Short answer: The Maryland Automobile Insurance Fund (MAIF) is a state-created insurer of last resort for drivers who can't get auto insurance in the private market. You may qualify if two Maryland-licensed private insurers refuse you, or if an insurer cancels or nonrenews your policy for a reason other than nonpayment. MAIF policies meet Maryland's legal requirements.
Why MAIF exists
Most states handle high-risk drivers through an assigned risk plan, which spreads hard-to-place drivers among private insurers. Maryland created its own state-chartered insurer instead. MAIF, which now does business as Maryland Auto Insurance, writes policies for Maryland drivers who can't find coverage elsewhere.
Who qualifies
According to a Maryland Insurance Administration bulletin on MAIF eligibility, applicants generally qualify if:
- two Maryland-licensed private insurers have refused to issue a policy; or
- a private insurer cancelled or nonrenewed the applicant's policy for a reason other than nonpayment of premium.
Common reasons drivers end up at MAIF include serious violations, multiple at-fault accidents, DUI convictions, lapses in coverage and limited driving history combined with other risk factors.
What MAIF covers
MAIF sells policies that meet Maryland's required coverages:
| Coverage | Maryland minimum |
|---|---|
| Bodily injury liability | $30,000 per person / $60,000 per accident |
| Property damage liability | $15,000 per accident |
| Uninsured motorist | $30,000 / $60,000 bodily injury and $15,000 property damage |
| Personal injury protection | $2,500, waivable under MAIF's rules |
MAIF also offers higher limits and optional coverages, such as collision and comprehensive, within its own guidelines. Its PIP form has specific rules on waiving PIP. Learn about PIP in Maryland PIP insurance explained.
Cost
MAIF serves higher-risk drivers, so premiums are often higher than in the private market. Payment plans are available. Raising deductibles on physical damage coverage, choosing a less expensive vehicle to insure and completing approved driver improvement programs may help manage the cost. Your price depends on your driving record, vehicle, location and coverage choices.
How to apply
Applications generally go through a licensed producer who can place business with MAIF. You'll need proof of eligibility, such as the declinations or the cancellation or nonrenewal notice. Have your driver's license, vehicle information and prior insurance details ready.
Getting back to a private insurer
MAIF is meant to be a bridge. Ways to improve your chances of moving back:
- Keep continuous coverage. Avoid lapses.
- Drive clean. Violations and accidents age off your record over time.
- Complete any required courses. Some insurers give credit for defensive driving.
- Shop at every renewal. An independent broker can check whether private insurers will accept you.
Maryland rules to remember
Maryland follows contributory negligence, which can bar recovery if you're even partly at fault. That makes your own coverages, such as PIP and collision, especially important. Maryland also enforces coverage strictly: if insurance lapses on a registered vehicle, the Motor Vehicle Administration can impose daily fines and suspend registration. Don't let a policy cancel before your MAIF policy starts.
Common scenarios
Two insurers declined you after a DUI. You may qualify for MAIF.
Your insurer nonrenewed you after three at-fault accidents. The nonrenewal notice can establish eligibility.
Your policy was cancelled for nonpayment. That alone may not establish eligibility under the bulletin. Ask a broker about your options.
You've been with MAIF for three years with no violations. It's a good time to shop the private market.
Key terms
- Insurer of last resort: coverage for people who can't buy in the voluntary market.
- Declination: an insurer's refusal to issue a policy.
- Nonrenewal: an insurer's decision not to renew a policy.
- Contributory negligence: a rule that can bar recovery if you share any fault.
Questions to ask your broker
- Do I meet MAIF's eligibility rules?
- Would any private insurer accept me first?
- What coverage beyond the minimum should I buy?
- When should I shop the private market again?
Bottom line
MAIF keeps hard-to-insure Maryland drivers legal and covered. Use it as a bridge: keep continuous coverage, drive clean and shop the private market regularly.
Contact Alishahi Insurance or call (877) 711-4545. See insurance in Maryland and auto insurance.
Frequently asked questions
What is MAIF?
The Maryland Automobile Insurance Fund, a state-created auto insurer of last resort, now doing business as Maryland Auto Insurance.
Who qualifies for MAIF?
Generally drivers refused by two Maryland-licensed insurers, or whose policy was cancelled or nonrenewed for a reason other than nonpayment.
Does MAIF meet Maryland's insurance requirements?
Yes. MAIF policies include Maryland's required coverages.
Is MAIF more expensive?
Often, because it serves higher-risk drivers.
Can I leave MAIF?
Yes. Keep continuous coverage, drive clean and shop the private market at renewal.
Alishahi Insurance · 439 N Canon Dr, Penthouse, Beverly Hills, CA 90210 · (877) 711-4545 · CA License #4348151. General information only. This isn't legal, tax or financial advice or a coverage determination. Coverage depends on policy language and underwriting, and rules vary by state.