Best Car Insurance Companies in Maryland

When you’re looking for the best car insurance in Maryland, shopping comparatively is the most reliable way to find an insurance provider that can offer suitable coverage options at a price you can afford.

The best way to do this is by asking questions beyond, “How much is car insurance in Maryland?”

And that includes asking about each company’s financial strength, customer satisfaction ratings, and discounts.

When insurance companies work to build a policy that works for you, they rely on some of your personal information to put together an accurate quote.

This data includes your age, gender, driving record, and the make and model of your vehicle.

Additionally, they consider your geographic location and several factors that relate to it.

Once you understand how the place you live affects your insurance rates, you can easily discern whether or not the quotes you’re receiving are fair.

The information below is designed to answer important questions and give you a better understanding of how your geographic location affects your insurance rate, so you can find the best car insurance in Maryland at the most reasonable price.

Average Cost of Car Insurance in Maryland

driving in MarylandYou need to know the average cost of car insurance for drivers in Maryland if you want to confirm whether the rates you’re quoted are fair.

When comparing the average cost of insurance for drivers in Maryland with those in surrounding states, you can see that rates in the state are fairly average for the surrounding area.

However, when compared with the countrywide average, car insurance in Maryland is priced a bit higher.

According to the National Association of Insurance Commissioners, the average price of insurance in Maryland rose $68 between 2011 and 2015.

Average Cost of Car Insurance in Maryland $1116.45
Average Cost of Car Insurance in District of Columbia $1330.73
Average Cost of Car Insurance in Delaware $1240.57
Average Cost of Car Insurance in West Virginia $1025.78
Countrywide Average Cost of Car Insurance $1009.38

Aside from factors like your age, gender, and the vehicle you drive, many elements that relate to the place you live impact your insurance rates.

Traffic Conditions

Factors used by insurance providers to determine your rate include the traffic density and fatal accident rates in your geographic area.

It’s important to keep in mind, though, that the state averages that are listed below may differ from the actual traffic density and fatal accident rates where you live.

If you’re in a metropolitan area, you can expect these numbers to be higher, whereas, in rural areas, they’re typically lower.

According to the National Association of Insurance Commissioners 2017 report, Maryland’s traffic density is 1,764,374 (calculated as the number of miles traveled by registered vehicles in the state against the miles of highway throughout the state).

That number is considerably higher than the U.S. average, which is 724,348.

When comparing vehicle miles traveled per each registered vehicle in the state during 2016, Maryland’s average was 14,371, which is above the national average of 12,010.

Fatal accidents in Maryland occur at a rate of 0.11 per 1,000 vehicles, which is slightly below the countrywide average of 0.13 per 1,000 vehicles.

Maryland’s car insurance rates are less expensive than the country’s average rates, but residents who choose to live outside of metropolitan areas may be able to save even more.

Vehicle Theft Rates

The Insurance Information Institute didn’t rank Maryland among the states with either the highest or the lowest number of auto thefts.

In 2016, an estimated 196.7 auto thefts occurred per 100,000 residents throughout Maryland, according to the FBI.

This theft rate is slightly lower than the national average of 236 auto thefts per 100,000 residents.

The National Insurance Crime Bureau’s Hot Wheels Report shows that the Honda Accord and Dodge Caravan are high on the list of stolen vehicles in Maryland.

In 2016 alone, a total of 733 Honda Accords and 526 Dodge Caravans were swiped throughout the state.

Other commonly targeted vehicles in Maryland include the Toyota Camry, Honda Civic, and Nissan Altima.

When you’re shopping for a new vehicle, look for one with lower theft rates to keep your premiums down.

Population Density

Although population density doesn’t have a direct effect on what you pay for insurance, areas with high population densities have more vehicles and therefore, more risk for accidents and theft.

Throughout the U.S., the average population density is 95 persons per square mile.

In Maryland, however, the population density is a lot higher at 611 persons per square mile.

Disposable Income

While disposable income also doesn’t directly affect your premiums, it’s another factor that can indirectly increase or decrease insurance rates.

Areas that have higher average disposable incomes are usually home to more vehicles with higher overall values.

This interconnection increases the risk to insurance companies, and therefore, increases premiums in the area.

According to the NAIC, Maryland’s per capita disposable income per person in 2014 was $46,875.

This figure is a fair bit above the national average of $40,859.

Of course, this number may vary depending on whether you live in a metropolitan area or a rural area.

Companies with the Best Car Insurance in Maryland

Shopping for car insurance requires a certain amount of research.

Request quotes from a minimum of three insurance providers and compare each one’s merits including financial strength, policy offerings, and customer reviews.

This analysis can help you find a responsible insurance company that can efficiently process your claims while providing friendly service.

It’s also important that you purchase your policy from a top insurance provider with a good reputation, such as:

Progressive Car Insurance:

One of the most nationally recognized names in the insurance industry, Progressive offers home and auto insurance to Americans at an affordable price with its famous Name Your Price Tool, which lets consumers choose how much they want to spend on car insurance.

Esurance:

Esurance offers simple insurance options at an affordable price without a lot of bells and whistles.

It’s a member of the Allstate family.

Allstate:

Allstate encourages safe driving by offering its customers a Safe Driving Bonus Check, which is sent out to customers every six months that they drive with no accidents.

QuoteWizard:

QuoteWizard is an online insurance tool that lets consumers view several companies at once, so they can compare offerings and rates.

MetLife Insurance:

MetLife offers insurance, employee benefits, and financial services to individuals and businesses.

It has strong financial ratings and excellent customer service reviews.

American Family:

American Family, also known as AmFam, offers auto insurance with plenty of convenient features.

Customers can take advantage of the company’s roadside assistance, 24/7 claims processing, and highly competitive premiums.

Travelers:

Travelers is the oldest insurance company in America.

Since its small beginnings, it’s expanded to offer insurance policies in several countries around the world, and it provides, full payment, bundled policy, and electric/hybrid vehicle discounts.

What is Mandatory for Car Insurance in Maryland?

Throughout most states, there are minimum auto insurance requirements.

According to the Maryland Insurance Administration, all vehicles and drivers in the state must have liability and uninsured/underinsured motorist protection.

Insurance companies are also required to offer a minimum of $2,500 in personal injury protection coverage to all drivers, who have the right to waive it.

There are certain limits the government requires drivers to maintain for each type of mandatory insurance.

In Maryland, these minimums are as follows:

Liability Insurance:

  • $30,000 for injuries per person
  • $60,000 for total injuries per accident
  • $15,000 for property damage

Uninsured/Underinsured Motorist:

  • $30,000 for injuries per person
  • $60,000 for total injuries per accident
  • $15,000 for property damage

Drivers must submit a signed Maryland Insurance Certification form when registering their vehicle or renewing their registration.

This document is the only acceptable proof of insurance in the state, and it must be presented upon request by the MVA or a police officer.

Failure to provide proof of insurance can result in fines and suspensions.

Similarly, carrying false proof of insurance is punishable by jail time in Maryland.

How to Reduce the Cost of Your Car Insurance in Maryland

Buying car insurance is the only legal way to protect yourself, your passengers, and other drivers from having to pay expensive medical and repair bills after an accident occurs.

While the initial expense of car insurance seems excessive, there are several ways to lower your insurance rate, based on the advice of the Insurance Information Institute:

  • Request an increase to your deductible
  • Bundle all of your insurance policies
  • Reduce your mileage, if possible
  • Reduce insurance coverage for older, less used vehicles

Most insurance providers offer discounts to their customers to reward things such as good driving behaviors, vehicle safety features, and teen drivers with good grades.

When you’ve found the best car insurance in Maryland, keep the following information on hand when purchasing your policy so you can take advantage of all the discounts your insurance provider offers and receive the most accurate rate possible:

  • Vehicle information including the make, model, year, VIN, usage habits, safety features, and anti-theft devices for all vehicles on your policy
  • Personal information for all drivers in your household, including date of birth, driving records, and school grades for any teen drivers
  • Household information including your complete address and parking information, an estimate of the assets you’d like coverage for, and your budget

What Can Increase the Cost of Your Car Insurance in Maryland?

Just as several elements can contribute to lower insurance rates, there are others that can lead to paying higher premiums on your insurance policy.

While some of these, such as your gender and age, are beyond your control, you can reduce the effects of others by taking some simple steps.

Overall Vehicle Value:

The overall value of your vehicle plays a major role in determining your insurance rate.

Choosing to purchase a less expensive vehicle helps to keep the cost of your policy affordable.

Traffic Infractions:

Violating traffic laws almost always leads to a higher priced insurance policy.

Beyond that, there are more serious consequences for multiple infractions that include license suspensions or even jail time.

Obeying traffic laws and contesting traffic tickets whenever it’s warranted can help you avoid premium increases.

Driver Age:

Both teen and senior drivers are associated with a higher risk of claims and, therefore, pay higher rates for insurance policies.

If you have either a teen or senior driver on your policy, encourage them to complete a defensive driving course in the hopes of lowering rates.

Armed with the above information, you should be able to confidently answer the question, “How much is car insurance in Maryland?”

With a little research and comparison shopping, you should be able to find the best car insurance in the state.

*While we make every effort to keep our site updated, please be aware that “timely” information on this page, such as quote estimates, or pertinent details about companies, may only be accurate as of its last edit day. Huntley Wealth & Insurance Services and its representatives do not give legal or tax advice. Please consult your own legal or tax adviser.