When shopping for Mexican Car Insurance at Mexican Insurance Store, it is critical to make sure that the company who’s selling you your policy is reputable. Although testimonials and other things should be taken into account, they tend to be unreliable. After all, what’s to stop a company from simply making them up? Since you don’t want to drive around with a worthless Mexican insurance policy, it’s imperative to double-check the reputation of the company who is selling you your policy. One of the best benchmarks to look at when investigating an insurance company is its financial strength rating from A.M. Best. Find out more about why this rating is so important by reading on below.
What is a Financial Strength Rating, Anyway?
As a Nationally Recognized Statistical Rating Organization, or NRSRO, A.M. Best is considered to be a legitimate source of financial strength ratings, or FSRs. While A.M. Best publishes other ratings – it has recently been edging in on Standard & Poor’s territory – it has always primarily focused on insurance company ratings. In simple terms, an insurance company’s financial strength rating reflects its ability to make good on its policies – i.e., to pay out on filed claims. When shopping for Mexican auto insurance online, it is smart to find out what the insurance company’s ratings with A.M. Best are so that you don’t end up with a worthless scrap of paper.
The ABC’s of Mexican Auto Insurance Ratings
If you’ve ever looked at a grade school report card, you’re already fairly familiar with how A.M. Best’s financial strength ratings work. You should only consider buying policies from companies that have ratings within the “secure” category. Secure ratings are A++, A+, A, A-, B++ and B+. Anything below that could signify a problem on the part of the company to make good on its claims. Many times, companies with “vulnerable” ratings offer slightly lower premiums and much higher commissions to agents who agree to peddle it. The trade-off, of course, is that their policies may not be any good and most certainly trying to collect what you are due will be harder, because there is less premium available in the program to pay claims.
Do Your Homework when Buying Mexican Insurance!
Sometimes, travelers feel that they don’t have to invest too much time in buying their insurance for Mexico, since they’ll only be there for a short period of time. What are the chances of anything going awry, anyway? This is a dangerous way to think, since a shoddy policy could land you in all sorts of legal trouble south of the border. A vacation in Mexico is supposed to be fun and carefree. The best way to ensure that everything goes off without a hitch is by purchasing a policy from a company that is highly rated with A.M. Best. Why Ratings Matter for Mexican Auto Insurance!