Uninsured or High Risk Auto Insurance for Baltimore Residents

Without question, the city of Baltimore, Maryland, has some of the highest auto insurance rates and in-depth insurance policy requirements in the country.  To make matters worse, motorists that are considered to be high-risk drivers are often faced with even heftier policy rates.  If you possess a valid driver’s license, you absolutely want to try to avoid the term high-risk driver at all costs.  A somewhat broad term, there are many factors from speeding tickets to accidents that will classify you as a high-risk driver.  In order to maintain the lowest possible auto insurance rates, it’s extremely important to not be stereotyped as a high-risk motorist.  One of the unfortunate aspects of being placed in this category is that you can be put there without actually being at fault.  Undoubtedly, this can be very frustrating for drivers as they are helpless against their increased auto insurance rates.

Categorizing You as a High-Risk Driver

The most common way for you for you to receive the title of a high-risk driver is to be under the age of 21 years old.  While this specific rule varies depending on your insurance provider, in the city of Baltimore you are considered to be a high-risk driver until you are over 21.  Because of your inexperience as a driver, it is somewhat understandable why insurance providers operate this way.  Although this is true, as you become a more experienced driver, without any negative driving incidents, young drivers can eventually receive a good driver discount that will decrease their overall auto insurance rate.  In addition, young drivers that receive good grades in school will generally be eligible to receive a discounted insurance policy.  Because students with good grades are typically stereotyped as smart, safe drivers, many different insurance companies will reward them for their actions.

Believe it or not, another factor that will contribute to you being placed in the high-risk category is having low credit.  While this might seem like the most unfair one of all, it’s a constant truth.  This is based on the idea that people with a poor credit score are generally worse drivers and are involved in more accidents than those that have a high credit ranking.  In fact, many insurance companies have performed several different studies’s to prove this theory.

Further, possibly the most common way for Baltimore motorists to be classified as a high-risk driver is by having a DUI or DWI conviction on their driving record.  By having a driving under the influence of alcohol or drugs conviction, you are guaranteed to have the highest possible auto insurance rate imaginable.  In addition to a higher monthly premium, you will also be required to have an SR-22 that adds to the total amount that you pay for your car insurance.  Basically, a separate insurance plan that is specifically for drunk driver’s, you will not be able to operate a motor vehicle without this amendment once you have been convicted of drunk driving.

Young Driver Teen Car Insurance in Baltimore MD

4 Ways To Reduce Your Teenage Driver Auto Insurance in Baltimore Maryland

Most companies attract new customers by offering discounts and reduced pricing on their products; car insurance providers are no different. Teens, like are the ultimate new driver, and are often faced with the highest rates for several reasons. The majority of insurance companies view anyone under the age of 20 to be a risk, regardless of how responsible a driver they are, though statistically, teens have the highest rate of accidents per year.

To get the best rate, all you have to do is apply these tips to make sure you get the maximum allowable discounts on your car insurance policy.

What Cars Teens Should Avoid To Keep Rates Low

A little-known fact is that the type of car you drive also affects your rate, cars that have a high rollover rate, such as an SUV, carry higher premiums; also, cars that are designed for speed more than safety also raise your premiums. Popular cars that attract thieves are also considered a high risk for insurance companies since they have to replace the car in the event that it is stolen and subsequently totaled. Opting for a fashionable, but the safe car is a great way to start your policy shopping on a more affordable foot. These are only a few ways to get more out of your insurance policy while saving money; you can always request an evaluation of your policy every 30 days to see if you qualify for additional benefits.

Good Student Savings Bundle

When your children start driving, it’s common for your insurance premiums to shoot through the roof. This is mainly due to teenagers being new drivers, as new drivers; they have less experience and are more prone to accidents or minor infractions. There is a way to reduce the dent their new found freedom has on your wallet, if your child is a student with at least a 3.0 average grade points, then you can ask your car insurance company for a good student discount. The more time that a child spends on their studies is the less amount of time they are on the road; also, studious students are more prone to following traffic rules very closely and thus reducing the risk of accident or infractions.

Safe Driving and Financially Sound Savings Bundle

While most insurance companies will insure your car even if you have bad credit, People who have higher credit are offered lower rates. People who take care of their credit are more reliable drivers and often have lower instances of claims. They are rewarded by being able to avail lower rates.  If you haven’t received a moving violation or if your car hasn’t been a party to a collision in the past four years, your policy can apply the safe driver discount for even more savings. If you have more than one person on the policy and each person qualifies, your saving will further compound.

The Multi-Car and Multi-Policy Savings Bundle

If you own your home, or if you are a stable renter, then you should look into bundling your car insurance under the same policy as your home or renters insurance, Big companies enjoy the benefits of offering a paying customer several policies, and you can often save over 18% percent by sticking with one carrier. If you have more than one car, instead of creating a separate insurance policy for that vehicle, package it along with your main car’s policy. Your rate will be slightly higher; however, you will save more than if you had insured each car separately.

Collision Auto Insurance Coverage in Baltimore Maryland

Maryland is one of the few states that offers is residents the option of no-fault car insurance. In most states, when an accident occurs, it is the responsibility of the person at fault or their insurance to cover the damages. In Maryland however, in the event of a car accident, the victim’s policy is also able to pay for medical care, damage to property and so on without having to suffer an increase in premiums.  The state still requires each river to have a minimal amount of coverage to drive legally.

There are several different types of coverage classes, to help better understand the state requirements of Maryland, please read the information below:

Liability for Property Damage

This type of insurance helps to cover the cost of any damage caused to the vehicles or other surrounding property at the place of the accident. In Maryland, the least PDL coverage amount is $10,000. This amount is what goes towards repairs on the other parties’ car and surrounding damage.

Liability for Bodily Injury

This type of insurance helps to cover the cost of medical care for opposite party when you are the one responsible for the crash. In the state of Maryland, each driver is required to have coverage which allows for $25,000 per person and $50,000 for multiple parties in a single crash. This amount is what goes towards the funeral expenses in event of death, work wage loss, and the cost of rehab for the opposite party of the crash.

Liability for Personal Injury

This type of coverage is systematic to Maryland system which allows for no-fault policies. This type of insurance helps to cover the cost of medical treatment to the driver regardless of fault. The policy also covers the passengers of the car, regardless of fault. In Maryland, the minimum PIP coverage amount is $5,000 for each person, along with $2,000 allocation for funeral services in the event of death and a maximum of $900 monthly for wage loss. These are the minimums; however, you can increase your coverage at any time to cut the amount of personal expense you will have to bear in the event of a crash.

Collision Auto Coverage

Collision coverage allows you to pay for the cost of damage to your motor vehicle, collision and comprehensive is in place to cover the damages to your car in a crash, or another type of accident such as damage from theft, the fire of floods. Most residents have one or other, while cars that are financed are often required to carry both. The deductible is calculated based on the coverage amount and can range anywhere from 1,00 to 1,000 dollars. When there is damage to your car, and a claim is filed, the insurance company will pay the amount that exceeds the deductible.

Maryland Insurance Pricing

Even with the creative law structure surrounding the insurance requirements of Maryland, the overall price of becoming insured in the state is not much different than the rest of the nation. In fact, many motorists pay about $200 less than average for a whole year of insurance. As with most urban areas, the rates tend to run higher, but still, fall under the average for cities with the same demographics.

You can get better rates on your collision insurance in Baltimore Maryland by speaking with your agent. Most companies offer discounts to those who have completed drivers ED courses, have low mileage on their insured cars, and have installed any type of anti-theft device. Shopping around is also a good way to find the best rates available based on your driving record. Drivers with better credit are also offered better rates, so make sure your score is at least 675 before you purchase a new policy.

Liability Auto Insurance for Baltimore Residents

With some of the most detailed auto insurance policy requirements in the city of Baltimore, motorists are legally expected to have several different types of liability coverage.  Protecting you against bodily harm and vehicle damage. liability is necessary to ensure that you are fully covered when operating a vehicle.  Mandatory in Baltimore and the entire state of Maryland, liability insurance coverage is available in different types of specific coverage.  Not only protecting yourself, liability insurance will also protect anyone else that is in your car as well as other drivers on the road.  By possessing the correct type of liability auto coverage, an insurance company is ensuring that they will pay for any injuries and damages that have occurred due to a driving incident.  Because the accident rate and grand theft auto rates are relatively high in the city of Baltimore, the three types of liability insurance that are mandatory include bodily harm, uninsured motorist coverage and property damage.

Types of Liability Insurance

The first form of liability insurance that is required in the city of Baltimore is bodily harm.  This specific type of coverage will protect anyone that is physically hurt due to a car crash or accident.  In order to have a legal driver’s license in Baltimore, the minimum bodily harm coverage that is required is $20,000 per person and $40,000 per one individual accident.  In addition, there needs to be at least $15,000 of coverage for every piece of property that is involved in an accident.  If you are caught driving without the proper bodily harm insurance coverage, you could face up to a year in jail along with a fine of at least $500.

The second type of mandatory liability coverage is uninsured motorists insurance.  This form of coverage will protect you if you are involved in an accident with someone that does not have the proper amount of coverage.  Similar to bodily harm coverage, uninsured motorist insurance has a minimum requirement amount of $20,000 per person and $40,000 per accident.  There needs to be an additional coverage amount of at least $15,000 for the property that is involved in the accident.

The last form of liability insurance that is necessary to legally drive in the state of Maryland is property damage.  Like the name says, this form of coverage will protect you against any damage that has been done due to a traffic accident.  This type of liability insurance will protect you and your vehicle against any damage that happens if you are involved in a car accident.  Somewhat different to the other forms of liability insurance, property damage requires a minimum of $15,000 worth of coverage.  If you do not have the correct amount of property damage coverage, any expense that is accrued due to a car accident will have to be paid out of your own pocket.  Like all forms of liability insurance, if you are caught operating a motor vehicle without being covered, you will be subject to at least a $500 fine and up to one year of prison time.