Getting Home Insurance in Albuquerque
The average cost of homeowners insurance in New Mexico is $751, according to the Insurance Information Institute (III). This is less than the national average of $880, the III reported. However, depending on your home, coverage options, and the insurance company you choose, what you pay for home insurance in Albuquerque could be even less than the state average. According to the New Mexico Division of Insurance’s Premium Comparison Guide, if you have a $100,000 home that was built in 2000, within five miles of a fire station and 1,000 feet of a fire hydrant, and with a $500 deductible, your premium would be $357 with Safeco Insurance Company of America, $559 with Allstate Property and Casualty Company, or $441 with Farmers Insurance Exchange. So, it’s beneficial to shop around.
Factors of Home Insurance Rates in Albuquerque
Crime rate is a key factor when determining what your premiums are going to be for homeowners insurance in Albuquerque. Most policies will cover losses and damages resulting from theft and vandalism, so they want to see if the area you live in puts you at a greater risk for these things. They then adjust your premium to compensate for this risk. However, there are steps you can take to combat this adverse premium rating factor, such as installing a burglar alarm. The following chart focuses on the average crime rates for Albuquerque:
Unfortunately, New Mexico is prone to wildfires — primarily from January to May. Because home insurance policies cover damage from fire and smoke, where your house is located in regard to a fire station and a fire hydrant is another key factor when determining what your premium for home insurance will be in Albuquerque. New Mexico is also one of the only states threatened by monsoons, which bring torrential rain and wind gusts. While flood insurance must be purchased separately, wind damage is covered in most insurance policies.
While natural disasters like wildfires and monsoons that may occur in Albuquerque are beyond your control, other factors affecting your premium that you can control include the number and type(s) of pet(s) you own, the value of your belongings, and the number of claims you make. If you have a history of making several claims, you may be considered a higher risk, resulting in higher premiums.