Overview
- Mexico’s 2026 revenue law ends insurers’ ability to credit VAT paid on claim repairs and indemnities, turning that tax into an unrecoverable claims cost.
- President Claudia Sheinbaum said price hikes “should not be” automatic and asked the Finance Ministry to keep watch on insurers’ pricing decisions.
- A prior government–industry agreement effectively waived unpaid VAT through 2024 and lets insurers pay 2025 obligations in 2026 installments without penalties.
- AMIS said impacts will vary by company and product and urged policyholders to consult their insurer rather than rely on generalized estimates.
- Auto, major medical expense policies, and some property lines are seen as most exposed, and agents report some firms are briefing clients, with media citing possible increases up to about 20% in some cases.