Insurance Center

Maine law requires that you buy insurance for liability, uninsured motorists, and medical payments before you can drive your car on public roads.

Your policy must include at least the following coverage:

• $50,000 for the injury to or death of any one person

• $100,000 for one accident resulting in injury to or death of more than one person

• $25,000 for property damage

• $1,000 for medical payments

You cannot register your vehicle unless you show proof that you have this minimum amount of insurance. Your insurance company will issue you an insurance card that can be used as proof of insurance for the Maine Bureau of Motor Vehicles (when you register the vehicle) or law enforcement authorities (should you be pulled over).

Important: These requirements are minimum amounts and do not reflect recent price hikes in medical care, autos, or property. It's very likely that if you are involved in more than a minor fender-bender, damages against you could be much more than these minimum requirements. It's your decision on how much coverage to obtain, but remember: The cost of increasing coverage is relatively low.

How to Find an Insurer

It's not hard to find auto insurance in Maine. Insurers are everywhere, from the downtown corner to shopping centers and offices―even online. The harder part is to pick the right auto insurance at the best cost and with solid benefits. Here are some basics on shopping for insurance:

• Shop around. Ask friends and relatives who they use. Remember, it's not always about who has the lowest premiums. You want to find out who gives good coverage and service as well.

• Check the Maine Bureau of Insurance consumer guide. It includes tips on shopping for auto insurance and includes some sample comparisons between major insurance companies doing business in Maine.

• Ask for price quotes from any company that seems like a possibility. Compare the quotes before making a final decision.

Premiums

Auto insurance premiums are based on a variety of factors, including the following:

• Driving record

• Gender and age

• Marital status

• Licensed drivers in your household

• Neighborhood where vehicle will be garaged

• Prior insurance coverage

• Vehicle use

• Make and model of the vehicle

Your insurer can also offer you discounts based on any of the following factors:

• Age 55 years or older

• Multiple vehicles with same insurer

• Completion of approved driver education courses

• Good student

• Safety devices installed in vehicle

• Antitheft devices installed in vehicle

• Low annual mileage

• Good driving record

• Auto and home insurance package

Maine Auto Insurance FAQs

Why am I required to carry uninsured motorists coverage?

Because Maine law requires it. Even though Maine requires liability insurance, the Bureau of Motor Vehicles estimates at least seven percent of drivers remain uninsured. This coverage protects you against injuries caused by an uninsured or underinsured driver.

What effect will repeated cancellation for nonpayment have on my ability to find coverage in the future?

You could be refused coverage, or insurers might require that you submit most or all of the premium in advance.

Am I required to complete a medical questionnaire?

Maine law allows the insurance company to require completion of the questionnaire, but the law only allows coverage to be canceled for not responding to a questionnaire within the first 60 days of coverage. So if you've had coverage for more than 60 days, nothing will happen to you if you ignore the questionnaire.

What is an SR-22 filing?

The SR-22 filing is a certification that you are covered by auto insurance. This is usually required if you have been involved in an accident and had no insurance or if you have been convicted of a serious violation like drunk driving. Maine's BMV will only accept an SR-22 from a company that is licensed to sell insurance in Maine.

May my insurer cancel or decide not to renew my insurance?

In the first 60 days of an initial policy―not a renewal―an insurer may decide to cancel the policy for any reason that isn't prohibited by Maine law, including the following:

• Nonpayment of premium

• Fraud or misrepresentation affecting the policy or claim

• Violation of terms or conditions of the policy

• Driver's license suspension

Cancellation for any of the following reasons is prohibited by Maine law:

• Age

• Credit information

• Volunteer driving status

Why is the insurance company not returning all of my premium after the policy was canceled?

It could be because your coverage extended to the point paid for by previous premiums, or you might be assessed a cancellation penalty. Contact your insurance company for more details.

My teenager just got his license. The company has added him to my policy even though he's not going to drive my cars. Can they do that?

Yes. Anyone in your household holding a driver's license is considered to have access to the household vehicles. Your policy includes any resident family member as an insured under your policy.

However, insurance companies are only permitted to charge for residents who have a driver's license. A driver with a learner's permit cannot be automatically added to your insurance.

Why are auto insurance rates higher for younger drivers?

Young drivers have statistically shown to have a greater rate of accidents, violations, and subsequent insurance losses. Auto insurance rates are designed so drivers who have more accidents and losses pay higher rates than drivers with fewer accidents and losses.

Why did my previous insurance company notify the BMV when they canceled my policy?

Maine law requires an insurer to notify the BMV when liability coverage is canceled. This is intended to reduce the number of uninsured motorists. Upon notification, the secretary of state sends you a letter requiring proof of insurance within 30 days to avoid cancellation of the vehicle's registration.