New Mexico home insurance
Compare, shop and customize quotes from top-rated insurance carriers.
Protect your home with New Mexico insurance
New Mexico has made significant changes over the past few years to attract people to the Land of Enchantment. Tuition-free college ranks at the top of the list but is only one way the state aims to grow its small population of just over 2 million. Whether you are a long-time resident or a new homeowner, you probably have discovered that finding good New Mexico home insurance isn't always easy.
The need for New Mexico homeowners insurance
One of the best things about owning a home in New Mexico is that the state has fewer cases of natural disasters plaguing its neighbor states like hurricanes, tornadoes and earthquakes. It might seem like properties in Mexico are safer than in most other states, but homeowners in the Land of Enchantment do have other risks to consider:
• Wildfires: Wildfire season begins in April and runs throughout the summer, with some low points during the heavy rains of monsoon season. These fires can burn hundreds of thousands of acres and often devastate entire communities.
• Floods: Monsoon rains bring well-needed moisture, but the sandy soil does not absorb rains well. This can cause flooding. For example, New Mexico faced monsoon floods in June 2022 after a record-setting wildfire season that March.
• Property crime: New Mexico gets a bad reputation for property crime, especially in Albuquerque and Las Cruces. It routinely ranks in the top five states for property crime.
• High winds: April and May are two of the windiest months in New Mexico. Combined with sand and even hail, it often leads to haboobs that can uproot sheds and send objects flying.
• Snowstorms: New Mexico gets a fair share of snow in its northern and mountainous regions, such as Taos. These areas are susceptible to snowstorms and all the property damage risks that come with them.
• Personal injury: Whether you own property in rural or urban New Mexico, the risk of injury runs high. Rural properties are especially susceptible because they tend to be larger and more challenging to maintain.
• Border concerns: Residents in border towns often report higher rates of injury, theft and vandalism due to proximity to cartel activity. These are often rural communities, such as those in Hidalgo County.
The average cost of New Mexico home insurance
NerdWallet estimates that New Mexico homeowners pay an average annual cost of $1,790 or $150 monthly for homeowners insurance, slightly under the national average.
Several factors go into ratemaking for the cost of homeowners insurance in New Mexico:
• The year of construction for the home.
• Materials used to build the home.
• Cost to rebuild the home.
• Historical claims in the area.
• Policyholder claims history.
• Fire rating in the area.
• Location or ZIP code.
Insurance rates are constantly changing, so ensure you have the most updated figures by using VIU by HUB to compare rates. We make it easy to see local offers and provide options, in addition to the recognized national insurers.
New Mexico home insurance coverage
When searching for insurance, look beyond the price. Ensure the policy covers all the risk factors affecting your property. Here are some standard offerings:
• Dwelling Coverage: This covers damage to your home and extends to attached buildings, such as a deck or garage.
• Other Structures: This covers damage to separate structures, such as a shed or additional dwelling unit. For example, it may cover the cost of repainting your detached shed after vandals spray paint it.
• Personal Property: This covers items like furniture and electronics if stolen or destroyed. For example, if someone breaks into your home and steals your TV and e-bike, it could cover the cost of replacing these items.
• Medical Payments: This covers some medical bills incurred by someone on your property due to an injury. For example, if your dog scares the delivery man and he falls down the steps, this may pay for the cost of medical bills.
• Liability Coverage: If someone sustains injuries on your property, this portion of New Mexico home insurance covers the legal fees and other associated costs. For example, it may pay for your attorney if a visitor chooses to sue.
• Additional Living Expenses: If you need to evacuate your home for repairs, this may cover temporary additional living expenses during that time. For example, if a leaky faucet flooded the main floor, this could pay for renting a hotel room during repairs.
Most homeowners policies do not cover losses caused by flooding. Flood Insurance is available in a separate policy from an insurance company or from the National Flood Insurance Program. Standard policies may not address all of your insurance needs, like covering antiques, fine art or jewelry. Endorsements or separate policies may be required to adequately cover high-valued items like these.
Using VIU by HUB to compare prices ensures you get the coverage you need without paying extraordinary amounts.
This information is intended for general informational purposes only and is not intended to constitute legal advice.