4 Most important coverages included on a Mexico Home Insurance policy

Do you plan to buy a new property in Mexico? If you answered yes, you should consider insuring your property as part of your budget planning. Insuring your property will minimize your liabilities in the event of an unforeseen disaster.

Property insurance in Mexico differs from insurance sold in the U.S. and Canada. Because insurance policy terms differ and the available coverage types vary, many coverages that you may believe are standard in your policy may not be.

"Named Perils" vs. "All Risks"

Most Mexican insurance policies includes "All Risks" coverage, which covers any risk involving your property that the policy does not explicitly exclude. Mexico insurance policies also cover catastrophic disasters such as earthquakes, hurricanes, floods, and tsunami. Reputable insurance agencies, such as West Coast Global Insurance Services, can cover these disasters.

Instead of taking All Risks coverage, you can choose to limit specific "Named Perils" assigned to your insurance policy to keep your premiums low. Specific damages or losses will be covered in this case, while others will not. Cheaper insurance plans are often of the "named perils" type, even if they appear to be comprehensive on the surface. A good insurance brokerage can help you understand the difference between the two types of coverage so you can make a more informed decision when buying property insurance in Mexico.

Dwelling Coverage

Your Mexican property insurance policy should cover the main structure of your house. However, you may also include other structures such as garages and casitas on your policy. Some Mexican residences are made up of multiple structures — for example, several buildings built around a central courtyard. In these cases, the general insurance rule is that anything directly connected is one building, whereas any standalone building is considering a multiple dwelling structure and or another structure. West Coast Global Insurance Services offers Mexico dwelling coverage up to USD 5 Million in replacement costs.

Personal Property Coverage

A good Mexico property insurance policy will cover personal items owned by you and your guests. Some policies additionally include coverage for specific valued goods, such as cash, jewelry, and fine arts up to certain limits. If you need higher limits of coverage for personal items, you can do so by listing them in a separate section of the application, which is called scheduling additional personal property.

Third-Party Liability

Good Mexico property insurance policies cover your personal liabilities to third parties, shielding you and your family from any lawsuits brought against you in Mexico. For example, if a wall collapses and injures someone on your property or if a tree from your yard falls and damages a neighbor's property, your insurance policy should cover your liability in these cases. You can cover your personal liability to third parties for up to USD 2 million with West Coast's Mexico Home Insurance.

Get Your Property Insurance Quote Today!

If you are planning on buying a property in Mexico, West Coast Global Insurance has made it easier to protect your investment from the unexpected. Fill out their Mexico Home Insurance Application now to get a quote for the best online Mexican insurance policy for your needs.

West Coast Global Insurance Services is dedicated to continuously researching our industry for the most comprehensive, best-priced insurance policies available in Mexico.