Auto insurance is vital to Maryland drivers’ future financial stability if there’s an accident or incident causing property damage or injuries. Contact Gray Insurance Group in Bel Air, Maryland, for a personalized auto insurance quote.  

Is Auto Insurance Required in Maryland? 

Yes, auto insurance is generally required by law in most states. Each state has its own set of minimum requirements for auto insurance coverage. Maryland drivers must maintain minimum amounts of liability insurance.  

Your agent may advise you to purchase more than the minimum state-required amount of coverage. If you lease or finance your vehicle, the lienholder typically requires full-coverage auto insurance, including liability, comprehensive and collision and GAP insurance.  

What Is Comprehensive Auto Insurance? 

Comprehensive auto insurance is designed to help cover noncollision incidents that may damage or destroy your vehicle. It may cover theft, vandalism, fire, natural disasters and falling objects.  

What Is Auto Gap Insurance? 

Gap insurance is an optional coverage that bridges the gap between the amount you owe on your car loan or lease and the actual cash value of your vehicle.  

After a severe accident or theft, where your vehicle is deemed a total loss, gap insurance helps cover the difference between what you owe and your insurance payout.  

How Does Auto Insurance Work? 

Auto insurance provides financial protection to policyholders in case of accidents or other covered incidents according to the policy’s terms. When you buy auto insurance, you select coverage types, policy limits, deductibles and optional add-ons based on your preferences and budget. 

To maintain coverage, you pay regular premiums to the insurance company. Premiums can be paid monthly, quarterly, semi-annually or annually. 

If you experience damage or theft or are involved in an accident, you report the incident to your insurance company. 

Once you report an incident, the insurance company initiates the claims process. A claims adjuster will evaluate the damage, review the policy terms and assess liability. Based on the findings, the insurance company will determine the compensation amount and process the claim accordingly. 

Before the insurance company provides compensation, you must typically pay a deductible. The deductible is the amount you must contribute out of pocket before your insurance coverage kicks in. 

Contact Us 

Contact Gray Insurance Group today to start customizing your auto insurance plan.