What is Mexican Auto Insurance
Many travelers wonder if they need Mexican auto insurance, and the answer is yes. Mexican auto insurance provides vehicle insurance for tourist visiting Mexico. Mexican law requires that out-of-country drivers must be financially liable for any physical damage or bodily injury they may have caused. If you have an accident while in Mexico or are stopped by the police for a vehicle problem, and do not have Mexican auto insurance for your vehicle, you could be arrested or have your vehicle impounded and be faced with a heavy fine for violating the law. You will also be liable for any damages you may have caused from an accident. The last thing you want to do is spend your vacation behind bars because you did not purchase Mexican auto insurance. Mexico law is very clear – to drive in Mexico, you must at least have Mexican liability coverage, underwritten by a Mexican carrier.
Liability Only Coverage or Full Coverage
There are two types of Mexican auto insurance policies you can purchase – Liability Only policies or Full Coverage policies.
Liability Only Insurance
Liability Only policies do not include physical damage (comprehensive and collision coverage) for your vehicle. Liability Only policies satisfy your legal obligation and pays for damages you caused while in Mexico. It does not cover damage to your vehicle. Liability Only policies are less expensive than Full Coverage policies.
What Does Liability Only Policies include:
• Third party liability coverage (damages you cause to others)
• Medical payment for you and your passengers
• Legal Assistance
• Road Assistance and Travel Assistance (including Medical Evacuation)
Full Coverage Insurance (Physical Damage Coverage)
Full Coverage insurance also called Physical Damage coverage, covers your vehicle in the event it is stolen (theft) or damaged. Mexican auto insurance would cover you in the event of a loss to your vehicle. This coverage is recommended for any vehicle valued more than a few thousand of dollars. If your vehicle is financed, then you will be required to purchase Full Coverage insurance.