Cheapest for: Minimum liability | Full coverage | Prior incidents | Young drivers
Who Has the Cheapest Auto Insurance Quotes in Maryland? (2022)
Who Has the Cheapest Auto Insurance Quotes in Maryland? (2022)
State Farm has the best cheap car insurance in Maryland, at $809 per year and $67 per month for minimum liability coverage.
In Maryland, we found that average car insurance rates can vary by more than $1,300 for a minimum coverage policy and $2,300 for a full coverage policy. Comparing quotes from multiple insurers is the best way to get the cheapest rates.
Cheapest car insurance in Maryland: State Farm
State Farm has the cheapest minimum coverage insurance in Maryland. A policy costs $809 per year — 22% lower than the state average.
The average cost of car insurance in Maryland is $1,043 per year, or $87 per month, for minimum liability.
Active military service members, veterans and their families can take advantage of even cheaper rates from USAA, which charges $400 a year for a minimum coverage policy. USAA's average annual rate is $409 cheaper than State Farm's.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $809 | $67 |
| Erie | $825 | $69 |
| Progressive | $1,452 | $121 |
| Nationwide | $1,732 | $144 |
| USAA* | $400 | $33 |
*USAA is only available to current and former military members and their families.
Minimum liability car insurance policies have the cheapest rates. However, they could end up costing you more in the long run if you need to file a claim.
A minimum coverage policy in Maryland pays for injuries resulting from an accident or damage to the other driver's car or property. It does not include protection for damage to your own car if you cause an accident.
For this reason, we recommend full coverage car insurance for most Maryland drivers.
Cheapest full coverage car insurance in Maryland: State Farm
State Farm also has the cheapest full coverage insurance in Maryland. State Farm's average rate is $1,514 per year, which is 21% cheaper than the statewide average for a full coverage policy.
Drivers eligible for USAA have access to even better rates. At $860 per year, a policy from USAA is $654 cheaper than a policy from State Farm.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $1,514 | $126 |
| Erie | $1,662 | $139 |
| Progressive | $2,405 | $200 |
| Nationwide | $3,167 | $264 |
| USAA* | $860 | $72 |
*USAA is only available to current and former military members and their families.
Full coverage auto insurance policies include liability insurance as well as comprehensive and collision coverage, which pay for damage to your own vehicle.
While minimum coverage policies cost less than full coverage car insurance, having lower liability coverage limits and foregoing comprehensive and collision coverage could leave you without adequate protection in an accident.
The difference between full and minimum coverage policies in Maryland is $879 per year on average.
Cheap car insurance for drivers with prior incidents
In most cases, when you cause an accident or receive a citation for a traffic violation, your auto insurance costs will increase. This is because insurers will view you as a high-risk driver who is more likely to make a claim.
Find Cheap Auto Insurance Quotes in Maryland
Cheapest car insurance after a speeding ticket: State Farm
State Farm has the cheapest full coverage car insurance for drivers in Maryland who have been caught speeding. At an average price of $1,665 a year, drivers with State Farm can expect a 9% rate increase after receiving a ticket. On average, car insurance costs go up by 16% after a single speeding violation in Maryland.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $1,665 | $139 |
| Erie | $1,742 | $145 |
| Progressive | $2,889 | $241 |
| Nationwide | $3,878 | $323 |
| USAA* | $1,016 | $85 |
*USAA is only available to current and former military members and their families.
Cheapest car insurance after an accident: State Farm
Maryland drivers with an accident on their driving record can find the cheapest quotes at State Farm. A full coverage policy from State Farm costs $1,891 a year after an at-fault accident, which is $866 less than the state average of $2,757.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $1,891 | $158 |
| Erie | $2,198 | $183 |
| Progressive | $3,482 | $290 |
| Nationwide | $4,873 | $406 |
| USAA* | $1,339 | $112 |
*USAA is only available to current and former military members and their families.
Cheapest car insurance after a DUI: Erie
Drivers in Maryland with a DUI on their record can find the best rates with Erie, which has an average annual premium of $1,742 for full coverage.
Company | Annual rate | Monthly rate |
|---|---|---|
| Erie | $1,742 | $145 |
| Progressive | $3,142 | $262 |
| Nationwide | $3,663 | $305 |
| State Farm | $7,487 | $624 |
| USAA* | $2,245 | $187 |
*USAA is only available to current and former military members and their families.
Driving under the influence is a serious traffic offense and can also increase insurance rates when it's time to renew. In Maryland, car insurance rates increase 90%, on average, after a DUI citation.
However, some insurers raise rates by more than others. Erie only raises rates 4% after a DUI, while State Farm's rate increases by nearly 400%.
Cheapest car insurance for drivers with poor credit: State Farm
State Farm offers the cheapest auto insurance rates for drivers with poor credit at $2,893 per year on average for full coverage. Maryland drivers with poor credit pay 54% more for insurance than drivers with average credit.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $2,893 | $241 |
| Erie | $3,278 | $273 |
| Progressive | $3,305 | $275 |
| Nationwide | $3,873 | $323 |
| USAA* | $1,428 | $119 |
*USAA is only available to current and former military members and their families.
Your credit score does not affect your ability to drive safely, but it can impact your auto insurance rate. That's because statistics show that drivers with bad credit tend to file more claims.
Cheapest car insurance for married drivers: State Farm
If you're a married driver in Maryland, State Farm has the lowest rate for full coverage insurance: $1,514 per year. That's despite the fact that State Farm doesn't give married couples a discount on car insurance.
Married drivers may be able to get slightly cheaper auto insurance rates when looking for coverage. In Maryland, they save an average of $161 per year compared to those who are unmarried.
Company | Annual rate | Monthly rate |
|---|---|---|
| State Farm | $1,514 | $126 |
| Erie | $1,587 | $132 |
| Progressive | $2,034 | $170 |
| Nationwide | $2,881 | $240 |
| USAA* | $787 | $66 |
*USAA is only available to current and former military members and their families.
The largest discount comes from Progressive — the company rewards married drivers with a 15% discount, which saves them $371 a year, on average.
Cheapest car insurance for young drivers in Maryland: Erie
Erie offers the best rates for 18-year-old drivers shopping for cheap car insurance in Maryland. At $2,043 a year, a minimum coverage policy with Erie is $1,224 cheaper than the state average.
Car insurance for young drivers is usually much more expensive than insurance for older drivers. The average cost of full coverage car insurance for 18-year-old drivers is $6,168 per year, more than three times higher than the same policy for a 30-year-old driver.
The average cost of minimum coverage car insurance for 18-year-old drivers in Maryland is $3,267 per year, or $272 per month — $1,345 more expensive than it is for 30-year-old drivers.
Company | Liability only | Full coverage |
|---|---|---|
| Erie | $2,043 | $4,262 |
| State Farm | $2,502 | $4,788 |
| Progressive | $4,219 | $7,472 |
| Nationwide | $6,348 | $11,780 |
| USAA* | $1,224 | $2,538 |
*USAA is only available to current and former military members and their families.
Drivers who are eligible for USAA have access to significantly lower rates. USAA's minimum coverage rate is 63% cheaper than the state average and $819 less than Erie's rate.
Cheapest car insurance for young drivers after a ticket: Erie
Young drivers in Maryland with a single speeding ticket will find the most affordable rates with Erie. Its minimum coverage policy costs $2,503 a year, 30% cheaper than the state average.
Company | Annual rate | Monthly rate |
|---|---|---|
| Erie | $2,503 | $209 |
| State Farm | $2,777 | $231 |
| Progressive | $4,428 | $369 |
| Nationwide | $6,804 | $567 |
| USAA* | $1,404 | $117 |
*USAA is only available to current and former military members and their families.
Speeding will usually cause your auto insurance premiums to increase, though not as drastically as for drivers who are found to be at fault in an accident. Young Maryland drivers who get caught speeding can expect their rate to increase by 10% on average. On the other hand, young drivers who cause an accident pay 18% more than those with a clean record.
Cheapest car insurance for young drivers after an accident: Erie
The most affordable car insurance for young drivers in Maryland who have been in an at-fault accident comes from Erie. Its minimum coverage rate for 18-year-olds is $1,124 cheaper than average at $2,741 a year.
Company | Annual rate | Monthly rate |
|---|---|---|
| Erie | $2,741 | $228 |
| State Farm | $3,189 | $266 |
| Progressive | $4,634 | $386 |
| Nationwide | $7,009 | $584 |
| USAA* | $1,754 | $146 |
*USAA is only available to current and former military members and their families.
Best car insurance companies in Maryland
USAA is our pick for the best insurer in Maryland because of its high rating from our editors, customer service and claim satisfaction ratings and superior financial stability score.
Unfortunately, USAA is not available to everyone. Drivers who are not eligible for USAA should consider Erie and State Farm. Both insurers received near-perfect ratings from our editors and exemplary customer service scores from J.D. Power.
Company |
Editor's rating
|
J.D. Power
|
AM Best
|
|---|---|---|---|
| Erie | 856 | A+ | |
| State Farm | 852 | A++ | |
| Nationwide | 823 | A+ | |
| Progressive | 834 | A+ | |
| USAA* | 896 | A++ |
*USAA is only available to current and former military members and their families.
All of the companies we studied received a financial strength rating from AM Best of A+ or better, meaning that they have a "Superior" ability to pay out claims, even in tough economic times.
Average car insurance cost in Maryland by city
Car insurance costs can vary widely depending on where you live and drive. In Maryland, the cost of full coverage insurance fluctuates by over $1,700 a year depending on the city where you reside.
Drivers in Leitersburg pay the lowest auto insurance rates in the state at $1,446 per year for full coverage insurance. Gwynn Oak residents pay $3,202 a year, making it the most expensive city in Maryland.
City | Average annual cost | Percentage difference from average |
|---|---|---|
| Abell | $1,648 | -14% |
| Aberdeen | $1,863 | -3% |
| Aberdeen Proving Ground | $1,976 | 3% |
| Abingdon | $2,010 | 5% |
| Accident | $1,545 | -20% |
Maryland state minimum auto insurance requirements
Maryland's financial responsibility law mandates that drivers carry both liability insurance and uninsured motorist coverage.
These coverages offer financial protection if you cause damage to someone's property or injure them in an accident. They also cover your injuries or damage caused to your vehicle in an accident with an uninsured driver.
According to Maryland state law, drivers are required to carry the following coverages and limits:
Coverage | Minimum limit |
|---|---|
| Bodily injury (BI) | $30,000 per person/$60,000 per accident |
| Property damage (PD) | $15,000 per accident |
| Uninsured/underinsured motorist BI (UM/UIMBI) | $30,000 per person/$60,000 per accident |
| Uninsured/underinsured motorist PD (UM/UIMPD) | $15,000 per accident |
| Personal injury protection (PIP) | $2,500 |
Maryland drivers are required to carry $2,500 in PIP insurance, though you may choose a limited PIP option that essentially waives coverage. A limited PIP policy prevents you from receiving PIP benefits under any policy issued in the state of Maryland.
For example, if you carry limited PIP coverage and are injured in an accident while driving your friend's car, you cannot receive PIP reimbursement through the car insurance policy affiliated with that vehicle.
Recap of the cheapest car insurance in Maryland
- Minimum coverage: State Farm
- Full coverage: State Farm
- After a speeding ticket: State Farm
- After an at-fault accident: State Farm
- After a DUI: Erie
- Poor credit history: State Farm
- Married drivers: State Farm
- Young drivers: Erie
- Young drivers after a ticket: Erie
- Young drivers after an accident: Erie
Frequently asked questions
Who has the cheapest car insurance in Maryland?
State Farm has the cheapest minimum coverage insurance in Maryland at $809 per year or $67 per month. It also has the cheapest full coverage policies at $1,514 per year or $126 per month.
Is it illegal to drive without insurance in Maryland?
It is illegal to drive without insurance in Maryland, as well as most states. Driving without the minimum insurance required by law will result in a $150 fine for the first 30 days without coverage plus $7 for each additional day, up to $2,500 a year per vehicle. Drivers will also have their vehicle registration suspended, which can result in their car being impounded if they drive it.
How much is car insurance in Maryland?
The average minimum coverage auto insurance policy in Maryland costs $1,043 per year. That price goes up to $1,922 for a full coverage policy.
Is Maryland a no-fault state for auto insurance?
Maryland is not considered a no-fault state, meaning damage after an accident is the responsibility of the driver who caused the accident. The state does require drivers to carry a small amount of personal injury protection coverage, which is traditionally part of no-fault insurance systems.
Does Maryland accept electronic proof of insurance?
Yes, if you're pulled over for a traffic violation in Maryland, you can provide online proof of insurance on your phone or another electronic device.
Methodology
We collected thousands of rates from ZIP codes across Maryland for the state's largest insurers. Rates are for a 30-year-old man driving a 2015 Honda Civic EX with average credit.
The base policy for the study was a full coverage policy with the following limits:
Coverage type | Study limits |
|---|---|
| Bodily injury liability | $50,000 per person/$100,000 per accident |
| Property damage liability | $25,000 per accident |
| Personal injury protection (PIP) | $10,000 |
| Uninsured/underinsured motorist bodily injury | $50,000 per person/$100,000 per accident |
| Uninsured/underinsured motorist property damage | $25,000 per accident |
| Comprehensive and collision | $500 deductible |
For our minimum coverage policy, rates are for a policy with the minimum required limits in Maryland. For other rates analyses (driving history, credit and marital status), the base policy listed above was altered to reflect the driver. Quotes for young drivers are based on minimum coverage limits.
ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes may be different.
Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.