Every state has their own regulations and rules concerning auto insurance. Insurance companies in Maryland are no different. You must understand the laws and shop around before signing any insurance contract.
You can not legally drive in Maryland without a valid auto insurance. All registered cars must be insured by a state-approved broker. Those who do not obey these rules are subject to strict fines. Maryland drivers have a number of carriers to select from. People who have difficulty ensuring insurance can be helped by the certain state funded organizations.
Unlike other states, Maryland has laws for no-fault auto insurance. When an accident occurs, both cars damages are covered by each driver separately, no matter who is at fault.
This lowers insurance premiums and lessens litigation costs, but makes coverage laws more strict. Policies must cover certain amounts for bodily injury and property damage.
Despite the low costs associated with no-fault laws, drivers in Maryland have very high insurance premiums. The annual premium for the state is $1550, the 17th most expensive in the country. This is why it is vital for drivers to compare quotes prior to committing to a particular plan. If not, they will pay much more than is needed.
Maryland has strict insurance laws which is why a driver must have valid insurance proof. The Maryland Insurance Certification is the only proof that is accepted. Even though Maryland insurance companies give an ID card and policy copy, neither is an acceptable proof for the Maryland Motor Vehicle Administration.