Cheapest Low-Income Car Insurance In Maryland 2024
State Farm offers the cheapest car insurance rates for low-income drivers in Maryland, at $60 per month. However, Maryland does not have a government-backed program for low-income families, and individuals.
We’ve saved shoppers an average of $600 per year on their car insurance.
Maryland drivers with a low-income and poor credit can get affordable auto insurance with State Farm for $60 per month. Finding affordable insurance in Maryland is not easy, especially for low-income residents with incomes at 50% or less of the median in their area. On top of this, Maryland does not have a special car insurance program.
With 15 years in the insurance industry as a licensed insurance agent, I’m very familiar with the reviewed companies in this guide, many of which I’ve been insured with. They are all reputable, but each stands out in different ways for Maryland drivers.
Cheapest Low-Income Car Insurance in Maryland, 2024
Does Maryland Have A Government Car Insurance Program For Low-Income Families?
Maryland does not offer a government-supported car insurance program for low-income families, unlike some states. However, obtaining car insurance is compulsory for the legal registration and operation of vehicles within the state.
Minimum Car Insurance Requirements In Maryland
According to the Maryland Department Of Transportation, Maryland drivers must carry car insurance to cover auto accident costs, with the minimum required coverage referred to as 30/60/15.
This means that every policy needs to include at least:
- $30,000 in bodily injury coverage per person: This amount represents the limit that an insurance company will pay for medical treatment for one person injured in an accident for which you are at fault.
- $60,000 in bodily injury coverage per accident: This is the total maximum amount your insurer will cover for injuries sustained by all individuals involved in an accident for which you are at fault.
- $15,000 in property damage liability: This provides coverage for any damage you cause to someone else’s belongings, like their car, during an accident.
Maryland also stipulates that, apart from these requirements, drivers must have Personal Injury Protection (PIP) coverage of $2,500, unless they decide to waive it.
While these are the legal requirements, it’s important to think about whether this level of coverage will be enough to protect your finances in the event of an accident. If accident costs exceed your coverage limits, you could be responsible for paying the difference. Therefore, many drivers choose to invest in higher coverage limits for added security.
Full Coverage Options
Though “full coverage” is not a recognized term in the insurance industry, it generally implies a mix of coverages that provide thorough protection against various damages and losses. This usually includes liability coverage (covering bodily injury and property damage), collision coverage, and comprehensive coverage.
Liability coverage manages the costs for injuries or property damage inflicted on others in an accident you cause. Collision coverage applies when your vehicle is damaged due to a collision with another vehicle or object. Conversely, comprehensive coverage protects against non-collision events like theft, vandalism, fire, or natural disasters. In essence, full coverage insurance acts as a comprehensive package that ensures peace of mind whether you’re driving or not.
Compare Low-Income Car Insurance In Maryland
| Overall Rating | Best Suited For | A.M. Best Rating | J.D. Power Rating | Average Monthly Cost* | Get A Quote | |
|---|---|---|---|---|---|---|
| State Farm |
|
Cheapest Overall |
A++ |
838 |
$60 |
Instant Quote |
| Nationwide |
|
Seniors |
A+ |
NR |
$82 |
Instant Quote |
| GEICO |
|
Poor Credit |
A++ |
801 |
$112 |
Instant Quote |
Cheapest Low-Income Car Insurance Companies In Maryland 2024
Cheapest Overall
Key Statistics
Why We Like Them
⇅The Maryland car insurance market is fierce, but State Farm distinguishes itself as the cheapest provider.
Our review of Maryland car insurance rates showed that State Farm offers some of the most affordable full-coverage options.
Budget-conscious drivers looking for full coverage will find this a huge benefit, as it keeps costs low.
State Farm not only offers competitive prices but is also regularly ranked as one of the best car insurers. The company provides a wide selection of discounts and coverage options to meet different requirements.
State Farm’s mix of affordability, versatility, and complete coverage sets it apart in Maryland , making it a go-to option for drivers who want to maximize value without sacrificing quality.
It’s essential to find affordable car insurance in Maryland to drive worry-free about potential damage or liability costs. Furthermore, with the state’s high accident rate on its busy roads, cost-effective car insurance is even more critical.
Keep in mind that affordable insurance doesn’t mean you have to settle for less. With diligent research and smart decision-making, you can find comprehensive coverage that fits your financial situation and requirements without overextending your budget.
Benefits & Drawbacks
⇅- Strong financial rating from AM Best
- Multiple coverage plans and discounts to choose from
- Maryland drivers can get the lowest rates ✓
- Must go through a State Farm agent for purchase ✘
Best For Poor Credit
Key Statistics
Why We Like Them
⇅GEICO is recognized as the top and most budget-friendly car insurance company in Maryland for those with poor credit. Consistent findings from various studies demonstrate that GEICO offers the lowest prices for individuals with subpar credit scores.
The affordability of GEICO doesn’t imply a reduction in quality or service. With its comprehensive coverage options and top-notch customer service, the company guarantees strong protection for every driver, regardless of their credit score. This reliability makes GEICO an excellent choice for Maryland drivers with poor credit.
In addition, GEICO realizes that having a low credit score doesn’t mean a driver is high-risk. While some insurers may increase rates for drivers with poor credit, GEICO takes a more comprehensive view, evaluating factors like driving records and the type of vehicle.
By conducting this detailed evaluation, GEICO can offer appealing rates to drivers with poor credit, which has made it a favored option among Maryland drivers.
A correlation can be observed between low income and poor credit scores, resulting in some insurers charging rates that are twice as high for those with excellent credit.
For drivers with poor credit, finding an insurer that offers discounts and maintaining a clean driving record can help keep premiums manageable.
Benefits & Drawbacks
⇅- Affordable rates for Maryland drivers with poor credit
- Best financial rating
- Numerous coverage and discount options offered Strong AM ✓
- Digital tools are available but not as advanced as competitors
- GEICO has fewer agents in Maryland compared to bigger competitors ✘
Cheapest For Seniors
Key Statistics
Why We Like Them
⇅Nationwide stands out as the most affordable and best car insurance provider for seniors in Maryland , with strong support from industry research and positive customer reviews.
The cost-effectiveness of Nationwide is unrivaled, especially in comparison to other insurers in Maryland . Thanks to its competitively tailored rates for seniors, Nationwide is the top choice for budget-conscious older drivers looking for comprehensive insurance.
Aging drivers may notice their car insurance costs climbing, as insurers often see them as a higher-risk group, similar to how they assess teenage drivers.
This perceived risk is influenced by factors such as reduced reaction times, potential health issues that could impair driving, and the greater likelihood of severe injury in accidents.
According to research from the IIHS, the rate of fatal crashes begins to rise dramatically at age 70 and is highest for drivers aged 85 and older.
Consequently, seniors could notice their premiums rising to compensate for the possible cost of claims.
Fortunately, insurance companies often offer special discounts for senior drivers, which helps lower costs and maintain affordable, full coverage.
Benefits & Drawbacks
⇅- Auto, home, life, and other insurance options available
- Full-featured mobile app for policy management
- High financial stability ratings ✓
- Must buy from a Nationwide agent
- J.D. Power does not provide a customer service rating ✘
Average Low-Income Car Insurance Rates In Maryland For Seniors
| Insurance company | Monthly Rate |
| Allstate | $143 |
| GEICO | $72 |
| Nationwide | $82 |
| State Farm | $74 |
| Travelers | $92 |
Average Low-Income Rates For Drivers With Bad Credit In Maryland
| Insurance company | Monthly Rate |
| Nationwide | $87 |
| Progressive | $80 |
| GEICO | $112 |
| Allstate | $153 |
| Erie | $160 |
Compare Cheapest Overall Low-Income Rates In Maryland
| Insurance company | Monthly Rate |
| State Farm | $60 |
| Progressive | $71 |
| GEICO | $68 |
| Nationwide | $73 |
| Allstate | $130 |
Find Affordable Car Insurance In Maryland
Does Income Affect Car Insurance Rates In Maryland?
It’s a common misconception that income directly affects car insurance rates in Maryland. In reality, insurers consider a range of factors when calculating premiums, including your age, location, driving record, the type of vehicle you drive, and the coverage levels you opt for.
How To Save On Car Insurance Costs In Maryland
The car insurance landscape in Maryland can be tricky to navigate, but with the right strategies in place, you can lower your premiums substantially. Here are three effective tips for Maryland drivers to save on their car insurance costs.
Compare Rates From Different Providers
To save on car insurance, one of the most effective strategies is to shop around and compare rates from different insurance companies. Since each insurer uses various factors like age, driving history, and location to set their rates, premiums can vary significantly. Make it a point to collect quotes from several providers and select the one that offers the best value for your needs and budget.
Leverage Discounts
A variety of discounts can often be found with insurance companies, helping to reduce your premiums. These discounts may be offered for safe driving, bundling multiple policies, maintaining good grades as a student, or equipping your car with safety features. Be sure to talk to your insurer about the discounts they provide and see which ones you can take advantage of.
Adjust Your Coverage And Deductibles
Adjusting your coverage and deductibles is another strategy to save on car insurance. If you drive an older car, it may be beneficial to drop collision and comprehensive coverage, as the costs could outweigh the car’s value. Raising your deductible can also lead to lower premiums; however, make sure the deductible amount is manageable for you in the event of an accident.
Find Low-Income Car Insurance In Maryland
Car Insurance Discounts For Low-Income Drivers In Maryland
Car insurance discounts can significantly reduce your expenses. Refer to the table below for some common discounts that you may qualify for.
| Discount Option | % Discount |
| Years insured | 21% |
| Multi-policy | 9% |
| Safety devices | 4% |
| Homeowner | 5% |
| Days per week driven | 7% |
Compare Car Insurance Rates In Maryland – By City
Car insurance premiums in Maryland vary significantly by city, influenced by factors such as traffic density, accident rates, and local crime statistics. Here’s a comparison of average premiums in several Maryland cities:
| City | Average Annual Premium |
| Baltimore | $1,832 |
| Columbia | $2,419 |
| Frederick | $2,006 |
| Waldorf | $3,610 |
| Glen Burie | $1,974 |
Our Methodology
Drawing on a comprehensive review that incorporates customer service ratings, product selections, pricing strategies, and a thorough assessment of various online reviews and user experiences, I’ve put together an in-depth analysis of car insurance providers. This viewpoint has been developed through over 15 years as a licensed agent in the industry, extensive interactions with various company representatives, and firsthand insights gained from purchasing insurance in Maryland .
Quotes Analyzed
Brands Reviewed
Years of experience
Research Hours
FAQs
How can low income families get affordable car insurance in Maryland?
To find the most advantageous car insurance deal in Maryland , it’s vital to shop around, review quotes from various providers, and check for any applicable discounts.
What is the minimum amount of car insurance you have to carry in Maryland?
Maryland law stipulates that all motorists must have a basic level of car insurance, which requires $30,000 for bodily injury per person, $60,000 for bodily injury per accident, and $15,000 for property damage liability.
Sources
⇅