The rising cost of vehicles, parts, and repairs, as well as the growing frequency and severity of accidents, have all played a role in driving up the cost of car insurance, nationwide. Combined with the higher costs of household essentials, affordability is a major concern. Many drivers face difficult financial decisions and choose to forgo auto insurance coverage. According to the Insurance Resource Council, more than one in seven drivers (15.4%) in the U.S. were uninsured in 2023.

Maryland consistently ranks among the most expensive states in the country for average auto insurance premiums. Several factors contribute to the rising auto insurance costs in the state. These include:

  • Maryland’s higher minimum liability requirements.
  • Widespread use of non‑driving factors such as credit score, education, and occupation in rate setting.
  • Insurance fraud, which the Coalition Against Insurance Fraud estimates costs businesses over $300 billion per year, increasing average premiums for families by between $400 and $700 per year.
  • High theft and accident frequency rates in the Baltimore/Washington Metro areas

Created by the state in 1972 to ensure that all Marylanders have access to the required auto insurance coverage, Maryland Auto Insurance, also known as MAIF, is proud to join Governor Wes Moore, members of the General Assembly, and the Maryland Insurance Administration in their commitment to finding long-term solutions to this affordability issue and Maryland residents being priced out of the private insurance market.

Higher insurance costs fall most heavily on communities that already face significant barriers to transportation access. Recently, a coalition of consumer protection, financial justice, housing, labor, and legal service organizations provided a comment letter to the Private Passenger Automobile Insurance Affordability Workgroup tasked with investigating rising premium costs. The letter highlights the reality that in Baltimore, 80,000 families do not have access to a car and must rely on limited public transit options. It also cites a survey by Vehicles for Change, which found that workers in the Baltimore-area neighborhoods where most of its clients live can only reach 54% of the region’s jobs within 90 minutes on public transit and that the low- and middle-skill jobs they can reach in 90 minutes, comprise only 25% of the region’s jobs. These long commutes to and from work are common for low-income families, creating time-consuming burdens and a barrier to jobs that pay a family-sustaining wage.

During the recent 2026 Legislative Session, lawmakers passed legislation to empower Maryland Auto to address the challenge of affordability. The bill (HB 816/SB 469), primarily sponsored by Delegate Kym Taylor and Senator Antonio Hayes respectively, formally authorizes Maryland Auto to establish an Affordability Program designed to make auto insurance more accessible for lower-income applicants. This action empowers Maryland Auto to address affordability to help lower-income residents access reliable transportation and the economic opportunities that come with it. “We’re thankful to the sponsors, the members of the Senate Finance and the House Judiciary Committees, and the members of the General Assembly who helped move this legislation forward,” said Maryland Auto Executive Director Al Redmer, Jr.

Maryland Auto is committed to providing consumers with the information, tools, and resources needed to understand the required auto insurance coverages in Maryland and to improve and maintain their financial stability. These insurance and financial resources are available on Maryland Auto’s website.

For over 50 years, Maryland residents have relied on Maryland Auto for their personal and commercial auto insurance needs, regardless of credit, driving record, or driving experience. Those who’ve been turned down or canceled by other insurance companies, can get a quote, find an authorized provider, or learn more about insurance here.