Here is your guide to getting Insurance in Mexico-Puerto Vallarta Real Estate. Property insurance policies in Mexico are quite distinct from policies sold in the U.S. and Canada. The policy wording is different, in Spanish unless you have them translate it and the types of coverage are different, so some things that you might think are included as standard, might not be if you purchase your insurance in Mexico directly from a Mexican insurer.
Home Property insurance is available in Mexico for houses and condos with some major exceptions.
Certain structures, especially “palapas roofing structures” are usually explicitly excluded from policies in Mexico; if you must insure these you might have to have a special addendum and be prepared to pay a hefty premium for it.
Ejido Land. Some properties in Mexico can only change hands under agrarian (common land) terms, which means that the purchaser gains possession of the land and can have quiet enjoyment of the property but never holds a legal title deed that is recognized in Mexican civil law courts. If you own (or purchase) property on agrarian terms, be aware that it may be difficult or impossible to insure any structure you have or build on it, because in the event of a claim, the insurer may demand to see the legal title deed, not proof of possession.
It is very important to cover your Condo’s personal property in Mexico. A good insurance policy will cover personal property owned by you, provide guest liability especially if you rent your condo, and cover domestic employees “ie maids and gardeners”. These employees are very special employees in Mexico so make sure you cover this if you have them working at your residence. You can have some liability for maid services here in Mexico. Some condo associations in Mexico keep a blanket commercial insurance policy to cover the common areas. Typically, this insures the building as well as communal elements of the property such as pools, the interior walls, bar areas and parking common areas. If you condo has general its own coverage your policy would need to include coverage for certain personal property, such as money, securities, jewelry, fine arts, sporting equipment and any property used for business purposes.
Car Insurance Although your U.S./Canadian driver’s license is generally acceptable in Mexico, foreign car insurance policies are not acceptable, even if it is full coverage. You will need to purchase automobile insurance that is legally valid in Mexico ie from a Mexican insurance company. If you are involved in any accident causing death or serious injury, you normally are subject to a detailed legal process and will surely need the services of a lawyer. Your insurance company may require assistance from your country’s consulate in Mexico. If it is subsequently deemed that you are to blame for the accident, you could be detained for longer until the other party (parties) involved in the accident are satisfied with any compensation offered by you (or by your insurance company on your behalf) at which point they will sign the paperwork that will have you released from police custody. See more about Driving in Mexico here.
