New Mexico Homeowners Insurance

Compiled byPlainInsure Editorial, Insurance Transparency Editorial Team · May 15, 2026

U.S. Treasury FIO data for 199 ZIP codes in New Mexico (NM).

The verdict

Homeowners in New Mexico pay about $1,577/yr, 11% below the U.S. average - the 31st most expensive of 51 states.

$1,577
State avg premium: -11%
vs U.S. average: +3.1%
2018→2022 change: #31
of 51 states

Across 199 ZIP codes, ZIP-level premiums vary widely within the state.

Homeowners in New Mexico pay an average of $1,577 per year for home insurance - 11% below the national average of $1,776. That ranks New Mexico as the 31st most expensive state out of 51 for homeowners insurance. Between 2018 and 2022, premiums rose by 3.1%; loss ratios above 100% indicate insurers paid more in claims than they collected, a leading indicator of future rate increases.

On five-year premium growth (2018–2022), New Mexico ranks 36th out of 51 states. Its nonrenewal rate (1.23%) ranks 19th out of 50 - nonrenewal is an early warning indicator of insurer retreat, often tied to disaster risk.

According to the U.S. Department of the Treasury, Federal Insurance Office - "Analyses of U.S. Homeowners Insurance Markets, 2018–2022." Premium values are five-year averages across all ZIP-level observations. See methodology for how the state rank and comparison are calculated.

How New Mexico Compares

vs National Average

$1,577 vs $1,776

11% below national avg

Rank Among States

31st of 51

most expensive for homeowners insurance

Loss Ratio vs National

117.2% vs 58.0%

insurers pay out more per premium dollar here

Avg Premium

$1,577/yr

National avg: $1,776 (-11% below)

Premium Change

+3.1%

2018-2022 change

Avg Loss Ratio

117.2%

Claims paid vs premiums earned

Nonrenewal Rate

1.23%

+9.0% change

Data Snapshot: New Mexico Homeowners Insurance

New Mexico homeowners paid an average of $1,577 per year for home insurance based on U.S. Treasury FIO data covering 199 ZIP codes across the state. That is 11% below the national average of $1,776 per year reported by the Federal Insurance Office. New Mexico ranks 31st most expensive out of 51 states and territories on annual premium, with ZIP-level observations ranging from $939 in 88065 to $4,234 in 87562.

Between 2018 and 2022, average premiums rose by 3.1% in New Mexico, placing the state 36th nationally on five-year premium growth. The state-level loss ratio averaged 117.2%, meaning insurers paid out more in claims than they collected in premiums, a leading indicator of future rate increases. Nonrenewal rates, the share of policies insurers decline to extend at expiration, averaged 1.23%, a climb of 9.0% over the study period (ranking 19th out of 50 states).

Within New Mexico, premium dispersion across ZIP codes is substantial: the most expensive ZIP (87562 in Rowe) charges 351% more than the least expensive (88065 in Tyrone), reflecting local differences in catastrophe exposure, construction costs, and claims history. The FIO dataset aggregates voluntary reporting from the 40 largest homeowners insurers covering roughly 80% of the U.S. market, so ZIP-level figures represent market averages rather than individual quotes; actual premiums vary with dwelling value, deductible, coverage limits, and insurer-specific underwriting. This page is for educational research only and is not insurance advice, homeowners should obtain quotes from multiple licensed carriers or an independent agent before purchasing or renewing coverage.

How to read these figures: state averages on this page are computed from U.S. Treasury Federal Insurance Office data, which the office collects directly from the largest homeowners insurers and reports at the ZIP-code level. A statewide average blends expensive coastal and wildfire-exposed markets with lower-cost inland areas, so the figure is a useful benchmark but will understate what some residents pay and overstate what others pay. The loss ratio is the share of every premium dollar that insurers returned as claims; sustained ratios near or above one signal a market under pressure, where rate increases, tighter underwriting, or nonrenewals tend to follow. Claim frequency and nonrenewal rates show how often policies result in claims and how often insurers decline to renew, both of which track local catastrophe exposure. Treat the state number as context, then drill into your own ZIP code for the figure closest to your situation and compare quotes from several licensed carriers before deciding.

Loss Ratio Reading: New Mexico

New Mexico statewide - FIO 2018-2022 average: 117% (Underwriting loss) - paid out more than collected, rate increases virtually guaranteed.

ZIP Codes Tracked

199

Reporting Period

2018-2022

Source

U.S. Treasury FIO

Premium Trends (2018-2022)

Year	Avg Premium	Median Premium	Loss Ratio	Claim Freq	Nonrenewal
2018	$1,530	$1,412	58.4%	5.56%	1.13%
2019	$1,560 (+2.0%)	$1,433	57.0%	6.27%	1.08%
2020	$1,574 (+0.8%)	$1,449	38.1%	3.84%	0.85%
2021	$1,574 (+0.0%)	$1,448	53.7%	4.83%	0.89%
2022	$1,577 (+0.2%)	$1,451	117.2%	6.39%	1.23%

Average homeowners premium per year in New Mexico.

Most Expensive ZIP Codes in New Mexico

Most Affordable ZIP Codes in New Mexico

Truth Or Consequences, NM

All ZIP Codes in New Mexico

199 ZIP codes sorted by premium (highest first). Click column headers to sort.

ZIP	City	Premium	Loss Ratio	Claims	Nonrenewal
87562	Rowe	$4,234	16.6%	2.60%	N/A
87525	Taos Ski Valley	$3,650	54.1%	10.00%	N/A
87506	Santa Fe	$3,193	28.4%	5.23%	0.44%
87710	Angel Fire	$2,858	24.8%	3.54%	0.71%
88242	Hobbs	$2,843	30.2%	5.44%	1.06%
88135	Texico	$2,700	5.0%	3.13%	1.56%
88267	Tatum	$2,696	14.6%	4.46%	1.79%
87580	Valdez	$2,653	5.1%	1.80%	1.80%
88260	Lovington	$2,644	494.4%	63.33%	0.38%
87501	Santa Fe	$2,603	27.5%	4.51%	0.66%
87742	Rociada	$2,557	6559.4%	111.17%	2.54%
88210	Artesia	$2,520	24.7%	4.56%	0.61%
88252	Jal	$2,489	10.9%	1.15%	1.15%
88312	Alto	$2,482	54.9%	5.11%	4.29%
88240	Hobbs	$2,478	22.5%	4.66%	0.85%
87514	Arroyo Seco	$2,446	12.0%	2.05%	0.23%
88130	Portales	$2,442	31.9%	6.14%	1.03%
88231	Eunice	$2,411	18.6%	4.40%	1.22%
88101	Clovis	$2,402	49.0%	10.04%	0.92%
87540	Lamy	$2,389	12.2%	1.58%	0.53%
88220	Carlsbad	$2,385	18.3%	3.81%	0.53%
87560	Ribera	$2,355	0.2%	0.96%	0.96%
88124	Melrose	$2,313	11.1%	6.14%	1.75%
87552	Pecos	$2,195	11.7%	3.35%	2.60%
88201	Roswell	$2,195	32.3%	6.21%	0.96%
88401	Tucumcari	$2,188	61.9%	4.11%	0.66%
88256	Loving	$2,185	152.1%	26.71%	2.74%
88232	Hagerman	$2,178	10.7%	3.82%	1.91%
88415	Clayton	$2,161	30.0%	6.68%	0.48%
88230	Dexter	$2,158	78.2%	6.41%	0.29%
88341	Nogal	$2,157	86.1%	6.31%	0.97%
87745	Sapello	$2,061	3516.4%	71.96%	1.87%
87513	Arroyo Hondo	$2,056	14.9%	5.49%	0.39%
88426	Logan	$2,017	25.6%	5.86%	1.54%
87010	Cerrillos	$2,010	81.3%	1.27%	0.95%
87558	Red River	$1,984	129.7%	14.55%	1.52%
87749	Ute Park	$1,934	50.5%	3.70%	0.93%
87549	Ojo Caliente	$1,900	15.6%	3.38%	0.97%
87505	Santa Fe	$1,873	28.3%	4.25%	0.61%
87564	San Cristobal	$1,870	N/A	N/A	3.03%
88203	Roswell	$1,863	36.0%	6.35%	0.80%
87722	Guadalupita	$1,850	440.3%	14.55%	N/A
87529	El Prado	$1,844	75.8%	4.20%	0.40%
87535	Glorieta	$1,832	20.0%	2.76%	3.10%
87510	Abiquiu	$1,831	45.5%	3.08%	1.15%
87578	Truchas	$1,829	51.9%	6.06%	1.01%
87718	Eagle Nest	$1,822	36.5%	3.37%	1.35%
87701	Las Vegas	$1,800	308.0%	13.19%	1.33%
87122	Albuquerque	$1,796	35.2%	3.97%	0.61%
87557	Ranchos De Taos	$1,793	43.6%	4.26%	1.30%
87740	Raton	$1,790	21.9%	4.13%	0.85%
87571	Taos	$1,782	44.1%	3.32%	0.84%
88345	Ruidoso	$1,779	322.1%	7.92%	6.50%
87047	Sandia Park	$1,778	46.0%	4.41%	1.83%
87048	Corrales	$1,775	49.1%	3.96%	0.44%
88119	Fort Sumner	$1,758	14.8%	5.84%	1.95%
87008	Cedar Crest	$1,757	62.3%	4.02%	2.54%
87043	Placitas	$1,732	25.7%	2.71%	1.74%
88435	Santa Rosa	$1,726	8.7%	3.71%	1.59%
87732	Mora	$1,720	2899.5%	59.49%	1.03%
87530	El Rito	$1,718	16.1%	6.98%	0.78%
88325	High Rolls Mountain Park	$1,712	30.3%	5.48%	1.37%
88339	Mayhill	$1,684	8.1%	1.87%	0.53%
88316	Capitan	$1,683	28.1%	4.86%	1.28%
87059	Tijeras	$1,681	40.3%	4.22%	1.74%
87508	Santa Fe	$1,680	35.1%	4.46%	1.36%
87548	Medanales	$1,677	89.6%	5.51%	N/A
88318	Corona	$1,675	0.1%	1.64%	N/A
87527	Dixon	$1,667	144.1%	2.19%	N/A
87747	Springer	$1,651	47.3%	10.70%	1.07%
87579	Vadito	$1,648	59.9%	8.28%	1.18%
87544	Los Alamos	$1,642	25.0%	3.10%	0.54%
87582	Velarde	$1,639	20.3%	3.30%	0.47%
87520	Chama	$1,624	31.3%	2.53%	1.17%
87714	Cimarron	$1,616	N/A	N/A	1.48%
87056	Stanley	$1,616	5.0%	N/A	1.16%
87537	Hernandez	$1,596	13.9%	4.17%	N/A
87036	Mountainair	$1,593	35.1%	3.81%	1.90%
88346	Ruidoso Downs	$1,592	63.1%	9.78%	3.07%
87016	Estancia	$1,573	67.3%	4.89%	2.14%
88317	Cloudcroft	$1,570	24.9%	2.46%	1.41%
87553	Penasco	$1,570	2.9%	0.79%	N/A
87001	Algodones	$1,560	30.6%	4.19%	1.20%
87531	Embudo	$1,559	N/A	N/A	3.95%
87556	Questa	$1,538	44.6%	1.82%	1.82%
88416	Conchas Dam	$1,518	25.2%	4.03%	1.34%
87023	Jarales	$1,513	64.4%	9.43%	0.94%
87511	Alcalde	$1,509	11.6%	2.49%	1.42%
87006	Bosque	$1,489	21.6%	3.62%	0.72%
87575	Tierra Amarilla	$1,488	20.8%	4.76%	1.43%
87577	Tres Piedras	$1,486	7.3%	1.27%	N/A
87024	Jemez Pueblo	$1,477	66.6%	7.22%	1.03%
87025	Jemez Springs	$1,475	14.5%	2.79%	1.86%
87532	Espanola	$1,471	51.8%	4.46%	0.98%
87551	Los Ojos	$1,468	18.6%	3.41%	1.14%
88337	La Luz	$1,467	12.0%	1.92%	0.43%
87041	Pena Blanca	$1,465	2.2%	1.16%	N/A
87522	Chimayo	$1,464	46.0%	4.47%	1.02%
87015	Edgewood	$1,461	46.8%	4.27%	0.76%
87567	Santa Cruz	$1,451	22.6%	4.46%	0.64%
87566	Ohkay Owingeh	$1,439	31.3%	2.75%	0.92%
88350	Timberon	$1,438	4.5%	1.72%	0.57%
87521	Chamisal	$1,436	39.7%	2.61%	2.61%
87042	Peralta	$1,434	76.4%	5.11%	1.20%
87062	Veguita	$1,419	28.9%	5.80%	0.72%
88047	Mesilla Park	$1,402	23.6%	4.03%	0.34%
87825	Magdalena	$1,385	42.6%	2.75%	3.21%
88301	Carrizozo	$1,384	158.0%	4.83%	0.97%
88021	Anthony	$1,380	423.5%	21.91%	1.12%
87035	Moriarty	$1,363	41.0%	6.30%	0.77%
88046	Mesilla	$1,357	43.1%	3.24%	0.54%
88352	Tularosa	$1,355	20.9%	3.94%	1.02%
87032	Mcintosh	$1,349	33.1%	8.45%	N/A
88081	Chaparral	$1,341	61.7%	4.58%	0.70%
87937	Hatch	$1,334	5.6%	4.43%	0.63%
87068	Bosque Farms	$1,330	47.3%	4.30%	0.40%
87412	Blanco	$1,318	14.3%	3.82%	N/A
87418	La Plata	$1,311	31.4%	4.31%	0.96%
87107	Albuquerque	$1,306	49.4%	5.28%	0.74%
88310	Alamogordo	$1,301	46.6%	4.92%	1.00%
88041	Hanover	$1,297	6.8%	2.22%	0.74%
87827	Pie Town	$1,296	21.2%	2.60%	1.30%
88042	Hillsboro	$1,291	13.1%	0.91%	N/A
87044	Ponderosa	$1,288	17.1%	2.67%	N/A
87002	Belen	$1,287	83.0%	4.98%	2.27%
87823	Lemitar	$1,283	54.1%	5.31%	N/A
88028	Cliff	$1,283	112.3%	10.96%	2.74%
87104	Albuquerque	$1,282	67.3%	4.98%	0.60%
87111	Albuquerque	$1,270	39.6%	4.46%	0.55%
87832	San Antonio	$1,264	11.9%	1.98%	N/A
87326	Vanderwagen	$1,258	27.2%	5.80%	N/A
87415	Flora Vista	$1,258	25.8%	2.99%	2.17%
87507	Santa Fe	$1,251	34.6%	3.92%	0.73%
88044	La Mesa	$1,245	17.7%	4.44%	0.36%
88049	Mimbres	$1,229	16.3%	3.25%	0.72%
87317	Gamerco	$1,228	18.3%	2.53%	2.53%
87013	Cuba	$1,227	100.9%	4.20%	1.26%
87402	Farmington	$1,221	43.0%	4.62%	0.87%
88007	Las Cruces	$1,220	52.1%	4.42%	0.88%
87419	Navajo Dam	$1,217	99.7%	6.00%	2.00%
88008	Santa Teresa	$1,217	453.2%	44.48%	0.59%
87321	Ramah	$1,217	16.3%	3.17%	2.78%
87031	Los Lunas	$1,216	55.5%	4.39%	0.74%
88011	Las Cruces	$1,212	48.3%	3.38%	0.47%
87416	Fruitland	$1,205	25.4%	3.13%	N/A
87821	Datil	$1,199	3.8%	1.54%	N/A
87106	Albuquerque	$1,199	42.0%	4.25%	0.53%
87421	Waterflow	$1,197	104.9%	4.95%	1.98%
87935	Elephant Butte	$1,186	105.2%	6.90%	0.38%
87410	Aztec	$1,181	38.0%	4.25%	1.42%
88022	Arenas Valley	$1,179	6.9%	2.45%	1.23%
87105	Albuquerque	$1,179	76.1%	6.39%	0.88%
87829	Quemado	$1,171	8.2%	1.23%	1.23%
87083	Cochiti Lake	$1,165	164.9%	9.66%	0.48%
88005	Las Cruces	$1,160	36.7%	3.82%	0.59%
87801	Socorro	$1,160	43.2%	5.03%	0.41%
87114	Albuquerque	$1,154	69.4%	6.44%	0.69%
88048	Mesquite	$1,154	17.5%	1.60%	1.60%
87113	Albuquerque	$1,146	34.2%	3.21%	0.71%
88072	Vado	$1,144	7.7%	1.55%	N/A
87301	Gallup	$1,142	78.4%	8.35%	1.06%
88045	Lordsburg	$1,139	33.8%	3.86%	1.10%
87417	Kirtland	$1,134	30.5%	3.53%	0.81%
87942	Williamsburg	$1,133	6.8%	2.38%	1.19%
87413	Bloomfield	$1,131	26.2%	3.56%	0.43%
88029	Columbus	$1,129	N/A	N/A	4.65%
87120	Albuquerque	$1,126	49.2%	4.53%	0.61%
88061	Silver City	$1,125	25.6%	3.95%	1.49%
87004	Bernalillo	$1,112	47.9%	4.39%	1.10%
87124	Rio Rancho	$1,111	89.5%	7.57%	0.70%
87109	Albuquerque	$1,107	41.5%	3.81%	0.80%
88030	Deming	$1,107	33.9%	3.63%	0.83%
87144	Rio Rancho	$1,102	66.0%	5.03%	0.56%
87121	Albuquerque	$1,098	74.3%	7.06%	0.63%
87931	Caballo	$1,097	5.5%	1.01%	1.01%
87401	Farmington	$1,097	48.8%	4.27%	0.70%
88038	Gila	$1,093	3.1%	1.22%	1.22%
87123	Albuquerque	$1,093	46.0%	3.75%	0.55%
87323	Thoreau	$1,091	172.2%	5.65%	2.42%
87102	Albuquerque	$1,090	37.3%	4.62%	0.85%
87110	Albuquerque	$1,082	49.6%	4.62%	0.57%
88053	Pinos Altos	$1,081	3.2%	1.52%	1.52%
88043	Hurley	$1,081	16.6%	2.93%	2.56%
87830	Reserve	$1,080	3.4%	1.76%	2.35%
87108	Albuquerque	$1,074	61.3%	4.38%	0.84%
87005	Bluewater	$1,068	67.4%	4.23%	N/A
88039	Glenwood	$1,063	10.1%	2.08%	N/A
87112	Albuquerque	$1,061	53.0%	4.15%	0.60%
88027	Chamberino	$1,047	15.4%	5.48%	1.37%
88063	Sunland Park	$1,043	132.8%	11.14%	0.51%
87901	Truth Or Consequences	$1,043	35.9%	3.37%	0.76%
87021	Milan	$1,041	28.1%	3.54%	0.44%
88026	Santa Clara	$1,018	67.1%	13.30%	0.99%
88012	Las Cruces	$1,015	43.8%	3.86%	0.82%
87420	Shiprock	$995	26.3%	3.30%	N/A
87020	Grants	$988	58.0%	5.24%	0.69%
88001	Las Cruces	$977	29.8%	4.18%	0.63%
88023	Bayard	$960	25.3%	4.66%	1.64%
88065	Tyrone	$939	41.3%	5.19%	N/A

New Mexico Insurance Guides

Why Is Homeowners Insurance So Expensive?

Key factors driving premium increases nationwide

The Insurance Nonrenewal Crisis

Why insurers are dropping policyholders and what it means

Understanding Loss Ratios

What loss ratios reveal about your state's insurance market

Insurance Costs by State

How New Mexico compares to other states

Explore More Insurance Data

Premium Rankings

Most & least expensive ZIPs and states nationwide

Dental Insurance in New Mexico

DHMO vs DPPO premiums (NADP 2024)

Compare All States

Average premiums and nonrenewals across the U.S.

Frequently Asked Questions

What is the average homeowners insurance cost in New Mexico? ▼

The average homeowners insurance premium in New Mexico is $1,577 per year, based on U.S. Treasury FIO data covering 199 ZIP codes. This is 11% below the national average of $1,776.

How have insurance premiums changed in New Mexico? ▼

New Mexico homeowners insurance premiums changed by +3.1% between 2018 and 2022. The average loss ratio is 117.2%, meaning insurers pay out that percentage of earned premiums in claims.

Which ZIP code has the most expensive insurance in New Mexico? ▼

The most expensive ZIP code for homeowners insurance in New Mexico is 87562, with an average premium of $4,234/yr. The most affordable is 88065 at $939/yr.

What is the nonrenewal rate for New Mexico homeowners insurance? ▼

The average nonrenewal rate in New Mexico is 1.23%. This rate has changed by +9.0% from 2018 to 2022. Nonrenewals occur when an insurer declines to renew an existing policy at expiration. ZIP 87102 has the highest nonrenewal rate in the state at 0.85%.

What is a loss ratio and what does New Mexico's mean? ▼

A loss ratio measures how much an insurer pays out in claims compared to premiums collected. New Mexico's average loss ratio is 117.2%. Ratios above 100% indicate insurers are paying more in claims than they collect, which often leads to premium increases.

How often do homeowners file insurance claims in New Mexico? ▼

The average claim frequency in New Mexico is 6.39%, meaning that percentage of policies result in a claim each year. The average claim severity (cost per claim) is $16,102. Higher claim frequency and severity typically correlate with higher premiums.

What this means in New Mexico

State averages set the benchmark, your ZIP and your home decide the rest.

Look up your exact ZIP in New Mexico - premiums vary widely across the state. Browse ZIPs
See where New Mexico ranks against every other state. Premium rankings
A high statewide loss ratio signals rate pressure, understand what that means before you renew. Loss ratio guide

State figures are five-year ZIP-level averages from U.S. Treasury FIO data, a benchmark, not a quote for any individual home.

Source: U.S. Department of the Treasury, Federal Insurance Office (FIO) Homeowners Insurance Data (2018-2022). Premiums are ZIP-level averages and may not reflect individual policy costs U.S. Department of the Treasury, Federal Insurance Office (FIO) Homeowners Insurance Data (2018-2022). Premiums are ZIP-level averages and may not reflect individual policy costs

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