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The Marchamo is a mandatory annual payment required to legally operate a vehicle in Costa Rica.
Photo courtesy of the National Insurance Institute (INS).




Costa Rica Launches Digital Marchamo With New Tracking Technology




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Published on Tuesday, November 3, 2026
By the A.M. Costa Rica staff





More than 2 million vehicle owners in Costa Rica must pay their annual Marchamo fee before Jan. 1, 2027, to avoid penalties, according to the National Insurance Institute (INS).



The Marchamo is a mandatory annual payment required to legally operate a vehicle in Costa Rica. It is similar to the annual vehicle registration fee in the United States. Drivers must display the corresponding sticker on the center portion of their vehicle's windshield as proof of payment.



For the first time, Costa Rica has introduced a digital Marchamo sticker equipped with a chip. The new technology is connected to a mobile application that will provide drivers with updated information and services, including alerts about severe traffic congestion, alternative routes, public parking locations and access to 911 emergency responders.



According to authorities, the chip will also serve as a tracking device, allowing traffic police to locate vehicles when necessary.







The digital stickers are expected to reduce theft and fraud because they are more difficult to duplicate than traditional printed stickers. Although the Marchamo fee must be paid annually, the sticker itself must be replaced only once every 10 years.


The Marchamo is designed to fund mandatory vehicle accident insurance, road maintenance and other transportation-related expenses.


The current payment applies to the 2027 period and must be made in advance each year.


Revenue collected through the Marchamo is distributed among government agencies. According to the reported breakdown, 60% goes to the Ministry of Finance for the collection of the annual vehicle property tax, 20% goes to the INS to cover mandatory annual vehicle insurance, known as the Obligatory Automobile Insurance (SOA), and the remaining funds support other government agencies.








This year, the INS has also added a checkbox for an optional vehicle insurance policy called "Más Protección Seguro Vehicular," or More Vehicle Insurance Protection. The additional coverage costs $26 and is not mandatory.



Vehicle owners who do not want to purchase this insurance must select the "Remove" option to avoid the additional charge.



Vehicle owners can check their outstanding Marchamo balance through the "Consulta Marchamo" section of the INS website Consulta Marchamo – INS By entering a vehicle's license plate number, users can view its appraised value and the corresponding tax amount.



The Ministry of Finance determines vehicle valuations. Owners who believe their vehicle has been assessed at a value higher than its market price can request a review through the ministry's online "Solicitud de Revisión" service Solicitud de Revisión – Ministry of Finance.





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To dispute an assessment, owners must provide supporting documentation, such as the original purchase invoice, a sales agreement or at least three advertisements for comparable vehicles of the same model, year and style listed at prices below the ministry's valuation. Responses to vehicle valuation review requests may take several weeks.



Marchamo payments can be made at INS offices nationwide or through any public or private bank. The institute also offers assistance through its toll-free customer service number, 800-6272-4266, where representatives can guide vehicle owners through the payment process.



Authorities warn that beginning Jan. 1, 2027, late Marchamo payments will incur additional charges. Drivers who fail to pay may also face a $135 fine from traffic police.



In related road-safety developments, Costa Rican authorities arrested more than 1,370 drivers for drunk driving between January and September. Breathalyzer tests showed alcohol levels above the legal threshold for a Level-A offense.



Costa Rica also recorded more than 420 traffic-related deaths between January and August. Motorcyclists accounted for the largest share, representing 58% of all traffic fatalities during that period.



The INS is a state-owned agency offering a range of insurance services, including health, life, vehicle and natural disaster coverage.



The Ministry of Finance oversees the country's fiscal policy and public resource management, operating under principles of economic efficiency and accountability.


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Have you heard of expats experiencing problems paying the Marchamo in Costa Rica? We would like to know your thoughts on this story. Send your comments to news@amcostarica.com

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