Well it’s finally happened.
I have been involved in the promotion of Mexico as a Tour Operator, as well as the special niche of the international insurance industry, specializing in Mexico, since 1989.
In all those years I have heard and witnessed numerous people harping about how it is Mexican law that you posses insurance for your vehicle when in Mexico. I also have heard, till this day, that your U.S. auto insurance covers you in Mexico. OR, that your U.S. insurance covers you in Mexico if you have a Mexican Endorsement on your U.S. auto policy. Horse hooey (in case any children are reading)
1. Mexico does NOT recognize your U.S. auto insurance
2. Mexico does NOT recognize your States auto insurance Mexico Endorsement
3. Mexico has, in the past, required its citizens to posses auto insurance. Then I have also heard (still tracking it down) that it is up to the individual states as to what their auto insurance policy is.
In respect to these 3 scenarios, allow me. Those have been the oldest selling points, and facts, about our niche in this market. Mexico does NOT recognize your U.S. or States auto insurance policies or Mexico Endorsements. Plan and simple.
Now, it has come to my attention, that the Mexican Federal Gov’t has enacted into law the requirement of at least 3rd party liability insurance on all vehicles being operated on bridges or while using Federal roads. That might make you feel good prior to your trip to the beach, or to visit friends or relatives, about the necessity of every vehicle you encounter having to posses liability insurance. Again, horse hooey.
They are going to be just like every state in the U.S. They will require it, but they will be unable to enforce it, until someone without insurance is involved in an accident. Then, like the U.S., they will be able to enforce the new law. Don’t depend upon someone else, and their fiscal responsibility to do the right thing by purchasing auto insurance. Citizens of Mexico, by and large, do not earn a comparable amount of dinero ($) as we are generally accustomed in the U.S. Consequently, many auto owners do not have the means to purchase the required liability coverage.
You are best served by purchasing a Mexico Tourist Auto policy that also contains Uninsured Motorist coverage. That is similar, maybe identical, to some U.S. insurers. If you are involved in an accident, and you are not at fault, and the other party is responsible, then your Uninsured Motorist coverage will address that.
In addition to possibility, there is another, possibly even more frightening scenario. What happens if you experience a medical emergency? How are you covered? Again, many insurers will not extend their coverage into a foreign country. Medicare, Medicaid, and many HMO’s or PPO’s do not as well. Even if they did, many foreign medical providers (doctors & hospitals) will not accept foreign insurance. We had a example of this a couple of years ago. A U.S. citizen, a passenger in a U.S. owned and registered vehicle, was involved in a major accident, on a Mexican Toll Road. He was thrown from the vehicle. The Mexican insurer paid up to the limits of the medical payments, and like U.S. insurers, said we’re done. We’ve met our obligation, and the rest is up to the insured.
Unfortunately, the insured (passenger) did not have monies to satisfy his debt to both hospital and physicians. The consequence to this not so unique picture, was that a family member had to pay the remainder of the balance owed. It was to the hospital only, and the amount was in excess of $40,000 USD$
There is a solution! Regardless of where you travel, what country, you can protect yourself and your wallet by purchasing an International Health and Accident Plan. Go to our Home Page, and click on the medical caduceus(looks like angel wings with a snake wrapped around it). Plans include, individuals, families, and groups. It is very economical and for most costs less than a soda a day!
Tell us what you think of our blog. Let us know. That is why we do this. To help and assist all of our friends, and family with their International insurance needs. Thank you for your business!
Have a wonderful time, and 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 email@example.com or visit us at mxici.com to issue your own policy. We appreciate your business!