Q: What happens if I will be driving a car that I do not own (meaning it is borrowed, leased, or financed)? Can I insure it?

A: If you will be driving a vehicle in Mexico that you do not own, the process for ensuring you don't run into any trouble is relatively simple. All you need is a notarized letter of permission from the owner of the vehicle. This rule applies to borrowed, leased or financed vehicles.

One word of caution, specifically on leased and financed vehicles; be sure you understand any requirements they may have for insuring a vehicle in Mexico. For example, Ally Financial (formerly GMAC) has long required $100,000 in Liability and Fixed deductibles, as have many other finance companies. Failure to meet these requirements can cause a delay in getting the letter of permission and may require the cancellation of your policy and the purchase of a new Mexico Insurance policy.

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