New Mexico Car Insurance Rates Among Highest in U.S.
The New Mexico Insurance Division (http://www.nmprc.state.nm.us/insurance/index.html) shows that auto insurance in New Mexico ranks eighth for highest insurance premiums in the nation. The average resident pays $1,837 a year for car insurance. Finding cheap car insurance quotes in New Mexico may be tough, but it’s not impossible.
In New Mexico, 26% of drivers are uninsured, which is the second worst rate in the U.S. It’s illegal to drive without car insurance, and drivers are expected to carry the financial responsibility of car insurance. The high rate of uninsured drivers spikes the annual insurance premiums for car insurance in New Mexico, and only by reducing the number of uninsured drivers will the annual premiums, monthly payments and car insurance quotes be lower.
Currently, drivers in New Mexico are protected by the following formula, as outlined by United States auto insurance laws (http://en.wikipedia.org/wiki/United_States_auto_insurance).
$25,000 deductible = bodily injury (one person in one accident, most often the driver)
$50,000 deductible = bodily injury of two or more persons in one accident (this is maximum coverage and if the money runs out, you must pay the remainder. This is more car insurance for the driver if he needs it, but should be used to repay the victim’s damages.)
$10,000 deductible = for property damage for one accident (victim’s vehicle, witness’ property, etc.)
Their monthly payments vary, depending on a number of factors such as type of car, age, gender, location and more.
How do I find cheap car insurance?
- The more people that have car insurance, the lower the rates will be amongst car insurance companies. If you or someone you know doesn’t have car insurance, make sure to get insured.
- To find low rates for car insurance, the best thing is to shop around online and get cheap car insurance quotes. Then, you can find car insurance companies and ask them to match the quote or offer additional coverage.
- Even a minimum car insurance policy such as the Uninsured Motorist (UM) (http://en.wikipedia.org/wiki/Uninsured_motorist_clause) coverage can help you in case of a car accident or damage to your or someone else’s property. The UM portion of a car insurance policy can be claimed if the other person does not have auto insurance. Your insurance company will investigate the claim and determine that the party legally responsible does not have car insurance. From there, you can get the claim and pay for damages.
- If you own a used car, make sure you know the history of the car. Buying a “curbstoned” car (from the side of the road or a lot) is illegal and the consumer doesn’t know from where the car came. These cars may be damaged or stolen and you’ll often pay high car insurance premiums for them. Buy a car from a licensed auto dealer.
- If you have speeding or parking tickets, past driving offenses, etc., your car insurance rates in New Mexico will be high. You can get cheap auto insurance if you prove that you’ve taken measures to correct your behaviour (driving classes, safety workshops, etc.).
