According to the Federal Roads, Bridges and Autotransport Law, all motor vehicles must have civil liability vehicle insurance. In case of not having it, the owner may face fines ranging from two thousand to five thousand pesos, depending on the location and the severity of the violation.
Civil liability insurance, also known as 'third-party insurance,' covers damages to third parties, their property, bodily injuries, and even death in the event of an accident. If this insurance is not available, one may be responsible for covering medical and repair costs, and could even be arrested and taken before a judge in extreme cases.
The Mexican Association of Insurance Institutions (AMIS) points out that when purchasing car insurance, one should know the available coverages. There are three levels of protection: basic, limited, and extensive. The extensive coverage is the most comprehensive and includes maximum protection for the vehicle, covering civil liability, theft, material damages, medical expenses, legal and travel assistance, among other benefits.
The National Commission for the Protection and Defense of Financial Services Users (Condusef) recommends comparing at least three quotes before purchasing car insurance and ensuring that one understands the coverages, exclusions, and conditions of the contract. It is important to choose insurance that suits the needs of the owner and their vehicle.
Car insurance is mandatory and is directly related to civil liability and the protection of the owner's assets. According to Condusef, having car insurance is not an expense but an investment in protection. It is suggested to inquire about the coverages of each insurer and, if possible, to opt for extensive insurance. If it cannot be afforded, one may consider limited liability insurance or basic insurance, which is mandatory by law.
