Liability Exposure in Mexico

Most people find this surprising but in most Mexican areas, liability exposure in Mexico is lower then in the US! Your liability as a person for damages and injuries that was a result of a third parties fault is more limited in Mexico. Why? Unlike the United States, Mexico has lower limits on damages such as punitive or ‘moral’ damages, but not so on actual damages. What does this mean? If you get into a car accident while driving in Mexico or have another form of accidental damage done to property or your personal being you won’t have as much of a chance of getting reimbursed or helped in Mexico as you would in the US. It is important to know your Motor Vehicle Rights while in Mexico.

There are several types of damages that could happen that result in liability exposure in Mexico in relation to car accidents. The bulk is listed below:

• Actual damages: Damages based on the actual value of the other person’s vehicle, plus their wages and medical expenses.
• Moral damages: These equate to the United States pain and suffering damages. This usually can’t be used often in the Mexican courts and will likely add up to a quarter of the overall damages.
• Various: In many Mexican courts the judges are given the option of giving out extra damages as they see fit. Depending on a case’s facts there may be an exception that leads to more damages then would otherwise stand. \

Liability exposure in Mexico comes down to the two basic forms of liability. Nearly every case falls into one of these two categories- civil liability and criminal liability.

Civil liability: Civil liability usually isn’t recommended for those who are seeking damages because of the limits set by the courts on what a person can claim. If you are seeking maximum benefits you probably wouldn’t choose a civil liability case.

Criminal liability: In criminal liability cases the damages cannot be subject to the limits set for civil liability cases. The victim also doesn’t have the legal need to hire an attorney or be appointed an attorney- they can handle their own case if they want.

There is always some confusion over how much you may be liable for in a Mexican liability case (civil). Many people believe that their insurance plans will act as a safety net for nearly any problem and it just isn’t that way. In Mexico, just like any other country, a US citizen is dropping many of their rights when they leave the States Here are the basics of what a person could and will be liable for:

• Funeral expenses
• Damage to another person’s property caused by you
• Damage to another person’s vehicle
• Medical expenses such as hospitalization and medication
• Moral damages, which most likely won’t go over one fourth of the total damages

Liability exposure is currently less then the US, which surprises most and it is on its way of changing. The actual costs of judgments in Mexico are less then the US as well! Knowing what you are liable for and what liability case is all so important when dealing with liability exposure in Mexico.

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