insurance essentials

Maryland Auto Insurance Liability Coverage Limits Explained

By 2 min read 4,688 views
Featured image for Maryland Auto Insurance Liability Coverage Limits Explained

Understanding Maryland's Liability Coverage Limits

Maryland requires minimum liability limits of $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $10,000 for property damage. These figures set the baseline for any policy, but most drivers opt for higher limits to protect against costly lawsuits.

More from this site

Keep reading the latest coverage

Browse latest →

What Each Limit Covers

• Bodily Injury – Person covers medical costs, lost wages, and pain and suffering for a single individual injured in an accident you caused.

• Bodily Injury – Accident caps the total payout for all injuries in a single incident, regardless of the number of people affected.

• Property Damage pays for repairs or replacement of another driver's vehicle or other property damaged by your negligence.

Why Higher Limits Matter in Maryland

Maryland's insurance courts can award punitive damages, and medical bills or rehabilitation can far exceed minimum limits. A $25/50/10 policy may leave you personally liable for thousands, potentially draining savings or forcing asset liens.

Choosing the Right Coverage Amount

Drivers should consider:

  • Vehicle value – If you own a high‑end car, higher limits safeguard its replacement cost.
  • Income and assets – Protect earnings and property from potential judgments.
  • Driving environment – Urban areas with higher traffic density increase accident risk.

Common Misconceptions

Some believe state minimums are sufficient; however, many Maryland courts award settlements that exceed these amounts. Others think higher limits are unnecessary if they have a clean record, but a single serious claim can still trigger large payouts.

How to Adjust Your Policy

Contact your insurer to raise liability limits in increments of $25,000, $50,000, or $100,000. Many carriers offer a "$100/200/25" package—$100,000 bodily injury per person, $200,000 per accident, $25,000 property damage—providing robust protection for most drivers.

Additional Protection Options

Consider:

  • Umbrella insurance – Adds an extra layer of liability coverage above your auto limits.
  • Medical payments (MedPay) – Covers medical expenses for you and passengers, regardless of fault.
  • Uninsured/Underinsured motorist coverage – Protects if the at‑fault driver lacks sufficient insurance.

Editor's pick

Keep exploring our latest stories

Fresh reads, picked daily.

Browse latest
Share: