New Mexico Car Insurance
New Mexico drivers must carry 25/50/10 liability under the Mandatory Financial Responsibility Act (NMSA § 66-5-215)1. UM and UIM are a must-offer at the compulsory liability limits under NMSA § 66-5-3012. New Mexico is a traditional tort state and does not require PIP4.
YesWeSure Bottom Line
Traditional tort state. New Mexico does not require PIP. First-party medical bills typically flow through health insurance or optional MedPay; tort recovery against the at-fault driver remains the primary mechanism4.
UM/UIM default is on. Every New Mexico personal auto policy includes UM and UIM unless the named insured rejects the coverage in writing2.
How to make a real decision. Treat 25/50/10 as a floor, not a target. For how to think about higher limits, see how to choose coverage limits.
State requirements at a glance
What New Mexico car insurance law requires
Minimum liability limits
25 / 50 / 101
$25,000 bodily injury per person, $50,000 per accident, $10,000 property damage per accident, under the Mandatory Financial Responsibility Act (NMSA § 66-5-215).
Personal Injury Protection (PIP)
Not required4
New Mexico is a traditional tort state. No PIP is required on personal auto. Medical Payments coverage is an optional first-party add-on insurers typically offer.
Uninsured / Underinsured Motorist
Must offer; 25 / 50 BI if purchased2
NMSA § 66-5-301 requires every New Mexico personal auto policy to include UM and UIM at not less than the compulsory liability limits unless the named insured rejects it in writing.
Coverage verification
New Mexico MVD insurance verification3
The New Mexico Motor Vehicle Division within the Taxation and Revenue Department administers electronic insurance verification. Confirmed lapse under NMSA § 66-5-205 can trigger registration suspension and reinstatement fees.
Rate approval regime
OSI oversight4
New Mexico does not maintain a headline statewide prohibition on credit-based insurance scoring, gender, or age as personal-auto rating factors.
25/50/10 compulsory liability
The Mandatory Financial Responsibility Act (NMSA § 66-5-215) compels every registered New Mexico vehicle to carry 25/50/10 liability1. Many New Mexico drivers carry higher limits.
PIP: not required in New Mexico
New Mexico does not require Personal Injury Protection. Medical Payments coverage is an optional first-party add-on that insurers typically offer. For how MedPay compares to PIP in states that require it, see our medical payments coverage guide.
UM/UIM must-offer under NMSA § 66-5-301
Every New Mexico personal auto policy must include UM and UIM at the compulsory liability limits unless the named insured rejects the coverage in writing2.
MVD verification and lapse enforcement
The New Mexico Motor Vehicle Division administers electronic insurance verification5. A confirmed lapse under NMSA § 66-5-205 can trigger registration suspension and reinstatement fees3. For a general lapse treatment, see our after-a-lapse guide.
Rating-factor landscape
New Mexico does not maintain a headline statewide prohibition on credit-based insurance scoring, gender, or age4.
Where the New Mexico situation rules live on YesWeSure
This State Guide owns the New Mexico pricing and legal framework. Situation-specific mechanics live on the sibling Situation guides:
- After an accident. See our after-an-accident guide.
- After a DUI. New Mexico SR-22 and reinstatement mechanics are treated in our after-a-DUI guide.
- After a lapse. MVD consequences of a lapse are treated in our after-a-lapse guide.
- Moving into New Mexico. New-resident registration is treated in our moving-to-another-state guide.
What we verified for this page
- Strong25/50/10 minimum liability under NMSA § 66-5-215 verified against the statute.
- StrongNew Mexico is a traditional tort state (no PIP) verified against the OSI consumer guide. Consistent with the frozen YesWeSure medical-payments guide; no conflict.
- StrongUM/UIM must-offer at compulsory liability limits under NMSA § 66-5-301 verified against the statute. Written rejection required to decline.
- StrongNew Mexico MVD electronic verification under NMSA § 66-5-205 verified against the statute and the MVD consumer page.
- LimitedDeliberately omitted from V1. A New Mexico modeled cost anchor; carrier-specific NM underwriting; the exact SR-22 duration (deferred to the after-a-DUI guide); and telematics program detail.
- LimitedNamed author and expert reviewer. V1 attributes to "YesWeSure Editorial." A New Mexico-licensed reviewer is tracked as a pre-launch YMYL item.
Ready to compare New Mexico quotes at or above the compulsory limits?
Compare New Mexico car insurance quotesYesWeSure may receive compensation when readers use quote-comparison links. Compensation does not influence the statutory or regulatory information on this page or the sources cited above. See our advertiser disclosure and editorial standards.
Common questions
What is the minimum car insurance required in New Mexico?
25/50/10 liability under NMSA § 66-5-2151. UM/UIM is a must-offer at the compulsory liability limits and ships on the policy unless rejected in writing2.
Is New Mexico a no-fault state?
No. New Mexico is a traditional tort state and does not require PIP4.
Is UM/UIM required in New Mexico?
UM and UIM are must-offer. Every New Mexico personal auto policy includes UM/UIM at the compulsory liability limits unless the named insured rejects the coverage in writing under NMSA § 66-5-3012.
Sources & methodology
- NMSA § 66-5-215: Mandatory Financial Responsibility Act; 25/50/10 compulsory liability. (New Mexico Legislature, TIER 1)
- NMSA § 66-5-301: Uninsured and Underinsured Motorist must-offer at compulsory liability limits; written rejection required. (New Mexico Legislature, TIER 1)
- NMSA § 66-5-205: compulsory motor vehicle insurance; penalties for operation without insurance. (New Mexico Legislature, TIER 1)
- New Mexico Office of Superintendent of Insurance: Automobile Insurance consumer page. (New Mexico Office of Superintendent of Insurance, TIER 1)
- New Mexico MVD: Insurance Requirements consumer page. (New Mexico Motor Vehicle Division, TIER 1)
- YesWeSure: Car insurance after an accident (YesWeSure, INTERNAL)
- YesWeSure: Car insurance after a DUI (YesWeSure, INTERNAL)
- YesWeSure: Car insurance after a lapse in coverage (YesWeSure, INTERNAL)
- YesWeSure: Car insurance when moving to another state (YesWeSure, INTERNAL)
- YesWeSure: What is medical payments coverage? (YesWeSure, INTERNAL)
- YesWeSure: How to choose coverage limits (YesWeSure, INTERNAL)
- YesWeSure: How insurers calculate rates (YesWeSure, INTERNAL)
Evidence hierarchy on this page: Tier 1 (New Mexico Statutes Annotated, Office of Superintendent of Insurance, New Mexico MVD). Every legal number traces to a New Mexico primary source: NMSA §§ 66-5-205, 66-5-215, 66-5-301. This page is informational and does not constitute legal, tax, or insurance advice. Last reviewed .