7.5 Insurance Requirements, Organ Donation & Voter Registration

Insurance Is Required

The manual's rule: all motor vehicles registered in Maryland must be insured by a company licensed in Maryland. If you own a vehicle you must insure it for personal injury and property damage liability in the amounts the law requires.

Minimum Liability Coverage

These minimums apply even if the vehicle is not being driven; insurance must be active for the entire time the vehicle is registered. Insurance companies report coverage to the MVA electronically, and only companies licensed and approved in Maryland may insure Maryland-registered vehicles. If your policy was canceled, or two or more companies have denied you coverage, you may qualify for coverage through Maryland Auto Insurance.

What Liability Coverage Pays For

Liability insurance pays for injuries and damage you cause to other people: their medical bills, lost wages and vehicle repairs, up to your policy limits. If a crash causes more harm than your limits, you can be held personally responsible for the rest. The minimums are a legal floor, so many drivers choose higher limits. Ask an agent about other coverage, such as collision and comprehensive, which pay for damage to your own vehicle.

How the MVA Tracks Coverage

Insurers report coverage to the MVA electronically, so in most cases you do not need to do anything. If the MVA's records show a problem while your policy is active, ask your insurer to confirm the policy and electronically submit the corrected information. If the MVA asks, you may need to send proof of insurance yourself.

Carry and Show Proof

You must always have a valid insurance identification card with you when driving. It may be electronic. If a law enforcement officer asks for it, you must show it; if you refuse, you could be fined. You also need proof of insurance for the vehicle you use on the driving skills test (see Section 1.1).

If Coverage Lapses

The manual's sidebar warns that it is against the law to drive without insurance and that you can be fined up to $2,500 per vehicle each year if you do not keep every vehicle insured. Current Maryland law (Transportation Article § 17-106) sets the lapse penalty at $200 for the first 1 to 30 days, then $7 for each additional day, up to $3,500 per violation in a 12-month period. Unpaid penalties can lead to registration suspension, vehicle flags, and referral to the State's Central Collections Unit, which adds 17%.

Before you cancel insurance on a vehicle you are not replacing, return the license plates to the MVA. Keeping plates without insurance leads to penalties.

Driving an Uninsured Vehicle

Knowingly driving an uninsured vehicle is a crime under § 17-107: up to 1 year in jail and/or a $1,000 fine for a first offense, and up to 2 years and/or $1,000 for a later offense. It also carries 5 points. After an injury or fatal crash, each driver must file proof of liability insurance with the MVA within 15 days.

Organ Donation

Maryland residents can give the gift of life by donating organs or tissues after death.

• Anyone 18 or older may be an organ donor.
• Minors at least 16 may be organ donors if a parent or guardian consents in writing.

Look for this statement on your license application or renewal notice: "Please check, if upon your death, you desire to help others by becoming an organ donor." By checking "YES," you authorize your information to be forwarded to the Maryland Department of Health and kept in the Maryland Organ Donor Registry. You can choose to have your license show that you are an organ donor.

Voter Registration ("Motor Voter")

The National Voter Registration Act of 1993, often called "Motor Voter," is a federal law. It requires the MVA to let eligible customers apply to register to vote, or update their voter information, when they get a driver's license or photo identification card.

Other Important Information Covered Elsewhere

Section 10 of the manual also covers reportable medical conditions (Section 1.2 of this guide), supervising drivers (1.3), seat belts, child seats and air bags (7.1), anti-lock brakes (4.3), headsets (5.3), skills-test maneuvers (1.1), bicyclist rules (6.2) and electric low-speed vehicles (6.2).

Scenario Practice

1. An officer asks for proof of insurance and your card is on your phone. Show the electronic card; it is acceptable.
2. You sell your car and want to cancel the policy. Return the license plates to the MVA first, then cancel the insurance.
3. A 16-year-old wants to register as an organ donor. It is allowed with a parent's or guardian's written consent.