Fwd: Mexico Insurance Alert: Radical Change to Mexico Liability Laws/E&O Exposure

[kasugie]

For what it's worth, I received the following notice from my former auto insurance broker MEXPRO. Given I no longer have a car here, the changes in liability laws don't affect me.

---------------------------- Mensaje original --------------------------

Mexico Insurance February 2013 Announcement


To view this email online, paste this link into your browser:
http://e2.ma/message/otxcf/wfouyg
___________________________________

Dear Customer,

We are writing to inform you of a radical change to Mexico Liability Law.

In the past, the liability damages imposed on an at-fault driver who
caused a negligent fatality in Mexico were capped at 750 days multiplied
by the local Mexico Minimum Wage (approximately $ 50,000 total damages in
most Mexican States). Effective immediately, that limit has been increased
by the Mexican Government to 5,000 days multiplied by the local Mexico
minimum wage (up to approximately $ 300,000 US Dollars total damages,
depending on the Mexican State).

WE NOW RECOMMEND THAT ALL OUR CUSTOMERS PURCHASE A MINIMUM OF $300,000 in LIABILITY LIMITS, AND SERIOUSLY CONSIDER THE $500,000 LIMIT!

What happens if I have a current policy in force with limits of $ 50,000
or $ 100,000?
Each of our underwriters, ABA Seguros, ACE Seguros, and GNP Seguros have agreed to honor the $ 300,000 Death Liability Limit on all currently in
force policies until expiration. So you do not have to do anything if you
purchased your existing policy on or before February 4, 2013 and it is
still in force. Regardless of the current limit on their declarations
page, the insurers listed above will honor the $ 300,000 Death Liability
limit until the expiration of any in force policies purchased on or before
February 4, 2013.

What limits do you suggest we choose when purchasing future new or renewal policies for Mexico?
We suggest that you now use the same level of care regarding Mexico
Liability limits that you would use when purchasing a US or Canadian auto
liability policy. The radical change to Mexico Liability law means that
claims for Death Liability in Mexico will now be similar to the damages
that are often imposed by courts in the US and Canada in similar cases.

If you have any questions about this new law please feel free to contact
us today at 888-467-4639. We cannot stress enough the importance of
understanding these new liability limits and the need for higher limits
when purchasing Mexico Auto Insurance in the future.


Sincerely,

The Mexico Insurance Professionals
www.Mexpro.com [http://www.mexpro.com/]
www.iigins.com [http://www.iigins.com/]
En Espa??ol [http://www.mexpro.com/mexico/index_sp.html?&lang=sp]