Comments on: Insurance is extra on this “hot” Mexican car

By: Jerry Bonanno

Jerry Bonanno — Fri, 11 Feb 2011 17:41:46 +0000

I’m retired in Mexico close to the border and sometimes rent a car through a major car rental company in Tijuana for travel to the US. I get hit for that Mexican Insurance scam every time and I can’t seem to find anyway around it. Once on a 5 day rental I convinced them that I should only pay for Mexican Insurance on the first day and the last day of the rental, since, in the time between, the car would be in the US. What aggravates me even more is that I ALREADY carry Mexican liability insurance on my US drivers license which insures me to drive ANY car in Mexico.

Neither the car rental companies nor the booking agencies mention anything about this so called optional but actually mandatory coverage. Then when you call them to complain afterwards they give you that “I don’t know what you’re talking about attitude”. What is needed is some legislation to punish those agencies when they fail to disclose fees that they know will be imposed when you pick up your car.

By: perry

perry — Sat, 17 Apr 2010 19:36:08 +0000

YES ! But even when doing your “Homework” your not sure what you have or don’t. You can’t get anyone at the car rental companies in Mexico or the USA that can fully exlpain when 3rd pary liabilitey insurance is include and when it’s not. Then CDW is another subject. most CC retals by MC and VISA using their coverage is also limited to 14 dayss Maximum coveage only. Even if you try to string it accross multiple cards or Rentals. Be aware of that, also. I found that Avis in Cancun and Cozumel to at least seem to be upfront with the insurance, includes 3 rd party Liability, (So they claim) lets you use a CC for CDW and provides a copy of the Spanish Rental Contract Clauses in English. But even then you can’t be sure. Thus: I so far do recommend Avis. National ( A Franchise operator) let me rent a car in Cancun with no insurance, but wrote “Fully Resposible” all over the rental contract !! Most stonge arm you stating insurnace is mandatory. Maybe 3rd party liability yes, but CDW NO !! So know the diffence, and rent from a reputable company that includes the 3rd party liability insurance in the rate quoted!! (Like Avis / Mexico – as far as I know at this time ). But check !!

By: Gary

Gary — Sat, 18 Oct 2008 20:20:06 +0000

For auto insurance in Canada ask your provider for an Inter Province Card (IPC). Most companies should extend your US coverage into Canada. The IPC card is proof of insurance for a Canadian law enforcement officer. Liz is right, there’s no substitute for doing your homework.

By: Stewart Sheinfeld

Stewart Sheinfeld — Thu, 16 Oct 2008 01:30:21 +0000

Same thing happened to me in Israel I got no response from Expedia when I complained to them added $19 /day mandatory insurance that was not disclosed anywhere at time of reservation

By: Stoyko

Stoyko — Wed, 15 Oct 2008 21:50:49 +0000

I’ve researched the liability insurance offered by car rental companies in Cancun. Turned out that Hertz, Avis and Budget did include liability in their base quotes, while National, Alamo and Thrifty did not. They all listed their charge per day for liability (among other kinds of insurance). It was really easy to understand for everyone who would care to read the full terms and conditions of the rental.

The disadvantage of buying without knowing the rental company beforehand is that you don’t know what is included in the price. Liability may or may not have been included, and may add a substantial amount to the rental price.

Note that these policies are different for different Mexican states and renting locations.

Credit card LDW coverage is valid in Mexico, at least according to the Visa web site. I showed a printout at the rental counter and they agreed I could decline it. Fortunately, I didn’t have to see how this benefit really works, but I suspect that you’ll have to pay directly at the rental agency, obtain a report and invoice, and ask the credit card company (benefit underwriter) for reimbursement upon return.

By: R R Kirsteins

R R Kirsteins — Tue, 14 Oct 2008 21:07:24 +0000

As a former employee of a large tour operator specializing in Mexico, I’ve seen instances with hotel damages and car accidents by tourists who are not allowed to leave Mexico till their bills are settled. I always opted for the CDW and PAI when renting there for this reason alone……….

By: mark

mark — Tue, 14 Oct 2008 17:50:22 +0000

I had the same issue with alomo in Canada last week i was not aware of the liabilty insurance issue. Will they sell you just liabilty?

By: Liz

Liz — Mon, 13 Oct 2008 18:22:09 +0000

Gary, that was my thought as well. It sounds like the traveler should really have done more homework in this situation.

By: Christopher

Christopher — Sun, 12 Oct 2008 19:18:18 +0000

I’m curious about Thrifty’s response that “credit card” insurance is not valid in Mexico. Credit cards typically provide an automatic collision damage waiver (CDW) for car rentals, wordlwide. For instance, Visa covers car rentals worldwide except in Ireland, Northern Ireland, Israel and Jamaica — which I confirmed today on both their website and their 800 number, and specifically that they cover Mexico.

It is true that US auto insurance is not valid for liability coverage in Mexico, meaning that foreign renters usually need to select the rental company’s liability coverage. But the credit card still covers the CDW. (In fact, credit cards never cover liability. making Thrifty’s response possibly true but definitely misleading.) So it sounds like Thrifty is trying, even in its response to Chris, to suggest that “credit card” insurance is not valid in Mexico — which is just wrong if they are talking about CDW. Or am I missing something?

By: Gary

Gary — Sun, 12 Oct 2008 04:28:46 +0000

Your regular auto coverage will not be valid in Manzanillo. When that far into Mexico you must have insurance from a provider with a physical presence in Mexico or you are committing a felony there.