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Montgomery County, MD Business Licensing & Operations: Towing Companies (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Registration
Required before towing in the county
Minimum insurance
$25,000 for vehicle damage in custody
Max penalty
$1,000 fine, 6 months jail (Class A)
Non-consent tows
Rates filed with Office of Consumer Protection
Enforcing agency
Office of Consumer Protection

Summary

Montgomery County requires every towing company to register with the county before operating: unlicensed towing is a Class A violation punishable by up to $1,000 and six months in jail.

These county ordinances apply to unincorporated areas of Montgomery County. Incorporated cities within the county may have their own rules that take precedence over county-level regulations.

It shall be unlawful for any person, firm or corporation to engage in the business, occupation, profession or trade of repairing or maintaining motor vehicles or motor vehicle equipment, or towing motor vehicles, unless such person, firm and corporation shall have first registered with the county. Any person, firm or corporation who violates the provisions of this section shall be subject to punishment for a class A violation as set forth in section 1-19 of chapter 1 of the County Code.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-90: Montgomery County Code contains legislation effective through May 7, 2026 | Zoning Updated Effective: April 13, 2026 | COMCOR Regulations effective as of July 1, 2026).

Full Breakdown

Under County Code § 31A-2, no person, firm, or corporation may engage in the business of towing motor vehicles in the county without first registering; operating unregistered is a Class A violation carrying up to a $1,000 fine and six months in jail under § 1-19. To register as a tower, § 31A-15 requires certifying that each driver holds a valid towing-vehicle license and carrying at least $25,000 in insurance for vehicle damage while a car is in the tower's custody. Separately, for non-consent tows from private property, § 30C-4 requires the towing company to register with the Office of Consumer Protection and file its rate schedule before towing any unauthorized vehicle.

Violations & Fines

Towing without county registration, operating without the required $25,000 insurance, or trespass-towing without a rate schedule on file with the Office of Consumer Protection is a Class A violation: up to $1,000 and 6 months in jail.

Frequently Asked Questions

Do I need a county license to tow cars in Montgomery County?
Yes. County Code § 31A-2 makes it unlawful to engage in the towing business without first registering with the county; operating unregistered is a Class A violation.
What insurance must a registered towing company carry?
At least $25,000 in coverage for vehicle damage while the car is in the tower's custody, on top of any state-required insurance, per § 31A-15.
Can a company tow a car from private property without a written contract?
No. A property owner must have a written contract with a registered towing company before ordering a non-consent tow, per § 30C-4(e).

Sources & Official References

Other rules in Montgomery County

All Montgomery County rules

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