Maryland is a small state, but with over 4.4 million licensed drivers, its roads are busy. In 2018, the most recent year with available data, the state saw nearly 116,000 crashes, causing 48,658 injuries and 535 deaths. Finding the cheapest car insurance in Maryland could help to protect your finances.
Drivers in Maryland pay, on average, $767 per year for minimum coverage and $1,877 per year for full coverage. Maryland does require drivers to carry at least minimum levels of auto insurance coverage, but just because auto insurance is a required expense does not mean that there are no ways to save. Bankrate’s insurance editorial team has done extensive research to help you find cheap car insurance in Maryland.
The cheapest car insurance companies in Maryland
Bankrate partnered with Quadrant Information Services to obtain up-to-date premium information for the major insurance companies in Maryland. Based on our research, the following five companies offer some of the cheapest average premiums:
|Car insurance company||Average annual premium for minimum coverage||Average annual premium for full coverage|
Nationwide offers both the cheapest average minimum coverage and the cheapest average full coverage premiums on our list. With options like gap coverage, roadside assistance and accident forgiveness, drivers have the flexibility to customize their coverage to fit their needs.
Nationwide’s average premiums may be relatively cheap, but the company also offers numerous discounts that could help you save even more. You might get a discount for being a defensive driver, having a car with certain safety features, insuring more than one policy with Nationwide or signing up for automatic payments.
Learn more: Nationwide Insurance review
USAA is only available to current and former military members and their immediate families, but if you qualify you have access to highly-rated customer service, low average premiums and military-focused discounts.
For example, you might save if you garage your vehicle on a military base or if you store it while you are deployed. You might also save for being a safe driver, owning and insuring a new vehicle, driving low annual miles or spinning your policy off of a parents’ policy.
Learn more: USAA Insurance review
Geico is one of the largest auto insurers in the U.S. It offers affordable prices for minimum and full coverage insurance and an extensive list of discounts. Although the company does not offer many optional coverages, you can add emergency road service, rental reimbursement and mechanical breakdown coverage.
Maryland drivers whose primary concern is budget may be interested in Geico.
You might save for being a good student, federal employee or member of the military. Additional discounts include safety features, new car, multi-vehicle and multi-policy.
Learn more: Geico Insurance review
Erie is a regional provider, selling its insurance in 12 states, including Maryland. Although its full coverage premium is the highest on our list, Erie offers a unique option that could be appealing to many drivers: Rate Lock. With this option, your premium will only increase if you make certain changes to your policy, like adding a driver or getting a new car.
If you want to lower your Erie premium, there are discounts for bundling, prepayments, young drivers, safe driving, low mileage and good grades. Additionally, Erie rates fairly high in the 2020 J.D. Power U.S. Claims Satisfaction Study, with a score of 880 out of 1,000, which is above the industry average ranking.
Learn more: Erie Insurance review
Although its minimum coverage is higher than Maryland’s average, Allstate does offer lower-than-average rates on full coverage. Allstate might be a good option if you are looking for a long list of optional coverages. You could add coverage for your sound system, ridesharing coverage or roadside assistance coverage.
Allstate does not skimp on discounts, either. You might be able to save for having anti-lock brakes, an anti-theft device, signing up for paperless statements or paying via automatic withdrawals.
Learn more: Allstate Insurance review
Affordable coverage for Maryland drivers
- $30,000 bodily injury per person
- $60,000 bodily injury per accident
- $15,000 property damage
- $30,000 uninsured motorist bodily injury per person
- $60,000 uninsured motorist bodily injury per accident
- $15,000 uninsured motorist property damage
- $2,500 personal injury protection (PIP)
While these are the minimum limits, Maryland drivers may want to consider carrying higher limits to protect themselves in the event of a costly claim. Minimum coverage also does not provide any coverage for damage to your own vehicle. To obtain that coverage, you will need to purchase comprehensive and collision, which constitute full coverage.
How to get cheap car insurance in Maryland
While some car insurance providers are cheaper than others, there are other ways to save money on car insurance:
- Shop around: Many factors determine your car insurance rates, so taking the time to get quotes from several companies and compare pricing, coverages and discounts could help you find the coverage you need for less.
- Ask about discounts: Some insurance carriers may offer extra incentives or savings that can lower premiums, such as low mileage discounts for occasional drivers or student discounts for good grades.
- Maintain a good credit score: Your credit rating is a factor in determining how much insurance costs. Focusing on paying down debts and making timely payments might improve a low score and help you get a better auto policy rate.
- Raise your deductible: Increasing your comprehensive or collision deductible will generally result in a lower premium. Keep in mind that higher deductibles may mean lower rates, but it also means more out-of-pocket expenses in the event of a claim.
- Improve your driving record: If you have tickets, accidents or violations on your record, you will likely pay higher auto insurance premiums. Many insurance companies will offer a discount for passing a safe driving or driver’s education course, or for staying accident- or ticket-free for a certain number of years.
Talking to your insurance agent or company might help you identify more savings opportunities.
Frequently asked questions
What is the best car insurance in Maryland?
The best car insurance in Maryland will vary depending on your specific needs. The best way to find the right provider for you is to get multiple quotes and compare the coverage, discount offerings and premium to find what suits you best.
What is the average cost of car insurance in the U.S.?
The average cost of auto insurance in the U.S. per year is $565 for minimum liability coverage and $1,674 for full coverage insurance. Drivers in Maryland pay more, with average annual premiums of $767 for minimum coverage and $1,877 for full coverage. However, the cost of auto insurance premiums varies depending on multiple factors. Your premium may be higher or lower than the average premiums.
What factors affect my insurance premium?
Numerous factors impact your auto insurance premium, including your age, ZIP code, driving record, credit score, annual mileage and how often you drive. Each auto insurance company has its own rating system and may weigh these factors differently. This is why the cheapest company for one person may not be the cheapest for someone else.
Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:
- $100,000 bodily injury liability per person
- $300,000 bodily injury liability per accident
- $50,000 property damage liability per accident
- $100,000 uninsured motorist bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimum coverage limits, Bankrate used minimum coverages that meet each state’s requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a week and drive 12,000 miles annually.
These are sample rates and should only be used for comparative purposes.