Our New Mexico policy only covers material damage to an insured car for short trips into Mexico and within a limited distance from the border. Our car insurance policy does not provide valid automobile liability insurance in Mexico nor does it provide Uninsured or Underinsured Motorist Coverage for accidents occurring in Mexico. You should purchase valid automobile liability coverage from a licensed Mexican insurance company before driving into Mexico. A Farmers agent can help you can arrange coverage with an insurance company in Mexico. Farmers offers a variety of discounts for our car insurance customers based in New Mexico. For example: