Frequently Asked Insurance Questions


Q: Are auto insurance quotes free?
A: Yes, when shopping for auto insurance in New Mexico, you will not be asked to provide any type of payment to get a quote for car insurance on our site.

Q: What types of vehicle insurance is available at NM Insurance Services?
A: A variety of insurance policies are available including: car/truck insurance, motorcycle insurance, boat/watercraft insurance, ATV/UTV insurance, and of course, RV insurance.

Q: What does liablity insurance on my vehicle cover?
A: In the event that you are involved in an accident and it is determined that you are at fault, liability insurance would cover the the other driver, passengeners, and the vehicle that was damaged up to the limit that your policy states. Liability is a required but does not cover you or your car. It also does not cover other types of damages to your vehicle such as weather related damages, theft, fire, etc.

Q: What is the minimum auto insurance required in NM?
A: According to the Department of Motor Vehicles, the very basic insurance requirements include: $25,000 for bodily injury to or death of one person, $50,000 for bodily injury to or death of two or more persons, and 0,000 for property damage in any one accident.

Q: What additional coverages are available for my vehicle?
A: Drivers who wish to be fully covered may wish to add the following coverage to their insurance policy: uninsured/underinsured motorist coverage, additional medical coverage, comprehensive & collision, and towing and/or rental reimbursement coverage.

Q: How much insurance do I need to cover my vehicle?
A: This depends on the type of vehicle you have and the type of coverage you wish to get.

Q: Will auto insurance cover rental cars?
A: Some policies do cover rental cars. This is usually optional and your insurance agent will ask you if you want the extra coverage. You can always deny any extra coverage that you do not want or need.

Q: Is home insurance mandatory in New Mexico?
A: Having home insurance in New Mexico is not mandatory, unless your home is financed. Your lender will require insurance on a home that is not paid for in full.

Q: How much home insurance do I need?
A: One mistake many homeowners make is not having enough insurance to fully cover their home and property. Ideally, you want enough homeowner’s insurance to rebuild and replace your home and your belongings if something devasting were to happen. Also think about the living expenses you and/or your family will incur if you had to be out of the home while it is being repaired. Additionally, you need to have enough liability insurance to cover injuries and damages that occur on your property. For example, a neighbor comes to visit you during a rain storm and he slips on your front porch and breaks a leg. Since this happened on your property, you would need to cover his doctor and hospital bills. Liability cover would pay for these expenses that you incur due to the incident. Most homeowner’s insurance policies have a minimum of 00,000 in liability coverage, but if your budget allows try to get closer to $500,000 or more.

Q: How much will home insurance cost?
A: Because insurance is something that is based upon your personal situations, the cost of home insurance will vary. Some things that your rates are based upon include, the location of your home (is it in a rural area? is it in a high-risk area for crime or weather related claims?), the value of your home and it's contents, the age of the home, (does your home have extra security and safety features?), and several other factors.

Q: What is the difference between home insurance and home warranty insurance?
A: Home insurance covers things like natural disasters, fire, and valdalism. A homeowner's policy generally does not cover things like an HVAC system breaking down, or plumbing and electrical system problems. Major issues like this would likely be covered under a home warranty insurance policy that you purchase when you buy a new home.

Q: If you are a young person with a family on a budget what type of life insurance would be affordable?
A: Many young families opt for the basic term life insurance. The premiums are less expensive than whole life or universal life insurance.

Q: How are life insurance rates determined?
A: When applying for life insurance, you will be asked a series of basic personal questions, like your age, height, weight, gender, and occupation. Some of the questions will be regarding your health, such as, are you a tobacco users? are you obese? are you a diabetic?, etc. Of course, tobacco user rates are going to be considerably higher than those who do not use tobacco, and the younger you are the less you will pay for life insurance.

Q: How much life insurance should I get?
A: This question is one that you should ponder carefully. Do you have young children? If so, you might want to consider getting a larger policy to make sure there are enough funds for them to last through college. Do you have a large amount of debt? Life insurance will assist your loved ones in paying off the debt you leave behind. Also think about final expenses that your family will have to pay in the event of your death.

Q: What is the least expensive type of health insurance available?
A: If you are young (under 30) and do not have any underlying medical issues, catastropic could be an option for you. Keep in mind that these health plans are the least expensive but have the least amount of benefits. Additionally, all catastropic plans have a very high deductible, meaning you will not receive any benefits until the deductible has been met.

Q: Can I purchase health insurance at any time?
A: Generally no, although certain life events do make this possible. If you lose a job, get married, adobt a child, or lose insurance coverage, you will be able to apply for insurance within 60 days of the qualifying event. However, if you have no events that qualify, you must wait until November 1st - December 15th for an enrollment period.

Q: Is health insurance mandatory in New Mexico?
A: For the majority of people living in NM, having some type of health insurance is required. If a person does not have health insurance throughout the year, he/she could be monetarily penalized.

Q: Is vision and dental visits covered by health insurance?
A: For children under the age of 18, some insurance plans will cover an eye exam once yearly. For adults this is not included. Dental is not covered by health insurance, you would have to purchase dental insurance separately.

Q: If I have health insurance, why would I need diability insurance?
A: Disability insurance does not cover health care related bills. Disability insurance replaces your income in case you are not able to work due to an illness or injury.