What You Should Know About Mexico RV Insurance
RVing is a great way to experience Mexico - the warm weather, friendly people, gorgeous scenery, and inexpensive cost of living make it an ideal getaway.
But before you head south of the border, you'll want to purchase a short-term motorhome insurance policy. Without adequate coverage, you'll be at financial risk should something happen while you're away.
Comparing Coverage and Options
Most people who inquire about Mexico tourist insurance coverage for their RV want a simple comparison of how the Mexico policy stacks up against a U.S. or Canadian policy.
In this article we list some of the most common coverage options people want on their motorhome, and how they differ on a short-term Mexico tourist recreational vehicle insurance policy.
Being better informed about the coverage you purchase should give you more peace of mind if you do need to use your insurance in Mexico.
It's important to understand the basics of liability coverage. The insured individual purchases a policy for protection against claims brought by others if they cause an accident with their vehicle.
Liability coverage, from a licensed Mexican insurance company, is required for all tourist vehicles entering Mexico. A RV policy must have a minimum liability limit of $300,000, although a higher limit of $500,000 is strongly recommended due to Mexican liability laws.
In the U.S. we are used to physical damage being broken up by "Collision," and "Other Than Collision," or "Comprehensive" coverage. In Mexico, it's combined to just one, "Physical Damage." In addition to collision, your Mexico physical damage coverage will cover losses resulting from fires, lightning, and other acts of nature.
While temporary motorhome insurance policies for Mexico typically offer medical expense coverage for bodily injuries, sometimes the limit is insufficient. To protect yourself, an additional travel medical insurance policy is usually recommended.
Mexpro's recreational vehicle insurance full coverage policies also provide an uninsured motorist deductible waiver. It covers the physical damage deductible when you are involved in an accident with an uninsured driver if they are proven to be at fault by a legal authority.
The medical expense coverage for the insured, and the occupants of the insured vehicle, only applies to those bodily injuries that happen while riding in the vehicle, and not while it is parked.
If you do not already have active medical insurance for you and your travel companions, that would cover you in Mexico, you should consider purchasing a separate travel medical insurance policy. It should cover non-vehicular accidents and unforeseen illnesses during your stay.
Personal Property Coverage
Unfortunately, most Mexican RV insurance policies do not include any coverage for household items or personal belongings. If you are also a homeowner, however, your homeowner's policy will probably provide some coverage for your belongings. A renter's insurance policy may provide this coverage also.
Talk to your homeowner's or renter's insurance agent to find out precisely what your policy covers. Be sure to always keep your valuables secured and out of sight while traveling to protect them against theft or loss.
Emergency Vacation Expense
Emergency vacation expenses are usually not covered on your Mexico RV insurance policy. Travel assistance policies offer coverage in case of emergencies, including the cost of lodging expenses in case of a loss or breakdown. Mexpro provides travel assistance on all our Mexico RV insurance policies (liability and full coverage) through MexVisit®.
The replacement cost settlement option is especially important for newer recreational vehicle owners since it can replace an insured motorhome with a brand new one if there is a total loss.
Mexico tourist recreational vehicle insurance policies typically only offer Actual Cash Value settlements. This means that the limit the insurer will pay for any loss is based on the current market or average retail value of the vehicle. To determine the current value, visit the National Automotive Dealers Association (NADA) guides webpage at: http://www.nadaguides.com/RVs.
Buying Temporary Motorhome Insurance for Mexico
An RV is not so much a vehicle, as it is a home on wheels. An auto insurance policy will not give you all the benefits and protection that an actual RV insurance policy will give you. When shopping for short-term motorhome insurance for your trip to Mexico, there are a few things you want to consider.
The cost for the liability portion of a Mexico RV insurance policy is a flat rate and generally inexpensive. The Physical Damage portion, on the other hand, is based on the value of the motorhome and can be much more expensive.
What can make a motorhome insurance quote for Mexico expensive is that you MUST have a U.S. RV Insurance policy, and then you also need to purchase a separate policy for Mexico. You cannot purchase a Mexico policy without a U.S. policy that is valid for the duration of your stay in Mexico.
The smartest, simplest, and least expensive way to get around this problem is to purchase your U.S. policy with a Mexico Physical Damage endorsement added. You will still have to purchase a liability policy from a company like Mexpro, but it will be a separate policy, and is inexpensive. Purchasing your insurance this way could save you hundreds, if not thousands a year off of your RV Insurance.
Your other options are to purchase a liability only policy and not cover your motorhome for physical damage in Mexico. Or you can choose to buy a full coverage policy that includes liability coverage through a company like Mexpro.
Look for a company with "A-rated" Mexican insurance carriers. A-rated insurers are financially stable than lesser rated or unrated companies. And they are also typically the most reputable and reliable insurance providers available.
Ratings are done by a qualified third party who looks at the company's books, longevity, and customer history, determining the company's dependability. Usually ratings are awarded by one of two companies A.M. Best or Standard and Poor's.
After You Purchase Your Policy
Keep Copies of Your Policies with You
Mexpro recommends you print out two copies of your RV Insurance policy - one for your glove box and another you to keep outside of the unit, in your possession. This way, if an unexpected accident or mishap happens, and you get separated from your motorhome, you will have easy access to phone numbers for making a claim or using your MexVisit® travel assistance.
File All Claims in Mexico
Finally, remember, ALWAYS file your claim in Mexico! If you wait until you are back on American soil to call and file your incident report, chances are your claim will be denied. Learn more on our claims instructions page.
Making Informed Decisions About Mexico Coverage
There are some obvious differences between the recreational vehicle insurance coverage that we are used to in the U.S. and Canada, versus the policies that are available for Mexico. This information can help you make an informed decision about the coverage you purchase as you plan your motorhome adventure in Mexico.
If you have other questions about coverage for your motorhome in Mexico, you can call the Mexpro Mexico Insurance Professionals at (855) 639-7761 to speak with a licensed agent. Or you can visit our website for more information, to compare insurance quotes, or to purchase a policy online.