Cheapest Car Insurance in Maryland (September 2024)

State Farm is the overall cheapest car insurance company in Maryland. Nationwide and Travelers are also the most affordable options for some drivers.

The best car insurance company in Maryland offers quality coverage at an affordable price.

These are Maryland’s cheapest car insurance companies offering minimum coverage policies:

• State Farm: $703 per year
• Travelers: $765 per year

Allstate has the highest minimum coverage premium in Maryland, costing an average of $1,455 per year.

A minimum coverage policy pays only for damage and injuries you cause to others. You need a full coverage policy with comprehensive and collision insurance to protect your car.

These insurers provide the most affordable full coverage car insurance in Maryland:

• Nationwide: $1,264 per year
• GEICO: $1,312 per year

Allstate offers the most expensive full coverage insurance at $2,189 per year.

Adding comprehensive and collision coverage to your policy increases your premium. For example, a full coverage policy from Nationwide costs $459 more than its minimum coverage. Full coverage protects you better in an at-fault accident by covering damage to your car from collisions, theft and other incidents on and off the road.

A major factor in determining your insurance premium is how much coverage you need. MoneyGeek used the following limits for a sample full coverage policy:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $100,000 property damage liability per accident

Our full coverage policy includes comprehensive and collision coverage, each with a $1,000 deductible.

You can lower your insurance rate by reducing your liability limits, eliminating comprehensive and collision coverage or increasing your deductible for comprehensive, collision or both. However, you may end up with insufficient coverage in case of an accident.

You can get auto insurance quotes in Maryland online. However, you'll need to visit several websites to compare rates and provide personal information to insurers, which can take up to 15 minutes per site.

With MoneyGeek's car insurance calculator, you can quickly estimate your auto insurance online without providing personal data. Use this information as a starting point to search for the most affordable options.

Age greatly impacts car insurance rates. Kemper offers the lowest costs for male teens, GEICO for female teens and seniors and Nationwide for young adults.

In Maryland, the most affordable insurance providers for teen drivers on a family policy are:

• GEICO: $1,668 per year for female teens
• Kemper: $1,827 per year for female teens and male teens
• Progressive: $2,036 per year for male teens

State Farm offers the most expensive rates, with annual premiums of $3,745 for male teens and $3,038 for female teens. Insurance costs decrease as teens get older, with 19-year-olds paying the lowest rates.

Adding a teenager to a family policy can save up to $3,333 compared to buying an individual policy. Teens under 18 cannot purchase auto insurance without a parent or guardian co-signing.

Taking advantage of young driver discounts can save families money on car insurance. Insurers, such as Allstate and GEICO, offer discounts to good students and students studying away from home.

These companies offer the best car insurance rates for young adults in Maryland:

• Nationwide: $1,511 per year
• Travelers: $1,590 per year

Allstate charges drivers in their 20s the most for car insurance at an average of $2,206 annually.

Auto insurance is usually more expensive for drivers in their 20s than for middle-aged drivers. For example, a policy for a young adult driver in Maryland costs up to $244 more than for a 40-year-old driver.

The following companies offer the cheapest car insurance for senior drivers in Maryland:

• GEICO: $1,358 per year
• State Farm: $1,375 per year

The highest car insurance rates for seniors come from Allstate, at approximately $2,438 per year.

Car insurance costs are slightly higher for senior drivers in Maryland than for middle-aged drivers, which isn't the norm. A full coverage policy is about $139 more for seniors than for those in their 30s to 50s. Car insurance rates increase as you reach your 70s.

Many insurance companies offer senior citizens discounts on their car insurance. You can also compare quotes from multiple insurers to find the best rate for your profile and individual needs.

State Farm offers the cheapest car insurance in Maryland for drivers with speeding tickets, at-fault accidents or DUIs. Nationwide is the most affordable for drivers with low credit scores, while Travelers provides the best rates for sports car drivers.

The following companies offer the cheapest full coverage policies for those who have speeding tickets in Maryland:

• State Farm: $1,445 per year
• GEICO: $1,531 per year

Allstate is the most expensive auto insurance provider for those with a speeding ticket, charging $2,448 a year. Speeding tickets in Maryland can increase your insurance premium by $291.

You can find affordable full coverage car insurance from these companies in Maryland if you're at fault in an accident:

• State Farm: $1,627 per year
• Nationwide: $1,961 per year

With an annual premium of approximately $3,029, Allstate is the most expensive auto insurance company in Maryland for drivers who are at fault for an accident. Getting into a car accident in Maryland and being at fault can result in an increase of $724 in your annual premium.

The following are the most affordable full coverage car insurance options for Maryland drivers with a DUI:

• State Farm: $1,445 per year
• Erie: $1,628 per year

A Kemper policy costing approximately $4,031 a year is the most expensive option for Maryland drivers with a DUI. If you have a DUI on your record, your annual premium can increase by about $686.

In Maryland, the following companies offer the lowest auto insurance rates for drivers with poor credit scores (below 580):

• Nationwide: $1,572 per year
• Progressive: $1,941 per year

On average, Erie offers the highest car insurance rates for drivers with poor credit at around $3,281 per year. Full coverage car insurance in Maryland for drivers with poor credit costs an average of $922 more than for drivers with good credit scores (above 750).

Insurance companies use your credit data to calculate a credit-based insurance score, which affects your rates. Poor credit leads to higher rates because insurers see you as more likely to file a claim. In Maryland, insurers can use credit data to set rates.

Improving your credit score over time can help lower your insurance rates. In the meantime, save money by taking advantage of available discounts.

Maryland sports car owners can find the most affordable car insurance rates from:

• Travelers: $1,257 per year
• Nationwide: $1,406 per year

Progressive offers the most expensive policy for sports cars, with a premium of $2,294 per year. The cost to insure a sports car in Maryland is $134 more than to insure a Toyota Camry.

MoneyGeek used a Ford Mustang for this analysis, but insurance quotes can vary widely depending on the model. Luxury, electric and sports car insurance is usually more expensive than other vehicle types.

USAA offers the cheapest car insurance at $823 annually. It serves military members, veterans and their families, providing top service nationwide.

Several factors impact car insurance rates in Maryland, including location. Areas with higher theft, vandalism and accident rates often have higher premiums.

Nationwide is the cheapest in Columbia, averaging $1,124 per year. In Baltimore, Travelers offers the most affordable full coverage at $1,730. Rates can vary by location, even with the same provider.

Drivers in Maryland must carry bodily injury and property damage liability coverage, uninsured motorist and personal injury protection (PIP).

Maryland law requires you to have bodily injury liability, property damage liability, uninsured motorist coverage and personal injury protection. Despite being affordable, this type of policy does not provide adequate coverage in case of at-fault accidents because it does not cover damage to your vehicle, and the minimum required liability limits are low.

We recommend purchasing as much liability coverage as you can afford to ensure your best protection.

MoneyGeek strongly recommends that you obtain bodily injury liability limits of $100,000 per person, $300,000 per accident and $100,000 for property damage liability.

If you finance or lease your car, you may need comprehensive and collision insurance. These cover damage to your car in the event of a collision, an off-road incident, vandalism or theft.

Even if it is not legally required, having full coverage insurance might be a good idea when driving a valuable car.

Under Maryland law, drivers must carry insurance for their vehicles, even if they don't drive them. Maryland Auto Insurance provides insurance to people who cannot get standard policies due to their records or claims history. Unfortunately, drivers do not have an alternative to liability insurance in Maryland.

MoneyGeek has answered some common questions to help you understand car insurance costs and quality in Maryland.