Yacht Insurance. Got Mexico navigation?

Halloween is just around the corner signaling it is almost time to point the bow south to sunny Mexico for the winter cruising season. With the tightening of the yacht insurance industry over the last few years it is important to have your yacht insurance in place before crossing the border into Mexican waters. Some insurers do not offer any coverage in Mexican waters, and a couple of other insurers only allow short trips of 30-90 days. The number of insurance companies insuring boats in Mexican waters can be counted on one hand resulting in a lack of capacity and tighter underwriting. The name of the game is to get your Mexico yacht insurance policy in place sooner rather than later. What to do:

• 1. Purchase your required Mexican Vessel Liability Coverage online via this link www.mexboat.com. Premiums start at under $200 USD. Novamar created this proprietary program for our clients over 10 years ago. The policy includes coverage for your yacht tender and includes sailboat club races and rallies at no additional charge. This coverage must be placed with an insurer registered in Mexico for any boat that is in Mexican waters. Vessel liability policies placed with U.S., Canadian, and European insurers do not comply. Article 176 of the Mexican Law on Navigation and Maritime Trades and in Article 176 of the Law on Maritime Navigation and Commerce. Third is the General Law of Institutions and Mutual Insurance Companies in Mexico. Most marinas in Mexico will ask to see a copy of Mexican Vessel Liability policy.
  
  
• 2. Contact your yacht insurance agent to discuss your plans to take the boat to Mexico. Advise how long you plan to stay in Mexican waters, and where the boat will be during the 2023 hurricane season. You will likely need to have your navigation limits extended or possibly will need to rewrite coverage with a different insurance company, or your agent may suggest that you contact another company for coverage.

Novamar Insurance Group has specialized in marine insurance in the USA since 1987 and is licensed in all 50 states. Novamar Insurance Mexico is our sister company founded in 2009 licensed in the Republic of Mexico with 16 bilingual staff in the Puerto Vallarta office ready to assist our clients. Between the U.S. and European insurers and the Mexican domiciled and licensed insurance companies Novamar works with, we can usually come up with a coverage solution while cruising in the USA, Mexico or beyond. Have a great trip south!