Depending on your personal needs and preferences, circumstances, and of course your budget, you can choose Mexico home insurance entirely or even partially. The cost of home insurance in Mexico will depend upon a few different factors, which would include the location of the property, the type of property, the value of the property, the age of the property, and what items you would like to be covered.
Home insurance in Mexico
An “All Risks” insurance coverage is offered by some insurance policies in Mexico. This type of home insurance coverage will pay you with generally most incidents and accidents that involve the property. There are better policy coverages that can protect you for incidents that are classified as catastrophic, which would include fire, earthquakes, floods, winds, hurricanes, and volcanic eruptions. However, not all of the home insurance companies in Mexico are able to cover you for all of these potentially catastrophic events.
Property owners in Mexico can lower their insurance premiums by electing to limit “Named Perils” that will be assigned to your home insurance policy by just choosing to take “All Risks” insurance coverage. What does this mean? It means that certain events may be covered while other events will not be covered. The insurance policies that are cheaper in cost are called “Named Perils”, which is often mistaken to be comprehensive insurance. Make sure your insurance broker provides clear instructions between these type of insurance along with the differences and prices of the insurance options.
What to include in your home insurance in Mexico
Your home insurance policy should always cover the structure of your home. You can even add coverage for carports, garages, studios, game rooms, and any outbuildings. Many homes in Mexico come with several different structures, which would include a central courtyard with several buildings built around it, and many insurance policies do not cover these added structures if they are not connected to the main home.
Contents Insurance in Mexico
A great home insurance policy in Mexico should cover all the personal belongings that you own, or those that are owned by your employees and any guests (within your home). Some of the home insurance policies in Mexico will also cover jewelry, arts, sporting equipment, money, though this coverage may be limited and need premiums for particularly expensive items. There may be an option if you would like to add higher insurance limits on different items, which is generally located on the special selection area of your home insurance application form. Theft insurance coverage may vary as it will depend upon if it has been specifically listed or is added to the “scheduled” area.
Loss of Use or Rental Income
If your Mexico property is used for work or it is a rental income property, then you can add a “loss of use” risk to your insurance policy. This coverage would provide you coverage for any expenses caused by the fact that you cannot use your property for a long period of time. Also, if your property is very damaged and it will take a while to repair or even rebuild the property, then your home insurance will cover for all loss of rental income that you would have gained. Evidence is often required, and a rental contract is good evidence.
If you have a home in Mexico, then this is what you need to know about home insurance in Mexico.