Best car insurance companies in Maryland
Based on our extensive research and systematic scoring categories, Bankrate’s insurance editorial team has determined that USAA, Geico, State Farm and Progressive are among the best car insurance companies in Maryland. To begin our analysis, we first obtained current premium information from the largest insurance providers based on market share in Maryland from Quadrant Information Services.
We combined average premiums, third-party customer satisfaction scores from the 2021 J.D. Power Auto Claims Satisfaction Study and financial strength ratings from multiple credit rating agencies — including AM Best — available coverage options and discounts offered to assign each company a Bankrate Score. The Scores are on a 0.0 to 5.0 scale. The higher the Bankrate Score, the better a company scored in each rating category.
If you are looking for the best auto insurance company in Maryland, you might want to get quotes from these four major carriers:
|Car insurance company||Bankrate Score||Average annual full coverage premium||J.D. Power customer satisfaction score (Mid-Atlantic region)|
*Not officially ranked by J.D. Power due to eligibility restrictions
USAA offers insurance coverage only to active-duty military members, veterans and their eligible immediate family members. If you qualify for coverage, USAA may be appealing due to its low average full coverage premium. Customers can upgrade their policies with coverage for roadside assistance, rental reimbursement and accident forgiveness. USAA is not eligible for an official ranking with J.D. Power due to its eligibility restrictions, but the company consistently earns high customer satisfaction scores. USAA carries an A++ (Superior) financial strength rating from AM Best, as well as an Aaa from Moody’s and AAA from Standard & Poor’s (S&P).
Learn more: USAA Insurance review
If budget is your primary concern and you do not qualify for USAA, Geico could be a good choice for your auto coverage. The company is well known for its low average premiums and wide variety of discounts that might help you save even more. Baltimore-based Geico also has highly-rated digital tools available for those who prefer to handle their coverage online or via a mobile app. However, Geico’s policies do not come with many options for personalization. The company offers fewer endorsements than many of its competitors. Geico, an indirect, wholly-owned subsidiary of Berkshire Hathaway, earns solid customer satisfaction scores from J.D. Power and carries an A++ (Superior) financial strength rating from AM Best, as well as an Aa1 from Moody’s and AA+ from Standard & Poor’s.
Learn more: Geico Insurance review
State Farm is the largest auto insurance company in the U.S. by market share and could be appealing if you prefer handling your coverage in-person, as it has a network of local exclusive agents across Maryland. State Farm received an above-industry-average score for claims satisfaction from J.D. Power. However, the National Association of Insurance Commissioners (NAIC) recorded an above-average number of complaints regarding State Farm’s overall service from policyholders. The company carries an A++ (Superior) financial strength rating from AM Best, and an AA from Standard & Poor’s.
Learn more: State Farm Insurance review
Progressive stands out for making the insurance shopping process easy. Not only can you compare the prices for several companies from Progressive’s website, but you can also use its Name Your Price tool to see a range of coverage options within your budget. The company has the second-highest premium on our list, but also offers numerous discounts that might help you save. Progressive carries an A+ (Superior) financial strength rating from AM Best, and an Aa from Moody’s and AA from Standard & Poor’s. However, Progressive’s ranking for claims service from J.D. Power was well below the industry average.
Learn more: Progressive Insurance review
Average cost of car insurance in Maryland
When it comes to car insurance, Maryland drivers pay higher rates compared to many other states. On average, Maryland drivers pay $1,774 annually for full coverage, which is 7% more than the U.S. average of $1,655. Minimum coverage tends to be significantly more expensive in Maryland, with an average annual premium of $742, which is 55% more than the national average annual premium of $480.
Average premiums in Maryland may be higher for a number of reasons. Maryland’s state minimum coverage is slightly higher than rates in many states. The state also saw nearly 116,000 car accidents in 2019, which could be considered high, especially when the state’s small geographic footprint is compared to much larger states.
|Average annual premium for minimum coverage in Maryland||Average annual premium for full coverage in Maryland|
How to find the best car insurance in Maryland
Shopping for auto insurance does not need to be stressful. Everyone has a different situation, so everyone’s coverage needs will be different. During your search for the best car insurance in Maryland, the following considerations could be useful.
Consider minimum insurance requirements in Maryland
In Maryland, motorists are required to carry at least minimum levels of some car insurance coverages to drive legally. Bodily injury liability, property damage liability, uninsured motorist bodily injury, uninsured motorist property damage and personal injury protection (PIP) are all required coverages. While you do not need to memorize Maryland’s car insurance laws — you will not be able to buy a policy with limits lower than the state minimum — understanding the state’s financial responsibility law could help you decide if you need higher limits. Most insurance experts agree that minimum limits do not provide sufficient coverage and encourage drivers to purchase higher amounts for greater financial protection.
Consider lender requirements
If you have a loan or lease on your vehicle, you likely have additional car insurance requirements to think about. Minimum coverage does not provide any coverage for damage to your own vehicle. You would need to purchase full coverage, which includes comprehensive and collision coverage. Typically, lenders and leasing companies require full coverage and may also stipulate how high your deductibles can be. You may also want to consider purchasing gap insurance, which is designed to pay the difference between your new vehicle’s actual market value and your loan amount if your vehicle is totaled.
Consider your individual needs
Understanding what you are looking for in your auto insurance could help you narrow down your options. Budget may be your primary concern, or maybe you want a company with strong digital assets and a user-friendly mobile app. You might also have a teen driver and be looking for companies that offer numerous teen discounts. If you have accidents, tickets or DUI convictions on your record, you may need to find a company that will insure high-risk drivers. Taking the time to understand your unique situation, wants and needs could help you determine what companies best fit your circumstances.
Car insurance discounts in Maryland
With average minimum and full coverage premiums that are higher than the national average, Maryland drivers may want to find ways to save on their car insurance. One of the best ways to do that is by taking advantage of discounts. Although each company offers different discounts, some common ones include:
- Young driver discounts: If you insure a high school or college student, you may be able to save by applying one of several discounts. If your student gets good grades, you might save with a good student discount. Some companies also have discounts for students who go away to college without a vehicle and for students who took a certified driver education course.
- Safe driver discounts: Avoiding at-fault accidents and moving violations for a certain number of years, which varies by carrier, might earn you a safe driver discount. Additionally, if your vehicle has safety features like side curtain airbags, blind spot warning and anti-lock brakes, you may qualify for a discount.
- Other discounts: If you own a home or condo or if you rent, you might get a discount for bundling your property policy with your auto insurance. You could also save on your insurance if you sign up for automatic payments, pay in full or go paperless.
You can often research a company’s discounts online, but talking to your insurance agent or company’s customer service representative may be the best way to identify savings opportunities.
Frequently asked questions
What is the cheapest car insurance company in Maryland?
Nationwide, Penn National, USAA, Geico and Progressive offer some of the cheapest full coverage car insurance in Maryland, according to Bankrate’s research. While finding a cheap car insurance company can go a long way toward getting affordable car insurance, you may want to keep in mind that rates depend on your personal factors. Your premium will depend on your individual rating factors, like the coverages you choose, the vehicle you drive and your driving record.
What information is needed in order to get car insurance in Maryland?
Getting a car insurance quote is a relatively simple process, but there is some information you may want to have on hand. You will need the names, dates of birth and drivers license numbers for all the drivers who need to be listed on the policy, as well as the year, make, model and vehicle identification number (VIN) for each vehicle.
What is included with full coverage insurance in Maryland?
Full coverage means that you are purchasing coverage for damage to your own vehicle. This includes comprehensive and collision coverages. Collision coverage pays for damages to your car caused by you colliding with another vehicle, a stationary object, a building, a pedestrian, etc. Comprehensive coverage is often called “other than collision” and pays for damages caused by you hitting an animal, severe weather, theft, vandalism and glass breakage. Neither optional coverage provides financial protection for intentional damage or maintenance.
How do I file a car insurance claim?
The process for filing a car insurance claim depends on your carrier. Many national and super-regional carriers allow policyholders to file claims via a digital portal or mobile app. Some mobile apps have the ability to capture and send photos of vehicle damage to your claims adjuster. However, some car insurance providers require you to call an insurance agent or the company during business hours to file your claim. You may want to check with your car insurance provider to see which claims filing method they use.
Bankrate utilizes Quadrant Information Services to analyze 2022 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 2020 Toyota Camry, commute five days a week and drive 12,000 miles annually.
Individual city rates reflect 2021 data for drivers who own a 2019 Toyota Camry.
These are sample rates and should only be used for comparative purposes.
Bankrate Scores primarily reflect a weighted rank of industry-standard ratings for financial strength and customer experience in addition to analysis of quoted annual premiums from Quadrant Information Services, spanning all 50 states and Washington, D.C. We know it is important for drivers to be confident their financial protection covers the likeliest risks, is priced competitively and is provided by a financially-sound company with a history of positive customer support.
To determine how well the best car insurance companies satisfy these priorities, third-party agency ratings from J.D. Power, AM Best, S&P, NAIC, and Moodys had the most impact on the companies’ Bankrate Scores. As price is a common consideration for drivers, we analyzed quoted premiums based on 40-year-old male and female drivers with a 2019 Toyota Camry. This profile, assessed across more than 35,000 ZIP codes in the U.S., provided a basis on which drivers may compare each provider.
While coverage options, insurer availability, affordability and customer experience are often the top priorities, Bankrate also analyzed each insurer’s online and mobile resources for policy management and claims handling. Insurance is rapidly evolving to keep pace with our digital world, so these aspects also carried weight in determining Bankrate Scores.