USAA and Geico sell some of the best car insurance policies in Maryland, according to Bankrate’s research. State Farm and Progressive are also highly ranked auto insurers based on our scoring credentials. If you own and drive a vehicle in Maryland, it is important to have an auto insurance policy to protect your finances and to comply with state regulations.
Maryland drivers pay an average of $1,877 per year for full coverage car insurance, according to Bankrate’s 2021 study of quoted annual premiums. When shopping for the best auto insurance in Maryland, there are more than a dozen rating factors that will influence how much you pay for coverage, such as your age, marital status, employment, make and model of your vehicle and your driving history. Our research may help you find an auto insurance company that fits your needs and budget.
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 major insurance providers in Maryland from Quadrant Information Services.
We combined average premiums, third-party customer satisfaction scores and financial strength ratings, available coverages 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|
*Not officially ranked by J.D. Power due to eligibility restrictions
USAA offers insurance coverage only to members of the military, veterans and their 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.
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. 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 customization. The company offers fewer endorsements than many of its competitors. Geico earns solid customer satisfaction scores from J.D. Power and carriers 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 they have a network of more than 19,000 local agents across the country. The company’s nationwide network of over 19,000 agents makes it likely that there is one near you. 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. 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 the Name Your Price tool to see a range of coverage options within your budget. The company has the 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 a 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 $1,877 annually for full coverage, whereas U.S. drivers pay an average of $1,674. Similarly, minimum coverage tends to be more expensive in Maryland, with an average annual premium of $767. The national average annual premium for minimum coverage is $565.
Average premiums in Maryland may be higher for a number of reasons. Maryland’s state minimum coverage is slightly higher than 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 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 lowest limits available 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.
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 vehicle’s actual 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. 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 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 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 accidents and tickets 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 an agent or customer service representative may be the best way to identify savings opportunities.
Frequently asked questions
What is the cheapest car insurance company in Maryland?
USAA, Nationwide and Geico sell some of the cheapest 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 are personalized. 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 name, 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. You may also be asked to provide Social Security numbers for all insured drivers.
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, storms, theft, vandalism and glass breakage. Neither coverage provides financial protection for intentional damage or maintenance.
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.
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.