What is the best auto insurance according to PROFECO?
The Federal Consumer Prosecutor’s Office (Profeco) is the agency in charge of evaluating and guaranteeing commercial relationships that strengthen responsible consumption, as well as ensuring access to better market conditions for products and services. For this reason and in strict adherence to the regulatory framework of consumer rights, Profeco is responsible for the promulgation of quality studies and issues recommendations so that Mexicans can choose between the different options on the market.
Insurance is a protection mechanism that, according to Profeco, helps citizens to face emergency situations, which otherwise would have to be solved with their own financial resources that may not be available. Therefore, a policy is a long-term investment that allows peace of mind and well-being for the family.
Regarding insurance and financial products, Profeco recommends choosing coverage according to the priorities and budget of the interested party, as well as not losing sight of the fact that the best insurance is that it comprehensively protects against any loss.
Tips from Profeco to choose Auto Insurance
Consider the importance of investing in a road policy
As mentioned, one of the recommendations of the Federal Consumer Prosecutor’s Office is to recognize that insuring an asset or one’s own health is a method of prevention and to evaluate the fact that if an accident were to happen, there would be sufficient funds to face Expenses.
Given this, it must be considered that hiring a policy is an investment, in addition to being an obligation in many states of the Republic and to travel on federal highways.
Prioritize the driver’s needs
Driving a car involves risks and responsibilities that can affect property, health or third parties in their property and people. In addition, factors that could endanger the property, such as living in an area with high crime incidence or having the car driven by our children or spouses, or even residing near the sea, mountains or river, must be considered.
It is also important evaluate the budget that is being allocated to contracting insurance, that does not diminish the monthly fixed expenses and the savings of the family.
Know the coverage offered by the market
An automotive coverage protects against damage or total or partial loss of the car in the event of a road accident or theft, but also protects medical or legal expenses that derive from such events. There are three insurance plans and in general they cover different types of risks.
The first is Civil liability and the most basic as it only protects against damage to third parties in their property and people. Sometimes this coverage is not enough, especially if the vehicle is considered a means of transportation to go to work or school, and an accident could reduce the lifestyle.
The second is the Limited plan That covers:
- Total theft. It compensates the total loss of the vehicle due to theft or assault, as well as the material damages and losses as a result of said event.
- Civil liability for damages to third parties. Covers the liability that the owner may incur for material damage caused to third parties in their property, bodily injury or death.
- Medical expenses to Occupants. Assists in the payment of hospital expenses for bodily injury of the insured or the other occupants of the vehicle, as a direct consequence of accidents that occur when they travel in it.
- Legal defense and advice. the company offers professional legal services in the event of an accident or total theft of the automobile.
Finally, the comprehensive coverage It has two aspects, the normal and Plus:
- Broad (basic), contemplates the guarantees of Total Theft, Civil Liability for damages to third parties, Medical Expenses to Occupants, Legal Defense and Advice and also covers the Material Damage that may happen to the insured vehicle as a result of a road collision, natural disaster, flood, lightning, fire, explosion, earthquake, collapse, fall of trees or construction material.
- Instead, the Wide Plus It also includes other benefits such as Partial Damage or Theft, Zero Deductible, Substitute Car, Agency Repair, among other guarantees.
Research and evaluate insurance companies
Both Profeco and the National Commission for the Defense and Protection of Users of Financial Services (Condusef) recommend that before choosing insurance, the options that exist in the market be compared in order to make an informed decision.
For this, the Condusef has a price simulator, but also there are auto insurance buyers online that allow in a couple of seconds to know the offer of different insurers and choose directly with the company that best suits.
Clear doubts before hiring the policy
It is worth mentioning that each company has its own terms and conditions, as well as criteria to calculate the price of the insurance, so it is important to evaluate what each insurer offers and ask about the insured amounts, deductibles, exclusions, coverage scopes and everything related to situations in which the insurance might not support.
It is also essential to analyze if you have the economic solvency to pay the cost of the policy in cash and in a single payment, since there are other methods to settle it. Although installment payments tend to raise the total price of insurance, some companies offer months without interest or discounts in seasons such as Hot Sale or Good End.
Profeco recommends the best Auto Insurance
As mentioned, the ideal policy is one that responds comprehensively to any situation or unforeseen event that may harm a person’s property or health, so choosing the best automotive coverage is an act of reflection if the necessary information is provided. .
However, Profeco advises to evaluate the market options and make sure that the contract responds to what the insurance company promised. If the insurer were to breach the agreement, both Condusef and Profeco have consumer defense mechanisms.
If you wish to file a complaint with Profeco, you should contact the telephone number 01 800 468 8722 or 5568 8722; visit a Profeco office or request conciliation online through the Concilianet site.