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New Mexico Home Insurance

Whether you've chosen New Mexico for its job opportunities, cultural history, beautiful landscapes or a combination of factors, having reliable home insurance is essential to safeguard your investment and provide peace of mind.

Is home insurance required in New Mexico?

New Mexico doesn’t legally require homeowners to have insurance on their property, but if you finance your home through a mortgage, your lender will likely require you to have homeowners insurance. Even if you own your home outright without a mortgage, it's still highly advisable to be insured. Home insurance is not a one-size-fits-all product. It should be tailored to your specific situation and needs.

Typical homeowners insurance coverages in New Mexico

  • Coverage A – Dwelling:

    Coverage for your home and attached structures for damage caused by events such as fire, lightning, wind or hail.

  • Coverage B – Other structures:

    This covers damage to other structures on the property that are set apart from the dwelling, such as a fence, shed or detached garage.

  • Coverage C – Personal property:

    Coverage for your belongings, such as furniture, clothing and electronics, if they’re damaged by a cause listed in your policy.

  • Coverage D – Loss of use:

    This covers your temporary living expenses when a covered loss makes your home unfit to live in.

  • Coverage E – Personal liability:

    This covers damage or injury to another person or their property that you’re responsible for causing. It also covers legal assistance for claims made against you.

  • Coverage F – Medical payments to others:

    This coverage can pay for medical bills for people who are accidentally hurt on your property, not including members of your household.

Remember, each of these coverages is subject to a policy limit and exclusions, which are specified within your policy.

Your homeowners insurance won’t cover flood damages, so it helps to ensure you’re properly covered if there’s a flood. Flood insurance policies are available and are written through the federally backed National Flood Insurance Program. It’s common for mortgage companies to require flood insurance if your home is within or near a floodplain. Regardless, a flood can occur anywhere, and it’s a good idea to buy this additional coverage. 

Additional coverages in New Mexico

You may find that the general coverages afforded in a basic homeowners policy don’t cover certain losses or types of property. Amica offers home insurance options in the form of policy endorsements that can fill in some of those gaps in coverage. Adding endorsements to your New Mexico homeowners insurance policy can provide valuable additional coverage tailored to your specific needs. Here are a few endorsements you might consider:

  • Special computer coverage:

    Additional protection beyond what’s included in your policy for devices against direct physical loss, like accidental damage or theft. Devices covered under special computer coverage include:

    • Desktops
    • Laptops
    • Smartphones
    • Gaming devices
    • Smart TVs

  • Identity fraud expenses:

    Identity theft is a growing concern, and this endorsement can help cover expenses associated with restoring your identity, such as legal fees, lost wages and other related costs.

  • Water backup and sump overflow:

    Unexpected and accidental water damage, like from an appliance or burst pipes, is covered by most homeowners insurance policies. But, at the same time, they also exclude coverage for backed-up sewers and drains. This endorsement provides coverage for water that backs-up through drains and sump pumps, which could be excluded under the standard policy.

  • Scheduled personal property:

    If you have high-value items such as jewelry, fine art or collectibles, a basic homeowners policy may not provide sufficient coverage. With this endorsement, you can insure specific items to make sure they're adequately covered against loss or damage.

  • Earthquakes:

    A standard New Mexico policy excludes damage caused by earth movement, including earthquakes. This endorsement would extend coverage to damage caused by an earthquake.

Key factors impacting New Mexico homeowners insurance rates

Location is a significant factor that impacts home insurance premiums. Different areas may face varying risks and exposures for example – Albuquerque versus Thoreau. The cost of home insurance in a city versus a small town will depend on various factors, including property values, crime rates, construction costs and population density.

Your home insurance policy should be as unique as your residence, tailored to your specific needs and circumstances. That's why we emphasize the importance of selecting the right coverage options. By customizing your policy to suit your lifestyle and preferences, you not only ensure adequate protection for your home but also gain some control over your rates.

Additionally, regularly reviewing and updating your coverage can ensure that your policy adequately reflects your current needs.

Maximize savings on New Mexico homeowners insurance with discounts

There are several ways New Mexico homeowners can save money on home insurance without compromising the quality of their coverage.1 We offer home insurance discounts for:

  • Alarm systems: Receive a discount when you insure a home with burglar alarms, sprinkler systems or fire alarms.
  • Automatic detection devices: Insure a home with a temperature monitoring, water leak detection or gas leak detection system installed and receive a discount.
  • New or remodeled homes: Receive a credit when you insure a new or remodeled home.
  • Claim-free: Receive a discount when you’ve had no claims in the past three years.

If these don’t apply to you, we also offer discounts for: 

  • AutoPay: Receive a discount when you opt to pay your premium using automatic deductions.
  • E-discount: Receive a discount when you sign up to receive policy information and bills electronically. 
  • Paid in full: Save money when you pay the entire balance of your New Mexico policy premium up front.  

One of the best ways to conveniently manage all of your insurance needs and save money at the same time is to bundle your insurance coverages for home and auto with the same insurance company. In fact, New Mexico homeowners who bundle auto and home insurance with Amica could save up to 20% with a multiline discount.

Facts and figures about New Mexico

Common claims in New Mexico:

Plumbing leaks are among the most common insurance claims in New Mexico. Leaks can occur due to various reasons, such as: 

  • Old or corroded pipes: In older homes or those with outdated plumbing systems, pipes may become worn out, corroded or weakened over time. This can increase the likelihood of leaks occurring, especially in areas with high water pressure or hard water.
  • Clogged drains or pipes: A buildup of debris, grease or mineral deposits can cause clogs in drains or pipes, leading to pressure buildup and potential leaks. Clogged pipes can also cause backups and overflows, resulting in water damage to the home.

Leaks are a significant concern, particularly those complicated by pipes running through concrete slabs, which is a common construction method in the region. These leaks can go unnoticed for extended periods, leading to water damage, mold growth and other costly issues.

Most standard home insurance policies cover water damage caused by leaking pipes, but it's best to review your policy to understand the extent of coverage and any limitations.

Fun facts about New Mexico:

  • Santa Fe is the oldest capital city in the U.S. Sitting at over 2,100 meters above sea level, it’s also the highest.2
  • Taos Pueblo is believed to have been inhabited for 1,000 years, making it the oldest continuously occupied settlement in the U.S.2
  • At 8,000 feet tall, you can see Texas, Oklahoma, Kansas and Colorado from the top of Capulin Volcano.2

 

How to get home insurance in New Mexico

  1. Assess your coverage needs:

    An Amica representative can provide personalized guidance and help you navigate your options to find the right coverage for your needs. 

  2. Discover potential discounts:

    A representative can also assist you in exploring potential discounts or cost-saving measures available to New Mexico homeowners based on your unique circumstances.

  3. Get a quote:

    Amica offers convenient options for getting a quote. You can either get a home insurance quote online or call 800-242-6422 today to speak with a representative.

With Amica, you can rest easy knowing that your home is safeguarded against the unexpected, allowing you to focus on what matters most – enjoying life in beautiful New Mexico.

Get a home insurance quote

or call 833-513-3881

1 Discounts not available in all states and may vary.
2 16 Facts About New Mexico You Never Would Have Guessed
 

Your Policy, Policy Declarations or Amended Declarations in effect on the date of loss is the primary source of reference for your coverage, coverage limits and deductible amounts.

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