What happens if my car insurance lapses in Maryland and how can I reinstate it?
In Maryland, driving without insurance can result in a fine of up to $1,000 and even imprisonment for up to one year.
The Maryland Department of Transportation Motor Vehicle Administration (MDOT MVA) automatically reports canceled or non-renewed insurance policies to the Uninsured Division.
Failure to maintain insurance can lead to a negative impact on your driving record and may affect your ability to obtain insurance in the future.
The penalty fee for an uninsured lapse in Maryland is $150 for the first 30 days, and $7 for each subsequent day.
A restoration fee of up to $25 may be required to reinstate your vehicle registration.
Maryland law imposes penalties for driving with an uninsured vehicle, including suspension of license plates and registration privileges.
Even if you are not immediately caught driving uninsured, allowing the insurance to lapse on your car can lead to administrative fees from the Motor Vehicle Administration.
The MDOT MVA notifies the Uninsured Division of Maryland Auto when a registration has been suspended due to an insurance policy lapse or cancellation.
In Maryland, a 30-day lapse in coverage can make your insurance rates go up by 14%, based on a 2022 CarInsurance.com rate analysis.
Insurance companies in Maryland are required to report any cancellation or non-renewal to the MVA, which can lead to further financial penalties and registration suspension.
Uninsured Vehicle Owners Could Lose license plates and vehicle registration privileges, Pay uninsured motorist penalty fees for each lapse of insurance ($150 for the first 30 days, $7 for each day thereafter), and Pay a restoration fee of up to $25 for a vehicle's registration.
The Maryland Auto Insurance Fine Forgiveness Program (FineFix) ended on July 31, 2021, and all remaining account balances must be paid by then.
A lapse in car insurance coverage can result in penalties by state, including revocation of driving licenses and vehicle registrations.
In Maryland, the Uninsured Division of Maryland Auto is a quasigovernmental agency that sells insurance to high-risk drivers and provides resources for uninsured Marylanders.
The Maryland Insurance Administration provides a CONSUMER GUIDE TO AUTO INSURANCE, which outlines the responsibilities of insurance companies and the rights of consumers.