Maryland has a higher than average annual premium for car insurance. So it makes sense that Maryland drivers want to save as much as possible when shopping for their insurance. We’ve reviewed the state’s top providers, and found Erie Insurance to have the best balance of cost and coverage.
We compared financial strength, customer satisfaction, coverage options, and price to determine the best carriers for Maryland drivers. Additional carriers were evaluated and included below.
The 5 Best Car Insurance Companies in Maryland
|Erie Insurance||Geico||State Farm||Nationwide||USAA|
|Our review||Our review||Our review|
|AM Best Financial Strength Rating||A+||A++||A++||A+||A++|
|J.D. Power 2019 Overall Customer Satisfaction Score(Mid-Atlantic Region)||5/5||4/5||3/5||2/5||5/5|
|Avg. Annual Premium||$1,044||$558||$1,289||$1,136||$906|
Quadrant car insurance rate data as of 07/01/2019
- High customer satisfaction ratings
- Cheaper than average
- Doesn’t accept online accident claims
Erie Insurance is Maryland’s highest-rated provider in overall customer satisfaction. Erie offers its customers some of the cheapest rates in the state. Customers can save even more with the company’s discounts.
Those who prefer handling things online may not appreciate Erie Insurance’s lack of online capabilities. You can submit auto glass claims through the website, but you have to take care of all other business over the phone with an Erie Insurance agent.
- Intuitive website and mobile app
- Well-priced auto insurance
- Fewer than average local agents
Geico offers customers a great digital experience. The Geico website is very user-friendly and easy to navigate. Customers say the same about the Geico mobile app. You can access your insurance, contact roadside assistance, and submit photos alongside claims.
Geico also offers Maryland customers the cheapest average annual premium that we analyzed. Adding to the savings is its vast array of possible discounts. One issue some customers have is a lack of local agents. Since Geico focuses so greatly on its online offerings, there are fewer people to contact in person.
- Financially strong
- Several discount options
- More expensive
State Farm has a superior financial rating from AM Best. This means that the company is financially secure and very capable of paying out customer claims.
State Farm’s annual average premium is one of the more expensive ones we looked at. That said, there are several discounts available for Maryland drivers to offset the higher price of its policies.
- On Your Side policy review
- Thorough resource center
- Lower customer satisfaction
Nationwide offers the On Your Side review, which is a free annual review of your policy. This allows Maryland auto insurance customers to assess whether their coverage still works best for them. Nationwide also offers a comprehensive resource center to help answer any questions customers have.
The overall customer satisfaction for Nationwide is below average, according to J.D. Power. The company only scored 2 out of 5 stars for the Mid-Atlantic Region.
- Exceptional customer service
- Competitive rates
- Only available to the military community
USAA is only available to current military members, veterans, and their families. This means that not all Maryland drivers can consider it an option.
For those who are eligible, the company is an appealing choice. It rated very highly on the J.D. Power customer satisfaction survey. It also offers competitive rates, with one of the lowest average annual premiums that we looked at.
The Cheapest Car Insurance Companies in Maryland
|Largest Companies by Market Share in Maryland||Average Annual Premium|
Car Insurance by Credit Rating
|Credit Rating tier||Average Annual Premium|
|Average Across Credit Rating Tiers||$1,425|
Top 3 Cheapest Car Insurance Companies in Maryland
- Geico – $558
- USAA – $906
- Erie Insurance – $1,044
Top 3 Most Expensive Car Insurance Companies in Maryland
- Encompass – $1,924
- Metropolitan Insurance – $1,805
- Esurance – $1,799
The three cheapest car insurance companies in Maryland are Geico, USAA, and Erie Insurance. The three most expensive companies are Encompass, Metropolitan Insurance, and Esurance. We based our average rates on general profiles. To find the best coverage that your budget allows, we recommend reaching out to several companies for personalized quotes.
Guide to Car Insurance in Maryland
Maryland Minimum Liability
Minimum liability refers to the smallest amount of insurance you can purchase to legally drive. There are two categories of liability: bodily injury and property damage. These cover repair and medical costs for yourself and the other parties, if the police determine you’re at fault for an accident.
In Maryland, minimum liability breaks down as:
- $30,000 bodily injury coverage for one person
- $60,000 bodily injury coverage for two or more people
- $15,000 property damage coverage per accident
You’ll often see these numbers written as 30/60/15, the shorthand for minimum liability.
Don’t Settle for the Minimum
While minimum coverage may seem tempting, you should purchase the full amount that your budget allows for. If you’re in an accident involving a luxury car, chances are your minimum liability won’t cover all expenses. That means you’ll be making up the difference from your own pocket. If you’re prepared with a heftier policy, you’re less likely to be stuck with that bill.
How We Found the Best Maryland Car Insurance Companies
To find the best auto insurance in Maryland, we started with the state’s largest companies by market share. We analyzed their financial stability ratings from AM Best, S&P, and Moody’s. We paired this with customer satisfaction ratings from J.D. Power to determine the quality of service. Finally, we compared the coverage and discounts offered by each company.
We worked with Quadrant Information Services to provide data on auto insurance rates by company and credit score. Quadrant makes this information available using rate data that insurers are required to file with the state Department of Insurance. Rates are based on sample profiles created by Reviews.com for comparative purposes.
Maryland Car Insurance Companies FAQ
What are the average auto insurance rates in Maryland?
The average cost of car insurance in Maryland is about $1,256. The premiums in Maryland are higher than the national average of $1,134.
What are the minimum requirements for car insurance in Maryland?
Maryland’s minimum liability coverage is 30/60/15.
How much auto insurance coverage should I purchase?
You should always purchase the highest amount that comfortably fits your budget. Minimum coverage can leave you paying out of pocket if you’re deemed the at-fault party in an accident. More comprehensive coverage is the best way to keep yourself and others protected.