Iceland is safe at level 1.
Regarding Mexico (FYI really easy to google State dept. travel advisories) the states are between 2 (exercise increased caution) to a few at level 4 (do not travel). It's about crime. Interestingly, Jalisco is level 3 and Chiapas is level 2. So Chiapas is safer. In Jalisco, there are some no-travel zones for US employees, which I assume has to do with cartel activity?
On a related note, since I've been researching this for a chapter, the UN-rated poorly developed states tend to be in the south of the country and they tend to have high indigenous populations. I was actually able to document that quantitatively (which is kind of obvious anecdotally). Of course, in this group, it's all about personal opinion and ideologies, which is OK here but doesn't fly in academic work.