All 50 U.S. states require drivers to carry auto insurance, but the level of required coverage varies from state to state. Maine is among the more strict states regarding required coverage amounts. Even though the minimum coverage amounts may seem high, the actual costs resulting from an accident, particularly if there are injuries, can quickly exceed the maximum insurance payout. Thus, it is recommended that you purchase as much coverage as you can afford.

Minimum Required Insurance Coverage in Maine

BIL (Bodily Injury Coverage): Liability coverage for injuries/deaths in the other vehicle

• Minimum of $50,000 for one person
• Minimum of $100,000 total for the other driver and all passengers

PDL (Property Damage Liability): Liability coverage for damage to the other driver’s vehicle or property, and other public or private property surrounding the accident scene

• Minimum of $25,000 for all property damage

Medical Payments Coverage: Similar to Personal Injury Protection (PIP), covers injuries to yourself and your passengers, and other expenses resulting from injuries like lost wages and funeral costs

• Minimum of $2,000

UMC (Uninsured/Underinsured Motorist Coverage): Covers your expenses if you are involved in an accident that is caused by another driver, and that driver has no insurance or inadequate insurance to cover your injuries (and those of your passengers) and the damages to your vehicle or property

• Minimum must be equal to your total liability coverage, unless you submit a written request to lower the limit of your UMC. The limit cannot be lowered beyond the minimum state requirement of $50,000 per person or $100,000 per accident.

About Liability Insurance

As a general rule, whichever driver is determined to be at fault for an accident accrues the financial responsibility for the injuries and damages sustained in the accident. Liability insurance covers the other driver, his/her passengers, and his/her vehicle in an accident caused by you. It does not cover your medical or property damage expenses if you are at fault for the accident.

There are other types of coverage that can offer more complete protection for you and your passengers. Collision coverage pays for damages to your vehicle after an accident that is your fault. Comprehensive coverage pays for damages to your vehicle caused by factors other than an accident, like fire, flood, and vandalism. When you are purchasing your auto insurance plan, be sure you understand your benefits and policy limits thoroughly.

If you have a loan, lease, or lien on your vehicle, you may be required to carry more comprehensive insurance than what is required by the state.

About Medical Payments Coverage

Medical payments coverage is designed to help cover medical expenses arising from an accident, including treatment and follow-up, pain and suffering, lost wages, and funeral expenses. However, the minimum coverage amount of $2,000 is insufficient to cover the cost of most major medical problems and is generally considered inadequate as a single method of insurance for your own injuries. More often, this coverage is used in conjunction with existing health insurance benefits to help cover the costs of injuries sustained in an accident. If you don’t have health coverage, it is recommended that you increase your medical payments coverage limit substantially.

About Uninsured/Underinsured Motorist Coverage

Although all drivers are required to have liability insurance, most states still have a large number of uninsured drivers. Maine’s mandatory UMC is designed to protect you from having to pay your own expenses after an accident that was not your fault. UMC is also particularly useful for drivers who don’t have health insurance; UMC coverage will help protect you from having to pay large and unexpected medical expenses out of pocket if you are in an accident caused by an uninsured or underinsured driver.

State-Issued Proof of Insurance

All Maine drivers are required to carry proof of insurance in their vehicles at all times. If you are involved in an accident or a traffic stop, you will be asked for proof of insurance. If you cannot provide proof of insurance, you may be subjected to fines of $100-500 and your vehicle registration and/or driver’s license will be subject to suspension. In order to reinstate your license or vehicle registration, you must provide proof of insurance at a Maine Bureau of Motor Vehicles.

Tort System

Maine uses the tort system of auto insurance, meaning that in every accident, fault is assessed and whoever is at fault is responsible for all expenses accrued by all parties in the accident. This means that if you only carry liability insurance and you are at fault for an accident, your expenses will not be covered by insurance at all. In addition, no-fault drivers have the option of seeking additional damages through the court system, including any actual expenses not covered by the at-fault driver’s insurance, as well as additional costs like pain and suffering or lost wages.