Maryland Now Tops U.S. Car Insurance Costs
Maryland's average annual premium climbed 66% in five years to $3,646 — far outpacing the 42% national increase and topping every state in our dataset.
In January 2021, the average Maryland driver paid $2,193 per year for full-coverage auto insurance, according to Insurify's open dataset. As of June 2026, that number is $3,646 — a 66% increase over five years, and enough to make Maryland the most expensive state for auto insurance in the country, edging past Rhode Island in the latest readings.
That climb is about 24 percentage points steeper than the national average increase over the same window (the U.S. average rose from $1,577 to $2,237, or about 42%). A few states have grown faster in percentage terms — Minnesota leads the data we track at +86%, with Connecticut and Virginia also slightly ahead — but each of those started from a far lower base. Maryland's increase is the one that landed a state at the very top of the price rankings: the average Maryland driver now pays about $1,400/year more than the average American.
The shape of the spike
Maryland's increases didn't come gradually. The data shows three distinct phases:
Phase 1: stable, 2021–2022. Premiums hovered between $2,081 and $2,193 throughout 2021 and most of 2022 — expensive relative to the national average, but flat.
Phase 2: acceleration, 2023–early 2025. Premiums climbed from roughly $2,163 in January 2023 to a peak of $3,962 in May 2025. That's an 83% increase in just over two years.
Phase 3: partial retreat, mid-2025 to today. Rates have eased back to $3,646 — about 8% off the May 2025 peak but still nearly $1,500/year more than where they started in 2021.
Why Maryland?
A few state-specific factors compound:
- High population density in the I-95 corridor between Baltimore and DC drives accident frequency and theft claims well above the national average.
- PIP coverage on most policies. Maryland is an at-fault (tort) state, but insurers must offer personal injury protection and many drivers keep it rather than waive it — adding a layer of first-party medical payout cost not present in most states.
- Rising medical-cost inflation disproportionately impacts PIP-heavy markets like Maryland because PIP claims pay actual medical costs rather than capped settlements.
- Recent uninsured-motorist litigation in Maryland courts has expanded the scope of UM coverage payouts, prompting rate filings to reflect the added risk.
- Hail and severe-weather claims along the eastern shore add catastrophe exposure beyond what traditionally-southern markets face.
The opportunity for Maryland drivers
A 66% rate increase across the state average doesn't mean every driver is paying 66% more. The averages mask substantial spread — drivers who renewed without shopping since 2022 are likely paying near or above the state mean, while drivers who have shopped recently and have good profiles can find rates 20–35% below it.
Specifically, Maryland drivers with the following should be aggressive about shopping:
- Clean driving record (no at-fault claims in 5 years)
- Continuous prior coverage (no lapse over 30 days)
- Credit-based insurance score in the "good" range or better
- Vehicles with strong safety ratings and low theft rates
- No teen drivers on the policy
The carriers most likely to be competitive in Maryland in 2026 — based on share-gain trends, not endorsements — include Geico, Progressive, USAA (for military households), and Erie Insurance.
How Maryland compares to neighbors
| State | 2021-01 | 2026-06 | 5-yr change |
|---|---|---|---|
| Maryland | $2,193 | $3,646 | +66% |
| Delaware | $2,465 | $3,100 | +26% |
| Pennsylvania | $1,320 | $1,930 | +46% |
| Virginia | $1,460 | $2,453 | +68% |
| Washington DC | n/a | n/a | not in dataset |
Virginia, somewhat surprisingly, has slightly outpaced Maryland's rate-of-increase from a much lower starting point. Delaware — historically a high-cost state — has actually grown the slowest of the four, suggesting the cost spike is less about regional drivers and more about state-specific underwriting decisions.
What to do next
If you're a Maryland driver who hasn't quoted your policy in the past 12 months, you almost certainly can save. Start with our Rate Impact Calculator for a directional estimate based on your profile, then get fresh quotes from at least three carriers before your next renewal.
For a deeper look at the national picture, see the full 2026 Auto Insurance Report or browse the underlying state-by-state data.
Premier Auto Savings is not affiliated with Insurify. Data reproduced under their public attribution policy.