Minimum car insurance in New Mexico.
What New Mexico requires, in plain words, and why the minimum may not be enough.
The minimum limits
In New Mexico, the minimum liability limits are written 25/50/10 (in thousands): $25,000 for injury to one person, $50,000 for injury to everyone in one accident, and $10,000 for property damage.
How the system works
New Mexico is generally an at-fault (tort) state, so the driver who causes a crash is responsible for the other party’s losses. That is why liability limits matter so much.
Tort (at-fault) state. No other coverage required.
What the minimum means in practice
Say a crash you cause injures three people. The New Mexico minimum pays at most $25,000 to any one of them and $50,000 in total, shared between all three. Any medical bills above that could become your responsibility. Property damage stops at $10,000.
If you drive without insurance in New Mexico
Vehicles without minimum liability insurance are subject to registration suspension, and reinstating a suspended registration costs $30. Driving an uninsured vehicle can lead to plate confiscation and a citation, and failure to return the registration and plate within ten days of a suspension notice can bring penalties including criminal ones.
Proof of insurance
Insurers report coverage electronically to the New Mexico Insurance Identification Database (IIDB), and accepted proof at registration includes an insurance card, a copy of the policy, or an insurer letter on letterhead.
Also worth knowing in New Mexico
Out-of-state insurance is acceptable if it meets New Mexico's minimum liability requirements, and hearing requests must be submitted within 20 days of the mailing date of a Notice of Noncompliance.
Sources we checked (October 2026)
Requirements change. We checked the pages below. Confirm with your state insurance department or an agent.
Questions
Is New Mexico a no-fault state?
New Mexico is generally an at-fault state.