Mexico Auto Liability Insurance

In the United States, proof of third-party auto liability insurance coverage is commonly required by law in order to register your car. Third-party auto liability coverage is important, because it protects our assets, along with our future earning potential, whenever we are involved an accident. In Mexico, Third Party Liability insurance is often referred to as "Responsabilidad Civil," which implies that it is a Civil Responsibility to have liability coverage. When traveling in Mexico, as a tourist, it is also very important that you protect yourself, by purchasing third-party auto liability coverage from a reputable and reliable Mexico insurers.

There are two parts to Mexico Auto Liability Insurance. The first is coverage for Bodily Injuries to a third party. The second is Third-Party coverage for damage done to Third-Party Property. What is meant by a third-party? The first party is the insured and the third party is potentially everyone else. So third-party auto liability coverage is for damages that you may cause, with your vehicle, to other people's property, and also for bodily injuries to other people that you cause with your vehicle.

Many people commonly ask the all-important question, "Am I legally required to carry auto liability coverage on my vehicle while it is in Mexico?" First of all, the country of Mexico (officially the United Mexican States), just like the United States of America, has many different states, and each has their own sets of civil and criminal laws, which work in combination with the federal regulations. The legal requirements for Mexico Auto Liability coverage can vary as you travel from state to state, and even from town to town. So, as you travel the roads of Mexico, you will very likely cross in and out of areas where the authorities could potentially require you to show proof of liability coverage.

That said, throughout all of Mexico, if you are involved in an auto accident you will be held responsible for the damages caused. This can be via insurance or out-of-pocket. If you fail to have sufficient Mexican Auto Liability Insurance coverage to pay for the resulting injuries or property damages, you will very likely be incarcerated in a Mexican jail until you are able to fulfill your financial responsibility. According to the US Department of State Bureau of Consular Affairs, Mexican insurance is required for all tourist vehicles traveling across the border. The bottom line: driving your tourist vehicle in Mexico without proper Mexican liability coverage cannot only potentially be financially devastating, but it can also land you jail.

One final question is how much is enough liability insurance to purchase? It used to be that many people purchased $100,000 limit; however with a recent change in Mexican law much higher limits are needed. We recommend no less than $300,000 in coverage and suggest that you consider more.