Maine Car Insurance Coverage Required by Law

Maine law requires that you buy liability insurance, uninsured motorists, and medical payments coverage.

To satisfy the financial responsibility law in Maine, you must buy a minimum of $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; and $25,000 for property damage. These amounts are usually shown as $50/100/25, or a combined single limit (for bodily injury and property damage liability) of $125,000 on your insurance policy. You cannot register your vehicle unless you show proof that you have this minimum amount of insurance. There is also a mandatory $2,000 medical payments coverage that is required.

Liability

$50,000/$100,000/$25,000

Medical Payments

$1,000

Uninsured Motorists

$50,000/$100,000

Comprehensive

Actual Cash Value (ACV) with a $100 deductible

Collision

Actual Cash Value (ACV) with a $250 deductible

Keep in mind that these minimum amounts may be low for your situation and you may want to buy more coverage. You should base your decision on your wish to protect your assets from additional claims above the minimum amounts. However, remember that as you raise your coverage, your premiums will also increase. The extra cost of higher coverage tends to be relatively low.

 
Uninsured/Underinsured motorists coverage protects you directly. This coverage pays if you are hurt by a hit-and-run driver or a driver who does not have auto insurance. This coverage actually takes the place of the insurance that the other driver should have purchased but didn’t. Although liability insurance is required by Maine State law, not all drivers obey the law. This coverage also provides protection if you are injured by a driver who is underinsured Underinsured drivers are those who have insurance but who bought insurance limits lower than the amount you purchased. Consequently, their coverage may not be enough to pay for your injuries.

The minimum amount of uninsured motorists coverage that you must buy is $50,000 per person and $100,000 per accident. Uninsured motorists coverage does not protect the other driver and it does not cover damage to your vehicle.

As of October 1, 2000 (unless you request lower limits in writing to your producer or company) MI law requires that you have uninsured motorist coverage equal the amount of liability that you have on your policy unless you specifically elect to buy uninsured motor vehicle coverage with lower limits of liability for bodily injury or death. You must provide a rejection of equal coverage in writing on a form provided by the insurance company before the effective date of the policy. However, if you decide to request a lower limit in writing, the limit cannot go below the minimum required limit of $50,000 per person and $100,000 per accident.

What Other Insurance Is Required?

Medical payments coverage pays for the medical and funeral expenses for you or others hurt or killed in an accident while riding in or driving your car. Claims against this coverage include all reasonable hospital, surgical, chiropractor, X-ray, dental, professional nursing, prosthetic, and funeral expenses. It will also cover you or members of your family if you are hit by a car when you are walking or if you are riding in another car. This coverage will pay for your medical and funeral expenses even if you cause the accident. Usually, only expenses incurred within a specified period of time after the accident are included. Medical payments coverage is also required by Maine law. Effective January 1, 2008, you must have at least $2,000 in medical payments coverage on your policy.

The coverages previously discussed are the basic coverages required by law. However, when you buy Maine auto insurance you will have to decide if there are other insurance coverages that you would like to add to your policy.

Another way to have higher limits of liability inexpensively is to purchase a personal umbrella policy. An umbrella policy provides broad liability protection over and above your auto policy ’ s liability limits. It will also cover some exposure to losses that are not covered by your auto or homeowner’ s policies.