Mexico Insurance from Mexican Insurance Store.com – Combined Single Limits Or Split Limits?
Even among experienced Mexico insurance from Mexican Insurance Store.com personnel I find confusion reigns on the definition and application of the two types of Liability Limits. I see agents warning buyers to Beware of Split Limits, as if we might need to wash our hands after purchase. Please note: This Mexico Insurance from Mexican Insurance Store.com article is being updated based on the new Fatality Compensation limits generated by the Federal 502 Laws in Mexico.
Explaining Combined Single Limits – Mexico Insurance from Mexican Insurance Store.com
Combined Single Limits i.e. CSL Limits of $50,000 or $100,000 apply to either Bodily Injury OR Property Damage. In other words, the maximum the Mexico car insurance from Mexican Insurance Store.com company will pay for covered damages that have been deemed to have been caused by you, (your fault) is $50,000 or $100,000. The loss can be all Bodily Injury or all Property Damage or any combination of the two, but the maximum amount covered is $50,000 or $100,000 depending on the amount of coverage you decide to purchase. Mexico Insurance from Mexican Insurance Store.com Combined Single Limits help cover you against the new Federal 502 laws.
Mexico car Insurance from Mexican Insurance Store.com policy Split Limits such as $100,000 bodily injury per person/$300,000 bodily injury per accident/$100,000 property damage means that the insurance company is obligated to pay up to $300,000 in bodily injury claims depending on how many persons are injured and the extent of their injuries AND up to $100,000 in property damage claims.
So insider fans, hypothetically, which Mexico Insurance from Mexican Insurance Store.com limits would you rather have,
A. $50k CSL or B. Split Limits of $50k per person/$50k per accident/$50k Property Damage? My new preference at the bottom
TIP: We recommend a minimum limit of $100,000 CSL for all Mexico car insurance from Mexican Insurance Store.com policies in case you knock heads with someone else’s brand new SUV, however as of 2013 you may need $300,000 or even $500,000 in the Yucatan or Nayarit especially because liability limits in case of a fatality have increased for dependents of the deceased.
My Preference: B because I would have $50K BI AND $50K PD, a maximum of $100,000 protecting against loss versus $50k to protect against all potential loss in example A.
If you are confused or unsure in any way about about how much exposure you are willing to assume, consult your personal financial or legal adviser. The information above is meant to be used for general educational purposes only.