1. Home
  2. The Best Affordable Car Insurance in Maryland for 2020

The Best Cheap Car Insurance Companies for Maryland Drivers in 2020

As in most states, drivers can shop for the cheapest car insurance in Maryland from five of the top, familiar car insurance companies. Listed below are estimated quotes for the average driver.

Company
Amount
1. USAA
In 2020, USAA ranked #1 in Maryland for the cheapest car insurance on average.
$1,217
per year
2. Erie
In 2020, Erie ranked #2 in Maryland for the cheapest car insurance on average.
$1,545
per year
3. Allstate
In 2020, Allstate ranked #3 in Maryland for the cheapest car insurance on average.
$1,673
per year
4. Travelers
In 2020, Travelers ranked #4 in Maryland for the cheapest car insurance on average.
$1,710
per year
5. Nationwide
In 2020, Nationwide ranked #5 in Maryland for the cheapest car insurance on average.
$1,736
per year

It’s important to note these quotes are only estimates. Actual car insurance quotes vary based on the factors specific to the driver. These include age, locale, driving history, and type of vehicle, among others. To find the best car insurance rates, it’s important to check with several different Maryland auto insurance companies and get individual quotes from each one.

The Best Car Insurance Companies in Maryland for 2020

When it comes to finding the best Maryland car insurance companies, MoneyGeek uses a unique rating system based on a combination of ratings from reputable outlets like J.D. Power and AM Best. Scores are out of 100, and equally weighs such factors as J.D. Power’s Claims score for claims resolution and AM Best’s financial strength rating, which examines a company’s financial standing to provide for its customers.

These and other factors such as affordability, reliability and customer service help determine the best car insurance companies.

Expand all Rankings +

1

USAAScore: 100
+

5/5

User Satisfaction

5/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

2

New Jersey ManufacturersScore: 97.5
+

5/5

User Satisfaction

5/5

Claims Ratings

5/5

Affordability

A+

Financial Stability

3

GEICOScore: 92.5
+

4/5

User Satisfaction

3/5

Claims Ratings

5/5

Affordability

A++

Financial Stability

4

HartfordScore: 87.5
+

4/5

User Satisfaction

3/5

Claims Ratings

4/5

Affordability

A+

Financial Stability

5

State FarmScore: 85
+

3/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A++

Financial Stability

6

TravelersScore: 85
+

2/5

User Satisfaction

5/5

Claims Ratings

2/5

Affordability

A++

Financial Stability

7

ProgressiveScore: 80
+

2/5

User Satisfaction

3/5

Claims Ratings

3/5

Affordability

A+

Financial Stability

8

NationwideScore: 77.5
+

2/5

User Satisfaction

3/5

Claims Ratings

2/5

Affordability

A+

Financial Stability

9

FarmersScore: 75
+

2/5

User Satisfaction

2/5

Claims Ratings

3/5

Affordability

A

Financial Stability

10

CSAAScore: 75
+

2/5

User Satisfaction

2/5

Claims Ratings

3/5

Affordability

A

Financial Stability


Market Share by Company

Looking at the most popular car insurance companies in Maryland could be an indicator of which companies are the most reliable and, possibly, the most affordable. In Maryland, the largest insurer is Geico, with 24.82% of the market share in the state, per the National Association of Insurance Commissioners.

Company
Market Share
1. GEICO
24.82%
2. State Farm
18.62%
3. Allstate
11.77%
4. USAA
9.08%
5. Erie
8.02%

Cheapest Car Insurance for Drivers With a DUI in Maryland

Having a DUI on your driving record can affect much more than just your ability to have a driver's license. It can result in up to one year in jail and up to $1,000 in fines. That hit to your wallet can go beyond fines and legal expenses. A DUI also can result in higher car insurance rates.

Company
Amount
1. Erie
In 2020, Erie ranked #1 in Maryland for the cheapest car insurance for drivers with a DUI.
$1,611
per year
2. Allstate
In 2020, Allstate ranked #2 in Maryland for the cheapest car insurance for drivers with a DUI.
$1,724
per year
3. USAA
In 2020, USAA ranked #3 in Maryland for the cheapest car insurance for drivers with a DUI.
$2,150
per year
4. State Farm
In 2020, State Farm ranked #4 in Maryland for the cheapest car insurance for drivers with a DUI.
$2,229
per year
5. Progressive
In 2020, Progressive ranked #5 in Maryland for the cheapest car insurance for drivers with a DUI.
$2,671
per year

Because a DUI conviction can negatively impact your insurance rates for a long time to come, it’s important for you to shop around for cheap car insurance with a DUI in Maryland every year. Every car insurance company will weigh this factor differently when providing your quote, so doing the research each year can pay off with cheap insurance.

Cheapest Car Insurance for MD Speeding or Distracted Driving Tickets

Having a speeding or distracted driving ticket in Maryland will not do you any favors for finding the cheapest car insurance in Maryland. In fact, distracted driving accidents often result in higher car insurance premiums. In Maryland, there were 474 distracted driving accidents in 2018, per the National Highway Traffic Safety Administration, and car insurers use that number as an indicator of accident potential in the state.

Company
Amount
1. USAA
In 2020, USAA ranked #1 in Maryland for the cheapest car insurance for distracted drivers.
$1,335
per year
2. Erie
In 2020, Erie ranked #2 in Maryland for the cheapest car insurance for distracted drivers.
$1,611
per year
3. Allstate
In 2020, Allstate ranked #3 in Maryland for the cheapest car insurance for distracted drivers.
$1,929
per year
4. GEICO
In 2020, GEICO ranked #4 in Maryland for the cheapest car insurance for distracted drivers.
$2,194
per year
5. Nationwide
In 2020, Nationwide ranked #5 in Maryland for the cheapest car insurance for distracted drivers.
$2,208
per year

How long a speeding or distracted driving ticket affects your car insurance rates depends on your individual driving record. First-time offenders often will see a short spike in their insurance rates while those with more than one ticket will see a long-term effect of higher rates. To find cheap car insurance with a ticket in Maryland, it’s best to shop around and get personalized quotes from several companies each year before renewing your policy.

Cheapest Car Insurance Companies in MD for Drivers With Bad Credit

Another factor auto insurance companies consider when providing personalized quotes for car insurance is your credit score. They see a credit score as an indicator of the likelihood of drivers filing an insurance claim. Essentially, the lower the score, the more likely that driver will file a claim down the road. In Maryland, the average credit score for residents is 704.


The general consensus is that a good credit score is 700 or higher. If you have a credit score below 700, take the time to check with a variety of car insurance companies for personalized quotes. This will help you find the best rates while you work to improve your credit score.

Cheapest Car Insurance Companies in Maryland for Seniors

In Maryland, drivers ages 65 and older now make up 17% of all in-state drivers. In addition, the group of Maryland drivers ages 90 and older is more than two and a half times larger than it was in 2000. Although all Maryland drivers renew their licenses every eight years, those age 40 and older must provide proof of adequate vision at every renewal. Any first-time driver age 70 and older applying for a license must provide a report from their primary health care provider.

Company
Amount
1. USAA
In 2020, USAA ranked #1 in Maryland for the cheapest car insurance for seniors.
$1,243
per year
2. Erie
In 2020, Erie ranked #2 in Maryland for the cheapest car insurance for seniors.
$1,587
per year
3. Allstate
In 2020, Allstate ranked #3 in Maryland for the cheapest car insurance for seniors.
$1,927
per year
4. Nationwide
In 2020, Nationwide ranked #4 in Maryland for the cheapest car insurance for seniors.
$1,928
per year
5. MetLife
In 2020, MetLife ranked #5 in Maryland for the cheapest car insurance for seniors.
$1,934
per year

Finding cheap car insurance for seniors in Maryland means shopping around with different companies and asking for personalized quotes based on your individual circumstances.

Cheapest Car Insurance for Students

Maryland Car Insurance: How Much a Teen Driver Will Cost You

Median annual price change for families with a teen driver on their policy:

$2,207 INCREASE

This is a difference of 120%.

The Insurance Administration points out that drivers are never more likely to be involved in a crash than they are in their first two years on the road. Due to this increased risk, teens and/or their parents should expect to pay higher premiums. Driving cars with safety features and maintaining good grades can help keep these premiums low. Before going off to college, students or their families must talk to their insurance agent to make sure their insurance is in place and conforms to state laws, particularly if they attend college out of state.

There is justified cause for assigning a higher risk to teen and college drivers. According to the Maryland Highway Safety Office, from 2006 to 2015, 306 drivers ages 16 to 20 died on Maryland roads and nearly 33,000 have been injured. Given the risks are higher for young drivers, parents of these teens and college students should expect to see higher car insurance quotes.

Company
Amount
1. Allstate
In 2020, Allstate ranked #1 in Maryland for the cheapest car insurance for students.
$4,119
per year
2. GEICO
In 2020, GEICO ranked #2 in Maryland for the cheapest car insurance for students.
$5,025
per year
3. Nationwide
In 2020, Nationwide ranked #3 in Maryland for the cheapest car insurance for students.
$5,235
per year
4. Progressive
In 2020, Progressive ranked #4 in Maryland for the cheapest car insurance for students.
$5,505
per year
5. State Farm
In 2020, State Farm ranked #5 in Maryland for the cheapest car insurance for students.
$5,680
per year


Premium Comparison by Student Type

PREMIUM COMPARISON FOR TWO ADULTS + A 16-YEAR-OLD

car
Average premium for two 2014

Mustang GTs

$5,016
car
Average premium for two 2008

Town and Country Limiteds

$3,714
Annual benefits of minivans:$1,302 saved

This is 26% less expensive.

Cheaper premium for college vs. high school drivers

Median premium change with a college student vs. high school driver:

$675 DECREASE

This is a savings of 16%.

Potential discounts for teens in Maryland

Impact on annual premium with good student and defensive driving discounts:

coins
$350 SAVED

Maryland students: a long-distance discount

You may pay a smaller annual family premium if your child lives 150 miles or more away from home.

male
Average premium for a 19-year-old male
car

$3,984 at home

graduation

$3,338 at school

$646 IN SAVINGS

female
Average premium for a 19-year-old female
car

$3,206 at home

graduation

$2,745 at school

$461 IN SAVINGS

Insurance Rate Information for Military Drivers and Veterans

Whether you're on active duty or a military veteran, you can take advantage of discounts on auto insurance in Maryland, where insurance companies offer savings in appreciation for your service. Discounts are usually available to the nearly 29,000 active-duty military members as well as the 371,000 veterans with a clean driving record. Because premiums can vary widely among carriers, compare price quotes from several companies and consider how much coverage you really need, based on your driving habits and value of the vehicle, before buying a policy. It's also a good idea to calculate your net worth to determine how much coverage you might need if at fault in an accident.

There's no need to register a vehicle in Maryland if you're stationed here temporarily, although the car or truck must be legally registered in your home state while in use on Maryland roads. State law lets you wait up to a year after establishing permanent residency before you are required to register.

Age savings for Maryland service members

male
25 years$1,488
50 years$1,166
female
25 years$1,395
50 years$1,147

$322 Saved
$248 Saved

Median auto insurance for service members: $1,263

Who Needs Car Insurance in Maryland?

All drivers in Maryland need insurance if they have a car. The state's Motor Vehicle Administration uses capital letters for emphasis on its website: "All Maryland vehicles MUST be insured at ALL times by a vehicle company licensed in Maryland." In other words, you can't cancel insurance on a car just because you aren't driving it.

Proof of Insurance in Maryland

You can prove your coverage with a paper insurance card or an electronic card on a smartphone. You will need it if:

  • You are ever in a collision and need to exchange insurance information with another driver
  • A law enforcement officer asks to see it

For purposes of registering or verifying insurance, the Maryland MVA requires a specific form that is sent by the insurer to the motor vehicle department.

Minimum Liability Insurance Requirements in Maryland

Insurance in Maryland has to meet at least these minimum requirements:

  • Liability insurance of $30,000/$60,000 for injury to one person/multiple people
  • $15,000 liability insurance for property damage
  • Uninsured motorist coverage of $30,000/60,000 for injury to one person/multiple people and property damage coverage of $15,000
  • $2,500 in personal injury protection (PIP), which pays out regardless of which driver is at fault

High-Risk Auto Insurance Program in Maryland

Maryland Auto Insurance is an independent state agency charged with providing insurance to people who have had trouble keeping traditional coverage. This includes high-risk drivers and people who have trouble making payments on regular plans. If you feel like you can't obtain insurance but still need to drive, check them out at mymarylandauto.com.

Alternatives to Insurance in Maryland

Maryland does not allow alternatives to liability insurance for most drivers. Drivers with more than 25 cars in their name, however, may be able to self-insure.

Car Insurance Requirements in Maryland: How Much Coverage Do You Need?

What percentage of drivers in Maryland lack vehicle insurance?

12.4%

National average: 13%

Source:

Insurance Information Institute.

Your needs depend on the value of your vehicle and your overall assets, but many experts recommend buying coverage with $100,000/$300,000 limits. Consider the guide to rates, and you might be surprised by how little you have to pay for the extra protection. If you shop around, you may find that extra coverage at one company costs about as much as minimal coverage at another company.

Second, you should consider purchasing some optional policies, such as collision and comprehensive coverage. This is coverage that protects your car, not someone else's. However, you might want to skip them if your car isn't worth much and it would be more expensive to protect your car than simply replace it.

For more on common types of vehicle insurance, see our MoneyGeek guide to car insurance.


Auto Insurance Rates

Compare Auto Insurance Rates

Ensure you're getting the best rate for your car insurance. Compare quotes from the top insurance companies.





Sources