Maryland Minimum Auto Insurance Requirements (2024)

We are here to help you understand auto insurance requirements in Maryland. It is vital to not only search for the least expensive car insurance policy, but one that also follows Maryland auto insurance laws and regulations and provides the financial protection you need.

Maryland Auto Insurance Requirements

All drivers must have valid car insurance to drive in Maryland. Maryland auto insurance laws also include minimum liability insurance amounts. The state must license your insurance company. It is something new Maryland residents will want to check with their current provider.

Car insurance requirements in Maryland are focused on liability damages. That means your insurance company will pay for damages/injuries you cause to property or someone else. This insurance does not cover your medical bills or damage to your own vehicle.

Minimum Liability Insurance Amounts in Maryland

Maryland requires what’s known as a 30/60/15 protection for bodily injury and property damage:

• $30,000 for bodily injury
• $60,000 for two or more people
• $15,000 for property damage

You also must also carry uninsured and underinsured coverage. Uninsured coverage protects you if you are hit by an at-fault driver without liability coverage. The rate is 30/60:

• $30,000 uninsured coverage per person
• $60,000 uninsured coverage per accident

Underinsured coverage helps if the at-fault driver’s liability limits are too low to cover your medical expenses. Maryland requires both forms but refers to it simply as uninsured coverage.

More Insurance Is Needed in Maryland

While not required by Maryland auto insurance laws, you still should buy insurance to help with your possible medical bills and damage to your vehicle:

• Personal injury protection. PIP helps pay for you and your passengers’ medical expenses caused by an accident. It often covers other expenses such as lost income and childcare. You can opt out, but that means your medical costs aren’t covered.
• Comprehensive. Covers damages to your vehicle in non-crash-related incidents such as windshield cracks, theft, and storm damage.
• Collision. Covers damages caused directly by a crash with another vehicle or a stationary object like a tree.

Other options include rental reimbursement coverage, gap coverage, and towing coverage. Options and costs quickly add up, so make sure you compare policies to find the right fit for you. 

Maryland Insurance Requirements on Leased Vehicles

If you lease your vehicle, you’ll likely need to pay more than Maryland’s minimum liability amount. The leasing company will usually require higher minimums than the state. Some lessors require:

• $100,000 per person for bodily injury
• $300,000 per accident for bodily injury
• $50,000 per accident for property damage

Leasing and finance companies generally require full insurance too, so the asset is protected. 

It is important to remember that the law and lessor requirements often do not match and are something to consider. The cost of insurance is separate from your lease payment. Auto dealerships will not lease a vehicle to someone without insurance.

Penalties If You Do Not Have The Minimum Liability Amount Needed

Maryland takes its auto insurance requirements seriously. If you are caught driving without insurance, you will be fined $150 for the first 30 days and $7 each additional day. Your vehicle registration will also be suspended. Driving with a suspended registration will lead to your vehicle being impounded and more fines.

Getting Auto Insurance in Maryland

The key takeaway is that you must have liability insurance for bodily injury and property damage to fulfill the Maryland car insurance requirements. You must also have uninsured/underinsured coverage to protect yourself if you’re hit by an at-fault driver without liability coverage or the at-fault driver’s liability limits are too low to cover your medical expenses. You also need proof of insurance to lease a vehicle from a dealership.

Buying auto insurance in Maryland is usually a fast, straightforward process. After deciding on the coverage types and limits you want to buy, you can ask car insurance companies for quotes.