How To Buy New Mexico Auto Insurance

As a driver in New Mexico, you are required to carry insurance on your automobiles at all times. This guide will help you to learn everything you need to know when it comes time to buy auto insurance in New Mexico.

Step 1

Determine the best type of insurance coverage for you. In Mexico, you have two options when it comes to fulfilling your auto insurance obligations. The most popular option is to purchase coverage. If you choose to do this, make sure you call around to get a few quotes first before you select a policy. This ensures that you'll get the best price possible for your vehicle coverage. Check your phonebook or newspaper for advertisements for insurance companies in your area. Or look online at sites like and

Your other option for coverage in New Mexico is to provide a $60,000 cash deposit (or surety bond) to the state treasurer. This proves that you are financially responsible, and it satisfies the current insurance laws in New Mexico.

Step 2

Meet the minimum coverage requirements. If you choose to carry auto insurance in the state of New Mexico, then you must have the following minimum coverage amounts on your policy: $20,000 for single bodily injury or death, $50,000 for all bodily injury or death, and $10,000 for damage to property as a result of an accident.

The state of New Mexico doesn't mandate any specific uninsured / underinsured motorists' coverage. However, because New Mexico operates under the tort system which holds at-fault drivers responsible for paying all of the victim's fees that result from an accident (medical, auto repair, pain, suffering and loss of wages), it is a really good idea to carry this extra coverage on your auto insurance policy. This way, you'll be financially protected if you were to ever cause an accident, saving you the strain of having to pay for additional fees out of your pocket.

Step 3

You can exclude drivers. In New Mexico, the law allows for drivers in your household to be left off of your insurance policy. This is called ‘excluding' a driver, and it will lower your premiums somewhat. However, not insuring someone who will be driving your vehicle is very risky. In the event that such a person were in an at-fault accident in your vehicle, your insurance company would not be responsible for paying any claims. The decision to exclude drivers from your auto insurance policy in New Mexico can be a very expensive decision in the long run. It's often worth the extra expense to have the peace of mind that everyone is covered while driving your car.

Step 4

Maintain a good credit score for the best insurance premiums. You may not be aware that your personal credit history and your credit score are two key factors in determining your ‘insurance risk' to auto insurance companies in New Mexico. They will look at your past history of credit to determine whether you will be responsible when it comes to paying your monthly premiums. As well, they will consider your age, gender, location, car and past driving history to determine what products and premiums they will offer you on your auto insurance policy in New Mexico.


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