CheapInsurance.com has compiled guidelines, tips, price comparisons, and the best deals to help you find cheap car insurance in Alabama.
Alabama is known for its friendliness, hospitality and its warm weather.
There’s also no shortage of beautiful natural areas in the state, including miles of pristine beaches along the Gulf Coast.
Like most states, Alabama requires vehicle owners to carry certain minimum amounts of liability car insurance coverage.
We have found that on average, the cost of a minimum liability car insurance policy in Alabama is $181.23 per month.
To help you find the best deals on car insurance in the state, we’ve compared quotes from car insurers in these Alabama locations:
- Huntsville.
- Birmingham.
- Mobile County.
- Tuscaloosa County.
Because the cost of car insurance coverage is dependent on your individual driving profile, we’ve gone a step further and compared the cost of Alabama car insurance for these types of drivers:
- Good drivers (those with a clean driving record).
- Young drivers (those aged between 16 and 25).
- Bad drivers (those with a history of traffic violations).
Is Alabama an “At-Fault” Insurance State?
Alabama is an at-fault (tort) state. This means that drivers who have caused a collision may be responsible for paying the medical bills and other losses they have caused others to suffer.
In tort states, car accident victims must first turn to the liability insurance of the person who caused the accident to recover compensation.
In no-fault states, drivers must first file a claim with their own insurance company before they can bring a claim against another party.
Key Point: What Is the Difference Between At-Fault and No-Fault States? No Fault States:
At-Fault or Tort States:
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What Is Minimum Liability Car Insurance in Alabama?
Minimum liability insurance is the least amount of coverage you need to pay for any damages you cause in a car accident and it typically includes:
- Bodily injury liability coverage: Bodily injury liability coverage covers other people’s physical damages in a motor car accident.
- Property damage liability coverage: Property damage liability coverage covers damages to the other driver’s property.
Minimum liability coverage won’t cover your vehicle if you are responsible for the accident.
To get full coverage, consider adding collision or comprehensive insurance to your auto insurance policy.
In Alabama, the state’s Mandatory Liability Insurance Law requires vehicle owners to have the following minimum amounts of liability car insurance coverage:
- $25,000 for death or bodily injury liability to one person injured or killed in an accident you cause.
- $50,000 for total death bodily injury liability when two or more people are injured or killed in an accident you cause.
- $25,000 for property damage in an accident you cause.
Factors Affecting Car Insurance Costs in Alabama
What you pay for car insurance coverage will depend on factors in your unique driving profile, including the kind of car you drive and the amount of coverage you need.
Other factors include:
- Your age: Drivers under 25 and over 65 pay higher auto insurance rates because they are statistically more likely to be involved in accidents.
- Location: Cities with higher population densities charge steeper car insurance premiums because the chances of accidents are higher than in rural areas.
- A poor credit rating: In Alabama, a driver with a poor credit score is likely to pay higher car insurance premiums than a driver with an excellent credit score.
- Financial responsibility: You can demonstrate financial responsibility by maintaining minimum car insurance with no gaps in coverage. Letting your coverage lapse could result in a higher rate when you get your next policy.
Minimum Liability Insurance in Alabama
On average, the cost of a minimum coverage car insurance policy in Alabama is $181.23.
Clearcover offers the cheapest car insurance rates for minimum liability coverage on average, costing $117.00.
Cheapest Minimum Liability Car Insurance in Alabama | ||||||
| Provider | Huntsville | Birmingham | Mobile County | Tuscaloosa County | Average | |
| State Auto | $138.00 | $152.00 | $152.00 | $148.00 | $148.20 | |
| Bristol West | $291.00 | $311.00 | $364.00 | $332.00 | $321.60 | |
| Assurance America | $152.00 | $174.00 | $193.00 | $165.00 | $172.60 | |
| Liberty Mutual | $173.00 | $151.00 | $150.00 | $136.00 | $154.40 | |
| GAINSCO | $151.00 | $174.00 | $169.00 | $202.00 | $173.60 | |
Find Cheap Comprehensive Car Insurance in Alabama
Full coverage in Alabama includes optional collision and comprehensive insurance.
- Collision insurance covers repair or replacement costs if you are in an accident, drive into an object, or flip your car over.
- Comprehensive insurance covers repair or replacement costs if your car is damaged by falling objects, natural disasters, floods, fires, theft, vandalism, or animals.
If you do not take out comprehensive car insurance, it would benefit you to have savings that will cover damage to your vehicle in the event of the following:
- Theft or theft of parts.
- Non-crash damage (natural disasters, fire, flooding).
- Car damage from hitting an animal.
- A broken windshield.
The cost of repairing your car, whether it has been damaged in an accident or by natural causes, can run into the thousands. You may even find that you are unable to drive because you cannot afford to pay for the costs to repair the damage.
To help you find the cheapest full coverage car insurance in Alabama, we’ve compared the rates offered by three insurers.
We found that the two cheapest auto insurance companies for full coverage in Alabama are:
- State Auto with average rates of $174.20.
- Travelers with average rates of $180.80.
County
Cheapest Full Coverage Insurance in Alabama | ||||||
| Provider | Huntsville | Birmingham | Mobile County | Tuscaloosa County | Average | |
| State Auto | $165.00 | $176.00 | $179.00 | $171.00 | $174.20 | |
| Travelers | $181.00 | $192.00 | $174.00 | $165.00 | $180.80 | |
| Liberty Mutual | $224.00 | $198.00 | $164.00 | $148.00 | $188.80 | |
Cheap Car Insurance in Alabama for Drivers with Clean Driving Records
You can qualify for good driver rates by practicing safe driving and having a motor vehicle record that is free of accidents and claims.
Companies may offer one or both of the following good driver discounts:
- A discount for avoiding violations for a certain number of years.
- A discount for avoiding accident claims for a certain number of years.
If you are a new driver and you do not have enough driving experience to qualify for a good driver discount, you may wish to consider enrolling in a defensive driving course in order to increase and improve on your road sense.
Some car insurance companies will offer an additional discount if you have completed an accredited defensive driving course.
We’ve looked at the average car insurance rates offered by auto insurance companies for good drivers. The three cheapest companies for good drivers are:
- Clearcover with average rates of $126.00
- State Auto with average rates of $158.20.
- Liberty Mutual with average rates of $168.40.
Cheapest Car Insurance for Good Drivers (Clean Driving Records) in Alabama | ||||||
| Provider | Huntsville | Birmingham | Mobile County | Tuscaloosa County | Average | |
| State Auto | $148.00 | $161.00 | $162.00 | $157.00 | $158.20 | |
| Clearcover | $117.00 | N/A | N/A | N/A | $126.00 | |
| Travelers | $165.00 | $177.00 | $174.00 | $165.00 | $170.60 | |
| Liberty Mutual | $188.00 | $166.00 | $164.00 | $148.00 | $168.40 | |
Cheap Car Insurance in Alabama for High-Risk Drivers
Car insurance companies use the term ‘high risk’ to describe drivers who are more likely to make a claim against their auto insurance policy.
Some of the offenses that may lead to being considered a high-risk driver include:
- Receiving a DUI conviction (driving under the influence of alcohol).
- Irresponsible driving.
- Speeding tickets.
- Driving without meeting the minimum liability coverage requirements.
- Having a poor credit record.
- Having unpaid insurance policy premiums.
If you are a high-risk driver, Alabama car insurance companies are likely to increase the cost of your insurance.
We’ve done the hard work of comparing quotes from various insurers to help you find the best rate.
The cheapest Alabama auto insurance company for high-risk drivers is GAINSCO at $227.50.
Cheap Auto Insurance for Bad Drivers in Alabama (DUI, Traffic Ticket) | ||||||
| Provider | Huntsville | Birmingham | Mobile County | Tuscaloosa County | Average | |
| Bristol West | $468.00 | $507.00 | $558.00 | $530.00 | $512.00 | |
| GAINSCO | N/A | $224.00 | $214.00 | $255.00 | $227.50 | |
Cheapest Car Insurance in Alabama for Young Drivers
Since young drivers have less experience behind the wheel, insurers tend to charge them higher rates compared to more mature drivers.
Teens tend to get into accidents more often than adult drivers, so they’re more likely to benefit from insuring their own vehicles against damage.
A minimum coverage policy, though it is much cheaper, could cost more if a teen gets into a serious accident and has to pay for repairs completely out-of-pocket.
Good student and driver safety course discounts can help young drivers reduce their rates, as can staying on a parent’s policy for as long as possible.
On average, most drivers will see their rates decline as they get older, with a significant decrease once they turn 25 years old.
We’ve compared the cost of car insurance for young drivers to help you save on auto insurance costs.
The cheapest auto insurance for young drivers is Clearcover with average rates of $147.00 per month.
Cheapest Car Insurance for Young Drivers in Alabama | ||||||
| Provider | Huntsville | Birmingham | Mobile County | Tuscaloosa County | Average | |
| AssuranceAmerica | $226.00 | $188.00 | $288.00 | $250.00 | $242.80 | |
| Direct Auto | $208.00 | $168.00 | $256.00 | $204.00 | $214.80 | |
| National General | $238.00 | N/A | $291.00 | $225.00 | $254.25 | |
| GAINSCO | $333.00 | $257.00 | $372.00 | $442.00 | $355.80 | |
| Clearcover | N/A | $147.00 | N/A | N/A | $147.00 | |
Need Cheap Car Insurance in Other States?
Out-of-state insurance is illegal in almost all U.S. states and is considered to be insurance fraud.
This means that your car insurance must be registered in the state in which you live. Some of the penalties for committing insurance fraud include:
- Up to five years in prison.
- A $50,000 fine.
If you plan to move from Alabama, you will need to find a new car insurance company in the state you move to.
You will usually have a 90-day grace period to cancel your car insurance and get car insurance in your new state.
To find the best insurance rates in other U.S. states, read our articles below:
Colorado
Indiana
Maryland
Tennessee
Washington State
Virginia
Top Tips for Finding Affordable Car Insurance
Compare quotes from different car insurance companies
It’s always a good idea to shop around before making a decision about car insurance.
Although you can do the research yourself, going through an insurance agent can save you a lot of time and money.
The only way to be completely certain that you’re getting the best rates on your car insurance is to compare quotes from multiple insurers.
To save time, you can go through a licensed insurance agent or compare quotes from different insurance providers by using our online quote finder.
Look For Car Insurance Discounts
Ask your insurance provider if you qualify for any discounts because these can reduce your monthly premiums.
Many auto insurance providers offer discounts for:
- Cars equipped with airbags, antilock brakes, and other safety features.
- Student drivers.
- Teens and adults who complete safe driver courses.
- Enrolling in autopay or going paperless with your billing.
- Paying your premium in full up front.
- Being a member of organizations like AAA.
Top Car Insurance Companies in Alabama
Bristol West
Founded in 1973, Bristol West’s national footprint makes it one of the top ten biggest insurance companies in the U.S.
Bristol West was originally created to provide high-risk drivers with affordable insurance policies and has since expanded its services to all types of drivers.
Some of the benefits offered by Bristol West include:
- Multiple policy bundling discounts.
- Personalized car insurance policies.
- Rideshare coverage.
- Medical payments.
- Gap coverage.
- Towing and roadside assistance.
- Rental car reimbursement.
Get a free quote today for cheap car insurance.
State Auto
Since 1921, State Auto has expanded into a $3 billion organization.
The company takes great pride in being innovative and doing things differently, especially when it comes to:
- Overall customer service.
- Customer flexibility.
- Innovation and technology.
The company provides car insurance policies in 33 U.S. states, and it also offers homeowners insurance, personal insurance, and umbrella insurance.
Want a personalized car insurance quote? Click here!
Car Insurance in Alabama FAQs
Do I need to have car insurance in the State of Alabama?
Motor car insurance in Alabama is mandatory and every motorist must carry the following minimum liability insurance:
- $25,000 for death or bodily injury liability to one person injured or killed in an accident you cause.
- $50,000 for total death bodily injury liability when two or more people are injured or killed in an accident you cause.
- $25,000 for property damage in an accident you cause.
What happens if my car is not properly insured in Alabama?
The Alabama Mandatory Liability Insurance Law states that a driver without the proper insurance can be charged with a crime and can be fined $200 for the first offense, $300 for the second, and $400 for each thereafter.
Your driver’s license can also be suspended for 90 days if the fine isn’t paid within 15 days of receiving notice and won’t be reinstated until all fines are paid.
In Alabama, is it necessary to have proof of insurance when driving?
Alabama drivers must carry their insurance cards at all times. It’s recommended to leave it in your car.
Insurance cards must have this information:
- The car’s make, model, year, and vehicle ID number.
- The name of the insured.
- The insurance company name.
- The policy number with its validity date.
Alabama drivers must show evidence of insurance on at least three occasions:
- When traffic police ask for your license at a traffic stop.
- State registration.
- When involved in an accident and you need to share your information with the other party.
What are the cheapest car insurance companies in Alabama?
The amount you pay for a car insurance policy in Alabama depends on several criteria, including your age, credit score, and gender, along with your claims and driving history.
For minimum liability, the cheapest auto insurance on offer is from Clearcover at $117.00, with the cheapest comprehensive cover available from State Auto for $174.20.
What is the best car insurance company in Alabama?
Determining the best car insurance company in Alabama comes down to individual preferences and needs.
When choosing the best auto insurance, consider what is most important to you, such as price, coverage offerings, available discounts, and customer satisfaction.
The best insurance company may not have the cheapest insurance rates but may excel in another important area for you.
How Do I Find Cheap Car Insurance in Alabama?
To find the cheapest car insurance in Alabama, we suggest that you compare insurance quotes from multiple companies.
This can be a time-consuming process, so why not let us help you find the best deals?
Alabama is a Southern gem where flatlands, lakes, and history come alive. Bordered by land on three sides and the Gulf Of Mexico on the other, Alabama is unique indeed.
Nicknamed “The Yellowhammer State,” Alabama has much more to offer after the state bird than one might think. Whether you’ve just moved here or have been here a while, finding cheap car insurance is a must. And the best place to start is by getting a free quote with Cheap Insurance.
Quick Alabama Car Insurance Facts
Each state has its own distinct car insurance laws and policies. When driving around Alabama, you can expect the following rules to be in place:
- Carry Proof of Insurance Whenever Driving
- Follow Alabama Road Laws When Driving
- Drivers License May be Deactivated if You Provide False Information When Applying
- License Can Be Revoked if You Are Convicted of Certain Offenses
- No Texting and Driving
- Teen Drivers with a Stage II License Can’t Use Phones at All
- At-Fault State for Determining Liability and Compensation
Minimum Alabama Car Insurance Coverage
The following are the Alabama law’s minimum requirements for car insurance:
- Liability Insurance
- $25,000 for bodily injury to another person
- $50,000 for bodily injury to all other persons
- $25,000 for injury or destruction of another individual’s property in a single accident
The amounts of coverage are often referred to as 25/50/25 in the state. This is the maximum amount your insurance will pay in the event of an auto accident where you are found to be at fault.
Getting Cheap Car Insurance In Alabama
Alabama car insurance rates are a bit below the national average. However, not all policies are equal, so finding cheap car insurance in Alabama still requires some legwork on your part.
- Start with the minimum: A great way to start is to pay only for what you need. So take some time to calculate that number and look into what the minimum payments are for you.
- Compare lots of insurance firms: There are many different insurance options out there. Take some time to really do your research into various firms and what they have to offer.
- Be a defensive driver: One of the best things you can do for yourself and your insurance coverage is to drive carefully and safely. You’re not the problem out on the road—everyone else is. Driving cautiously can put you in a better position to avoid accidents and avoid the increased costs that come with accidents.
- Alabama insurance programs: The more research you do and the more you explore your options, the better prepared you’ll be to make the right decision when it comes to Alabama insurance programs. There are plenty of different insurance programs to choose from, and some are going to make more sense for you than others.
Alabama Car Insurance Discounts
There are a few discounts to Alabama car insurance rates for certain drivers who meet the set criteria. These include the following:
Good Driver: Good drivers with clean driving records and no claims history save between 10% and 30% on insurance in Alabama.
Good Student: Young drivers with a “B” average or higher in school are eligible for discounts ranging between 5% and 20%.
Customer Loyalty: Long-term loyalty to your insurance company can be rewarded with up to 10% off.
Continuously Insured: Drivers insured for 6 months or longer may qualify to save 5% to 25%.
Billing and Payments: If you pay your policy in full, pay online, set up automatic payments, or go paperless, you can save 2% to 25%.
Safety Features: If you drive a vehicle with multiple safety features, such as daytime running lights, anti-lock brakes, and multiple airbags, you can save from 2% up to 30% on insurance.
Usage-Based: Some insurance companies offer 1% to 30% off to drivers who are comfortable with having their driving monitored by a device attached to the car.
Anti-Theft Systems: Comprehensive auto coverage can be charged 5% to 25% for some vehicles with car alarms and other anti-theft features.
FAQ
Get answers to some frequently asked questions below:
What is the penalty for driving without insurance in Alabama?
Driving in Alabama without car insurance is considered a misdemeanor and comes with a fine between $500, for a first offense, and up to $1,000 for subsequent offenses. In addition, your license can be suspended for up to six months. Repeat offenders can even face jail time.
What is driving like in Alabama?
Alabama drivers log a lot of miles and face some dangerous conditions. In 2019, the state came in 14th for fatalities per 100 million miles traveled.
How can I save money on my car insurance policy in Alabama?
Asking about the following could lower your car insurance premium:
- Ask about multi-car discounts, for insuring several cars.
- Ask about the good driver discounts.
- Ask about discounts for airbags, anti-theft devices, or other features.
- Ask about payment installment plans and if there are service fees.
- Ask about higher deductibles for comprehensive and collision coverage.
When do I need to get a new license?
If you’re a new resident of Alabama, you must apply for an AL driver’s license within 30 days of establishing residency.
Other Types of Coverage
Here are some other types of coverage you might want to consider when moving to or living in the state of Alabama:
Uninsured Motorist Coverage (UMC)/Underinsured Motorist coverage (UIM)
Medical Payments Coverage
Physical Damage Coverage
Endorsements and Riders
- Towing and road service
- Rental car reimbursement
- Gap insurance
Cities We Cover In Alabama
Cheap car insurance in Alabama is more readily available than you think, thanks to Cheap Insurance. We cover the following cities in the state of Alabama:
- Hoover
- Auburn
- Birmingham
- Huntsville
- Mobile
- Montgomery
- Tuscaloosa
