Why You Have to Get Mexican Auto Insurance to Drive in Mexico

Now that the COVID-19 pandemic is moving toward its end, the ability to travel is going to soon be a lot less burdensome. During 2020 and early 2021, international travel has been severely restricted for Americans, and the Mexican and Canadian borders remain closed to most pleasure travelers. 

However, once the borders are re-opened, cross-border pleasure and tourist travel will become much easier. As a result, the number of Americans who drive into Mexico will begin to steadily increase. All these drivers must make sure that they have Mexican auto insurance at the time they cross. 

Mexican auto insurance is completely different from American policies, and it’s a mandatory requirement for Americans traveling south of the border. Here’s why you need this benefit. 

Understanding Mexican Insurance Rules 

Though the cross-border ties between the U.S. and Mexico are strong, they are still separate countries and they have entirely different legal systems. 

Whereas your American auto policy will cover you when you cross borders between states, it will no longer apply appropriately to Mexican law once you cross the international border. As a result, the Mexican legal code does not recognize any American auto policies. However, Mexican law also makes liability insurance mandatory for most drivers traveling within its borders, including Americans. 

Under Mexican law, the process for determining fault in accidents will be quite different than it is in the states. For instance, it is not uncommon for drivers in Mexico to be detained by police until fault is determined. Therefore, the terms of your Mexican auto policy’s liability insurance will include the benefits necessary to cover at-fault American drivers when they must cover third-party accident costs south of the border. 

Though there are some American policies that offer coverage extensions to drivers venturing into Mexico, they do not offer the liability benefits that are requisite for driving internationally. They might only offer physical damage benefits. Still, the benefits they do offer you might cover you only if you drive within a certain number of miles of the border. Therefore, you are better off getting a Mexican auto insurance policy before you cross the border into Mexico. 

Mexican auto insurance is all-in-all much more comprehensive and far more beneficial to travelers than piecemeal coverage offered by an American auto insurance endorsement. That’s why our agents are committed to working with you to design the plan that is perfect for your needs. With coverage in place, you won’t have to worry about covering your accident costs while driving abroad.