7 Best Homeowners Insurance Companies in New Mexico of 2023

Protect your home and belongings with the best homeowners insurance companies in NM. We've compiled a list of the top providers so you can find the right coverage for your needs.
New Mexico, Streets

If you live in New Mexico, including Albuquerque, Santa Fe, Las Cruces, and Rio Rancho, you know how unpredictable the weather can be. From summer monsoons that bring extremely heavy rain and torrential flooding to massive snowstorms that can drop in from the Northwest in the winter, your home must be protected adequately against extreme weather and the accompanying property damage.

In addition to having coverage from one of the best homeowners insurance companies in New Mexico, you also need good flood and earthquake insurance.

One of our primary missions at PropertyNest is to give you the information you need to buy the best homeowners coverage for you and your home. While price is certainly a consideration, it’s not always the deciding factor in choosing the right coverage for your situation.

Here is our breakdown of the best homeowners insurance companies in New Mexico, which was narrowed down by some important categories.

Best Homeowners Insurance Companies in New Mexico

  • Liberty Mutual: Best for Tech-Savvy Policyholders
  • Allstate: Most Additional Coverages Offered
  • Amica: Best for Having Different Policy Types to Choose From
  • State Farm: Best Inflation Protection
  • Farmers: Cheapest Premiums in New Mexico
  • Nationwide: Best Standard Coverage
  • Chubb: Best for Expensive Homes

Liberty Mutual: Best for Tech-Savvy Policyholders

Liberty Mutual Home Insurance, New Mexico
Editors star rating review
4.5
Editor's Rating (4.5 Stars out of 5)

Liberty Mutual has many digital tools available for policyholders, including a robust website where you can:

  • View policy options
  • Manage billing
  • File and manage claims
  • Communicate with customer service

In addition, all of these can be done from their mobile app, which is very user-friendly.

Read a full Liberty Mutual home insurance review.

Liberty Mutual Homeowners Insurance Discounts

  • Multipolicy
  • Claims-free for five years
  • Protective devices
  • Newly purchased home
  • Renovated home
  • Paperless policy
  • New roof

Additionally, Liberty Mutual offers an Insured-to-Value discount when you insure up to the full cost of replacing your home.

Liberty Mutual Homeowners Insurance Pros & Cons

Pros
  • Offers optional inflation protection.
  • Claims can be tracked and followed online.
  • Multiple discounts available.
Cons
  • Not available in all states.
  • Harder to find a local office and agent.
How is Liberty Mutual Homeowners Insurance Rated?
J.D. Power (out of 1,000)805
A.M. Best - Financial Strength RatingA
BBBA+
NAIC Complaint Index2.37

Allstate: Most Additional Coverages Offered

Allstate Home Insurance, New Mexico
Editors star rating review
4.5
Editor's Rating (4.5 Stars out of 5)

Founded in 1931, Allstate is one of the largest insurers in the United States, with over $50 billion in revenues in 2021.

Among companies we looked at, Allstate’s premiums are $70 more expensive than the average premium of its chief competitor – State Farm.

For people shopping for the best homeowners insurance in New Mexico and who want more coverage options instead of the lowest price, they’ll be impressed with Allstate’s coverage options.

Read a full Allstate homeowners insurance review.

Allstate Coverage Options

  • Personal umbrella policy: provided additional protection from losses and damages from bodily and personal injury, including libel, slander, defamation, false arrest, wrongful eviction, and property damage above and beyond Allstate’s standard homeowners policy.
  • Earthquake insurance: available in select regions, this cover can help repair or replace your home and its contents after an earthquake.
  • Flood insurance: in addition to the standard policy covering water damage from a burst pipe or a failed washing machine hose, this coverage option covers water damage caused by overflowing rivers or other bodies of water.
  • HostAdvantage: protects homeowners from theft and damage resulting from renting out their homes.
  • Water backup: additional coverage for water damage caused by sump pumps and backed-up drains.
  • Scheduled personal property: covers valuable items that have been appraised, such as antiques, jewelry, and collections.
  • Business property: covers business-related items in your house if you work from home.
  • Other options include coverage for sports equipment, musical equipment, yard and garden, and electronic data recovery.

Allstate Homeowners Insurance Discounts

  • Multi-policy
  • Automatic payment
  • Claim-free up to 20% for new customers without prior claims
  • Protective device
  • Early signing discount if the policy is applied for at least seven days before the existing policy expires
  • Welcome and loyalty discount
  • Homebuyer discount for new homeowners
  • On-time payment history

Allstate Homeowners Insurance Pros & Cons

Pros
  • Available in all 50 states plus Washington, D.C.
  • Many additional coverages are available.
  • Protection for short-term rentals.
Cons
  • Among the most expensive in New Mexico.
How is Allstate Homeowners Insurance Rated?
J.D. Power (out of 1,000)815
A.M. Best - Financial Strength RatingA+
NAIC Complaint Index2.05
BBBA-

Amica: Best for Having Different Policy Types to Choose From

Amica Home Insurance, New Mexico
Editors star rating review
4.0
Editor's Rating (4 Stars out of 5)

Amica was founded in 1907 as an auto insurance company in Rhode Island and has grown by adding a variety of coverages in 48 states, including homeowners insurance.

Amica offers three different homeowners policies to choose from:

The Standard Choice

The Standard Choice policy has standard homeowners coverage numerous options, including replacement costs for your home and personal property, water backup coverage, and extended device protection (computers, pads, phones, etc.). You’ll pay extra premiums for these options.

The Platinum Choice

The Platinum Choice policy makes the additional options for the Standard Choice policy standard coverage and broadens coverage for valuables and collectibles. Platinum Choice is also an HO-5 policy, meaning your personal property is covered for any peril except those specifically excluded in your policy.

Dividend Homeowners Policy

Policyholders can also choose a dividend homeowners policy, where 20% of premiums paid are returned each year. However, these policies are not offered in every state, and return rates can vary.

Amica Homeowners Insurance Discounts

  • Claim-free for three years
  • E-discount for signing up for electronic communications
  • Autopayment of premiums
  • Loyalty discount for two years with Amica
  • Multi-line discount of up to 30% for bundling with auto, condo, life, or umbrella policy
  • Automation detection devices for water leaks, gas leaks, and temperature monitoring

Amica Homeowners Insurance Pros & Cons

Pros
  • Offers different policy types.
  • Premiums are among the lowest in New Mexico.
Cons
  • Not available in Hawaii or Alaska.
  • Dividend policies are not available in all states.
How is Amica Homeowners Insurance Rated?
J.D. Power (out of 1,000)849
A.M. Best - Financial Strength RatingA+
BBBA+
NAIC Complaint Index0.32

State Farm: Best Inflation Protection

State Farm Home Insurance, New Mexico
Editors star rating review
4.5
Editor's Rating (4.5 Stars out of 5)

Inflation is on everyone’s mind, and considering how building materials and construction costs continue to rise, the cost of replacing a home can be anxiety-producing.

State Farm has done an excellent job alleviating this concern. Their Inflation Guard coverage increases the dwelling coverage amount each year to account for construction and material costs increases.

State Farm also offers additional coverages for:

  • Cyber-crime events
  • Identity-restoration after theft
  • Valuables insured for their appraised value

Read a full State Farm homeowners insurance review.

State Farm Homeowners Insurance Discounts

  • Multi-policy
  • Home security
  • Impact-resistant roof
  • Automatic sprinkler
  • Claims-free
  • Updated utilities

State Farm Homeowners Insurance Pros & Cons

Pros
  • Highest financial strength ratings available.
  • Nearly 20,000 local agents.
  • Very competitive rates.
  • Many policy options are available.
Cons
  • Policies are not sold by independent agents.
How is State Farm Homeowners Insurance Rated?
J.D. Power (out of 1,000)829
A.M. Best - Financial Strength RatingA++
BBBA+
NAIC Complaint Index1.77

Farmers: Cheapest Premiums in New Mexico

Farmers Home Insurance, New Mexico
Editors star rating review
4.5
Editor's Rating (4.5 Stars out of 5)

At the time of this review, Farmers offered the cheapest homeowners insurance in New Mexico at $891 per year, which is 33% less than the state average.

In addition to their cheap rates, Farmers offers excellent service and online tools.

While Farmers is great for people on a tight budget, their homeowners insurance policy is not highly customizable. There are only a few add-ons to choose from, including contents replacement cost coverage and eco-rebuild coverage.

Read a full Farmers homeowners insurance review.

Farmers Homeowners Insurance Discounts

  • Affinity group discounts
  • Bundle discount
  • ePolicy paperless discount
  • UL-approved roofing materials
  • New home if home under 14 years old
  • Home safety
  • Claim free for three years
  • Declining deductible every year with Farmers
  • Connected home to smart system, allowing remote monitoring and control of home

Farmers Homeowners Insurance Pros & Cons

Pros
  • Lowest premiums in New Mexico.
  • A low number of customer complaints.
  • High financial strength ratings.
Cons
  • Claims settled by non-Farmers subsidiaries.
  • Limited coverage add-ons.
How is Farmers Insurance Rated?
J.D. Power (out of 1,000)792
A.M. Best - Financial Strength RatingA
BBBA-
NAIC Complaint Index0.56

Nationwide: Best Standard Coverage

Nationwide Homeowners Insurance, New Mexico
Editors star rating review
4.0
Editor's Rating (4 Stars out of 5)

For homeowners looking for excellent standard coverage, Nationwide is a perfect choice.

One of the features that sets Nationwide apart is its credit card coverage. It protects you from costs and losses incurred if someone forges your checks, if you have unauthorized credit or debit card transactions, or if you receive counterfeit money.

Additionally, its standard coverage includes guest medical payments, loss of use if you're displaced from your home, and ordinance or law insurance which brings your home back up to code after a covered loss.

Nationwide Homeowners Insurance Discounts

  • Multi-policy
  • Gated community
  • Protective devices such as burglar alarms, fire alarms, or smoke detector
  • Claims-free
  • Roof rating is based on the roof’s age and the type of materials it was built from
  • Smart Home for having a Notion Smart Home Monitoring System

Nationwide Homeowners Insurance Pros & Cons

Pros
  • Very competitive premiums in New Mexico.
  • Credit card fraud protection standard.
  • Good variety of optional coverages.
Cons
  • Not available in Hawaii, Alaska, Louisiana, Massachusetts, or New Jersey.
  • Optional contents replacement cost coverage requires reimbursement.
How is Nationwide Insurance Rated?
J.D. Power (out of 1,000)816
A.M. Best - Financial Strength RatingA+
BBBA+
NAIC Complaint Index0.88

Chubb: Best for Expensive Homes

Chubb Homeowners Insurance, New Mexico
Editors star rating review
4.5
Editor's Rating (4.5 Stars out of 5)

For high-net-worth with high-value homes, Chubb can’t be beaten.

While it’s not a surprise you’ll pay more for Chubb than some other national insurers, their coverage is the most affordable for high-value homes because this is the company’s preferred target market.

Catering to those who demand excellence, Chubb also offers an exceptional customer experience. Coverage is sold by brokerages that cater to high-net-worth individuals, and brokerages must pass a comprehensive evaluation to receive authorization to sell Chubb homeowners insurance.

Chubb’s homeowners policy also has several features other insurers charge extra for. For example, HomeScan covers issues in your home that you discover and that need immediate attention before they cause damage.

In addition, replacement cost coverage, an option with most other insurers, comes standard with Chubb’s basic homeowners policy.

Chubb Homeowners Insurance Discounts

  • Multipolicy discount
  • New or renovated home
  • Fire and security
  • Claims-free after three years
  • No mortgage discount if the house is paid off
  • Backup generator discount

Chubb Homeowners Insurance Pros & Cons

Pros
  • Replacement cost coverage is standard.
  • Concierge service for wildfires.
  • Offers its own flood insurance.
Cons
  • Sold through agents only.
  • Online quotes are not available for most consumers.
How is Chubb Homeowners Insurance Rated?
J.D. Power (out of 1,000)809
A.M. Best - Financial Strength RatingA++
BBBD-
NAIC Complaint Index0.21

Are There Ways to Reduce the Cost of Homeowners Insurance?

The biggest way to reduce the cost of your premium is to ask your insurer for discounts. Some of the most common discounts that New Mexico insurers offer include a multi-policy or bundle discount if you have your homeowners insurance and another type of coverage with the same carrier. With some companies, you can save as much as 25%.

Being Claims-Free

If you don’t make a claim during a set period, typically three years, you’ll qualify for a discount.

Safety Features

If you live near a fire hydrant or a fire station and have security devices in your home, such as alarms, security cameras, deadbolts, and fire extinguishers, you’ll qualify for a discount with most insurers.

Age

Some companies will give you a hefty discount if you are 55 or older and are retired.

Are There Other Ways to Lower Your Homeowners Insurance Premium?

Since lenders require homeowners insurance, your policy should be affordable. Besides bundle discounts, there are other ways to offset your cost, including:

Shopping around

You should get insurance quotes from several insurers to compare rates, coverage, discounts, and additional features of each company to find the best insurance that suits your needs.

Improve or maintain your credit score

Most homeowners insurance companies use your credit score to determine your rate.

If you have a high credit score, your premium will be lower. This means the insurer believes you’ll pay on time and be less likely to miss a payment.

You'll probably have a higher premium if you have a score lower than 650. This is because homeowners with lower credit scores are statistically more likely to file claims.

So, it’s wise to improve and maintain your credit score. You can do so by paying down credit cards, paying more than the minimum payment on secured and unsecured loans, and reducing your overall debt.

Remodel Your Home

You'll get a discount if you remodel your home because you’re less likely to file a claim with newer wiring, plumbing, and appliances.

Raise Your Deductible

Like health insurance, the higher your homeowners insurance deductible, the more money you can save on your premiums.

The standard deductible in the home insurance industry is usually $500. However, if you can afford to raise your deductible to $1,000, you may save as much as 25%.

Conclusion

Some excellent insurance companies offer homeowners insurance in New Mexico, and we believe we’ve brought you the best in this review. While price is always a consideration, weigh all the factors we’ve mentioned. If you ever have a large claim, service will be foremost on your mind, not your premium.


Our Methodology

How We Ranked and Picked the Best Homeowners Insurance Companies in New Mexico

To determine the best companies that provide homeowners insurance, we looked at several factors, including pricing, coverage options, technology, the insurer’s financial strength, and the discounts an insurer offers that can lower your premium.

Discounts

We concentrated and recommended companies that had multiple discounts. This ensures that you can purchase a policy at the lowest possible rate.

The multi-policy discount is the most favorable because it significantly lowers your premium. We included companies that offered this discount.

Coverage

We looked at homeowners insurance policies based on how much coverage they offered. A range of coverages is important for a company to have because it allows you to customize a policy and tailor it to your needs.

Technology

If a company’s website and app allow you to manage most of your insurance needs electronically or if both are easy to use, that company was considered.

Customer Reviews

We looked at many sites offering customer reviews to narrow our selections further. The companies with the most positive reviews were included in our analysis.

Price

The cost of a homeowners insurance policy should be reasonable. Pricing has to be fair, and a company should also have discounts to make a policy affordable to most people. Consequently, we looked at companies that had affordable premiums.