Cheapest Car Insurance in Maryland

In Maryland, drivers need $30,000 of bodily injury liability insurance per person, up to $60,000 per accident, and $15,000 of property damage liability insurance. Maryland requires uninsured motorist protection, which replaces the liability coverage an at-fault driver should've had and pays for your costs up to your policy limits. Coverage like MedPay or personal injury protection pays for medical expenses for you and your passengers, and both are optional in Maryland.

Here's How Much Car Insurance Drivers Need in Maryland:

If you lease or finance your car, you may be required to carry coverage types that are not mandatory under Maryland law. Lenders usually require comprehensive and collision insurance. Collision insurance covers repairs to your car when you hit another car or object. If the damage to your vehicle was caused by something other than a collision—like a natural disaster, vandalism, falling objects, or animals—it is most likely covered by comprehensive insurance. You might also have to get gap insurance, which covers the difference between what you owe on your loan and what the vehicle is worth at the time of a total loss.

Even if you're not required to carry these optional coverage types, you may still need them. You can learn more about when to drop optional coverage and the penalties for driving without insurance in Maryland to make sure you're paying for the coverage you need.

Car insurance in Maryland costs $89 per month, on average, or $1,069 per year. The average cost of car insurance in Maryland is 48% higher than the national average auto insurance premium, and Maryland ranks 43 out of 50 for the most affordable car insurance rates in the U.S.

Average Cost of Car Insurance in Maryland by Category 

• Clean driving record: $1,115 per year
• After an at-fault accident: $1,693 per year
• Driver with poor credit: $1,756 per year
• Teen driver: $3,846 per year
• After a DUI: $1,882 per year

There are several factors that affect how much you'll pay for car insurance in Maryland, including your driving record, age, location, the amount of coverage that you purchase, and the insurance company you buy it from. On average, the cheapest insurance companies in Maryland are Travelers, Geico, and Erie. But every insurer has their own way of calculating premiums, so it's a good idea to get quotes from at least three different companies to make sure you find the best deal.

Finally, it's worth noting that car insurance premiums in Maryland are average, compared to the cost of coverage in neighboring states like Delaware and Virginia. You can find more details in the table below. 

Cost of Car Insurance in Maryland vs. Neighboring States

Car insurance in Maryland is expensive because minimum liability requirements are so high and both personal injury protection and uninsured motorist coverage are required. In Maryland, you can expect to pay approximately $1,518 per year for full coverage car insurance or $800 per year for minimum coverage. Car insurance in Maryland is more expensive than the national average, which is around $1,500 annually for full coverage and about $600 per year for minimum coverage.

The cost of car insurance is steadily increasing, too, both in Maryland and nationwide. As the cost of providing insurance goes up, the premiums insurers charge also rise. All insured drivers share the increasing cost of insurance. That is why your rates tend to go up every time your policy is renewed, regardless of whether any individual factors—like your driving record or location—have changed.

There are several unique reasons why car insurance goes up every year in Maryland, too, even if your details remain the same.

Top Reasons Car Insurance Is Expensive in Maryland

• People in Maryland are driving more.

As a result, the number of accidents, claims, and payouts is rising, too. In Maryland, there were approximately 511 fatal crashes in 2018, versus 442 fatal crashes in 2014.

• Maryland auto repairs are getting more expensive.

Another reason Maryland auto insurance is getting more expensive is that cars are becoming more expensive to repair. In 2016, the average cost of car repairs in Maryland was $1,076.56, up from $966.29 in 2012. Vehicles today cost more to repair due to all the technology and features inside them now.

• People in Maryland drive uninsured.

As the cost of car insurance continues to rise, more drivers take the risk of driving without car insurance. In 2015, 12% of drivers lacked even minimum liability insurance in Maryland. The cost of uninsured drivers is passed on to consumers through higher premiums.

• Healthcare in Maryland is getting more expensive.

Car insurance companies are hit hardest when paying out claims involving medical bills, and it's not getting any cheaper. Healthcare spending increases by an average of 6.0% every year in Maryland.

• Maryland is experiencing more severe weather.

In Maryland, severe weather events like winter storms, severe storms, and flooding are becoming increasingly common. These weather events cause insurers to pay out a higher number of claims, which tend to be more expensive and less predictable. As a result, they have to raise rates to keep pace.

However, there could be other issues elevating your rates.

If your driving record is clean and your rates are still high, your car insurance might be expensive because of your:

Age. Drivers under 25 and older than 65 pay more for auto coverage because they are statistically more likely to be involved in serious and fatal accidents. In Maryland, 16-year-old drivers pay an average of $6,891, 25-year-old drivers pay an average of $1,865, and people over 65 pay an average of $1,721.

Location and driving patterns. Population-dense cities have higher premiums than rural areas because city living usually means more accidents, more property crime, and more frequent claims. In Maryland, the most expensive locations for insurance are Baltimore, Owings Mills, and Fort Washington . You can also expect rates to change based on your driving patterns—long commutes or regular driving in high-risk areas can cost you.

Financial responsibility. In Maryland, drivers with no credit pay 41% more on their premiums than drivers with excellent credit. You can also demonstrate financial responsibility by maintaining minimum car insurance with no gaps in coverage. Letting your coverage lapse could raise your rate by as much as 17% in Maryland, when you get your next policy.

Claims history. You should avoid filing small claims that can drive up your premiums. In Maryland, the average collision claim raises a driver's rates by $1,058.40, which amounts to $3,175 over the course of three years. If you have a $500 deductible and a $1,500 claim, you'll end up paying $3,675 through insurance, versus $1,500 out of pocket. In that case, filing a claim is not the best choice.

How to Get Cheaper Car Insurance in Maryland

Multiple factors affect the cost of car insurance. Some things you can't control, but you do have a say in most of the contributing factors. Driving safely, obeying traffic laws, and keeping a clean driving record are the best ways to keep your insurance costs down.

Other than that, the best way to lower your car insurance costs is to compare rates from at least three insurance companies. Ideally, you should check your rates every 6-12 months, when you renew your policy. But at a minimum, be sure to check your record and shop for rates every three to five years, since you may be able to get a lower rate if a traffic violation falls off your record.

In Maryland, the most expensive policies cost roughly $2,223, and the least expensive coverage costs around $1,071, when all driver profile information is the same. That means you could save as much as $1,152 simply by shopping around. Be sure to confirm you're getting all the discounts you're eligible for, too.

Maryland car insurance laws require bodily injury liability coverage of $30,000 per person ($60,000 per accident) and $15,000 of liability coverage for property damage. The state also requires $30,000 per person ($60,000 per accident) of bodily injury, plus $15,000 in property damage of uninsured and underinsured motorist coverage, and $2,500 of personal injury protection coverage.

The first two categories - bodily injury liability and property damage liability - cover injuries or damages that you accidentally cause with your car. Your car insurance pays up to the per-person or per-accident limit in each category. If you want additional coverage, you can choose higher limits than the ones required by Maryland law.

Uninsured and underinsured motorist coverage is protection for you, in the event that another driver hits your car but doesn't have insurance. Car insurance is required in Maryland, but some drivers break the law and drive uninsured. An uninsured driver is still financially responsible for any damage they caused – but getting that money could be very difficult or time-consuming. uninsured and underinsured motorist insurance means you can repair your car or go to the hospital without worrying about where you'll get the money to pay your bills.

Maryland has at-fault car insurance laws. Most states that require medical payment coverage are no-fault states. No-fault laws mean that, at least initially, each driver is responsible for their own medical bills – regardless of who caused the accident. That's when personal injury protection can come in handy for a driver if they're injured.

Since insurance is required by Maryland law, you can face multiple penalties if you're caught driving without it, including fines, suspension of license and registration, and imprisonment. Another important Maryland law to note is the grace period for new residents: When you move to Maryland, you have 60 days to register your car. You'll need to bring proof of Maryland car insurance when you go to register, with coverage in each of the categories listed below:

• Bodily injury liability: $30,000 per person / $60,000 per accident
• Property damage liability: $15,000
• Uninsured and underinsured motorist insurance: $30,000 per person ($60,000 per accident) of bodily injury, plus $15,000 in property damage
• Personal injury protection: $2,500

The penalties for driving without insurance in Maryland include fines, suspension of registration, and imprisonment. You can avoid these consequences by meeting Maryland's proof of financial responsibility requirements. Maryland requires that all drivers have at least $30,000 individual bodily injury/$60,000 all bodily injury/$15,000 property damage, personal injury protection, and uninsured/underinsured motorist coverage.

Purchasing Maryland's minimum liability car insurance coverage is the easiest way to satisfy the financial responsibility requirement. Drivers in Maryland pay an average of $1,077 per year to maintain the minimum amount of coverage. That's nothing compared to the consequences of driving without insurance, especially if you get into an accident.

Penalties for Driving Without Insurance in Maryland

Not having car insurance and not being able to prove that you have it are two different violations. If you have insurance but cannot prove it when you get pulled over or at the scene of an accident, you are guilty of an “administrative violation,” similar to a seat-belt ticket. Your citation might be dismissed if you can provide the court with proof of valid insurance for the date of the citation within 30 days.

Driving without car insurance at all is much more serious, and the penalties are more severe. In addition to the legal consequences, you can also expect your car insurance premium to go up. A single conviction for driving without insurance raises annual premiums by an average of 9%, or $142, in Maryland.

What happens if you get into a car accident without insurance in Maryland?

If you get into an accident while driving without insurance in Maryland, you will be cited and all the penalties for driving without insurance will apply, no matter who is at fault. Driving uninsured can make it difficult to be compensated for damages if you are not at fault and can have long-lasting and life-changing consequences if you are at fault.

If the accident is your fault, you'll have to pay for all the damages out of your own pocket. In addition to the legal consequences for driving without insurance, you could easily be responsible for tens of thousands of dollars or more in damage to your vehicle, the other driver's repair and hospital bills, and your own medical care. Both the other driver and their insurance company can sue you and have future wages and savings garnished to pay for damages. You could face mounting debt or even bankruptcy, especially if the other driver doesn't carry uninsured motorist coverage or personal injury protection.

Even if the accident is not your fault, driving without insurance leaves you vulnerable to expensive hospital and repair bills. Maryland is an at-fault state. In at-fault states, the other driver is usually responsible for damage to your car and any medical treatment you may need—assuming the other driver is found completely at-fault. Maryland uses a pure contributory negligence system, which means you may not be able to recover all the costs associated with the accident if you are found partially responsible for causing it.

Driving uninsured doesn't negate the other driver's fault entirely, but you're almost certainly going to be penalized and unable to recover everything you would be entitled to if you had insurance.

You can get car insurance in Maryland, even if you are…

Uninsured: Unless you're a newly licensed driver, having a history of driving without insurance or lapses in coverage is a risk to insurers. To insurance companies, it's similar to a bad driving record, which is why drivers who let their insurance lapse for 60 days pay about 17% more than the average premium in Maryland.

USAA, State Farm, Nationwide, and Geico tend to have the lowest rates for drivers who want to regain coverage.

Driving someone else's car: It's not illegal to drive someone else's car if you do not have insurance, but non-owner car insurance can protect you if you don't have a car but still drive regularly. If you borrow a car from someone living in your own home, you should be listed on the car owner's policy. But you may want to explore non-owner coverage if you need to reinstate a driver's license, you rent or borrow cars frequently, or you want to maintain continuous auto coverage between vehicles.

Geico, State Farm, Nationwide, and The General good places to shop if you need non-driver car insurance.

High-Risk: If you're a high-risk driver who has been denied coverage from traditional insurance companies, check out Maryland's assigned risk program. Whether you require an assigned risk program or still qualify for high-risk insurance from conventional providers, you'll pay more. In Maryland, drivers with just two speeding tickets pay an average of 27% more on their annual car insurance premiums, for example.

Depending on your driving record and the seriousness of your infractions, you could pay even more. Still, even though rates may be higher, at least you can drive legally and avoid more penalties.

Final Thoughts: How to avoid driving without insurance in Maryland

To avoid the penalties of driving without insurance, shop around for at least $30,000 individual bodily injury/$60,000 all bodily injury/$15,000 property damage, personal injury protection, and uninsured/underinsured motorist coverage of liability coverage from three or more car insurance companies. In Maryland, you can find basic liability auto insurance for around $1,077 per year if you have a clean driving record. The consequences of driving without insurance are ultimately more costly than purchasing minimum auto insurance coverage.

No matter what your unique needs are, the best way to get accurate quotes and the best prices is to comparison shop.

You can get car insurance discounts in Maryland based on how you drive, the car you own, and your relationship with your insurance company. In Maryland, car insurance companies are allowed to consider factors like employment, residential, and marital status when setting premiums. That means there are also discounts available for being married, owning a home, or being affiliated with certain employers or educational institutions.

Almost anyone can get a discount on car insurance in Maryland because most insurance companies make it easy to qualify for a variety of savings. Maryland insurers typically offer discounts that fall into one of three categories—policy discounts, driver discounts, and vehicle discounts.

Policy discounts typically reward customer behavior that is desirable to the insurance company. For example, most Maryland drivers can save by registering for paperless billing or getting both home and auto policies from the same company. Driver discounts are available to Maryland residents who are lower-risk to insure, like those with clean driving records. And vehicle discounts help drivers save if their car has certain safety features or anti-theft systems.

Car Insurance Discounts in Maryland

Remember, discounts vary among different insurance companies, so it's always best to contact the provider directly to determine which discounts you qualify for.

Drivers in Maryland can find cheap car insurance with “no deposit” or “no down payment,” but all that really means is you only have to pay the first month's premium to get coverage. You cannot get car insurance in Maryland without paying something upfront. But you can minimize the cost of coverage in Maryland, which ranks 40 for the cheapest car insurance rates in the country. The average monthly premium in Maryland is about $127 for full coverage and around $67 for state minimum coverage. Drivers in Maryland should expect to pay about that much in advance each month to keep their car insurance policy active.

The biggest drawback of paying for auto insurance monthly is that it's almost always more expensive than paying in full for six or 12 months of coverage upfront. Some Maryland insurance companies charge slightly more for month-to-month premiums, and there can also be payment processing fees. Most car insurance companies also discount rates for customers who pay in advance.

You can still find cheap car insurance options if you can't afford a big deposit, though. The best no-down-payment car insurance keeps rates low and only requires the first month's payment to start your policy.

Yes, uninsured motorist coverage is required in Maryland. Drivers in Maryland must purchase at least $30,000 in uninsured motorist bodily injury coverage per person (up to $60,000 per accident), as well as $15,000 in uninsured motorist property damage insurance per accident. Additionally, Maryland drivers need $30,000 in underinsured motorist bodily injury coverage per person (up to $60,000 per accident) and $15,000 in underinsured motorist property damage insurance per accident.

Uninsured/underinsured motorist insurance covers a driver's medical bills and repair costs after an accident if the at-fault driver doesn't have enough coverage to pay for the damage. Normally, a Maryland driver can collect damages from the at-fault driver's liability insurance. However, if the other driver is uninsured, getting compensation can be time-consuming or nearly impossible. That's where uninsured motorist coverage can help. Instead of having to file a lawsuit, you can file a claim with your own insurance company in order to pay your bills and get the repairs or treatment you need without waiting for the courts.

Even though car insurance is required in Maryland, an average of 12% of drivers in the state don't have car insurance. Car accidents in Maryland can be extremely expensive, too. For example, fatal accidents in Maryland have a total cost of $690 million each year. As a result, uninsured motorist insurance is a smart investment for Maryland drivers.

Key Facts About Uninsured Motorist Coverage in Maryland:

• Minimum Uninsured Motorist Bodily Injury: $30,000 per person and up to $60,000 per accident
• Minimum Uninsured Motorist Property Damage: $15,000 per accident
• Minimum Underinsured Motorist Bodily Injury: $30,000 per person and up to $60,000 per accident
• Min Underinsured Motorist Property Damage: $15,000 per accident
• Uninsured Drivers on the Road: 12%
• Odds of a Crash with an Uninsured Driver: 1 in 8

You need $30,000 in bodily injury liability insurance per person ($60,000 per accident) plus $15,000 in property damage liability insurance to drive legally in Maryland. The Maryland liability insurance requirements can also be written as 30/60/15. In addition, drivers in Maryland will need to purchase uninsured/underinsured motorist coverage equal to the minimum liability limits to satisfy the state's minimum car insurance requirements.

Even though Maryland only requires 30/60/15 in liability insurance, drivers should consider buying more coverage if they can afford it. If you cause an accident that results in damage beyond your policy limits, you will be personally responsible for paying the difference. And no matter what, you should be sure to fulfill the minimum Maryland car insurance requirements to avoid facing consequences for driving without insurance.

Finally, drivers should also consider purchasing other types of car insurance in order to better protect themselves, given that liability insurance does not provide any coverage for the policyholder's own injuries or property. For instance, collision insurance covers damage to the policyholder's car regardless of fault. And comprehensive insurance pays if the policyholder's vehicle is damaged by something besides an accident, like a natural disaster or vandalism.

High-risk auto insurance in Maryland will not be cheap, as premiums for high-risk policies in the state average $2,583 per year. That's about 59% more than the average cost of car insurance in Maryland overall. Nevertheless, high-risk drivers in Maryland should still be able to find suitable car insurance options after comparison shopping.

Drivers defined as high-risk typically have a history of serious driving violations and face higher rates because they are statistically more likely to cost insurers more than the average driver. For this reason, many insurance companies won't even sell coverage to high-risk drivers. However, other insurers specialize in high-risk coverage, so drivers with a checkered record have options.

The best high-risk auto insurance companies in Maryland are Travelers, Geico, Progressive because they are financially strong and have few customer complaints. Deficiencies in either area could be a sign you'll have a hard time getting payouts if you need to file a claim. Some of the most common complaints about car insurance companies concern denials, low settlements, and delays in processing claims. These companies also tend to be among the most affordable in Maryland for high-risk drivers, but you should always shop around to compare rates.

Best High-Risk Auto Insurance Companies in Maryland

Pro Tip: Look for an insurer with at least an “A” grade for financial stability and a complaint score close to or below the national median of 1.

Cost of high-risk auto insurance in Maryland

How much more high-risk drivers pay for auto insurance in Maryland depends on why they are classified as high-risk. Your combination of risk factors determines how much more you'll pay for high-risk auto insurance in Maryland. Car insurance companies decide if you are a high-risk driver based heavily on driving factors like accidents, speeding tickets, reckless driving, racing, and DUI/DWI.

For example, Maryland drivers with two accidents in their claims history see their rates jump by an average of 124%. If you're convicted of a DUI, you'll see an increase of about 51%. And if you're caught going more than 20 MPH over the speed limit, expect your rates to go up by about 33%, on average.

Non-driving factors like your age, location, insurance history, credit score, and vehicle can also affect how much more high-risk auto insurance costs in Maryland. If you get caught driving without insurance, the coverage lapse alone could raise your premium by about 9%. If you have no credit, you can expect to pay about 41% more than drivers with excellent scores.

In other words, your individual combination of risk factors determines how much more you specifically will pay for high-risk auto insurance in Maryland.

Tips for finding affordable high-risk car insurance in Maryland:

• Comparison shop. The best way to get affordable car insurance is to compare rates from at least three insurance companies. In Maryland, the most expensive policies are around $2,223, and the least expensive cost about $1,071. That means drivers could save as much as $1,152 simply by comparing quotes. At a minimum, check rates three and five years after a traffic violation to get a lower rate when it falls off your record.
• Avoid filing claims. Claims can dramatically increase your premium. In Maryland, the average collision claim raised rates $1,058. Before filing a claim, calculate whether the cost of the damage exceeds your deductible plus future premium surcharges.
• Have a practical car or go car-free. Some vehicles are more expensive to insure than others. Your car's make, model, year, safety features, and price tag all impact how much you'll pay. Consider a practical vehicle that's more affordable to insure if you're already high-risk. If the premium is still more than you can afford, you could switch to non-owner car insurance or go car-free for a while.
• Drive safely. The easiest way to avoid traffic violations is to obey traffic laws and drive safely. You can't undo the past, but you can make good choices now. Focus on keeping a clean driving record and consider a driver safety course to potentially lower your premiums right away.

Last-resort options for high-risk drivers in Maryland

If you've been denied coverage from traditional insurers, look into Maryland's assigned risk program. With assigned risk insurance, drivers who cannot get accepted normally are assigned to insurance companies that collectively pool together to take the risk of insuring them. It's a last resort, and you'll have to prove that you've tried and failed to get insurance multiple times to qualify.

In the end, the need for high-risk car insurance is a temporary situation. Serious violations like DUIs are on your record for 5 years in Maryland, but most violations fall off your record within three to five years. No matter how long it takes, your high-risk status will eventually change with time if you can prove you're a safe and responsible driver again.