The Best Cheap Car Insurance in Maryland for 2021

When looking for the best car insurance in Maryland, drivers will have to consider personal factors like their age, credit score, driving history and location. MoneyGeek ranked the top Maryland auto insurance providers based on affordability, claims experience, customer service and financial strength, among other factors. To get accurate quotes, you should shop around and discuss your needs with multiple carriers. MoneyGeek's ratings reveal a potential savings of $3,054 when comparing car insurance premiums from affordable companies in Maryland.

Loading...
By  
  |  
iconribbonbestauto insuranceMaryland2021

The least expensive car insurance in Maryland is a minimum liability coverage policy that only meets the state’s car insurance requirements.

The cheapest car insurance companies in Maryland for minimum coverage are:

  • USAA: $673 per year (services available to current and former military members)
  • Erie: $926 per year

The costliest car insurance for minimum coverage is Esurance, with average annual rates of $2,700.

Average Cost for Minimun Liability Coverage
  • Company
    Annually
    Monthly
  • 1.
    $673
    $56
  • 2.
    $926
    $77
  • 3.
    $1,020
    $85
  • 4.
    $1,067
    $89
  • 5.
    $1,203
    $100
Loading...

The prices listed above are only averages and should serve as a guide for comparing costs between insurers.

These prices are only estimates based on rates for an average Maryland driver and should not be used to compare insurance prices.

tip icon
MONEYGEEK EXPERT TIP

A minimum coverage package in Maryland is the cheapest available, but it only covers bodily injury and property damage liability insurance and uninsured/underinsured motorists. Drivers looking to cover damages to their car or improve their protection against higher liability expenses should purchase a full coverage policy.

To find the most affordable provider, you can compare car insurance quotes from multiple insurers. A full coverage policy with higher liability limits, comprehensive insurance and collision insurance protects you against most auto accidents in Maryland, on and off the road. The cost of full coverage is higher than minimum coverage, but it shields against the cost of damages to both your and other cars.

The most affordable car insurance companies in Maryland for full coverage are:

  • USAA: $1,217 per year (services available to current and former military members)
  • Erie: $1,545 per year

The most expensive car insurance for full coverage is Esurance, costing an average of $4,271 per year.

Average Comprehensive and Collision Rates in Maryland

Please note that your costs will be different than these examples. Prices are for a policy with comprehensive and collision insurance and $100,000 in bodily injury liability coverage per person, $300,000 in bodily injury liability coverage per accident and $100,000 in property damage coverage per accident.

The Best Car Insurance Companies in Maryland for 2021

Per MoneyGeek’s findings, the best car insurance companies in Maryland for most drivers are:

  • Best Overall: GEICO
  • Runner-up: The Hartford

USAA received the highest score in Maryland by MoneyGeek's rating system. However, because USAA is only available to military members, veterans and their families, it is not listed as best overall.

To determine the best car insurance companies in Maryland, MoneyGeek used a unique rating system that considers affordability, claims experience, customer satisfaction and financial strength.

MoneyGeek used a combination of J.D. Power’s U.S. Auto Insurance Study, AM Best’s financial strength ratings and industry standards for rating and reviewing insurance companies. Each criterion was weighted equally to formulate the final scores out of 100.


1
USAA
Score:100

5/5

Affordability

5/5

Claims Ratings

5/5

User Satisfaction

A++

Financial Stability

Geek Quick Take
Geek Quick Take

USAA is our top pick in Maryland. The company receives high scores on all parameters. However, USAA only serves veterans, current military members and their families.

More About USAA

USAA is considered one of the best and cheapest insurance firms in the country, and this applies to Maryland also. The company provides many perks to its policyholders. You may be eligible for a discount if your parents are USAA policyholders. Active military staff can also get a rebate for garaging their vehicles on base.

Read MoneyGeek's USAA auto Insurance Review
2
GEICO
Score:93

5/5

Affordability

3/5

Claims Ratings

4/5

User Satisfaction

A++

Financial Stability

Geek Quick Take
Geek Quick Take

GEICO is our runner-up in Maryland. What sets this provider apart from the competition is affordability. GEICO also scores high on user satisfaction and claims ratings.

More About GEICO

In addition to high marks in affordability, user satisfaction and claims ratings, GEICO offers many mobile tools that are simple to use and easy to access. The GEICO mobile app makes it easy for you to track your policy and submit claims. You can also get a rate and adjust your coverages through GEICO’s online quote tool.

Read MoneyGeek's GEICO auto Insurance Review
3
The Hartford
Score:88

4/5

Affordability

3/5

Claims Ratings

4/5

User Satisfaction

A+

Financial Stability

4
State Farm
Score:85

3/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A++

Financial Stability

5
Travelers
Score:85

2/5

Affordability

5/5

Claims Ratings

2/5

User Satisfaction

A++

Financial Stability

6
Progressive
Score:80

3/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

7
Nationwide
Score:78

2/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

8
Farmers
Score:75

3/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A

Financial Stability

9
CSAA
Score:75

3/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A

Financial Stability

10
Allstate
Score:75

2/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

11
Plymouth Rock Assurance
Score:73

2/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A-

Financial Stability

12
Liberty Mutual
Score:73

2/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A

Financial Stability

While USAA scores highly in many areas, this provider is only available to military members, veterans and their families.

List of the Largest Insurance Companies in Maryland

The three largest insurance firms in Maryland by market share are GEICO with 24.8%, State Farm with 18.6% and Allstate with 11.8%. Market share is calculated by dividing the total number of premiums written in the state by the number of premiums written by an insurance company. Many policyholders choose to purchase a policy from a large provider, as it offers more security. Providers with large market shares tend to be more financially stable, which means you can get paid for your claim without trouble.

How to Compare Cheap Maryland Car Insurance Quotes Online

Most car insurance companies offer an online quote feature that you can use to get an accurate quote for your needs. Determine how much coverage you need so that you can compare carriers with consistent limits. For instance, if you get a quote with one provider for $300,000 in bodily liability insurance per accident, be sure to use the same number when obtaining prices from another insurer.

Input your ZIP code below to compare quotes or use MoneyGeek’s pricing information to determine where to compare quotes. On average, the three cheapest car insurance firms in Maryland are USAA, Erie and Travelers. We recommend that you start your search with these providers to find the lowest rates.

Loading...

What Is the Average Cost of Car Insurance in Maryland?

Various unique factors affect the annual premiums of car insurance in Maryland. MoneyGeek calculated the typical cost of comprehensive and collision coverage for the average driver, a 40-year-old male driving a Toyota Camry with a clean record. Your annual premium can be lower or higher than these Maryland averages due to your age, driving history, credit score, location and coverage level.

  • Average Driver: $2,127
  • DUI: $3,178
  • Speeding Ticket: $2,506
  • Poor Credit Score: $3,343
  • Seniors: $2,298
  • Students: $5,086

It pays to drive safely, as a severe driving offense like driving under the influence (DUI) increases your car insurance prices. The average car insurance rate for drivers with a DUI in Maryland is $3,178 per year compared to $2,127 for the average driver with a clean record.

The cheapest car insurance companies in Maryland for a driver with a DUI and full coverage are:

  • Erie: $1,611 per year
  • Allstate: $1,724 per year

Although USAA is the cheapest insurer for Maryland drivers with a clean record, Allstate has lower prices for those with a DUI. To save money — and potentially lives — understand the real costs of a DUI and avoid driving while intoxicated altogether.

Average Car Insurance Rates With a DUI

From 2009-2018, 1,515 people were killed in alcohol-related car crashes. 1.5% of Maryland drivers admit to driving after having too much to drink in the past 30 days.

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.

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.

Having a speeding or distracted driving ticket in Maryland will not do you any favors for finding the cheapest car insurance in Maryland. Even a minor driving violation can hike your car insurance premiums. In Maryland, drivers with a speeding ticket pay $2,506 per year on average for their car insurance compared to $2,217 for those with a clean record.

The least expensive car insurance firms in Maryland for a driver with full coverage and a ticket are:

  • USAA: $1,335 per year (services available to current and former military members)
  • Erie: $1,611 per year

These two insurers also offer the cheapest full coverage for drivers with a clean record.

Average Car Insurance Rates With a Ticket

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. Car insurers use that number as an indicator of accident potential in the state.

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.

A good credit score can not only help you get loans more easily but can also reduce your car insurance costs. In Maryland, drivers with poor credit are charged $3,343 per year on average for their car insurance compared to $2,127 for a driver with a good credit score.

The most affordable auto car insurance providers in Maryland for a driver with poor credit and full coverage are:

  • Allstate: $2,218 per year
  • USAA: $2,326 per year (services available to current and former military members)

Though Erie offers lower full coverage rates for the average driver with good credit, Allstate’s prices are more affordable for those with low credit scores.

Average Car Insurance Rates for Drivers With Bad Credit

In Maryland, the average credit score 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. Shopping around can help you find the best rates while you work to improve your credit score.

Car insurance for seniors tends to be expensive compared to rates for young adults and middle-aged drivers. A senior driver in the state has to pay about $2,298 per year on average for their car insurance coverage compared to $2,217 per year for the average driver who is 40 years old.

The cheapest car insurance carriers in Maryland for senior drivers with full coverage are:

  • USAA: $1,243 per year (services available to current and former military members)
  • Erie: $1,587 per year

These two providers also offer the cheapest full coverage policies for the average driver who is not a senior.

Average Car Insurance Rates for Seniors

16.4% of fatal car accidents in Maryland in 2017 were caused by senior drivers. 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.

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

Young student drivers in Maryland are charged much more than adult drivers because car insurance companies consider them riskier to cover. The average annual price of car insurance for student drivers in Maryland is $5,086 compared to $2,127 for the average driver who is not a student.

The least expensive car insurance companies in Maryland for student drivers with full coverage are:

  • Allstate: $4,119 per year
  • GEICO: $5,025 per year

Erie offers lower full coverage rates for the average 40-year-old driver, while Allstate’s costs are lower for student drivers.

Average Car Insurance Rates for Students

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 2015 to 2029, 237 drivers ages 16 to 20 in Maryland were involved in fatal crashes and over 22,600 people were injured in accidents with drivers ages 16 to 20. Given the risks are higher for young drivers, parents of these teens and college students should expect to see higher car insurance quotes.

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 car insurance quotes from several companies and consider how much coverage you really need, based on your driving habits and the value of your 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.

Average Rates for Maryland service members

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

Car Insurance in Maryland: What You Need to Know

All drivers in Maryland need insurance for their vehicles. 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 in a collision and need to exchange insurance information
  • A law enforcement officer asks to see it

To register or verify insurance, the Maryland MVA requires a specific form sent by the insurer.

Minimum Liability Insurance Requirements in Maryland

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

  • $30,000 for bodily injury per person
  • $60,000 for bodily injuries per accident
  • $15,000 for property damage
  • $30,000 of uninsured motorist coverage for bodily injury per person
  • $60,000 of uninsured motorist coverage for bodily injuries per accident
  • $15,000 of uninsured motorist coverage for property damage

High-Risk Auto Insurance Program in Maryland

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

Alternatives to Insurance in Maryland

Maryland does not allow alternatives to liability insurance for most drivers. However, drivers who own more than 25 cars may be able to self-insure.

How Much Coverage Do You Need in Maryland?

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

You should also consider purchasing some optional policies, such as collision and comprehensive coverage, which add additional layers of protection for your car. However, you might want to skip them if your car isn't worth enough to justify the increased expense.

Average Insurance Rate by City in Maryland

Scroll for more

swipe icon

FAQs About Car Insurance in Maryland

To help consumers in Maryland make an educated buying decision, MoneyGeek answered common questions about car insurance coverage and state rates.

Loading...

About the Author


expert-profile

Karon Warren is a professional journalist who has covered personal finance, health insurance, home insurance, car insurance, mortgages, banking and more for two decades.

Karon earned her bachelor of arts degree in journalism from the University of Southern Mississippi. She is also a member of the American Society of Journalists and Authors. Karon uses her journalist skills to create in-depth, well-researched finance stories that educate people so they can make informed financial decisions that best serve their financial goals.


sources