If you’ve been turned down for auto insurance by other companies, you probably know about the Maryland Auto Insurance Fund (MAIF). It’s the program that makes sure every Maryland driver can get the coverage they need to drive legally.
But many drivers don’t realize you don’t have to pay the full annual premium upfront until you’re ready to buy. Payment plans designed to help you spread the cost are available. One of the most popular options is the Allied Pay Plan.
If you’re searching for “Allied pay plan,” you’re probably trying to figure out how to make your MAIF insurance affordable. Let’s walk through your options.
What Is the Allied Pay Plan?
The Allied Pay Plan is a premium finance company based in White Marsh, Maryland. They specialize in financing both commercial and personal insurance premiums. In simple terms, they help you pay your MAIF insurance in installments instead of one lump sum.
MAIF offers a payment plan directly through them (more on that below), but the Allied Pay Plan is an alternative financing option that some drivers prefer. You can use Allied to finance your annual premium, then pay them back in monthly installments.
Allied Pay Plan is a legitimate, Maryland-based company. You can reach their customer service team at 410-483-2400, Monday through Friday, 9 am to 5 pm.
MAIF’s Direct Payment Plan: What You Need to Know
Before we dive into Allied, let’s cover the payment plan that MAIF offers directly. As of October 17, 2022, Maryland Auto Insurance improved its installment plan to make it more flexible for drivers.
Here’s how MAIF’s direct payment plan works:
- Down payment: 18% of your annual premium due when you start the policy
- Monthly installments: 9 payments spread out over the year
- First payment: Due 45 days after the policy is established
- Payment processing fee: $2 per transaction
- Late fee: $5 if a payment is missed
- Insufficient funds fee: $15 if a payment doesn’t clear
This plan is built into your MAIF policy. You don’t need to apply separately because your agent can set it up when you get coverage.
Allied Pay Plan vs. MAIF Direct Payment
So which option is right for you? Here’s a quick comparison:
| MAIF Direct Payment | Allied Pay Plan | |
|---|---|---|
| Down payment | 18% of the annual premium | Varies. Ask your agent |
| Monthly payments | 9 installments | Typically, 10 monthly payments |
| Fees | $2 per transaction | Varies by financing agreement |
| Who handles payments | You pay MAIF directly | You pay Allied, they pay MAIF |
| Best for | Drivers who prefer to pay MAIF directly | Drivers who need a different payment schedule or are financing through a premium finance company |
If you’re not sure which option works best for your budget, your MAIF Insurance Online agent can walk you through both options.
How to Save Money on Your MAIF Policy
Paying in installments helps with cash flow, but if you can pay your annual premium all at once, there’s a real benefit.
MAIF offers an 8% discount for paying in full.
That means if your annual premium is $1,500, paying upfront saves you $120. If you have the savings to cover it, that’s the cheapest way to go in the long run.
MAIF also offers two other discounts:
- Safe driver discount: If you have a clean driving record with no accidents, you may qualify for a lower rate
- Continued coverage discount: If you stay with MAIF for one consecutive year, you’ll qualify for this discount on your renewal
These discounts add up. An MAIF Insurance Online agent can help you figure out which ones apply to your situation.
What Are the Fees to Watch For?
When you’re on a payment plan, it’s important to know which fees might arise. MAIF charges:
- $2 processing fee for each payment transaction
- $5 late fee if a payment is missed
- $15 insufficient funds fee if a payment is returned by your bank
These fees aren’t huge, but they add up if you’re not careful. Setting up automatic payments or marking your due dates on a calendar can help you avoid late fees.
If you’re using Allied Pay Plan, ask about their fee structure before signing up. A good agent will make sure you understand exactly what you’re agreeing to.
How to Get Started with a Payment Plan
If you’re ready to get insured, or if you already have a MAIF policy and want to switch to a payment plan, here’s what to do:
Step 1: Get a quote.
Call MAIF Insurance Online at 301-476-4887. We’ll help you figure out what coverage you need and what your annual premium will be.
Step 2: Choose your payment option.
We’ll walk you through the MAIF direct payment plan and the Allied Pay Plan option. We’ll help you pick the one that fits your budget.
Step 3: Make your down payment.
Once you decide, you’ll make your initial payment (18% for MAIF direct, or whatever your financing agreement requires). Then you’re insured.
Step 4: Stay on track.
Mark your payment due dates. Set up reminders. Avoid late fees by staying current. And if your situation changes, or if you have questions, we’re here to help.
Why Roadway Auto?
We’ve been helping Maryland drivers since 1992. We’ve written over 100,000 policies for customers just like you. We specialize in working with drivers who have been turned down by other insurance companies.
As a trusted third-party provider for MAIF, we know the payment options inside and out. We’ll give you straight answers, no judgment, and help you find a payment plan that actually works for your budget.
Call us today at 301-476-4887 to discuss your MAIF payment options, or get a free quote online.