Yearly Modernization Event for Cross-Border Trading Set in Nuevo Laredo
The 8th Annual Modernization of Cross-Border Trade event, held on June 17, 2025, at the Laredo Country Club in Laredo, Texas, featured a panel on Mexican cargo insurance. The event, which evolved from an insurance-focused gathering into a premier industry forum, attracted over 500 logistics professionals.
The strong sponsor lineup included Cargado, Monex USA, Volvo Trucks, Evans Transportation, Werner, Dunavant, Atlantic Logistics, and more. Complimentary admission was offered to all logistics providers, shippers, and freight brokers.
The key differences between U.S. and Mexican insurance policies for cargo trucking revolve around three main areas: claims resolution, liability requirements, and documentation.
Claims Resolution and Liability Limits
In Mexico, carrier liability is legally limited by the Law of Roads, Bridges and Federal Motor Transportation (1993). If the shipper does not declare the cargo’s value, the carrier’s liability is capped at a very low amount: up to the equivalent of 15 days of the Mexican federal minimum wage per ton of the shipment’s weight. For example, a 20-ton shipment with undeclared value is insured for only about $4,503 USD maximum. If the shipper declares the shipment’s value, they may pay extra for additional coverage, but Mexican insurance rarely covers the full declared value, often resulting in significant coverage gaps inside Mexico.
In contrast, the U.S. liability for cargo is not subject to such statutory monetary caps, and insurance coverage generally reflects the full cargo value or contractual limits without legal maximums on payouts.
Liability Requirements
In the U.S. (e.g., New Mexico), trucking companies must maintain minimum liability insurance mandated federally by the FMCSA, typically starting at $750,000 for general freight, but often carriers carry higher limits (such as $1 million) for greater protection. Liability insurance covers bodily injury, property damage to others, and is more comprehensive in scope than Mexican law requires for carriers.
Mexico’s statutory limits on carrier liability mean additional or supplemental insurance must often be obtained by the shipper or carrier to bridge gaps, especially for high-value freight.
Documentation and Cross-Border Coverage
When cargo crosses into Mexico, U.S. cargo insurance coverage typically does not continue. Shippers must secure separate or additional cargo insurance in Mexico to cover risks beyond Mexican legal limits. Mexican law requires shippers to declare shipment value to set liability limits and obtain additional coverage if needed. U.S. trucking companies are subject to both federal and state insurance filing and documentation requirements to operate legally, including proof of minimum insurance coverage.
For cross-border shipments, understanding and securing the right documentation—such as customs clearance, value declarations, and insurance certificates—is critical to avoid costly gaps.
In essence, cargo insurance in the U.S. provides broader and higher-limit protection, while Mexican law restricts carrier liability to low statutory limits unless shipment value is declared and additional coverage is purchased. Shippers and carriers should carefully manage insurance and declare shipment values to ensure sufficient coverage for cross-border trucking operations.
The importance of cross-border insurance was a key focus of the event, given the increasing trade volumes and complexities, and the reported 3% increase in cargo truck hijacking in 2023. Cross-border insurance helps to ensure continuity and mitigate risk in every cross-border operation.
The participation level and diversity of attendees at the event spanned various sectors, including shippers, freight brokers, U.S. and Mexican carriers, customs brokers, warehouse operators, logistics tech companies, and investors. The event also featured topics such as the 2026 United States-Mexico-Canada Agreement review, leveraging cross-border warehouse space, cross-border investment, cross-border partner vetting, practical technology for cross-border trade in 2025, and a U.S.-Mexico customs brokerage panel with Customs and Border Protection.
Negligence-based liability in Mexican insurance means that carriers are only accountable for damages caused by negligence, leaving significant risks for shippers uncovered. Burdensome documentation requirements and exclusions typical of Mexican policies often delay claim payouts and complicate logistics operations. The event highlighted the need for improved Mexican cargo insurance policies to better protect shippers and carriers.
Given the increasing trade volumes and complexities, along with the reported 3% increase in cargo truck hijacking in 2023, it is crucial for shippers and carriers to carefully manage their insurance to ensure sufficient coverage for cross-border trucking operations.
To mitigate risks and maintain continuity in every cross-border operation, participants at the 8th Annual Modernization of Cross-Border Trade event discussed the importance of cross-border insurance, as well as the need for improved Mexican cargo insurance policies that cover negligence and provide broader coverage limits.
