
Property damage liability$25,000 per accident
Personal injury protection$10,000
Uninsured / underinsured motorist bodily injury$50,000 per person / $100,000 per accident
Comprehensive and collision coverage$500 deductible

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We used insurance rates for drivers with accident histories, credit scores, and marital status for other New Mexico rate analyses. We used car insurance rate data from Quadrant Information Services, which are publicly available for comparative purposes only. Your insurance rates may vary when you get quotes.


– Motor Vehicle Department of New Mexico. “Car Insurance.”
– Rocky Mountain Insurance Information Association. “New Mexico Graduated Driver Licensing.”
– Rocky Mountain Insurance Information Association. “Uninsured Motorists, Driving Without Car Insurance.”
– National Association of Insurance Commissioners. “Market Share Reports for Property/Casualty Groups and Insurance Companies.”
– Insurance Information Institute. “What is covered by a basic auto insurance policy?.”
– National Highway Traffic and Safety Administration. “DWI Insurance Report.”