MEXICO Law and Practice Contributed by: Carlos de la Garza, Raúl Acosta and Enrique Tamez, De la Garza & Acosta Abogados, S.C.
remains relatively rigorous given the nature and poten- tial magnitude of these exposures. Claims Handling and Litigation Data protection is particularly relevant during claims handling, where information may need to be shared with adjusters, experts, healthcare providers, lawyers and reinsurers. Mexican law requires appropriate administrative, technical and physical security meas- ures and requires significant security breaches affect- ing individuals’ rights to be notified promptly. Cyber incidents may therefore create both an insured loss and separate privacy or regulatory consequenc- es. In subsequent litigation, insurers and insureds must also balance the preservation and use of digi- tal evidence with confidentiality and data-protection obligations. To date, these developments have had a greater impact on compliance, underwriting and claims man- agement than on the volume of reported insurance liti- gation, although coverage disputes arising from cyber incidents and data breaches are likely to become Mexico’s data-centre market is expanding rapidly, par- ticularly in Querétaro, increasing the concentration of high-value infrastructure and dependence on reliable electricity, cooling and digital connectivity. AI-related workloads are further increasing power density and cooling requirements, while limitations in grid capacity and water availability may constrain the development and operation of new facilities. Relevant exposures include power outages, cooling- system failures, equipment breakdown, fire, cyber incidents and interruption of services. The concen- tration of multiple facilities and interconnected busi- nesses within the same location or infrastructure net- work may also create significant accumulation risk. Underwriting and Claims From an underwriting perspective, these develop- ments are likely to increase scrutiny of power redun- dancy, backup generation, cooling systems, fire increasingly relevant. 8.4 Data Centres Growing Risk Exposure
protection, cybersecurity, maintenance and business- continuity arrangements. Coverage may involve sev- eral products, including property, machinery break- down, business interruption, cyber and construction insurance. There is not yet a significant body of reported Mexi- can coverage litigation involving data centres. Future claims, however, are likely to be technically complex, particularly in determining whether an interruption resulted from insured physical damage or equip- ment failure, or instead from grid limitations, design or maintenance issues, or other non-covered opera- tional causes. Early involvement of technical experts will therefore be particularly important in both claims adjustment and subsequent litigation. 8.5 Social Media Risk Social media-related mental health claims have not yet emerged as a significant category of liability or insurance litigation in Mexico. Mexican health authori- ties currently refer to “problematic use” rather than “addiction”, reflecting continuing uncertainty regard- ing causation. Future claims could potentially engage technology, media, general liability or D&O policies, although the authors have not yet observed a consistent underwrit- ing or claims response in Mexico specifically directed at this exposure. 8.6 Next Generation Nuclear Next-generation nuclear technologies, including small modular reactors and fusion, have not yet generated a material category of insurance disputes or underwrit- ing activity in Mexico. At present, these technologies remain largely pro- spective from a Mexican insurance-market perspec- tive. Any future development would likely raise highly specialised issues concerning nuclear liability, proper- ty damage, construction risk, environmental exposure and reinsurance capacity, but the authors have not yet observed a meaningful impact on claims or litigation.
190 I NSURANCE L I T IGATI O N 2026
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