| MEXICAN AUTO INSURANCE IS A MUST, DO NOT DRIVE IN MEXICO WITHOUT IT ! YOUR AMERICAN AND CANADIAN POLICIES ARE NOT RECOGNIZED IN MEXICO |
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We are often asked about the need for insurance when driving in Mexico, but more alarmingly, often asked too late! The law is very simple and very much like most US states and Canadian provinces. Mexican vehicle liability Insurance is a MUST HAVE item by law! ....AND VERY EASY TO OBTAIN |
1. How it works, what your options are and what to do if in an accident.
There are two basic types of insurance most drivers have on their vehicles. One is intended to cover loss due to
damage, accident, theft, fire, etc., of the car itself, and the other is PL&PD, or public liability and property damage to
someone else's vehicle, person or property. It is only the PL&PD which is a requirement in Mexico and most other North
American jurisdictions.
Should you be involved in any kind of accident from very minor to worse, on the arrival of the police, you will be asked for
verification of proper insurance coverage, irrespective of who may be at fault, as that is always for the courts to decide.
In Baja, if you produce proof of Mexican Insurance, the police will immediately call your insurer and they will dispatch an
adjuster to the scene to work on both your and the insurer's behalf. In most cases the vehicles will not even be moved
until his arrival, unless they constitute a hazard.
Without the proof of insurance, your vehicle will, in almost all cases, be impounded and towed immediately at your cost.
Regaining possession of it will also be time consuming, expensive, and there have been many reports of the condition
being significantly different on retrieval compared to when it was towed from the scene. You can also expect to be
arrested at the scene if the police believe you to be at fault, and are almost certain to be arrested if any form of personal
injury is involved. Do not let this happen to you.
Realistically, the whole procedure is not much different than what happens to an uninsured motorist in Canada or the
USA. Impound and Tow.........or produce the proof of insurance.
In summary of the above,for those of you who remember playing Monopoly, the insurance is basically your
"Get out of Jail Free Card"
If involved in an accident, produce the insurance and ask the police to call your adjuster....immediately, and do it firmly,
but nicely. Courtesy and respect go a long way everywhere.
2. How, when and where to buy insurance
For frequent travellers to Mexico, or residents here, buying an annual policy is generally the most cost effective method,
but one can also buy policies for any number of days at a premium, much like is charged at car rental agencies
anywhere. As most reading this are cross border day trippers or coming for a few days, we will address their options
first.
For Visitors
a) As you approach the border, you can take the last off-ramp exit in the USA and you will find a number of walk-in and
drive-in kiosks selling Mexican insurance. Though they are efficient, and process fairly quickly, they are also a delay in
your travel plans, as they can be experiencing line-ups, and the most costly of options. Most use this option and the
kiosks love it.
b) You may approach your USA or Canadian insurance company, and they may be able to sell you an acceptable
Mexican short term rider policy, but most will not know what you are talking about, and they can be pricey as well.
c) You can buy a policy on-line from a recognized Mexican Insurance specialist, and print it now or prior to leaving home,
avoiding delays, higher prices and uncertainties. The only downside is you need to know your agenda and travel times.
For Residents and Frequent Visitors
Frequent visitors should definitely consider an annual policy. The least expensive policies are definitely annual policies,
and most buy them on their vehicles. There is an alternative for the Liability Policy required, and that is to buy it on the
driver, allowing the insured to drive any vehicle while in Mexico. This is a little known option and one which should be
considered. The price for a vehicle or individual driver is about the same, but does not restrict you to which vehicle you
drive in Mexico. Such a policy is also available for couples at a discount, covering both drivers, irrespective of what they
are driving at the time. The downside is no other uninsured driver may use the vehicle, so when your friends come to
visit, you cannot give them the keys for a quick trip to the market.
This writer and most of his friends here in Baja have a driver's policy, allowing them to drive any foreign registered
vehicle with full liability coverage. We cannot drive a Mexican registered vehicle without a Mexican Driver's licence,
though.
Equally important, and also not well known, is that a foreign registered vehicle (Canada or USA), cannot be driven by
your best friend Gardener, Contractor or Maid who may only have a Mexican driver's licence, and no USA licence. So, in
short, if you are running California or Arizona plates, don't let someone with only a Mexican driver's licence use the
vehicle. It will be impounded if they are pulled over for any reason.
Hopefully the above is informative, and we have provided links below should you wish to look into an on-line policy prior
to your arrival at the border, conveniently saving both time and money. Click Here to order your policy before visiting
There are two basic types of insurance most drivers have on their vehicles. One is intended to cover loss due to
damage, accident, theft, fire, etc., of the car itself, and the other is PL&PD, or public liability and property damage to
someone else's vehicle, person or property. It is only the PL&PD which is a requirement in Mexico and most other North
American jurisdictions.
Should you be involved in any kind of accident from very minor to worse, on the arrival of the police, you will be asked for
verification of proper insurance coverage, irrespective of who may be at fault, as that is always for the courts to decide.
In Baja, if you produce proof of Mexican Insurance, the police will immediately call your insurer and they will dispatch an
adjuster to the scene to work on both your and the insurer's behalf. In most cases the vehicles will not even be moved
until his arrival, unless they constitute a hazard.
Without the proof of insurance, your vehicle will, in almost all cases, be impounded and towed immediately at your cost.
Regaining possession of it will also be time consuming, expensive, and there have been many reports of the condition
being significantly different on retrieval compared to when it was towed from the scene. You can also expect to be
arrested at the scene if the police believe you to be at fault, and are almost certain to be arrested if any form of personal
injury is involved. Do not let this happen to you.
Realistically, the whole procedure is not much different than what happens to an uninsured motorist in Canada or the
USA. Impound and Tow.........or produce the proof of insurance.
In summary of the above,for those of you who remember playing Monopoly, the insurance is basically your
"Get out of Jail Free Card"
If involved in an accident, produce the insurance and ask the police to call your adjuster....immediately, and do it firmly,
but nicely. Courtesy and respect go a long way everywhere.
2. How, when and where to buy insurance
For frequent travellers to Mexico, or residents here, buying an annual policy is generally the most cost effective method,
but one can also buy policies for any number of days at a premium, much like is charged at car rental agencies
anywhere. As most reading this are cross border day trippers or coming for a few days, we will address their options
first.
For Visitors
a) As you approach the border, you can take the last off-ramp exit in the USA and you will find a number of walk-in and
drive-in kiosks selling Mexican insurance. Though they are efficient, and process fairly quickly, they are also a delay in
your travel plans, as they can be experiencing line-ups, and the most costly of options. Most use this option and the
kiosks love it.
b) You may approach your USA or Canadian insurance company, and they may be able to sell you an acceptable
Mexican short term rider policy, but most will not know what you are talking about, and they can be pricey as well.
c) You can buy a policy on-line from a recognized Mexican Insurance specialist, and print it now or prior to leaving home,
avoiding delays, higher prices and uncertainties. The only downside is you need to know your agenda and travel times.
For Residents and Frequent Visitors
Frequent visitors should definitely consider an annual policy. The least expensive policies are definitely annual policies,
and most buy them on their vehicles. There is an alternative for the Liability Policy required, and that is to buy it on the
driver, allowing the insured to drive any vehicle while in Mexico. This is a little known option and one which should be
considered. The price for a vehicle or individual driver is about the same, but does not restrict you to which vehicle you
drive in Mexico. Such a policy is also available for couples at a discount, covering both drivers, irrespective of what they
are driving at the time. The downside is no other uninsured driver may use the vehicle, so when your friends come to
visit, you cannot give them the keys for a quick trip to the market.
This writer and most of his friends here in Baja have a driver's policy, allowing them to drive any foreign registered
vehicle with full liability coverage. We cannot drive a Mexican registered vehicle without a Mexican Driver's licence,
though.
Equally important, and also not well known, is that a foreign registered vehicle (Canada or USA), cannot be driven by
your best friend Gardener, Contractor or Maid who may only have a Mexican driver's licence, and no USA licence. So, in
short, if you are running California or Arizona plates, don't let someone with only a Mexican driver's licence use the
vehicle. It will be impounded if they are pulled over for any reason.
Hopefully the above is informative, and we have provided links below should you wish to look into an on-line policy prior
to your arrival at the border, conveniently saving both time and money. Click Here to order your policy before visiting
| North American Free Trade Agreement Questions Answered Regarding Working, Living and Investing in Mexico |
