Mexican law is very clear about what is required for an out-of-country visitor to operate a motor vehicle in the Republic of Mexico. Such drivers are financially liable for any physical damage or bodily injury they might cause and they must carry proof of this liability from the time they cross the border.

Acceptable proof can be a pre-arranged bond with a Mexican bank, cash on your person at the time of accident ($50,000-60,000 is suggested), or an insurance policy to cover this liability underwritten by a Mexican insurance company.

For all practical purposes, the most reasonable way to meet this requirement for proof of liability is through a Mexican vehicle insurance policy.

It should be noted that auto insurance policies underwritten by a non-Mexican company (including all U.S. and Canadian insurance companies) are not recognized in Mexico. If your current insurance policy provides coverage, for example, up to 50 or 75 miles into Mexico, this DOES NOT fulfill the requirement of Mexican law for proof of liability.

It is always a good idea to purchase full coverage so that if you decide to drive further than the 50 or 75 miles limitation on your US policy, you will be covered. When traveling in Mexico, it’s always best to be safe ahead of time, than sorry later. (Buy Now)

If you have an accident or are stopped by the police for some other vehicle-related problem, and you do not have Mexican insurance, you can be arrested, have your vehicle impounded and face a stiff penalty for violating the law, in addition to being liable for the damages you caused.

If you have an accident and carry at least a Mexican liability insurance policy, you will be in compliance with the law. Once you are able to return to the United States, your U.S. insurance company should then pay for physical damages to your vehicle, per policy provisions, if the accident happened within the 50 or 75 miles range. Check with your US insurance company for the mileage limitation for any such physical damage coverage in Mexico.

Driving regulations in Mexico are similar to the U.S., however, Mexican law is very different. In the U.S., law is based on the English Common Law where innocence prevails over the assumption of guilt. In Mexico, the law is based on the Napoleonic Code where guilt prevails over the assumption of innocence.

And remember, Mexican law considers all traffic accidents to be both civil and criminal offenses, unlike the US, where they are considered only civil offenses. We cannot overemphasize the need for Mexican insurance, along with legal coverage, which is included without additional charge with every Discover Baja policy.

If you have any questions about Mexican Insurance, please feel free to call our office at 800 727-BAJA (2252), where our knowledgeable staff will be happy to assist you and provide answers.