Background on the Situation
Norma Alicia Rosas, the General Director of the Mexican Insurance Institutions Association (AMIS), recently disclosed that insurance companies have paid out $276 million in the first half of 2025 for damages caused by micro-earthquakes in Mexico. Although these earthquakes are not catastrophic, they have triggered insurance coverage due to the resulting minor damages.
Micro-Earthquakes and Their Impact
Rosas explained that while these micro-earthquakes may not be large enough to cause widespread destruction, they can still lead to issues such as fence damage, cracks in structures, or broken glass. These seemingly minor incidents have prompted insurance claims and payouts.
Insurance Coverage and Awareness
Despite the payouts, Rosas emphasized that there is still much to be done in terms of securing against earthquake and other natural disaster risks. She highlighted that only 26% of homes in Mexico are insured, indicating a need for greater awareness about the importance of insurance.
Historical Context and Vulnerability
Rosas pointed out that since 1985, there have been 23 earthquakes with a magnitude of 7 or higher on the Richter scale, with nine of those occurring in September. Furthermore, Chiapas, Guerrero, and Oaxaca have historically been the most affected states by earthquakes exceeding 6.5 magnitude.
Interestingly, these same three states have the highest percentage of insured homes nationwide.
Explosion of Gas Pipeline – No Insurance Action Yet
In a separate matter, Rosas addressed the recent explosion of a liquid petroleum gas (LPG) pipeline in Iztapalapa, Mexico City. She explained that insurance companies have not yet been able to intervene in compensating victims because the civil responsibility of the transportation company has not been established in each case.
Rosas mentioned that Transportadora Silza, the company owning the pipeline (part of Grupo Tomza), has three policies activated since the end of last week. However, without determining civil responsibility for each victim case, the three insurance companies cannot begin compensating the affected company, which in turn would compensate victims and their families.
Key Questions and Answers
- What recent events prompted insurance payouts? Insurance companies paid $276 million in the first half of 2025 for damages caused by micro-earthquakes in Mexico.
- Why haven’t insurance companies acted in the gas pipeline explosion case? Civil responsibility of the transportation company has not been determined in each victim case, preventing insurance companies from compensating the affected party.
- Which states are most vulnerable to earthquakes? Chiapas, Guerrero, and Oaxaca have historically experienced the most earthquakes with magnitudes exceeding 6.5.
- What percentage of homes in Mexico are insured? Only 26% of homes in Mexico have insurance coverage.
