I just moved here in Maryland and I need to buy new auto insurance coverage. I came from a state that doesn’t require uninsured/underinsured motorist coverage. How about here in Maryland, are those types of coverage required?

Lawrence

Bethesda, MD

In the State of Maryland, it will be a requirement that you have uninsured/underinsured motorist coverage in your auto insurance policy. In this case, you will have coverage if get into an accident and find out that the other motorist doesn’t have enough or doesn’t have auto insurance at all. A lot of auto insurance professionals suggest this kind of auto insurance coverage, not only it is required in some states, but also it may come in handy in any instance that the other driver has little or no auto insurance. Based on a research, the approximate number of uninsured motorists could reach up to 25% in some states.

Not only uninsured/underinsured motorist coverage could pay for you in case of an accident, but also for your passengers as well as damage to your own property if the crash was caused by the other motorist who is not insured or has little coverage. In case of a hit-and-run, it is considered as uninsured motorist because it is related to uninsured motorist bodily injury (UMBI). In these instances, uninsured/underinsured motorist coverage could cover your damages. Be reminded as well that uninsured and underinsured motorist types of coverage are separate but it can be bought together in some states.

I wanna make sure that I get my money’s worth for the auto insurance that I pay. How do you think I can determine how much auto insurance I need here in Baltimore, Maryland?

Oliver

Baltimore, MD

Choosing the proper auto insurance is a complicated task considering the competition in the market. You must avoid those insurance coverage that are not necessary so that you could get lower rates for your auto insurance in Baltimore, Maryland. You have to think what is really essential like the liability insurance and the uninsured motorist auto coverage because this would protect you from having personal losses and injuries. If you analyze your auto insurance needs, you will come up with sufficient coverage plan.

You have to first find out the fair market value of your automobile and this would be the highest amount that an auto insurance company would cover if the automobile is damaged in a crash. If you have an older model car and its fair market value is low, you may opt to terminate your comprehensive and collision coverage because their possible advantage would not give good reason for the insurance rates. You also have to assess the need for liability insurance and this is the one which gives coverage for liability to a third party who is injured due to your carelessness on the road.