With no mechanism to provide seamless insurance coverage for trucks crossing the southwestern border, the American Insurance Association has vehemently denounced a recently issued North American Free Trade Agreement panel report. The decision, although not publicly released, reportedly ruled that the United States had violated the Nafta agreement by not opening the border to Mexican trucks.
AIA Assistant General Counsel David Snyder said that Mexican trucks operating throughout the U.S. will cause “preventable accidents and inevitable casualties.”
“Clearly the best solution is the mutual recognition of insurance written in other countries. It is fully consistent with the principles of Nafta, and it has a proven track record. The U.S. has such an agreement with Canada and it works well, “ said Snyder.
However, Snyder said that the U.S. and Mexico do not have an agreement in place for reciprocal recognition of insurance coverage, which he calls “an insurance gap.” AIA has urged the Nafta panel to reconsider its decision, which it said is “misguided” and “violates the right of a country to protect the health and safety of its citizens.”
AIA, based in Washington, D.C., has been involved in discussions with industry and government officials from the U.S., Canada and Mexico about insurance coverage for cross-border trucking.
