Maryland law requires all vehicles to be insured with minimum liability coverage. Understanding these requirements and penalties for driving uninsured is crucial for all Maryland drivers. This guide provides a comprehensive overview of Md Car Insurance essentials.
Understanding Minimum Coverage Requirements for MD Car Insurance
To legally operate a vehicle in Maryland, you must have car insurance that meets the state’s minimum liability requirements. These minimums ensure you can compensate others for damages caused by an accident. The current minimum requirements for MD car insurance are:
- Bodily Injury: $30,000 for one person injured in an accident.
- Bodily Injury: $60,000 for two or more people injured in an accident.
- Property Damage: $15,000 for damage to another person’s property.
Maintaining continuous coverage is mandatory. If you cancel your insurance, you must return your license plates to an MVA branch office to avoid penalties. Private tag and title companies offer this service but may charge a fee.
Moving In or Out of Maryland? Update Your MD Car Insurance
Changes in residency require updating your car insurance information.
- Moving Out of State: Notify the MVA with a copy of your new state’s vehicle registration, the date of titling, and your Maryland tag and title number. If you haven’t titled your vehicle in the new state yet, your insurance company must provide the MVA with your policy’s effective and termination dates.
- Moving to Maryland: Contact your insurance company to convert your existing policy to a Maryland policy. Ensure your insurer is licensed to operate in Maryland.
Penalties for Driving Without MD Car Insurance
Driving without insurance in Maryland results in significant penalties:
- Fines: A $200 fine for the first 30 days of being uninsured, followed by $7 per day up to a maximum of $3,500 per vehicle annually.
- Suspension: Your vehicle registration will be suspended. Driving with a suspended registration can lead to vehicle impoundment and additional fines.
- Collections: Unpaid fines can be referred to the Central Collections Unit (CCU), incurring a 17% collection fee and potential income tax return interception.
To avoid these consequences, return your license plates and registration card to an MVA office immediately upon canceling your insurance or selling your vehicle. Obtain a receipt as proof of surrender.
Maryland Automobile Insurance Fund (MAIF)
If you’ve been denied coverage by two insurance companies or canceled by one, the Maryland Automobile Insurance Fund (MAIF) offers a safety net. MAIF provides car insurance to eligible Maryland residents who have difficulty obtaining coverage in the standard market. Visit the MAIF website for more information.
Frequently Asked Questions about MD Car Insurance
For further information on MD car insurance, consult the following resources:
- Proof of Insurance FAQs
- Maryland Vehicle Insurance Certification (Form FR-19)
- Information for Uninsured Vehicle Owners
- Steps to Take After a Car Crash
- List of Approved Vehicle Insurance Companies in Maryland
- Payment Information
- Maryland Insurance Administration Website.
Remember: Driving without insurance in Maryland is illegal and carries severe penalties. Ensure you have the required MD car insurance coverage to protect yourself and others on the road.
