Renewing car insurance in Costa Rica: what to check

Start with the difference between SOA and voluntary insurance

SUGESE explains that Seguro Obligatorio Automotor (SOA), included in the marchamo, covers injuries and death in road accidents. Paying the marchamo does not amount to buying cover for damage to your car or its theft.

This guide focuses on reviewing voluntary car insurance. Your own-damage cover, liability cover and assistance depend on what you have contracted. Find each item in the policy; a plan name alone does not establish what is included.

Compare your current policy and renewal, item by item

Keep the policy schedule, general terms and renewal proposal together. Make three columns: current policy, new proposal and information to confirm. If you request another quote, use the same vehicle details and period.

The INS recommends reviewing the insured value at each renewal. Ask how it was determined and how it would be used in a claim; do not assume the marchamo valuation or an outstanding loan balance is the amount you would receive.

1. Cost: compare the total premium for the period, currency, taxes, charges and payment schedule. A monthly instalment and a six-month premium need the same time basis.
2. Vehicle and use: confirm the version, insured value, personal or work use, and drivers or use conditions that need to be declared.
3. Cover and limits: separate damage to your car, theft, and liability for injury or damage to others. Record the limit for each type of cover.
4. Deductibles: record fixed amounts or percentages, minimums, currency and calculation basis for each cover; ask about any special deductible.
5. Exclusions: ask which events the policy leaves out and about restrictions relevant to how you use the car.
6. Assistance and claims: confirm towing, usage limits, territory, repair shops and accident-reporting steps. Mark whether each service is included or costs extra.
7. Policy dates: record the start and end date and time, payment deadline and conditions for renewal or notice that you do not want to continue.

Check the deductible with a worked example

The deductible is the part of a loss you bear when it applies. The INS explains that it may be fixed or percentage-based. Ask for a calculation using your cover’s formula, as well as the premium.

Fictional example: cover has a deductible of 20% of the covered damage, with a ₡300,000 minimum, using whichever is greater. On covered damage of ₡1,000,000, 20% is ₡200,000; the minimum makes the deductible ₡300,000. These figures are not a quote or the terms of a specific policy.

This example calculates only that deductible. Any payment depends on cover, limits, exclusions and the claim assessment. A different policy formula may produce a different result. Consider what you could pay out of pocket alongside the instalment.

Check what changes and when the policy ends

SUGESE distinguishes an extension that keeps the agreed terms from a renewal with new terms, which requires the policyholder’s agreement. Check for a tacit-extension clause and ask for changes to the premium, cover, deductibles or assistance to be identified.

Record the dates and channel for responding to the notice. Before leaving a policy, confirm with the insurer or authorised intermediary how it would end and when replacement cover would begin. Receiving a quote does not establish that the new insurance is in force.

1. Request written differences and the clause supporting each answer.
2. Confirm applicable acceptance, payment and inspection requirements before treating replacement cover as active.
3. Keep confirmation of cover, the updated document and claims contact details.

A message to request missing details

Adapt this request: “I’m reviewing my car insurance renewal. Could you provide the total for the same period and explain changes to cover, insured value, deductibles and assistance? I need a deductible example, relevant exclusions, the start and end date and time, requirements and the response deadline. Please identify the relevant clause or document.”

SUGESE describes your right to written insurance information. Before sending documents or buying cover, check the insurer and intermediary in its Mercado de Seguros section, linked under Sources. Share only necessary information through their official channels.

Where Axi adds value

Axi’s proposed experience helps organise what you pay, what changes and the questions still open, giving your WhatsApp conversation more context. The aim is to consider your budget, car use and possible out-of-pocket claim costs together.

The proactive renewal example on the website is illustrative. This guide does not assess your policy or buy, cancel or renew insurance. You can use the checklist with your insurer today and join Axi’s waiting list; signing up does not give you product access today. Policy recommendations and purchases are handled with an authorised provider or professional.