How Much Is Car Insurance in Maryland? (2023 Averages)
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The cost of car insurance varies significantly depending on your age, driving record, and the coverage you choose. On average, Marylanders pay about $2,127 a year for car insurance. That's significantly greater than the national average of $1,424 a year. People with minimum coverage will pay about $1,341 annually in the state. However, if you have a violation on your record, you'll pay an average of $2,506. Adding a young driver to your policy increases your annual average premium to $6,340.
Additionally, auto insurance companies charge different annual premiums for the same coverage. For example, in Maryland Erie's full coverage annual premium is $1,154, while Esurance charges $4,271 for the same coverage level.
The Average Cost of Car Insurance in Maryland
MoneyGeek weighed the factors that highly impact your car insurance rate to determine Maryland’s average car insurance cost. Between age, coverage level, driving record and credit score, age has the highest impact, followed by poor credit score.
Click to find out more about average costs for a given driver profile.
Average Costs of Car Insurance in Maryland
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- DriverAverage Annual PremiumAverage Monthly Premium
- The Average Driver$2,127$177
- Drivers Buying Minimum Coverage$1,341$112
- Adding a Young Driver$6,340$528
- Drivers With a Violation$2,506$209
- Drivers With Poor Credit$3,826$319
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Why are Car Insurance Rates Expensive in Maryland?
According to MoneyGeek’s research, Maryland is the fifth most expensive state for car insurance rates due to an unfortunate combination of high traffic density, a large percentage of uninsured motorists, a high urban population and frequent car thefts.
Maryland is among the most densely populated states in the country. The drivers get packed tightly together on the roads, increasing the risk of accidents. A higher risk of accidents increases the car insurance rates in Maryland.
Additionally, Maryland is one of the worst states with a high rate of uninsured drivers at 14.1%, which also raises rates.
Average Cost of Car Insurance in Maryland: Full Coverage vs. Minimum Coverage
According to MoneyGeek’s methodology, the average annual cost of a policy meeting the state minimum is $1,341, while a full coverage policy in Maryland costs roughly $2,127. There’s an average difference of about $786 between the two types of policies.
The average car insurance costs in Maryland depend on the type of coverage you purchase. You’ll pay more for policy coverage with more features. That’s why full coverage, which includes collision and comprehensive insurance, costs so much more.
Average Cost of Car Insurance in Maryland by Coverage Level
In Maryland, the state-minimum policy is the least expensive car insurance you can purchase.
Nonetheless, you may increase your liability coverage limit to 50/100/50 or 100/300/100. These numbers refer to the liability coverage levels on your policy. A 50/100/50 policy, for example, includes:
- $50,000 in bodily injury liability insurance per person
- $100,000 in bodily injury liability insurance per accident
- $50,000 in property damage liability insurance per accident
Meanwhile, a full coverage policy includes comprehensive and collision coverage. This means that if your car gets damaged in an accident, you are covered for repairs as well as liability.
Average Cost of Car Insurance in Maryland By Company
The insurance company you choose can significantly affect your car insurance rates in Maryland. The reason being, auto insurance companies use different pricing factors when quoting their rates. The company with the cheapest full coverage policy plan and cheapest liability-only car insurance in Maryland is Erie, with average rates of $1,545 and $926, respectively.
USAA is another affordable option. However, it’s only available for military families. On the other hand, the most expensive company for minimum and full coverage in this state is Esurance.
Average Annual Costs of Car Insurance in Maryland - By Company
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- CompanyMinimum CoverageFull Coverage
- $673$1,217
- $926$1,545
- $1,067$1,673
- $1,020$1,710
- $1,262$1,736
How Much Is Car Insurance in Maryland by Age?
Your age is another factor that affects your car insurance rates in Maryland. According to MoneyGeek’s data on the average costs of insurance in Maryland, the cost of coverage for a 16-year-old will be around $4,213 less than a 40-year-old buying a similar policy.
However, for a young driver, you can save money on insurance by adding them to a parent’s policy.
First-time drivers are often treated similarly to young drivers. If you’re new to driving in Maryland, your insurance rates will be similar to those of teenage drivers.
Average Costs of Full Coverage Car Insurance in Maryland - By Age
How Does Driving History Affect Car Insurance Costs in Maryland?
Drivers with multiple road violations are considered high-risk by their insurance providers. They pay more for insurance coverage compared to those with clean records. However, they can still find affordable insurance options even with a bad driving record.
According to MoneyGeek’s research, a driver with a speeding ticket will pay an additional $379 per year than a safe driver. The more violations you accumulate, the more costly your rates get.
Average Costs of Full Coverage Car Insurance in Maryland - By Driving History
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- Driving ViolationAnnual Premium
- Safe Driver$2,127
- Speeding Ticket$2,506
- At-Fault Accident$2,970
- DUI$3,178
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Credit Scores and the Cost of Car Insurance in Maryland
Drivers who carry an excellent credit score pay lower car insurance rates in Maryland than those with good credit, and the same applies to the difference between good credit and bad credit.
In Maryland, a driver with good credit pays $1,413 less per year on average than a driver with poor credit. Meanwhile, a driver with excellent credit saves around $546 per year compared to a driver with good credit. However, those with poor credit can still find relatively cheap car insurance coverage in Maryland by shopping around.
Average Costs of Full Coverage Car Insurance in Maryland - By Credit Score
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- Credit ScoreAnnual Premium
- Excellent$1,868
- Good$2,413
- Fair$2,893
- Below Fair$3,317
- Poor$3,826
How Much Is Car Insurance in Your City?
MoneyGeek’s analysis on car insurance in Maryland is from Baltimore. As car insurance rates are based on many factors, they can significantly vary within states.
In most cases, cities that are densely populated or have high chances of road accidents and natural disasters attract high car insurance rates.
Average Costs of Full Coverage Car Insurance in Maryland - By City
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- CityAnnual Premium
- $2,127
Frequently Asked Questions About Maryland Car Insurance Rates
For further insight into the car insurance rates in Maryland, take a look at the answers to the following frequently asked questions.
About Mark Fitzpatrick
sources
- Insurance Information Institute. "2019 Estimated Percentage of Uninsured Motorists By State." Accessed September 13, 2021.