The state of Maryland knows cars are essential these days, but also that not everyone can afford the insurance they need to drive one. The Maryland Automobile Insurance Foundation, or MAIF, provides this coverage for drivers unable to obtain it elsewhere in the private insurance market.
Maryland requires all drivers to carry liability coverage on their vehicles. Drivers with a large number of accidents or tickets may struggle to get affordable coverage from commercial companies, or they may not be offered coverage at all. These drivers can purchase coverage for MAIF so their insurance coverage doesn’t lapse and they can keep their registration and license current.
Penalties in Maryland are steep for those caught without insurance coverage – including hefty fines and the confiscation of license plates – so MAIF allows drivers to maintain coverage while rebuilding their driving and accident record. In doing so, MAIF bridges the gap between commercial insurance coverage and no coverage at all.
MAIF provides liability coverage, comprehensive and collision coverage. While the last two may not be necessary someone who drives an old vehicle, a bank or other lender may require them if there is an outstanding loan on the vehicle.
Drivers applying for MAIF insurance must have been turned down by two insurance providers for reasons other than non-payment of their premium. Drivers also need to be residents of Maryland with at least one vehicle registered, primarily operated and parked in the state, or a member of the armed forces with a Maryland license and a Maryland-registered vehicle.
Drivers can be dropped from their current insurance provider for a number of reasons. Many drivers are dropped for poor driving records, but insurance companies will sometimes cancel a policy if a driver on that policy has a suspended license. Since a DUI in Maryland carries a mandatory suspension of driving privileges, a single DUI can cause an insurance carrier to drop an otherwise good driver. These drivers need coverage to get their licenses reinstated, and MAIF provides that option.
Whatever the reason you’ve struggled to maintain coverage with your current provider, MAIF provides a viable option for keeping you and your car on the road.