Maryland Car Insurance

Maryland Drivers Should Know

Maryland takes it’s car insurance policy very seriously. They won’t even take your ID card as proof of insurance. Instead, they give you a Maryland insurance certificate at the time of registering your car. Also, you will be required to possess a certain number of liability insurance before you can register your vehicle in Maryland. So you see, the car insurance law in Maryland is no joke.

The Maryland Vehicle Insurance Certification (FR-19)

Before you can proceed to register your vehicle under the state of Maryland, you must first obtain The Maryland vehicle insurance certificate aka FR-19 form.

The form is issued only by your vehicle insurance company that has a relevant license from the MVA. The form has a validity of 30 days, exceeding which it will be counted as invalid, and you will have to obtain a new one.

The Maryland Vehicle Insurance Certification can be submitted either electronically or faxed to the MVA. The submission has to be through your car insurance company.

Car Insurance Requirements in Maryland

Any motor vehicle registered under the State of Maryland must be insured by its respective insurance company at all times. Not doing this will lead to severe consequences. The primary car insurance in Maryland should cover the following-

  • $30,000 in case of bodily injury or accident leading to the death of a person and caused by the owner of the vehicle under whose name the car is insured
  • $15,000 in case of any damages caused to someone else’s property and caused by the owner of the vehicle under whose name the car is insured
  • $60,000 in case of total/ severe bodily injury or accident causing death due to the sole fault of the owner/ driver under whose name the car is insured

It is mandatory for a person to return his/her Maryland license plate to any MVA (Maryland Motor Vehicle Administration) branch before they can cancel their car insurance.

If you could not return your Maryland license plate and has moved out of the state, it is crucial to inform the MVA about the matter. You will need to give some vital information about your car insurance before the MVA can take further security actions. The information are as follows-

  • Copy of your current car license registration from your present state (location)
  • Date of registration for your car in your current state
  • Your Maryland car license registration number and tag

In case you haven’t registered your car in your current state, it is mandatory to have your respective insurance company contact the MVA and provide them with detailed information about your Maryland car insurance policy

If you wish to continue your car insurance policy from your previous state even after moving to Maryland, you will have to notify your car insurance company about the matter. Your car insurance company will take necessary steps and notify the MVA about continuing your insurance coverage and covert that to Maryland insurance policy.

To register your vehicle under the Maryland insurance coverage, you must first obtain/ purchase the following coverage-

  • Injury protection coverage (PIP)
  • Liability coverage
  • Underinsured/uninsured coverage

The “Liability protection coverage” will cover all your medical expenses in case of an accident. In addition to your medical expenses, it will also cover any damages to someone else’s property, vehicle damage, passengers, driver and pedestrians who may be injured due to the accident that you caused.

The liability coverage will also apply to any person in your family/ friend if they are driving with your permission. Even if the person operating the vehicle does not possess a car insurance policy, your insurance policy will cover their accident expenses. The same will work for you if you are driving someone else’s vehicle without insurance.

The Maryland “underinsured coverage” will aid you if you have been involved in an accident that has been caused by another driver.

The “injury protection coverage (PIP) or no-fault car insurance” works in the most exciting way. The Maryland no-fault coverage will cover up all your accident medical expenses regardless of who caused the accident.

Now in situations, if your car insurance reaches its limit (by paying for your medical cost), the Maryland state allows you to use your health insurance policy to recover the rest of the amount. The minimum amount for filing an Injury Protection Coverage (PIP) is $2,500. So if your medical expense comes up to more than $2,500, you can use your health insurance to pay the rest.

Fines and Penalties for Driving Uninsured in Maryland

The state of Maryland is very serious about its car insurance laws and policies, so it comes to no surprise that the consequences of driving without proper motor vehicle insurance are severe in nature.

A fine of $150 for the first 30 days from the date of detection and add up each day at the rate of $7. The amount can go up to $2,500 per vehicle

If you drive a motor vehicle in Maryland, you can lose your driving license and also your car registration will be suspended until the time you can provide proper insurance documents. Your vehicles can also be impounded along with hefty fine and getting a ticket

In situations where the Maryland Motor Vehicle Authority issues a notification regarding your insurance expiration/ validity, if you fail to take necessary actions, the case will be treated as severe and will be handed over to the CCU (Central Collections Unit)

If your case reaches the CCU, the fines will be enormous (hence, avoid it). You will have to pay 17% of your total collection fees, and in addition to that your income tax will also be intercepted (now, you wouldn’t want that, do you?)

In case you are found guilty of providing/ furnishing fake documents and false proof of your car insurance, the consequences will be harsh and can be either in the form of fine amounting to $1000 (at once) or an imprisonment of 1 year.