Maine has high requirements for car insurance, and in return it has very inexpensive state car insurance rates. Drivers in Maine enjoy the lowest average rate of the nation -- $925, which is $430 less than the countrywide average. Even so, the place you live and the insurance company you choose can make a difference of hundreds of dollars a year. Comparable rates for every city and town in Maine are mapped out below. You can see how much you can expect to save by entering your ZIP code, age group and preferred coverage level. For example, even in Biddeford ZIP 04005, one of the cheapest locations for car insurance in the U.S., drivers can save $760 by comparing costs. That's because the highest rate and lowest rate from among six insurers for the same policy differ by that much.
Maine state law requires the following minimum car insurance coverage:
Minimum bodily injury liability
Minimum property damage liability
Uninsured/underinsured motorist bodily injury
What you need to know about car insurance in Maine
Penny Gusner CarInsurance.com Consumer Analyst
Maine requires a lot of coverage for its motorists -- not just liability coverage, as most states mandate, but uninsured motorist and medical payments (MedPay) as well. Its liability requirements of $50,000 per person, up to $100,000 per accident, and $25,000 for property damage tie with Alaska as the highest in the nation.
What is amazing is that with all the coverages required on a Maine auto policy, the cost of Maine car insurance is consistently among the lowest in the country.
Low-cost car insurance is likely one reason that Maine has just 4 percent of its motorists driving uninsured, according to the Insurance Research Council's list. At the other end of the uninsured drivers list is Mississippi, with 28 percent uninsured.
Maine Car Insurance Laws
Need proof for registration: When registering a passenger vehicle in Maine, you need to provide proof of auto insurance using your insurance identification card, policy or binder. Penalties for driving without registration in Maine are quite steep.
Uninsured motorist penalties: You may be fined $100 to $500, your license and registration may be suspended and you may be required to file an SR-22 form.
Vehicle inspection: Getting caught driving without an inspection sticker is punishable by a fine of not less than $25 nor more than $500 or by imprisonment for not more than 30 days or both. If your car fails an inspection, you can drive until your expiration date, but there is no grace period past that.
Crash reports online: If you need a copy of an accident report, you can online at the Maine State Police website. The search is free; however, if you find a match and want to request a copy, a payment of $10 will be due.
Cancellation: During the initial 60 days of your Maine car insurance policy your insurer can cancel for nearly any reason. Once you're beyond the 60 day limit, Maine law permits auto insurers to consider a midterm cancellation of your policy based only on one of the following reasons:
Failure to make a premium payment. Pay on or before due date. There is no grace period in Maine.
Fraud or material misrepresentation that affects the policy or a claim. Failure to comply with the terms and conditions of your policy also falls under this category.
Suspension of license. With a few exceptions, Maine law permits auto insurers to cancel your policy if you or other household operators have had a license suspension during the policy period or within 180 days its last renewal.
Electronic proof of insurance: Maine allows drivers to show proof of insurance during a traffic stop on a smartphone. It is one of 31 states that does so.
Largest car insurance companies for Maine by market share
Company / Group
Direct Premiums Written ($)
Market Share (%)
State Farm Group
Progressive Insurance Group
Liberty Mutual Insurance Companies
Berkshire Hathaway Insurance
Allstate Insurance Group
Concord Group Insurance Pool
MetLife Personal Lines Group
Tower Group Companies
Source: A.M. Best market share Rankings are based on direct premiums written in 2013.