The Maryland Insurance Administration (MIA) published a Bulletin addressed to all Property & Casualty insurers and producers selling private passenger motor vehicle liability insurance in Maryland that provides information after the passing of House Bill 128: Private Passenger Motor Vehicle Liability Insurance – Enhanced Underinsured Motorist Coverage – Opt-Out Option. The bill is applicable to all new private passenger automobile quotes, binders, and policies issued on or after July 1, 2024.

Under Maryland law, motor vehicle policies must include Uninsured Motorist (UM) coverage or Enhanced Underinsured Motorist (EUIM) coverage. Uninsured motorist coverage protects the consumer if you are in an accident with an at-fault driver who is uninsured, underinsured, or if the at-fault driver cannot be identified. EUIM offers further protection. With EUIM coverage, in contrast with UM coverage, your insurer cannot offset your total claim value by the amount collected from the at-fault driver's policy. 

HB 128 requires that a person purchasing a private passenger motor vehicle insurance policy has to opt out of having EUIM coverage, instead of the current system where you have to opt in. If they opt out of EUIM coverage, they must have UM coverage.