Mexico is the second largest insurance market in South America only after Brazil . It has shown strong economic growth in recent years.
Insurance penetration is very low due to the market protection attitude of the government and development of local industry with lack of external competition when liberalization started many foreign companies came to do business in Mexico as they see a large untapped market with less competition.
Both life and non life insurance products are available in Mexico. Auto, accident and health insurance are the main types of insurance in Mexico.
Mexico has a growing middle class population segment that will push the market demand for insurance products. Rise in wages , healthcare expenditure and growth of auto sales will drive the sale of insurance policies. There is a large potential market for insurance products which are underutilized.
Banks and Brokers are effective channel for the distribution of the insurance products. There is also growing sale of insurance products in online market. Buying policies online will save you money and give options for comparison and choice. It is important that you get insurance quotes from several companies and then choose according to your requirements and policy details.
The Comision Nacional de Segurosy Fianzas operates as the regulatory body in the Mexican insurance business. There is a growing need to make necessary improvements in regulatory provisions to make market more accessible for foreign player and improve their product portfolio and geographic diversification and reinsurance of the policies.
Life insurance products are giving more premium while there is a large increase in the demand of health and accident insurance.
Mexico is one of the largest travel destinations in the world. So when traveling to Mexico be sure to take travel insurance that will protect you from health hazards and problems that may arise when you are traveling.
Mexico has a very fragmented market with several players participating in different areas of the insurance sector.
Mexican Law specifies that only insurance companies which are licensed in Mexico can provide the auto insurance coverage. US and Canadian insurance will not be applicable in Mexico. The third party liability insurance need to be purchased from the Mexican insurance company in order to protect yourself against accidents, loss due to injury and other such troubles.
Major Mexican Life Insurance Companies
Metlife Mexico Insurance
BBVA Bancomer Insurance
ING Comercial America Insurance
Seguros Azteca Insurance
Last Updated on : 26th August 2013