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The Basics of Mexican Auto Insurance

Posted on January 27th, 2010

When the winter cold arrives, many people start thinking about warmer places.

One popular destination is Mexico: it’s relatively close to most states, can be inexpensive and there’s warmth and sunshine to spare. Many travelers will fly there, but many others will drive south of the border in order to keep travel costs down and to have more freedom once they are in the country. If you’re thinking of driving in Mexico, you need to know all about Mexican auto insurance.

Mexican Auto Insurance Requirements

While Canada has auto insurance laws similar to those in the U.S., Mexico does not, so American car insurance won’t work there. Since Mexico requires proof of insurance, you need to get Mexican auto insurance for the duration of your visit. It’s easy to purchase at the border and many auto insurance providers have offices on both sides of border crossings. You’re also required to have motorcycle insurance and RV insurance if that’s how you’re traveling.

Liability Coverage

It’s also important to note that some American auto insurance providers will provide extremely limited coverage just inside the Mexican border. This means if you’re planning on driving to Mexico City or all the way to Cancun, your coverage will have ceased many hundreds of miles before. To verify whether or not your car insurance policy offers limited Mexican coverage, be sure to speak with a provider representative.

Mexican Auto Insurance Reviews and Ratings

It’s best to stick with highly rated providers, of course, and according to A. M. Best, one of the most respected auto insurance analysts and reviewers, top Mexican auto insurance providers include GNP, Mapfre Tepeyac and ABA Seguros.

Other big names include HDI Seguros, ACE Seguros and AXA.

Mexican Auto Insurance for Rental Cars

People who are planning on renting a car in Mexico can buy it from the rental agency right at the counter. It can be on the expensive side but it’s well worth it. If you’re renting a car in the United States and taking it over the border you still need to get Mexican auto insurance.

Have you ever gotten Mexican auto insurance? What was your experience?

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