Auto Insurance In MD

With 200 auto insurance companies present in Maryland, drivers have many options when deciding which auto insurance company to use. According to Maryland law, everyone must have some form of auto insurance, and often, rather than choosing the minimum plan, a better approach is purchasing a more expensive premium to protect yourself in the event of a serious accident.

Minimum Auto Insurance Coverage in MD

For purchasing the minimum premiums of auto insurance in MD, there are several guidelines. Maryland has four requirements for each Maryland driver applying for auto insurance in MD. First, you must have at least $20,000 for physical injuries suffered by the victim. Second, you must have a safety net of $40,000 for each accident that happens. Third, you must have $15,000 for each accident that damages property, which includes a car, house, or fence. Fourth, the driver must have $20,000 in the event he gets in an accident with someone who is uninsured or underinsured. Altogether, that accumulates to a minimum coverage of $95,000 for auto insurance in MD.

Special Premiums that Exceed Minimum Auto Insurance Coverage in MD

Financial advisors strongly recommend that you purchase premiums that exceed the minimum requirements of auto insurance in MD. If you choose to stay with minimum coverage for auto insurance in MD, you can do so. However, depending on the severity on an accident, you may need more than just minimum coverage to pay for damages. As a whole, insurance companies suggest getting a minimum of $300,000 as a safeguard against severe accidents. Further, Maryland has gap insurance that will benefit you in an accident. This insurance will pay the difference between what you owe for your car and its current price prior to the accident. For instance, if you owe your financing company $14,000 on a car worth $10,000 and you wreck your car, gap insurance will pay the $4,000 difference between the two, saving you some money.

Getting Better Deals from Auto Insurance Companies in MD

With all these auto insurance companies begging for your attention, how do you choose which one to get? First, rather than driving from insurance office to insurance office to find just the right one, check out some online sites that compare multiple auto insurance companies. There are over 200 to choose from, which may seem intimidating, but the key is to ask former clients what they thought of this company, amass information regarding each auto insurance company in MD, and determine which one offers the best benefits. Once you’ve chosen a company, there are four actions you can take to reduce the premium. First, take advantage of the many discounts offered to you. Some of these include the multi-policy discount (home and car insurance is from the same company), good driver discount (no accidents in 3 years), good students discount (high GPA), low mileage discount, and anti-theft devices discount. Second, consider car pooling once in while so that you can get a discount. Third, try using public transportation for work. If you do, driving your car can be considered “pleasurable” and consequently save you money on premiums. Fourth, purchase an older car. At first, this advice may sound odd. However, an older car is less prone to thefts than a new one. Also, one with safety features such as airbags, car alarms, automatic locks, and anti-lock brakes will further reduce the cost of your premium for auto insurance in MD. Enter your zip code at the top of this page to get your free auto insurance quote today.