Mexico Tourist Auto Insurance and Towed Units
When you drive into Mexico, for vacations, to visit with family and friends, or to spend time at a second home or condo, do you ever tow anything behind your vehicle? If so, it is crucial that each towed unit be listed on your Mexico tourist auto insurance policy. Some examples of commonly towed units include:
- Cargo/Utility Flat Bed Trailers
- Box/Enclosed Trailers
- Pop-up Camping Trailers
- Travel Trailers
- All Terrain Vehicles (ATVs)
- Utility Vehicles/Side-by-Sides
- Boat Trailers
- Power Boats
- Personal Watercraft.
All towed units must be included on the Mexico tourist auto insurance policy. Even if you only plan to tow a small inexpensive homemade utility trailer, it is still important to list it on the tourist auto policy. If you will be towing more than one item, for example a boat + a boat trailer, or perhaps a utility trailer + an ATV + a motorcycle, be sure that each of the units are listed on the policy. If a loss occurs while an insured is towing any unit that is not listed on their policy, the insurer could potentially void the policy and deny any coverage. Also, no coverage is afforded if a vehicle is towing more than one trailer, for example: a second trailer hitched to the back of the first trailer.
"What if I plan to drive, one of the towed units, in Mexico?"
If you are towing drivable vehicles, and plan to operate them on any roadways inside Mexico, you will need to purchase a separate Mexico tourist auto or motorcycle insurance policy for each of them. It is important to secure the additional policy, because the towed unit coverage will automatically cease as soon as the vehicle is unloaded from the trailer. The Mexico tourist auto insurance policy only covers street use of vehicles, and specifically excludes all coverage during any off-road use.
Additionally, if you have a boat or watercraft that will be putting into the water in Mexico, you will also need to obtain a separate Mexico tourist watercraft liability insurance policy.
"What information is needed to insure my towed units?"
There are some pieces of information that you will need to gather, and have ready, for each of your towed units, in order to purchase your Mexico tourist auto insurance policy. In addition to the information for the tow vehicle, you will also need to provide the following for each of the units that you will be towing:
- Year - The year the unit was manufactured
- Make - The manufacturer
- Model - The specific model name or nomenclature
- Value - The Actual Cash Value of the unit
To determine the correct Actual Cash Value of most towed units, please visit the NADA Guides website at https://www.nadaguides.com/, to look up the Average Retail amount.
For any cars, trucks and SUVs, you can determine the correct Actual Cash Value, by going to the Kelley Blue Book website at https://www.kbb.com/ and looking up the Private Party Value amount for the vehicle.
- Vehicle Identification Number (VIN)
For watercraft, you will need to substitute the Hull Identification Number
- License Plate Number and State
For watercraft, you will need to substitute the Registration Number or Coast Guard Identification Number
"What about my personal belongings?"
The Mexico tourist auto insurance policy excludes coverage for any house furnishings and any items for personal use. However, If you own a home, a typical homeowner's policy will cover personal property owned or used by an "insured" while it is anywhere in the world. Be sure to review your policy, and/or talk with the agent that handles your homeowner's insurance, to better understand the limits of the coverage.
"Will any coverage apply, while my trailer is parked and disconnected from my tow vehicle?"
Yes, if coverage for property damage and total theft is purchased with the policy, then those two coverages will still apply, even when the towed unit has been disconnected from the tow vehicle. Property damage coverage includes: fire; lightning and explosion; strikes and riots; bad weather and other acts of mother nature. The Third Party Liability coverage, however, will only apply while the towed item is still hooked up to the tow vehicle, and automatically gets excluded while the unit is parked and disconnected.
If you have additional questions about insuring towed units in Mexico, or if you need help getting a policy set up, please visit the Mexico Insurance Professionals at www.mexpro.com or you give them a call at (855) 639-7761.