How Does US Insurance Differ From Mexico Insurance?

Mexico Insurance is used by more than 20,000,000 tourists each year. To give an approximate estimate, 17.6 millions of the 22.6million tourists who visited Mexico in 2008 were American tourists. This is approximately 75% of the tourists from America who visit Mexico by car, motorbike, trailer, RV, or other vehicles that will need insurance. This is something most people don’t know. They may not want to but it is possible that they do not know that US auto insurance does NOT apply in Mexico. To operate a vehicle with a US or Canadian license plate in Mexico, you must have Mexico insurance. This applies to rental cars you have rented in the United States and Canada. Mexico insurance is essential for anyone who plans to travel around the country.

You can get insurance in Mexico at the US/Mexico border. However, it is better to be prepared for your trip. It is possible to purchase Mexico insurance online. You can be prepared and feel confident that your family will enjoy a safe and enjoyable vacation by purchasing Mexico insurance online.

Why are your US and Canadian insurances not valid in Mexico?

Mexican laws are different from those of their northern counterparts. Accordingly, Mexican laws require that only Mexican-licensed insurance companies are authorized to provide any type of insurance, including car insurance. If your Mexican car insurance provider is not licensed, your US insurance policy will be null in Mexico. Mexico does not require that all cars traveling within its borders must have Mexican insurance. However, it is strongly recommended. You could face serious consequences if you don’t do so, especially if you find yourself in a predicament.

How is Mexico and the US insurance coverage different?

Yes! They do differ from one country to the next, just as laws in the US vary from one state to another. Although there are too many subtle differences in the US, it is possible to name only the most important.

  • Auto Insurance Prices – The US has laws that regulate the insurance industry and protect consumers. It is not uncommon to find Mexican car insurance companies that offer wildly different prices. Mexico has a lot of Insurance Companies. Some are very good and some are terrible. You have to research which insurance company offers the best protection for you and your family when you travel in Mexico. It’s easy to find reputable Mexico insurance companies online, which are rated by A.M. Best for financial stability. Mexico insurance policies can be considered named risks, but not all risks. This means that you should clearly state your concerns regarding your coverage and entitlements on the coverage and declarations page.
  • Liability – Mexico’s Civil Law is the only law that establishes liability. While liability in the US is an integral part of an insurance policy, it is not in Mexico. You can add liability protection to your Mexico Insurance Policy. As in the USA, liability protection is what you should have on your vehicle when traveling to Mexico. There are some things to be aware of, however, as liability is determined by law. Personal Injury lawyers are not available and personal injury claims are rare. Accordingly, laws are able to determine damages to others and bodily injury based on actual “loss.” Mexico insurance policies can be tricky. It is important to clearly state in your declarations page what protection you have in case of an accident when you add it to the package. If you are involved in a car accident that results in someone being hurt, you could be sent to jail. Even if you are only responsible, you still need protection.

These details should not be a concern. These details should only be used to guide you and show you why your family needs protection. Mexico insurance is essential if you plan to drive around the southern neighbor. Mexico is a country with a rich history and a beautiful culture. However, if you don’t have the right Mexico Insurance, it can be a nightmare vacation.