We always use a cc, not only for the added insurance but for practicality. (And speaking of insurance, full coverage with zero liability is the way to go in Mexico.) I don't think you can rent a car anywhere without collateral. We enjoy driving the south and east coast, be sure to stop at the Bob Marley Bar on the south to, amazing views there.
http://bobmarleybar.comSorry Desdemona, just realized you were there last month. How did your trip go?