Maryland Minimum Coverage Car Insurance: Requirements and Costs (2024)


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ByMark Fitzpatrick
Reviewed byMark Friedlander
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ByMark Fitzpatrick
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Reviewed byMark Friedlander
Edited byDenise Cristobal
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Updated: May 20, 2024

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Maryland drivers need to carry the state minimum car insurance requirements of $30,000 bodily injury liability per person, $60,000 per accident and $15,000 property damage liability, alongside uninsured/underinsured motorist coverage matching the liability limits. Maryland operates under an at-fault system, meaning that the driver who causes an accident is responsible for covering the damages.

The monthly cost for state minimum car insurance in Maryland is typically reasonable, averaging around $56. However, while minimum coverage meets legal requirements, it may not provide comprehensive financial protection in every situation. If you're looking to economize, discovering the cheapest car insurance in Maryland can be paramount. Remember, it’s important to consider the cost while ensuring your policy provides adequate protection.

Why Trust MoneyGeek? MoneyGeek analyzed data from Quadrant Information Services and the Maryland Insurance Administration to give you the most accurate cost data for a range of Maryland drivers.

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These rates reflect the cost of minimum coverage car insurance requirements in Maryland as of June 2024.

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Maryland Minimum Coverage Car Insurance Requirements Minimum Coverage Requirements

In Maryland, drivers are legally required to have minimum coverage auto insurance to drive a vehicle. The state-mandated minimums are as follows:

  • $30,000 for bodily injury liability per person
  • $60,000 for bodily injury liability per accident
  • $15,000 for property damage liability per accident
  • $30,000 uninsured motorist bodily injury per person
  • $60,000 uninsured motorist bodily injury per accident
  • $15,000 uninsured/underinsured property damage coverage

Maryland is a fault state, so its auto insurance premiums are influenced by who is at fault in an accident. If you are found at fault for an accident, your insurance will be primarily responsible for covering damages. This can have a significant impact on your insurance costs, particularly if you are involved in a collision where you are deemed responsible.

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DOES MARYLAND REQUIRE COLLISION AND COMPREHENSIVE COVERAGE?

Maryland doesn’t mandate collision and comprehensive coverage as part of its minimum coverage auto insurance, but owning it might be compulsory through your financier. When financing or leasing, these providers often require collision and comprehensive insurance to protect their investment in your vehicle against accidents, theft or natural disasters. These policies cover the cost of repairs or replacement of your car beyond what is covered by standard liability insurance. If you have a loan or lease on your vehicle, you should carry collision or comprehensive insurance to fulfill the lending agreement and ensure financial protection against potential damages.

What Liability Insurance Covers
What Liability Insurance Doesn't Cover

Injuries to others if you are at fault in an accident

Your injuries

Damage to another person’s property if you are at fault in an accident

Damages to your car

Some coverage for injuries caused by uninsured/underinsured drivers, depending on your policy

Repairs for weather-related accidents or if an animal hit you

Property damage caused by uninsured/underinsured drivers unless additional coverage is purchased

The table above reflects Maryland's minimum car insurance requirements, including bodily injury and property damage coverage. Your individual policy's terms and conditions will outline the specific coverage details.

Average Cost of Minimum Coverage Car Insurance in Maryland

The table below presents the average cost for minimum coverage auto insurance in Maryland by age group, illustrating how rates vary for different demographic segments. Drivers in the 22 to 29 age group face the highest premiums, likely due to their limited driving experience and higher accident risk.

22-29Annual Premium$777Monthly Premium$65
30-59Annual Premium$674Monthly Premium$56
60 +Annual Premium$770Monthly Premium$64

Cheapest Companies for Minimum Coverage Car Insurance in Maryland

These are the most affordable annual rates for minimum coverage auto insurance in Maryland:

  • State Farm: $642 per year and $53 per month
  • Progressive: $688 per year and $57 per month

While finding a budget-friendly insurance plan is essential, you should select coverage that best suits your needs. Explore your options for the best car insurance in Maryland for more comprehensive protection.

Data filtered by:Results filtered by:
Age Group:
Age Group:30-59
State FarmAnnual Premium$642Monthly Premium$53
ProgressiveAnnual Premium$688Monthly Premium$57
GEICOAnnual Premium$725Monthly Premium$60
TravelersAnnual Premium$765Monthly Premium$64
NationwideAnnual Premium$818Monthly Premium$68
ErieAnnual Premium$827Monthly Premium$69
KemperAnnual Premium$904Monthly Premium$75
AllstateAnnual Premium$1,359Monthly Premium$113

Optional Add-On Coverages in Maryland

In Maryland, optional add-on coverages include uninsured motorist protection, comprehensive, collision, personal injury protection (PIP) and roadside assistance, among others. While not required by law, these coverages can offer financial protection against various incidents, like accidents involving uninsured drivers, theft and natural disasters. Assessing how much car insurance you need can help determine the right level of protection for your circumstances.

Add-On Coverage
What It Covers
What It Doesn't Cover

Uninsured/Underinsured Motorist Coverage

Medical expenses, lost wages and repair costs if you're hit by a driver with no or insufficient insurance.

Damage to your vehicle if you are at fault or damages that exceed policy limits.

Personal Injury Protection (PIP)

Medical expenses, lost income and funeral costs for you or your passengers, regardless of who's at fault.

Vehicle damage or injuries to the other driver.

Roadside Assistance

Services like towing, flat tire changes and jump-starts when your car breaks down.

Cost of parts or repairs needed after the tow.

Gap Insurance

Pays the difference between your car's current value and what you still owe if it's totaled or stolen.

Vehicle depreciation or overdue loan payments.

Rental Car Reimbursement

The cost of a rental car while your vehicle is being repaired after a covered event.

Fuel, insurance or other rental extras.

Penalties for Driving Without Insurance in Maryland

The cost of a ticket for driving without insurance in Maryland can vary, depending on if it's your first time or if you've been caught before. The penalties escalate for repeat offenses. For a first-time offense, you might face a fine and have to pay a restoration fee. If you offend again, the fines increase and you could also face a longer suspension of your registration and driving privileges.

Additional penalties for driving without minimum coverage insurance in Maryland include:

  • Vehicle Impoundment: Your car may be impounded, and you'll need to pay to get it back.
  • License Suspension: You could lose your driving privileges for a period.
  • Vehicle Registration Suspension: Your car's registration can be suspended, making it illegal to drive.
  • SR-22 Requirement: You might have to provide proof of high-risk insurance for a certain time.
  • Jail Time: If you're uninsured and get into an accident, you might face up to six months in jail.

It's important to follow Maryland's laws and ensure you have the required car insurance. Driving without it can lead to severe consequences, and it's not worth the risk. Always carry at least the state minimum coverage to protect yourself and others on the road.

What to Do if Your Policy Is Canceled

If your car insurance policy is canceled in Maryland, immediately seek a new insurance provider to avoid driving uninsured, which is illegal. You can discuss the situation with an insurance agent to explore your options for obtaining a new policy.

The DMV will be notified about the lapse in insurance coverage. If you are found driving without insurance, you may face penalties, including fines and the potential suspension of your vehicle registration. Act quickly and secure at least the state minimum coverage to ensure you adhere to state laws.

For those struggling to find insurance, Maryland offers the Maryland Auto Insurance Fund (MAIF) for drivers who are unable to obtain coverage through the private market. Remember, driving without at least minimum coverage in Maryland is against the law. Always make sure you are properly insured before getting behind the wheel.

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WHY WAS MY POLICY CANCELED?

Your car insurance policy in Maryland may have been canceled for a few reasons:

  • Non-Payment: If you don't pay your insurance premiums on time, the company can cancel your policy.
  • License Suspension: Having your driver's license suspended for any reason can lead to policy cancellation.
  • Fraudulent Claims: Filing false or exaggerated claims with your insurance provider might result in cancellation.
  • High Risk: Your insurer may cancel your coverage if you are considered a high-risk driver due to numerous traffic violations.
  • Policy Violation: Not adhering to the terms of your insurance policy, such as using your car for business without proper coverage, can cause cancellation.

FAQ: Maryland Minimum Coverage Car Insurance

In this comprehensive FAQ section on Maryland's state minimum car insurance requirements, we provide clear answers to your questions, ensuring you meet the legal coverage standards before hitting the road.

What is the minimum car insurance coverage in Maryland?
Why does Maryland require minimum automobile liability coverage for motorists?
Do you need comprehensive insurance in Maryland?
What happens if you drive uninsured in Maryland?

About Mark Fitzpatrick


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Mark Fitzpatrick has analyzed the property and casualty insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. Currently, he leads P&C insurance content production at MoneyGeek. Fitzpatrick has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.