Maryland state law mandates all drivers carry at a minimum bodily injury and property damage liability insurance policies for protection. Furthermore, drivers may opt to include comprehensive and collision coverage in their policies for added protection from both damage to their own vehicles as well as those uninsured or under-insured.
When purchasing car insurance in Maryland, several factors will impact your rates. These may include your driving record, type of car you drive and claims history as well as commute length and work type – something MoneyGeek’s Maryland Car Insurance Calculator can help provide an estimation for.
On average, drivers in Maryland pay approximately $2,815 annually for liability insurance coverage. That cost may increase if additional coverage such as collision and comprehensive is selected – though by shopping around for quotes you might find less costly options available to you.
Maryland car insurance premiums vary significantly and to find the right policy it’s wise to shop around and compare quotes. Below is a table displaying Maryland’s five largest insurers by market share which measures how many policies were written by an insurer in 2016. However, just because one is larger doesn’t automatically mean better – age, gender and marital status also play a factor when setting rates.
Age plays an integral part in Maryland car insurance rates, with teenagers and young adult drivers typically paying more. Traffic violations could also increase your premiums; however, most infractions won’t remain on your record for more than two years and you may even be able to reduce them by improving driving skills or cleaning up your credit report.
Your vehicle choice can have an effect on Maryland auto insurance premiums as well. Certain models tend to cost more than others to insure, with Honda CR-V typically being more costly than Toyota Camry on average. Furthermore, hybrid or electric models could save some money.
Be mindful of your credit score when considering Maryland car insurance rates as it can have an enormous impact. Insurance companies use your credit score to assess risk and decide how much to charge you; Maryland is one of a few states which do not permit insurers to use credit scoring in underwriting decisions, yet other factors like driving records and zip codes have more of an effect than credit on rates.
Finding a car insurer with an excellent loss ratio, meaning they pay out more in claims than in premiums received, is essential when selecting an insurer for Maryland car insurance policies. Doing this may even save money when comparing Maryland auto insurance quotes!