Lauren Scruggs Holds Hands with E! News Host Jason Kennedy in Mexico

08/27/2013 at 09:50 AM EDT

Lauren Scruggs Holds Hands with E! News Host Jason Kennedy in Mexico
Jason Kennedy and Lauren Scruggs
Mauricio Ameneyro
Lauren Scruggs and Jason Kennedy's romance seems to be heaven sent.

The religious pair was photographed smiling while holding hands at Villa del Palmar at the Islands of Loreto, Mexico, last week.

During their cozy visit, the E! News host, 31, and Still Lolo book author and fashion blogger, 25 – who miraculously recovered about a year ago from a propeller accident that left her with a prosthetic arm and removed left eye – "spent a fun and relaxing few days at the resort's Sabila Spa, getting his and hers massages," a source tells PEOPLE.

The insider says the couple also dined at Danzante restaurant, went paddle boarding and kayaking around the private bay and strolled along the beach.

  "During one of the nights, the resort's Chef Roberto Cardazo prepared a special dinner of chocolate clams for them," the source says. "They also toured the small town of Loreto and dined at one of the local hangouts, Mita Gourmet."

– Dahvi Shira & Aili Nahas

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