Once you cross the border into Mexico, your U.S. or Canadian insurance cannot legally help you prove your financial responsibility in Mexico. Mexican insurance will instantly show authorities that you are able to pay damages to third parties. Policies may also include physical damage to your vehicle, total theft of your vehicle, medical payments for the driver and passengers, legal aid, bail bond and roadside assistance. Partial theft (of vehicle parts) and vandalism are available with the HDI Premier (https://www.bajabound.com/info/about_hdi/premier.php) and Chubb Platinum (https://www.bajabound.com/info/about_chubb/platpkg.php) policies.
Why Buy Mexican Insurance?
Under Mexican law, motorists are required to have insurance, or “proof of financial responsibility”, in the event of an accident, even if you are not at fault. As a foreigner traveling in Mexico, the only way of demonstrating this financial responsibility is to have sufficient real currency to cover damages, or an insurance policy from a Mexican company. U.S. or any other non-Mexican insurance does not cover your liability for potential accidents, nor does it fulfill the basic requirement for insurance according to Mexican law.