OUT OF STATE COVERAGE
When the policy applies to the operation of a motor vehicle outside of your state, and the limits are higher in that state, your insurance will increase your limits to the extent of the limits required by the local law. As long as you possess those coverages in your own policy. For example, if you live in a state that requires PIP and the state you are driving in requires bodily injury, than your insurance will not provide bodily injury since you have not purchased this coverage.You must purchase bodily injury protection to have this coverage. If your PIP is $10,000/$20,000 and the state in which you are driving has a limit of $15,000/$30,000 than your limit will be increased to meet the higher limits required for that particular state.
New Mexico Car Insurance Laws
|The minimum amount of liability insurance required in New Mexico is as follows:|
|$20,000/$50,000 for bodily Injury|
|$10,000 for property damage|
Automobile liability insurance is generally defined as coverage for bodily injury you cause to another person or for property damage you cause to another person’s property through negligent use of your vehicle. In New Mexico you are required to carry $20,000/$50,000 in bodily injury protection and $10,000 in property damage.
In the state of New Mexico, Uninsured/Under insured Motorist Coverage is considered optional coverage, so law does not require it. In the state of New Mexico Uninsured/Under insured motorist coverage pays benefits to the policyholder if their vehicle is hit by a driver who has no insurance or too little insurance to pay for the full amount of the policyholder’s injuries. Any bodily injury the policyholder or any occupant of your vehicle suffers due to an accident caused by an uninsured driver is covered under the Uninsured/Under insured motorist coverage policy.
New Mexico is governed by a Tort System. If you are involved in an accident, someone must be held liable for the cause of the accident. The person at fault is generally responsible for all damages. Compensation for claims is the responsibility of the person found to be at fault. Being that New Mexico is a Tort state, it is usually recommend that driver’s consider carrying greater limits than just the state minimums requirements.
You should be aware that in a competitive insurance market insurance companies charge different rates for essentially the same coverage. Shopping around may result in savings to you on your automobile policy. Be sure to take into consideration the services provided by the company.