MEXICO Law and Practice Contributed by: Carlos de la Garza, Raúl Acosta and Enrique Tamez, De la Garza & Acosta Abogados, S.C.
9. Insurance Disputes 9.1 Insurance Disputes Over Coverage When a claim arises, the insured or the beneficiary of the policy must promptly notify the insurance com- pany, either directly or through their insurance agent, so it can assess whether to approve or deny the pay- ment of compensation. If the insured or beneficiary wishes to challenge the insurance company’s decision to deny the claim, they may voluntarily approach either the insurer’s Special- ised Unit or the National Commission for the Pro- tection and Defence of Users of Financial Services ( Comisión Nacional para la Protección y Defensa de los Usuarios de Servicios Financieros ). The Commis- sion can only handle claims involving amounts of approximately MXN50 million. The National Commission for the Protection and Defence of Users of Financial Services is a govern- ment agency that offers free services to protect con- sumers of financial products. It acts as a mediator in disputes between insured individuals and insurance companies, as well as between other consumers and financial institutions. While it is common for consum- ers to bring cases before it, the Commission cannot issue binding resolutions unless both parties agree to arbitration, which is rare. Regardless of this process, the insured may file a law- suit in court to demand payment of the compensation they believe they are entitled to as soon as they receive the claim rejection or 30 days after the company has received the necessary documents and information to understand the basis of the claim. In Mexico, the statute of limitations is a procedural defence that must be raised in court by the party invoking it and cannot be applied ex officio by the courts. According to the Law on Insurance Contracts, the statute of limitations for actions arising from an insurance contract is as follows: • five years for death coverage in life insurance poli- cies; and • two years for all other cases.
The Mexican Supreme Court of Justice has issued various relevant jurisdictional criteria regarding the statute of limitations. For instance, it has been deter- mined that the statute of limitations for insurance- related actions does not begin until the existence of the insurance contract is known. It has also been ruled that claims for compensation resulting from an accident causing death – whether under civil liability coverage or not – are subject to a five-year statute of limitations instead of two. 9.2 Insurance Disputes Over Jurisdiction and Choice of Law In matters of insurance jurisdiction, both local and federal judges have concurrent authority. In certain cases, such as when claiming payment of compensation due to civil liability attributable to a state production company like the Federal Electric- ity Commission ( Comisión Federal de Electricidad ) (legally referred to as State Patrimonial Liability, or Responsabilidad Patrimonial del Estado ), the inter- pretation and resolution of such liability fall under the jurisdiction of administrative courts. It could be sug- gested that a claim for liability arising from the policy could only be pursued against the insurer covering that risk after the liability of the public entity has been judicially established. However, in November 2025, the Supreme Court of Justice of the Nation issued a landmark ruling inter- preting Article 145 of the Law on the Insurance Con- tract ( Ley Sobre el Contrato de Seguro ). The Court held that affected third parties are entitled to bring direct actions against insurers, regardless of whether or not the damages originated from acts attributable to the State and could therefore qualify as State Pat- rimonial Liability. This precedent broadens the proce- dural standing of third parties and reinforces access to judicial protection under liability insurance policies, even in cases involving public entities. Jurisdictional disputes related to insurance contracts are subject to Mexican legislation, and most cases are handled in an oral commercial trial. Occasionally, disputes may also be initiated through a civil process if a civil liability action is brought directly against the insurance com- pany.
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