“First off, the amount your car is worth has nothing to do with liability coverage. This type of insurance pays for the other person’s property damage and medical bills if you’re at fault in an accident. Therefore, the value of your car is insignificant.
New Mexico has a minimum legal requirement of 25/50/10 liability insurance. This covers:
- $25,000 for bodily injury liability per person
- $50,000 for bodily injury liability per accident
- $10,000 property damage liability per accident
But it’s recommended that you get higher limits if you can afford them. Why?
Let’s say you hit a Maserati that costs $200,000 and you total it. That means your minimum liability insurance will only pay $10,000, and you’re liable for the remaining $190,000. It’s not a great situation for you.
Therefore, you should consider getting at least a 100/300/100 policy or 250/500/250 policy.
Keep in mind that rates will vary depending on your personal profile and the insurance company. There’s no way to tell you which company offers the best price in New Mexico. To find out for sure, you have to comparison shop and gather as many quotes as possible.”