Below is the full text of the Letter to the Editor that was published in the June 17 edition of the Baltimore Sun.
On July 1, 2024, new laws aimed at encouraging uninsured drivers to obtain auto insurance coverage will take effect in Maryland and Virginia.
Maryland will increase the fines for driving without insurance beginning on July 1. These penalties are assessed when the Motor Vehicle Administration is notified that coverage has lapsed on a vehicle with active plates. The vehicle owner is assessed an initial penalty for the first 30 days and then an additional penalty each day thereafter until new coverage has been obtained or the plates have been returned to the MVA.
As of July 1, the penalty for the initial 30-day period will increase from $150 to $200. Each subsequent day, an additional $7 is assessed. As part of this legislation the annual maximum penalty increases from $2,500 to $3,500. These uninsured motorist penalties are assessed for each uninsured vehicle on the policy.
This is the first time in over three decades that Maryland’s uninsured driver penalty fines have been adjusted. With this change, the average annual premium for a Maryland auto policy is lower than the maximum annual uninsured driver penalty. At the current rate, it is often cheaper for some drivers to pay the fine than to get insurance. This law changes that and it is an important step in enforcing Maryland’s auto insurance requirement and encouraging drivers to practice safe driving habits which include obtaining the insurance that is required.
Virginia’s new law makes auto insurance coverage mandatory. Previously, Virginia drivers had an option to pay an uninsured motorist vehicle fee and drive without auto coverage. And because Virginia allows non-residents to register out-of-state vehicles in Virginia, thousands of Maryland residents have registered vehicles there. The new insurance requirement may encourage some of these Maryland residents to register their vehicles in Maryland and obtain the required auto coverage.
At Maryland Auto Insurance, our mission is to provide all Maryland residents with access to the required auto insurance coverages they need. We appreciate the efforts of the Maryland and Virginia legislatures to increase enforcement and encourage drivers in both states to have coverage. These new laws will protect all drivers on the roads in our region from the risks and costs associated with accidents involving uninsured vehicles.
— Al Redmer, Jr., Baltimore
The writer is executive director of Maryland Auto Insurance (formerly the Maryland Automobile Insurance Fund) which covers Maryland drivers who could not obtain legally required auto insurance coverage from the voluntary market.
