Tag Archives: Mexico Auto

Mexico Travel Warning

Here we go again. Unfortunately for the brave and awesome people of Mexico, they are once again the pawns in a relentless tug of war between warring idiots, or errr… factions. (Not gonna really describe them as I wish, and oughta)

Shamefully, on them, they only hurt the country they supposedly love as another Travel Warning has been issued by the U.S. gov’t. It seemed like things were really quieting down, at least from the news sources on the border, and as far as those whose cars we are grateful to insure.

For more information, please feel free to click on the link for the exact instructions that are being used for our neighbors to the South. Click below:

http://travel.state.gov/content/passports/english/alertswarnings/mexico-travel-warning.html

Apparently, 150,000 people a day cross from the U.S. to Mexico, and this makes news.

It is our duty, and responsibility to inform our many friends as to what is happening in Mexico, regardless of what it might be. News such as this, changes in entry or exiting information, the good, bad, and the ugly. Fortunately for the vast majority of travelers to Mexico, they will experience the very best in culture, climate, food and attractions. Let’s hope one day everyone, including the citizenry of this beautiful country, will experience a day without the organized lawlessness that a few bring to all.

Remember, for all of your Mexico Tourist Auto, Homeowners, Motorcycles, Boats and International Health Insurance needs, please call us at 1-800-434-3966 OR Email us at ici@mxici.com or visit us at mxici.com to issue your own policy. We appreciate your business!

What are the Time Zones in Mexico?

One of the considerations and requirements of living on the U.S. Mexican border has to be understanding the Time Zones and how they affect both countries. Especially if you do business or commute to work from one side of the border to the other.

I have been involved in the International Insurance industry since 1989, specializing in Mexico, which makes it doubly important to know the Time Zones in Mexico. Additionally, living in El Paso Texas, we are the only major city in the State of Texas that is on the Mountain Time Zone and not the Central Time Zone. We need to know these zones because we deal with numerous offices, agencies, and of course customers throughout Mexico, including Mexico City.

There are three (3) Time Zones in Mexico as compared to the U.S. four (4) time zones in the continental U.S. The majority population lives in Mexico City and Merida locals, and is the same time as our Central Time Zone in the U.S.

The next time zone begins North of Puerto Vallarta, but does not include Puerto Vallarta. It does include the very popular Mazatlan, and Baja Sur (Sur meaning South). This area represents a major play ground for Americans and Canadians, especially those who enjoy the warmth of the beautiful Pacific and Sea of Cortez. Major cities in this Time Zone are Loreto, La Paz and the extremely popular Los Cabos.

Closer to home, our home, is the State of Chihuahua and includes the city of Chihuahua, as well as Ciudad Juarez, that sits next to El Paso Texas. This large area, usually described as the Texas of Mexico, is located in the Mountain Time Zone (one hour between U.S. Central and Pacific Time Zones)

Baja Norte (North) uses the same time as California, Pacific Time, while the entire State of Sonora (located in Northern Mexico, directly East of Baja Norte and bordering Arizona) does not participate in changing their clocks at any time during the year.

We hope this helps you in your Mexico travels. If you have any questions concerning this or anything else regarding travel into Mexico. Please let us know, we will do our best to assist you.

For all of your Mexico Tourist Auto, Homeowners, Motorcycles, Boats and International Health Insurance needs, please call us at 1-800-434-3966 OR Email us at ici@mxici.com or visit us at mxici.com to issue your own policy. We appreciate your business!

So you think your covered with your U.S. insurance in Mexico?

Unfortunately many people believe this myth. Again unfortunately, it is because most of our U.S. insurance companies giving credence to this belief by implying their Mexico Border Endorsement provides coverage in Mexico. It “might” for physical damage (damage to YOUR vehicle) but NOT for the 3rd party liability exposures you encounter in Mexico.

First, a brief explanation. Automobile insurance is broken down to specific parts or types of coverage. 3rd Party Liability is the part of your auto insurance that provides monterary compensation to “others” that you have either injured or caused property damage to. It is not for you, it is your fiscal responsibility to pay a 3rd party when you are at fault in an covered accident. Just a brief note about Mexico and their 3rd Party Liability requirements, click here for the latest information regarding those limits. Special note: Your destination may entail driving through various Mexican States. It is wise to at least purchase the States highest 3rd party liability limits that you travel.

Mexico’s vehicle laws are implemented differently than those in the U.S., and require payment at the time of the accident, OR, you must posses a valid Mexico Tourist Auto policy from a Mexican insurance company. The authorities will negotiate with the Mexican insurance companies Claims Department, or Adjusters.

So your U.S. auto insurance is not applicable when in an accident in Mexico. Restitution is immediately required, and trust me, your U.S. insurance company is not going to send their U.S. Adjuster to Mexico to ajudicate your claim. Therefor, you will be required to pay out of your back pocket the damages or repair costs to the 3rd party on the spot, OR, they may impound your vehicle until restitution is made, OR, they could, and this is extremely rare, incarcerate you until restitution is made.

You may say, but my policy says I am covered, and I am an American! GOOD LUCK with that gem of a statement as your vehicle is impounded while you go back to the U.S. to get $ for this claim. OR, you can speak to your U.S. insurer, who will happily explain to you “NO problem” just bring us a copy of all the police reports and tow or drive your vehicle back to the U.S. and we will gladly pay your claim! There are numerous other scenarios where this can just only get worse, but I am not about to dissuade you from traveling to Mexico, just be wise and purchase your Mexican Tourist Auto policy prior to leaving the U.S. Inexpensive and very simple…

Another thought. I have recently pursued and have made avialable on line, the Mexico Border Endorsments from Nationwide (Texas) and Allstate (Texas). They are vague at best without specific coverage definitions, and also realistically convey that their coverage is not recognized in Mexico. Why they make it part of the policy, I will never know.

To view these documents, click on the following:

Nationwide (Texas) Mexico Border Endorsment

Allstate (Texas) Mexico Border Endorsment

We hope this helps with any questions or concerns you have about your U.S. Auto insurance and the implications that could arise if you depend solely upon that as your proof of insurance in Mexico.

For all of your Mexico Tourist Auto, Homeowners, Motorcycles, Boats and International Health Insurance needs, please call us at 1-800-434-3966 OR Email us at ici@mxici.com or visit us at mxici.com to issue your own policy. We appreciate your business!

 

 

 

What is needed to apply for a Vehicle Permit in Mexico?

According to the Official site for Aduana/Banjercito, the following Fee, and deposit for your vehicles Temporary Import Permit (TIP) is as follows:

$ 48.84 USD$ is the cost of the Temporary Import Permit or TIP for short.

Car Permits

This service is provided to foreigners and foreign legal Mexican Residents who wish to enter Mexican territory with a vehicle from abroad with foreign license plates. (Other than Mexican license plates)

Only Sonora Car Permits

This service is provided to foreigners and foreign legal Mexican residents wishing only to the state of Sonora, with a vehicle from abroad.

Boat Permits

This service is provided to foreigners and Mexicans who wish to enter Mexican territory a vessel of foreign origin.

Mobile Home Permits

This service is provided to foreigners and foreign legal Mexican residents who wish to enter Mexican territory with a mobile home from abroad.

In addition to the aforementioned TIP, there is yet another charge that is determined by your vehicles year model. This is a “Bond” that is charged against your Credit, Debit (VISA or MasterCard) or if preferred, cash ($) This charge will be converted into pesos at the current exchange rate. Below is the table that reflects the amount of the applicable bond. This amount will be returned or credited, in the manner in which the bond was paid, upon your cancellation of the permit. Note: Turning in or cancelling of your vehicles TIP needs to occur prior to the expiration of the permits date, because if not, you will forfeit the bond. Your refund will be applied to the same card used for your Bonds payment, the next business day.

Amount to be paid in Mexican Pesos based on applicable exchange rate

Vehicle Year Model
2007 and later 400 USD $
2001 until 2006 300 USD $
2000 and earlier 200 USD $

Again, a very important item to remember is this. You must turn in your Vehicle Permit/paperwork prior to it’s expiration date. If you do not, you will forfeit the Bond, and you will not be allowed to import a vehicle in the future into Mexico. In the old days, it wasn’t as much a problem because not every Aduana/Banjercito office was networked nationally…they are now!

Please feel free to call us with any questions you may have regarding this process.

For all of your Mexico Auto, Homeowners, Motorcycles, Boats and International Health Insurance needs, please call us at 1-800-434-3966 OR Email us at ici@mxici.com or visit us at mxici.com to issue your own policy. We appreciate your business!

When do I need a Vehicle Permit to travel into Mexico?

Technically, it is referred to as a Temporary Import Permit, but from here forward, will be referred to as Vehicle Permit. You are temporarily importing the vehicle into the Republic of Mexico, for your personal use when traveling into the interior of mainland Mexico.

There is NO need for a Vehicle Permit if you are traveling anywhere in Baja California.
NO Vehicle Permit is needed if traveling to what is referred to as the “Frontera” or immediate border that contacts Mexico to the U.S mainland of Mexico (NOT Baja California) This area generally covers all mainland Mexican border cities and towns, such as Cd. Juarez, Nuevo Laredo, Matamoras, customarily up to 26 kilometers…You only need a Vehicle Permit along the Frontera if your stay is going to be longer than 72 consecutive hours.

You will need a Vehicle Permit when traveling into the interior of mainland Mexico, generally just outside of each Mexican border city, heading into the interior of mainland Mexico. Left click your mouse onto the Map of Mexico below. Note: This is informational only, and subject to change, as everything is. It is your responsibility to verify requirements prior to your trip.

WARNING: if you proceed past the last Port of Entry outside of the Free Zone or Frontera, as mentioned above or denoted on the map, without applying and acquiring the Vehicle Permit, your vehicle will be subject to confiscation, which is NOT a covered condition on your Mexican Tourist Auto Policy.

Vehicle Permit Expirations are determined by the type of visit you are making in Mexico. As a tourist/visitor to Mexico, they are good for up to 180 days. It is important that you know when your Permit is scheduled to expire, and that you not be in the mainland interior of Mexico with an expired permit. You are also required, by Mexican law, to turn in your Vehicle Permit prior to its expiration date, and prior to reentering the U.S. You can do this at any Port of Entry while exiting Mexico, but the Port that issued your Permit is best. Failure to follow this requirement could lead to fines, revocation of the importation bond you purchased when getting your Vehicle Permit, and quite probably a huge inconvenience if you ever visit the interior of Mexico in the future. Advice: DON”T DO IT!

If you leave Mexico to reenter the U.S. prior to your Permits expiration with plans to reenter Mexico in the future, you (the owner) should stop at the Aduana (Banjercito) offices at the border to request a permit to exit and return multiple times, or have Aduana remove the import-sticker. Most people accustomed to frequenting Mexico do not do this, as it is an inconvenience. However, and I saw this on another blog, and it is correct, if your permitted vehicle is stolen, totaled, or sold while in the U.S. then you have lost the opportunity to properly turn in your Mexico Vehicle Permit, and brother, you are already in the system! Your Bond is forfeited, and your right to import another future vehicle is jeopardized and possibly permanently terminated.

All countries have their sovereign laws, and some might seem quirky, or unnecessary. The primary reason(s) behind Mexico’s vehicle laws is because for years hundreds of thousands of U.S. Registered vehicles were sold illegally in Mexico without the proper importation duties and taxes paid. This is how they combat that…

We are here to assist, advise, council, and educate our friends who travel, and not just sell them a piece of paper.

Now go enjoy your adventure! If you have any questions, please feel free to call or E Mail.

For all of your Mexico Auto, Homeowners, Motorcycles, Boats and International Health Insurance needs, please call us at 1-800-434-3966 OR Email us at ici@mxici.com or visit us at mxici.com to issue your own policy. We appreciate your business!