BajaNomad

Bumpy Road for Mexican Auto Insurers

Woooosh - 3-13-2010 at 12:26 PM

Insurers business being down some 80% seems to verify many Nomads recent observations of empty campgrounds, hotels and surf spots...

http://www.signonsandiego.com/news/2010/mar/13/bumpy-road-me...

Some points I found interesting. And, as always, it's the medias fault:

"... As do hotels, restaurants and other tourist-dependent businesses in Baja California that have been hurt by the decline, the insurance sellers on the north side blame bad publicity from a rash of drug-related violence in Tijuana, high gasoline prices, economic woes in the United States and new federal travel regulations that kicked in last year, which they say made an already bad situation worse."


"... former Baja California road-trippers and spring-break revelers have opted to stay home or go elsewhere in the wake of drug-related border violence, more travel regulations, higher gas prices and a tight U.S. economy, businesses that sell auto insurance policies for travel to Mexico are struggling.

"... it�s about 80 percent down, compared to how it used to be,� said Fred Knechel, business manager of Baja 4 Less Mexican Auto Insurance Services in San Ysidro"

"... this time, there doesn�t seem to be a recovery in the near future. This is definitely long-term,�

... "Everyone is hurting with no one crossing,� said Jason Wells, executive director of the San Ysidro Chamber of Commerce. They have pretty much lost all their clientele. It is very bad for them right now.�

..."one steadfast part of his clientele is the Mexican-born traveler who drives home to visit family. They are not spooked at all,� Nordahl said, whose company does the bulk of its business online. �Things have slowed down (for them) a little bit, but that is just due to the economy, the price of gas. None of them are concerned about the violence or anything, because they can cut through the hype.�

woody with a view - 3-13-2010 at 01:01 PM

the price of gas?

Bajahowodd - 3-13-2010 at 01:12 PM

Obviously, trips and traffic are down. However, I do recall that not too long ago, BajaGeoff posted that business was improving. Jeff Nordahl of MexAdventure was also quoted in the article Both MexAdventure and BajaBound sell primarily, if not exclusively online providing very user-friendly interface. I'm thinking that the guy in the article who has ten San Diego locations is also being victimized by having an outdated business model.

Liar, liar, pants on fire

Dave - 3-13-2010 at 10:29 PM

Quote:
Originally posted by Woooosh

..."one steadfast part of his clientele is the [B]Mexican-born traveler who drives home to visit family[/B]. They are not spooked at all,� Nordahl said, whose company does the bulk of its business online. �Things have slowed down (for them) a little bit, but that is just due to the economy, the price of gas. None of them are concerned about the violence or anything, because they can cut through the hype.�


These travelers don't buy insurance.

Like, maybe, one-in-a-million. :rolleyes:

arrowhead - 3-14-2010 at 01:17 AM

Yeah, well those Mexican auto insurers down by the border have always been creaming the market. Their markup on a policy is ridiculous compared to what you can get from somebody away from the border. Just look at this comparison of two identical policies, liability only for $50,000. Same car, same additional accident benefits, i.e. bail bond, roadside service, plane tickets if stranded, rental car, legal representation, etc. Both A+ rated insurance companies:

Broker #1 a sponsor of a well know Baja-related message board
Broker #2 100 miles from the border

7 day = #1 $76.30............#2 $41.36
6 month = #1 $237.45..........#2 $131.16
1 year = #1 $324.43..........#2 140.53

The entire difference just lines the pockets of the broker.

Bajahowodd - 3-14-2010 at 04:03 PM

Actually wondering, exactly who broker # 2 was. You would certainly be doing a service to this community if you revealed it.

sancho - 3-15-2010 at 01:31 PM

A couple GREAT points posted, 'those travellers
don't buy Mex Ins for trips back home'. Probably
not politocally correct though. Also the point
about the paltry $50,000 csl liability limit on
policies sold at the border. Casual tourists
don't know what Mex Ins they are buying.
I would say a full 90% of my friends will not drive
into Mex, so the point in the article about business
being down 80% would seem to be right on.
I guess it means more room for us

KASHEYDOG - 3-15-2010 at 10:07 PM

I get my annual policy through "Costco.com". Ive enclosed a web address for your review. Executive members get a special discount. Call me if you need help Dick Kashey 619 224 0808 in O.B. : )


http://www.costco.com/Browse/Productgroup.aspx?ec=BC-EC12628...

KASHEYDOG - 3-15-2010 at 10:09 PM

Try this one too

https://www.bonitawest.com/Costco/frm_Home.asp

Woooosh - 3-16-2010 at 11:41 AM

Quote:
Originally posted by KASHEYDOG
Try this one too

https://www.bonitawest.com/Costco/frm_Home.asp


Thanks for that link. I have used the Bonita West company for on-line policies before. CostCo members log-on with their club card # and get a 35% discount... plus I can gripe to CostCo for some leverage if something ever goes wrong on a claim.

I insured a 2007 SUV with full coverage for $193/year. Used a $20K vehicle valuation with $500 deductible and maxed out the options for Liability and Medical expenses. Includes Legal assistance and Travel assistance:

Base premium - $240
IVA - 26
Policy Fee - 30
Costco Discount - ($104)
Total Premium - $193

BajaGeoff - 3-16-2010 at 01:52 PM

Arrowhead,

I am not sure if you are referring to Baja Bound as broker #1, but if so, your numbers are way off.

Our 50K liability-only policies break down at the following prices:

7 days = $39.28
6 months = $112.05
annual = $146.46

This is through HDI Seguros (formerly GE Seguros).

lasalinagary - 3-26-2010 at 11:03 AM

Thanks for the info on Costco. Just went to Bonita West and insured my vehicle full coverage for a full year, $32000 value for $329.00. that was way better than any others that I have done.

One caveat, they only insure cars from border states. My friend from Iowa was not eligible for coverage, and I had to buy a Costco card issued in the US, they did not accept my Mexico issued Costco card.

monoloco - 3-26-2010 at 11:15 AM

Oregon is not a border state and Costco insured us.

Baja Grande 2011 is a "Go"

Ken Cooke - 3-26-2010 at 10:10 PM

The word on the street is Baja Grande 2011 (April 2011) is a "Go". Nothing is going to keep our Jeeps out of Mexico next Spring.


Costco Mexican Insurance

Hooker33 - 3-27-2010 at 10:54 AM

Just logged on to the listed Costco Insurance web-site. The Mexican Insurance is not available to Washington residents. I guess I'll have to stick to Vagabundos unless someone has a better alternative for us.

woody with a view - 3-27-2010 at 11:07 AM

Quote:
Originally posted by Woooosh
Quote:
Originally posted by KASHEYDOG
Try this one too

https://www.bonitawest.com/Costco/frm_Home.asp


Thanks for that link. I have used the Bonita West company for on-line policies before. CostCo members log-on with their club card # and get a 35% discount... plus I can gripe to CostCo for some leverage if something ever goes wrong on a claim.

I insured a 2007 SUV with full coverage for $193/year. Used a $20K vehicle valuation with $500 deductible and maxed out the options for Liability and Medical expenses. Includes Legal assistance and Travel assistance:

Base premium - $240
IVA - 26
Policy Fee - 30
Costco Discount - ($104)
Total Premium - $193


looks like i'm gonna need to get a costco card! sorry Geoff! 1/2 price....

[Edited on 3-27-2010 by woody in ob]

Pacifico - 4-2-2010 at 06:14 PM

I just bought an annual insurance policy through Bonita West (full coverage and limited territory) for $375.00! This is based on $41k value, 100k liability. My Costco discount was $125.23.

This is a great deal in my opinion for an annual policy. :tumble:

irenemm - 4-2-2010 at 06:18 PM

the U.S. Insurance is really cheaper than anyone also. We paid 1/2 of any quote from anyone else. havve had it for 5 years mow. home owners. Not if your house is old. they won't cover it
car great

woody with a view - 4-17-2010 at 09:22 AM

bonita west doubles the medical coverage to $20k per incident $4k per person than i got previously. lets hope we never need it....

Bichito - 8-1-2014 at 10:34 AM

Do people still feel the same way about Costco > Bonita West > Qualitas (or Mapfre)??

Apples to apples with coverage amounts it's pricing out very low for an annual policy (even with my Sentri discount elsewhere). It's no deal if the service is terrible and there isn't follow-up when you need it... I'm OK if the adjuster only speaks Spanish.

durrelllrobert - 8-1-2014 at 11:01 AM

What is the current MINIMUM drivers license liability coverage required by law in Mexico? Some people say $300k but my broker is still selling $50k policies.

Bichito - 8-1-2014 at 11:42 AM

The new Mex Fed MINIMUM is the equivalent to $25k US.

MexicoTed - 8-1-2014 at 02:44 PM

If you want to talk about reasons people aren't going, among my friends and acquaintances almost all point to the border wait. Both not worth it for a day trip and certainly not worth it to them for a holiday weekend. Fix that and you will have hoards of vacationers.

BajaGeoff - 8-1-2014 at 02:45 PM

The minimum liability requirement in Mexico is 25K as Bichito stated. Most agencies sell 50K or higher.

A few years back Mexico increased the liability exposure by about 7 times if you are at fault in a fatality accident. For that reason, most agencies are now recommending getting a minimum of 300K. Again...the 300K is not required, but recommended.

Here is a chart that shows a state-by-state breakdown of the criminal and civil penalties as a result of a fatality accident in Mexico: http://www.bajabound.com/info/statelimitschart.php

Bichito - 8-1-2014 at 04:53 PM

Quote:
Originally posted by BajaGeoff
The minimum liability requirement in Mexico is 25K as Bichito stated. Most agencies sell 50K or higher.

A few years back Mexico increased the liability exposure by about 7 times if you are at fault in a fatality accident. For that reason, most agencies are now recommending getting a minimum of 300K. Again...the 300K is not required, but recommended.

Here is a chart that shows a state-by-state breakdown of the criminal and civil penalties as a result of a fatality accident in Mexico: http://www.bajabound.com/info/statelimitschart.php



...and this is why I'm nervous to leave BajaBound... The info and service at BB has always been top notch! Argg but the Costco>BW is quoting soo much cheaper. argh

Ateo - 8-1-2014 at 05:06 PM

Bichito: Let's do 7 Sisters this Winter. =)

BajaGeoff - 8-1-2014 at 05:09 PM

Can I join the caravan Ateo???

Ateo - 8-1-2014 at 05:13 PM

Quote:
Originally posted by BajaGeoff
Can I join the caravan Ateo???


Heck yeah Geoff. I'll keep you posted. Always good to have another vehicle.

And I'll be renewing my Tundra insurance next week.....just FYI.

BajaGeoff - 8-1-2014 at 05:13 PM

Quote:
Originally posted by MexicoTed
If you want to talk about reasons people aren't going, among my friends and acquaintances almost all point to the border wait. Both not worth it for a day trip and certainly not worth it to them for a holiday weekend. Fix that and you will have hoards of vacationers.


Ted...this thread started back in 2010....tourism has improved a lot since this article was first posted. We are as busy as we have ever been, but I agree...the border waits have been terrible and definitely a deterrent lately. SENTRI has even been long!

Bichito - 8-1-2014 at 05:15 PM

Ateo I'm in & I'm going to hold you to it!

BajaGeoff - 8-1-2014 at 05:15 PM

Sounds great Ateo!

Ateo - 8-1-2014 at 05:26 PM

Quote:
Originally posted by Bichito
Ateo I'm in & I'm going to hold you to it!


I promise this year I'm down. Give me a date and I'll make it happen. Need to try out that new vehicle you have.

Bichito - 8-1-2014 at 09:25 PM

Geoff -- I never thought to ask...let me know if there is a Nomad discount?? Annual policy w/ Sentri. PM or post. Thx :?:

BajaGeoff - 8-4-2014 at 09:21 AM

Hello Bichito,

No Nomad discount, but we do have a discounted policy for SENTRI card holders. Click on the link for info and to get a quote: http://www.bajabound.com/info/policies/sentrisaver.php

sancho - 8-4-2014 at 10:02 AM

Quote:
Originally posted by soulpatch








The only thing that kept me out of baja more regularly when I lived in San Diego was the thought of being stuck northbound at the border for hours.... it completely blew our daytripping out of the water....







With you on that, came back yesterday, Sun. 11 am, SY, 3 1/2
hr., reg line, I actually thought 3 1/2 wasn't too bad. Noticed
the kiosk drive in Ins/Exchange place at the foot of the Outlet
Mall, has for their reg policies $500, 000 libility, probably
excessive, that border wait takes it out of me. There were TJ
cops walking thru the traffic coming back, looking for, I assume, Gringos
drinking in vehicles, they appeared to get a couple guys

elgatoloco - 8-5-2014 at 02:25 PM

Viva Baja Bound!
Viva Sentri!

Can someone post gps to 7 sisters. :saint:

Let me know when. See you there. :dudette:

We still day trip often.

David K - 8-5-2014 at 03:14 PM

Quote:
Originally posted by elgatoloco
Viva Baja Bound!
Viva Sentri!

Can someone post gps to 7 sisters. :saint:

Let me know when. See you there. :dudette:

We still day trip often.


No GPS! Woody wouldn't speak to me ever again... :lol:


However, non-Nomad sources make maps that point out what they call the Seven Sisters...






Bichito - 8-5-2014 at 06:40 PM

Quote:
Originally posted by BajaGeoff
Hello Bichito,

No Nomad discount, but we do have a discounted policy for SENTRI card holders. Click on the link for info and to get a quote: http://www.bajabound.com/info/policies/sentrisaver.php


Thank you. The real differentiator is the ability to repair your vehicle in the US.. Qualitas doesn't offer that (at least through Costco>BW)

Ateo - 8-5-2014 at 06:54 PM

Hey Geoff. I need to renew ma�ana or Thursday at the latest. What's the quickest way for a guy with a Bajabound account to get this Sentri discount? If walk thru a renewal online will it apply the savings?

bajaguy - 8-5-2014 at 06:57 PM

Quote:
Originally posted by Ateo
Hey Geoff. I need to renew ma�ana or Thursday at the latest. What's the quickest way for a guy with a Bajabound account to get this Sentri discount? If walk thru a renewal online will it apply the savings?





Yes. Just have your SENTRI card number when you renew on line......easy squeezy

Ateo - 8-5-2014 at 07:00 PM

Quote:
Originally posted by bajaguy
Quote:
Originally posted by Ateo
Hey Geoff. I need to renew ma�ana or Thursday at the latest. What's the quickest way for a guy with a Bajabound account to get this Sentri discount? If walk thru a renewal online will it apply the savings?





Yes. Just have your SENTRI card number when you renew on line......easy squeezy
.

You rule.