Best Homeowners Insurance in New Mexico
Allstate offers the cheapest homeowners insurance in New Mexico, with an average rate of $1,616 a year. New Mexico homeowners insurance costs more than it does in some other states, making it a priority for you to find the best coverage possible at the cheapest price.
In this article
How much does home insurance cost in New Mexico?
Homeowners insurance in New Mexico costs an average of $173 a month. This is 17% higher than the national average home insurance rate of $146 a month.
| Region | Average monthly rate | Average annual rate |
|---|---|---|
| New Mexico | $173 | $2,071 |
| U.S. | $146 | $1,754 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | ||
New Mexico has high home insurance rates due, in part, to the state's wildfire risk and burglary rate. New Mexico experiences a lot of wildfires that can completely destroy a house. Homeowners insurance companies often raise premiums considerably to offset this risk. Other factors that can increase your home insurance premium include:
- The age of the house
- What materials were used in the construction of your home
- The exact area you live in
- Your claims history
Although you may not be able to change some of these factors, you can lower your premium by increasing your deductible.
| Deductible | Average annual premium |
|---|---|
|
$500 |
$2,217 |
|
$1,000 |
$2,071 |
|
$1,500 |
$1,959 |
|
$2,000 |
$1,751 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Cheapest home insurance companies
Allstate offers the cheapest home insurance in New Mexico, with an average rate of $1,616 a year, or $135 a month. Farmers Insurance is in second place, with an average rate of $1,664 a year.
| Company | Average annual premium |
|---|---|
| Allstate | $1,616 |
| Travelers | $3,166 |
| State Farm | $1,839 |
| Farmers | $1,664 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Best homeowners insurance companies in New Mexico
Based on a combination of price, customer service metrics and financial stability, Allstate and State Farm are the best companies for homeowners insurance in New Mexico.
Allstate: best for rates
Allstate has the lowest average home insurance rate of $135 a month in New Mexico. This is 25% lower than New Mexico's average rate of $173 a month. On top of already low rates, Allstate also offers great discounts to reduce your premium even more.
- You can save up to 25% when you bundle home and auto policies with Allstate.
- If you've had no recent claims when you buy an Allstate home insurance policy, you can save another 20%.
- You can also save if you have a history of paying on time.
Allstate does well in terms of customer satisfaction, too. Allstate scored 829 out of 1,000 in J.D. Power's 2021 U.S. Home Insurance Study. This is better than the segment average of 825. J.D. Power's study gauges an insurer's customer satisfaction based on their ability to deal with factors such as interaction, price and billing process. The higher the customer satisfaction score, the better.
State Farm: best for customer service
If you're looking for an insurance company with great customer service, then we recommend State Farm. State Farm holds a score of 835 out of 1,000 for overall customer satisfaction in J.D's Power's 2021 U.S. Home Insurance Study. This is well above the segment average of 825. State Farm has an average rate of $153 a month in New Mexico. While State Farm doesn't offer the cheapest rate in New Mexico, it's still below the state average.
New Mexico home insurance rates by city
Your home insurance premium can change based on the city in which you live. Farmington pays the lowest rates in New Mexico for home insurance at an average of $1,247 a year. Clovis has the highest average rate in New Mexico at $4,419 a year.
| City | Average annual premium |
|---|---|
| Albuquerque | $1,628 |
| Las Cruces | $1,267 |
| Rio Rancho | $1,265 |
| Santa Fe | $1,269 |
| Roswell | $2,945 |
| Farmington | $1,247 |
| South Valley | $1,390 |
| Clovis | $4,419 |
| Hobbs | $4,280 |
| Alamogordo | $1,428 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Homeowners insurance rates by county
San Juan County has the lowest average home insurance rate of $110 a month in New Mexico. Lea County has the highest average rate, at $328 a month.
| County | Average annual premium |
|---|---|
| Bernalillo | $1,654 |
| Doña Ana | $1,462 |
| Santa Fe | $1,531 |
| Sandoval | $1,359 |
| San Juan | $1,316 |
| Valencia | $1,555 |
| McKinley | $2,339 |
| Lea | $3,933 |
| Otero | $2,221 |
| Chaves | $2,926 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
New Mexico common causes of loss
Residents living in New Mexico may experience wildfires and property crime. Knowing the risks to your home in your area can help you make sure you have enough coverage for your home.
- Wildfires: Homeowners insurance usually covers damage from wildfires. However, home insurance companies tend to have higher premiums in areas that are prone to wildfires. There are more than 130,000 homes in New Mexico at high to extreme risk of wildfire damage, according to Verisk Analytics.
- Theft: According to the Albuquerque Journal, New Mexico had the worst property crime rate in the U.S. in 2017. If your home is robbed, your homeowners insurance will cover the stolen items up to your policy limits. If there is any damage to the house that occurred during the robbery, it should be covered as well.
Methodology
We obtained quotes for a standard HO-3 homeowners insurance policy on a typical home in every ZIP code in New Mexico. Unless otherwise noted, standard policies included the following limits and deductibles:
- Dwelling coverage: $275,000
- Other structures: $27,500
- Personal property: $137,500
- Loss of use: $55,000
- Liability: $100,000
- Medical payments: $5,000
- Deductible: $1,000
QuoteWizard.com LLC has made every effort to ensure that the information on this site is correct, but we cannot guarantee that it is free of inaccuracies, errors, or omissions. All content and services provided on or through this site are provided "as is" and "as available" for use. QuoteWizard.com LLC makes no representations or warranties of any kind, express or implied, as to the operation of this site or to the information, content, materials, or products included on this site. You expressly agree that your use of this site is at your sole risk.