Maryland Auto Insurance

From Ocean City to the Appalachian mountains and back to Baltimore, driving around the Old Line State provides a vast difference in scenery and experience wherever you land. While it doesn’t matter what you drive, where you’re from, or where you’re headed, drivers in the state must always be appropriately insured while driving in Maryland.

Whether you’re getting auto insurance for the first time, have just moved to the state, or are curious about what types of policies other insurance companies in Maryland offer, you should know a few things before you bind an auto insurance policy.

For example, you’ll first want to determine what you value most in an insurance policy: cost or coverage. If you value cost over coverage, you’ll want to focus on finding the insurer with the best car insurance rates in Maryland. If you value coverage over cost, you’ll want to narrow your search down to the insurer with the most options for additional coverage types you may add to your policy.

Before you start your search, you’ll also want to know what type of coverage is mandated by state law. You always want to ensure you follow the car insurance laws of the state where your vehicle is insured. Failure to follow the law may lead to fines, license suspension, or jail time. 

Car insurance requirements in Maryland state all drivers must have $30,000 of bodily injury liability per person per accident, $60,000 of bodily injury liability per accident, $15,000 of property damage liability per accident (30/60/15 liability coverage), and the same 30/60/15 limit of uninsured/underinsured motorist coverage (UM/UIM).

Insurers in the state must offer at least $2,500 in personal injury protection (PIP) to every policyholder, though policyholders aren’t required by law to carry PIP on their policies. If you lease or finance your vehicle, your lender may require you to have collision coverage and comprehensive coverage on your policy.

If you’re in an accident and you have the minimum amount of required auto insurance, once you pay your deductible, your insurer will help you cover the expenses designated by your coverage types up until each coverage limit.

Maryland is a tort state, which means the person who caused the accident is deemed at fault and is financially responsible for any damages or expenses owed to the victim. This is why liability coverage is mandatory in the state, as it is a tort coverage type.

For example, if you cause an accident that injures the other party involved in the accident, that person will file a claim with your insurance. Once you pay your deductible, your insurer will use your bodily injury liability coverage to help you cover the cost of the victim’s medical expenses up to your policy limit. If the other party in the accident isn’t injured, but their vehicle is damaged, they will file a claim with your insurance to use your property damage liability coverage to help cover the cost of repairs.

Maryland car insurance minimums mandate by state law that every driver with a vehicle registered in the state must have 30/60/15 liability coverage and 30/60/15 UM/UIM coverage. While requiring liability coverage is pretty standard in each state nationwide, requiring UM/UIM coverage isn’t as common. 

Even more uncommon is Maryland’s required uninsured motorist property damage coverage (UMPD). The policyholder can use uninsured motorist coverage if they are in an accident caused by someone lacking sufficient auto insurance coverage or any coverage at all. 

In many states, policyholders can only carry uninsured motorist bodily injury coverage to cover their medical expenses if they are injured in an accident caused by an uninsured motorist. In Maryland, policyholders can use their UMPD to help them cover the cost of repairs to a vehicle damaged by an at-fault uninsured motorist.

Maryland requires its drivers to carry UM/UIM because it has many uninsured drivers. Nearly 15% of drivers in Maryland are uninsured, while the national average number of uninsured drivers is under 10%. With a higher likelihood of drivers getting into accidents caused by uninsured motorists, the state built protection for those who follow the law by requiring UM/UIM.

PIP, or personal injury protection in Maryland, isn’t required by law but is certainly recommended. All insurers are required to offer their policyholders at least $2,500 of PIP, but policyholders are allowed to waive this coverage if they choose. Many policyholders with adequate health insurance may choose to waive PIP, considering their health insurance will cover the same things PIP would cover.

PIP coverage is most often required in states that have no-fault laws. Maryland is a tort or at-fault state, so there isn’t a no-fault statute. However, here at Clovered, we think having PIP coverage in Maryland is a good idea for a few reasons.

The policyholder can invoke PIP to cover their medical expenses if they’re injured in an accident. This comes in handy when the at-fault party lacks sufficient coverage. States with an extremely high number of uninsured drivers will often require PIP. While the percentage of uninsured drivers in Maryland is higher than average, it is not high enough to deem PIP necessary for all drivers. However, PIP is a great coverage to ensure your protection on Maryland’s roads.

Here at Clovered, we always err on the side of safety. We recommend you add some form of PIP to your auto insurance policy to protect yourself (and your wallet) from uninsured drivers or hefty medical expenses you may not afford out of pocket.

On average, auto insurance in Maryland costs about $1,850 annually for a full coverage policy or about $155 monthly. The average full coverage policy in America costs about $1,670, making Maryland one of the more expensive states for car insurance. However, insurers use several factors unique to the policyholder to determine premiums, so prices vary from person to person.

Insurers will often use your age, gender, ZIP code, the type of car you drive, and several other factors about you to determine your premiums. While using ZIP codes to determine premiums is prohibited in some states, it is allowed in Maryland. Drivers in more populated cities often pay higher car insurance premiums than those in smaller cities. So, drivers in Baltimore will likely have higher premiums than drivers in Ocean City.

The best auto insurance in Maryland is a full coverage policy at a low base rate with several discounts applied. While the best car insurance policy for many drivers may be a compromise of coverage and cost, it is subjective. To determine what type of policy is best for you, you must first determine what you value most in a policy: cost or coverage.

If you value coverage over cost, the best policy for you will be a full coverage policy through an insurer that offers several opportunities for discounts. If you value cost over coverage, the best policy for you will be a minimum coverage policy through an insurer offering several discount options. While it’s crucial you at least have the minimum coverage mandated by state law, carrying minimal coverage isn’t highly recommended.

It is always best to do what you’re comfortable with financially. Still, here at Clovered, we highly recommend opting for a full coverage policy with several discounts rather than a minimum coverage policy to cut costs. Insurers offer plenty of ways to lower your premiums without sacrificing your coverage.

The cheapest auto insurance in Maryland is a minimum coverage policy with discounts applied. This policy would only include 30/60/15 liability coverage and UM/UIM coverage. The cheapest full coverage policy in Maryland comes from our partner Travelers, with the average cost at about $1,500 annually, not counting the many discounts they offer.

While the cheapest policy is often a minimum coverage policy, there are still ways to lower your premiums without sacrificing coverage. Binding a policy with Travelers, or some of our other partners that offer low base rates in Maryland, like Geico or Progressive, is a great way to still get a full coverage policy without paying high premiums. Plus, many insurers offer a plethora of discounts for you to choose from, many of which are stackable.

Finding cheap Maryland car insurance can take some time, but it isn’t impossible. The best way to find a cheap policy in the state is to get and compare quotes online. The quoting process is easy, free, and quick. Through the quoting process, you will have access to several policies from different insurers, allowing you to discover what you value or need from your own policy. 

Another great way to get cheap car insurance is to search for discounts during the quoting process. Many quoting tools will give you a quote with the discounts wrapped in, but it’s always a good idea to do your own research to ensure you aren’t missing out on any great deals.

Many insurers offer several discounts, some of which require participation, and others only need you to meet a set of criteria. For example, many insurers offer safe-driving programs where policyholders can enroll to get discounts on their premiums. Insurers may also offer discounts for students who earn good grades or policyholders who bundle multiple policies with the same insurer.

Some of the best insurance companies in Maryland are Travelers, USAA, and Geico. These companies offer lower-than-average rates for full and minimum coverage policies and several discounts you can add and stack onto your policy. These companies boast top-tier customer service and have the ratings to prove it.

While we have our top choices, it’s important to remember what we think is best may not be best for you. Before binding a policy, it’s crucial to do your own research to determine what type of policy and what company is the best for your needs.

Look no further to get the best Maryland car insurance because we can help you get quotes from some top insurers in the state in just minutes. You can use our free quoting tool here to start your quoting journey. If you prefer to speak with an agent about your Maryland auto insurance quote, our agents are ready to assist you if you call 833-255-4117 or email [email protected].