Auto insurance in cancun Mexico.

I know it's been asked 1000X and everyone has an opinion on what and what not to take insurance wise in Mexico. I have ALWAYS rented in cancun and declined everything through hertz and got out of there with paying about $100 total for a car for a week, I'm looking to rent an 8 passenger vehicle and split it with another family and hertz prices are CRAZY... I was looking at other company's to rent from because there rental prices for that size vehicle are reasonable. Now my question is What insurance will these other company make me take and if you know the rate that would help.

Declining the insurance in Mexico is not a good idea. Check and double check with your insurance provider at home and your credit card company insurance when in Mexico. We thought the CC would cover but when you read the very fine print, it does not cover much. It is even tricky in the US when you decline the coverage and have something like a rock cracking the windshield of a rental Yukon. (It took 6 months to get that one settled through our personal insurance).

We buy Mexico insurance on our personal vehicles when we drive to Rosarito Beach, Puerto Penasco, and Mazatlan. Sometimes we buy a 12 month policy, but generally just when we are going to be there. The cost for 4 days in mid-August is $81.

We just consider the vehicle insurance as part of the vacation expense when we drive to Mexico. If we were renting a vehicle, the same would be true. We have rented in PV before, but now just use the bus system or take a taxi. Less hassle.

Yes I understand the don't decline, but what do I take?? They have soooo many different insurances they try to sell you and I know some are just a moneymaker.

Here is an interesting article.

https://www.tripadvisor.com/Travel-g150768-c115565/Mexico:Renting.A.Car.In.Mexico.html

http://www.huffingtonpost.com/matt-gibson/the-hidden-cost-of-car-re_b_4633563.html

It should answer most of your questions.

Take a look at America Car Rentals in Cancun. Their prices include all insurances except tire and windshield.

You legally cannot decline the 3rd person liability. It covers any damage you/the vehicle do to other people or their property. It is required in Mexico, and there is no option. So that insurance will be required no matter what company you rent from.

Your credit card insurance will not cover the 3rd person liability. It probably does cover damage to the vehicle itself.

There is also insurance for various other possibilities; you'll have to decide on each of those.

Check with your credit card insurance to find out what is already covered.

In Mexico, when involved in any type of infraction, you are guilty until proven innocent. And you are the foreigner. Keep that in the front of your mind.

Insurance doesn't come into play until it is needed. People suggesting using their home grown insurance or credit card insurance because "they never had a problem" are very lucky. They never had a problem.

Now let's say you do have a problem. You will be held by policiia until fault is determined. Remember the top statement?

Now, you will be held until you pay up for any damages you need to pay. Getting reimbursed by your home grown policy or CC after you get back home will not be your primary objective at this point. Getting back home will be. How many million pesos do you intend to drive around with in your bulging pockets?

Your home policy isn't worth the paper it's printed on while in Mexico.

Take the Mexican insurance. Too expensive? Then don't rent.

I am in total agreement with Phydeaux. A jail cell in Mexico is not where I want to spend my vacation.

Phydeaux said:

In Mexico, when involved in any type of infraction, you are guilty until proven innocent. And you are the foreigner. Keep that in the front of your mind.

Insurance doesn't come into play until it is needed. People suggesting using their home grown insurance or credit card insurance because "they never had a problem" are very lucky. They never had a problem.

Now let's say you do have a problem. You will be held by policiia until fault is determined. Remember the top statement?

Now, you will be held until you pay up for any damages you need to pay. Getting reimbursed by your home grown policy or CC after you get back home will not be your primary objective at this point. Getting back home will be. How many million pesos do you intend to drive around with in your bulging pockets?

Your home policy isn't worth the paper it's printed on while in Mexico.

Take the Mexican insurance. Too expensive? Then don't rent.

Click to expand...

Your assertions are somewhat incorrect. If you are in a minor car accident in a rental car there will be liability insurance on your rental car as that is Mexican Law. All vehicles are required to have liability insurance. Many Mexicans do not have the required liability insurance and they will not wait for the Police to arrive.

Mexican Law requires the Police to do certain procedures regarding more serious violations, kind of like here in the USA. If you kill or harm some one with a car in the USA you will most likely end up at the police station. If you drive impaired and get caught you may end up at the police station.

You will not end up at the police station for a minor auto accident unless some one is injured or you are intoxicated while renting a car from a major rental agency.

Your auto insurance on your vehicles will not cover anything in Mexico once you drive a certain distance from the border. So comparing a private car to a rental car is inappropriate regarding rental cars in Mexico as the rental car is owned by a rental agency and is required to have liability insurance to be on the road.

Amex does pay the rental car agency for damages that are found to be your liability. When you return the car the agency does not ask you to give them a certain amount of money for damages, they charge the card eventually as they pay to fix the car. They also charge time loss of use for the car.

Bill

This site takes you to a listing of the insurance coverage from AMEX. http://tugbbs.com/forums/newreply.php?do=newreply&noquote=1&p=1913038

It's done "card by card" since the coverage is different depending on the card you have. They also have extra insurance you can purchase for about $25.00 per rental period (the exact amount depends on the state you live in).

This site https://www295.americanexpress.com/premium/car-rental-insurance-coverage/home.do

covers the premium insurance you can get for about $25.00 per rental period (up to 42 days).
Note that under coverage, it says "Liability insurance is not included."

No credit card offers liability insurance in Mexico as far as I know. No personal auto insurance policy offers liability insurance past a short distance from the border as far as I know.

I use the AMEX enhanced insurance for all of my auto rentals. I think your right Pat, it seems like it is $25 or so.

Alamo, Avis, Budget, Hertz, Thrifty and every major car rental agency will either include the liability insurance in the rate or will charge you for the liability insurance because the law requires this insurance.

The credit card auto rental coverages primary use is that it covers damage to the car, including theft. Many cards have more benefits than this primary coverage. AMEX has the most benefits added to the primary coverage for rental cars.

Bill

I believe that the amount of third party liability insurance coverage required in Mexico is much higher than people think. We were in Cabo last year and I believe it was more than $300K US.

I remember checking with many of the US car rental companies and finding out to my surprise that some rental companies did not offer the mandatory third party liability coverage, even for an extra fee.

So I suggest that when you reserve the car you first make sure what the required coverage is (it varies by State) and then confirm in writing with the car rental company that you will be receiving it. (If you are dealing with a US car rental company, please recognize that many of the offices in Mexico are franchises. I suggest that you follow up with the US parent company to send you an email confirming the extent of coverage you will receive for the price being quoted.)

easyrider said:

You will not end up at the police station for a minor auto accident unless some one is injured or you are intoxicated while renting a car from a major rental agency.


Bill

Click to expand...

On this you are dead wrong. Plenty of documented cases where tourista were held for minor traffic accidents where they didn't have the means to pay up for damages. That's what my post is all about.

Phydeaux said:

On this you are dead wrong. Plenty of documented cases where tourista were held for minor traffic accidents where they didn't have the means to pay up for damages. That's what my post is all about.

Click to expand...

Post one of these incidents.

BTW, if your driving a rental car in Mexico you will have documentation that proves the vehicle has liability insurance as rental cars in Mexico are required by law to have liability insurance to be on the road. If you rent from a local instead of of a major agency that would be the risk you take.

Many of the private cars in Mexico are not insured as required by law and this group of people can not afford the hassle of losing their drivers license, so in most cases they drive off if they can regardless of fault.

Bill

Phydeaux said:

On this you are dead wrong. Plenty of documented cases where tourista were held for minor traffic accidents where they didn't have the means to pay up for damages. That's what my post is all about.

Click to expand...

I can't speak for Cancun, but I do know in Baja where we have owned and lived part time for 18 years and have many friends who live here full time and many who have lived here far longer than we have, MINOR accidents have been handled (if you have 3rd party liability insurance) pretty much as they are handled in the U.S. I also know that we had a minor accident with a rental car in Puerto Neuvo and it was handled pretty much as it would have been in the U.S.--except that it took longer; there seemed to be endless paper work.

The price for ONLY 3rd party liability varies from rental car company to rental car company. The price will be around $15.00 a day, maybe less. If you use AMEX extended insurance to cover the car and medical costs for $25.00 for the whole period, that doesn't make for excessively high insurance rates.

Keep in mind that all of the major rental car companies in Mexico are affiliated with the international brand by name only. They operate independently from their U.S. organizations and as such will take no responsibility for any unethical and illegal activities that may occur under their brand. In Cabo most renters in the know avoid the majors.

saabman said:

Keep in mind that all of the major rental car companies in Mexico are affiliated with the international brand by name only. They operate independently from their U.S. organizations and as such will take no responsibility for any unethical and illegal activities that may occur under their brand. In Cabo most renters in the know avoid the majors.

Click to expand...

Franchises operating out of the resorts and a few others are owned by Mexican companies but all of the major franchises are bound by their online corporate rental agreements. Many of the agencies, like Avis, are USA corporations in Mexico. Either way, if you rent from their online website, they are bound by the rental agreement and you have recourse through the main corporation. All of these vehicles, rented through major agencies, are required to follow the law. Private rental agencies are problematic in that you do not know if there is any insurance on the car you rent even if you pay for it.

In Cabo, I usually go with Avis or Alamo.

Bill

easyrider said:

Many of the agencies, like Avis, are USA corporations in Mexico. Either way, if you rent from their online website, they are bound by the rental agreement and you have recourse through the main corporation. All of these vehicles, rented through major agencies, are required to follow the law.

Click to expand...

Try filing a complaint with U.S. Avis for an rental issue in Cabo. Good luck. As independent licensee’s you are not going to get much or any help from U.S. corporate. That thread is thin and very far away. Required to follow the law? Whose law? U.S. law? It's Mexico.

In Cabo Alamo yes, also Cactus, BBB

saabman said:

Try filing a complaint with U.S. Avis for an rental issue in Cabo. Good luck. As independent licensee’s you are not going to get much or any help from U.S. corporate. That thread is thin and very far away. Required to follow the law? Whose law? U.S. law? It's Mexico.

In Cabo Alamo yes, also Cactus, BBB

Click to expand...

Do you have a citation for your assertion that the franchises are not bound by law or their contracts ? The fact is Avis is a USA owned corporation.

http://www.avisbudgetgroup.com/files/1613/6846/8656/Avis_Fact_Sheet_05_13-F.pdf

The locally owned Catus Car rental in San Jose del Cabo is a privately owned rental agency. Who documents their rental cars insurance policies ? What if a policy has lapsed ? With a private rental company you really don't know what is going on with the insurance issues of the car your renting, but you do know that the insurance coverages from the major franchises are valid.

The major auto franchises are bound by their contract and terms and conditions just as the consumer is when they accept the contract, terms and conditions. What changes this is third party vendors like Expedia. When you rent from a third party the auto rental agency can force conditions such as mandatory insurance packages when you pick up the car. That is why it is better to rent directly from the auto agencies websites regarding Mexico.

Bill