Maryland Drivers Now Pay 65% More for Auto Insurance Than 5 Years Ago

In January 2021, the average Maryland driver paid $2,200 per year for full-coverage auto insurance. As of April 2026, that number is $3,627 — a 65% increase over five years.

That's not just a Maryland number worth knowing. It's the largest 5-year increase of any state in the data we track, and it's nearly 23 percentage points higher than the national average increase over the same window (the U.S. average rose from $1,580 to $2,238, or about 42%).

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 $2,089 and $2,165 throughout 2021 and most of 2022 — Maryland was actually below the national average during parts of this period.

Phase 2: acceleration, 2023–early 2025. Premiums climbed from roughly $2,165 in January 2023 to a peak of $3,978 in May 2025. That's an 84% increase in just over two years.

Phase 3: partial retreat, mid-2025 to today. Rates have eased back to $3,627 — about 9% 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.
• No-fault insurance system with mandatory PIP coverage adds a layer of cost not present in most states.
• Rising medical-cost inflation disproportionately impacts no-fault states 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 65% rate increase across the state average doesn't mean every driver is paying 65% 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

Virginia, somewhat surprisingly, has matched 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.