subject: The Basics of Car Insurance Baltimore MD [print this page] The Basics of Car Insurance Baltimore MD
If you reside in Baltimore, Maryland and are registering your vehicle you are required by the state to carry auto insurance. State laws set minimum limits of liability coverage, uninsured motorist and personal injury protection. Drivers who choose to disobey the law and not carry auto insurance can face punishments including exorbitant fines, license suspension or jail time. During the quoting process, it is important to have a brief understanding of insurance Baltimore MD. While you are not expected to understand the complexities of insurance, a licensed insurance agent can educate you on basics and give you the knowledge you need to make a wise decision when binding insurance.
Liability Insurance
Liability Insurance consists of Bodily Injury and Property Damage coverage. This coverage is required by the state and will protect third parties in the event you cause an accident. Bodily Injury coverage pays for the injuries of an injured passenger of the other vehicle. While the state only required policyholders to carry $20,000 per person and $40,000 per accident, it is recommended to carry higher coverage limits to protect yourself against lawsuits or wage garnishments.
Property Damage coverage will pay to repair or replace any property, including vehicles, damaged or destroyed in an at fault accident. Insurance Baltimore, MD requirements give a minimum limit of $15,000 per accident. While this limit will satisfy the state, $15,000 is very low with the costs of today's vehicles and repairs.
Uninsured Motorist Coverage
Uninsured Motorist is meant to cover the policyholder and their occupants in the event they are involved in an accident where the other driver has little or no auto insurance. This coverage is required in state of Maryland. Coverage limits are the same as the Bodily Injury requirements of the Liability section of your policy. This coverage will pay for injuries and damage to your vehicle up to the limits you choose on your policy and are designed to prevent gaps in coverage.
Personal Injury Protection
Personal Injury Protection coverage is designed to pay for damages that are not typically covered through uninsured motorist or UM coverages. PIP coverage will pay the policyholder if they miss work due to a covered accident. While the state of Maryland only requires drivers to carry $2500 of coverage, insurers in the state of Maryland will offer higher limits for those who are willing to pay higher premiums. This is a great coverage for those who are not offered disability coverage through work.
Auto insurance is an intangible product that no one ever wants to use. If you are involved in an accident, you want to be sure you understand your coverages. Get the peace of mind you need and speak with a professional agent to discuss coverage options.
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