Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.

Compare car insurance in Alabama

Get the cheapest car insurance in Alabama for 2020

Updated

Fact checked
Sunset at Orange Beach, Alabama

If you plan to drive in Alabama, you’ll need to carry a minimum level of liability coverage. You’ll also have the option to carry additional protection on your policy, which might better protect you, your vehicle, your passengers and your fellow travelers on the road. Shopping around may allow you to find insurance cheaper than Alabama’s average annual car insurance cost of around $1,400.

Alabama

Car insurance quick facts

25/50/25

Minimum liability requirements

$1,400

Average annual car insurance cost

30

Days to update your license

At-fault state

In at fault states, the driver who caused the accident pays for damages.

Our top pick: Progressive

Discover coverage that’s broader than competitors, valuable discounts up to 30% off and perks like shrinking deductibles that reward no claims.

  • Broad coverage, including for custom car parts or ridesharing
  • Transparent pricing tools that help you buy within budget
  • Accident forgiveness on small claims or for staying claim-free
  • Stack a variety of discounts for multiple cars, autopay or homeownership

Compare car insurance in Alabama

Name Product Roadside assistance New car protection Accident forgiveness Safe driver discount Available states
Progressive
Optional
30%
All 50 states
Discover coverage that’s broader than competitors, valuable discounts up to 30% off and perks like shrinking deductibles that reward no claims.
USAA
Optional
Yes
All 50 states
Affordable car insurance with highly rated customer service. Only available to military members and veterans and their family.
Allstate
13%
All 50 states
Your dedicated agent can help you find the best savings with multiple discounts and rewards programs.
Liberty Mutual
Optional
30%
All 50 states
Earn free accident forgiveness after five years claims-free and customize your policy anytime online at the tap of a button.
Esurance
40%
All states except AK, DE, HI, MT, NH, VT, WY
Take advantage of this online company's low base rates and mobile tools like app-based telematics and teen safe driver programs.
Gabi
Optional
Optional
55%
All 50 states
Upload your current policy info and get quotes from 20+ companies who could get you a better rate.
Farmers
15%
All 50 states
Say hello to a local Farmers agent who can help you find the best savings from a long list of coverage options.
loading

Compare up to 4 providers

Company Direct premiums written (billions) Market share
State Farm $845,280 23.7%
Alfa Mutual $503,354 14.1%
Geico $386,216 10.8%
Allstate $370,610 10.4%
Progressive $283,343 8.0%
USAA $263,029 7.4%
National General $103,441 2.9%
Nationwide $85,476 2.4%
Liberty Mutual $83,695 2.3%
Farmers Insurance $81,996 2.3%

Average car insurance costs in Alabama

Alabama’s on the cheap side for car insurance, but watch out for some of its unique driving laws. Costs can vary wildly from person to person, depending on the provider and a number of outside factors. But as a state, Alabama sits near the median cost for car insurance nationwide, which is between $110 and $130 a month for an annual total of approximately $1,400.

Factors that can influence your insurance cost include your driving record, your age and the type of vehicle you drive. Location-based factors can come into play as well, like crime rates where you live or work. The climate can even affect your rates if you live in a place known for extreme blizzards or hurricanes because you’re more likely to use comprehensive coverage for flood damage, falling tree limbs or an ice-related accident.

If you live near a city, you could expect rates to go up too, since accidents are more common in cities than in rural areas. In a state like Alabama, which doesn’t have as many cities with heavy traffic as California or Florida, this is less likely to affect you.

Cheapest car insurance rates in Alabama

Company Average annual rate Learn more
USAA $231 Get a quote Read review
Alfa $289
Allstate $313 Get a quote
Safeco $415
Metromile $521 Get a quote Read review
Country Financial $600 Read review
Progressive $830 Get a quote Read review
21st Century $920 Read review
Auto-Owners $921
State Farm $926 Read review

Which city has the cheapest car insurance in Alabama?

Of Alabama’s largest cities, Madison has the cheapest rates and Mobile has the most expensive car insurance rates. Mobile drivers could face rates 4 times more than Madison drivers.

Car insurance quotes in Birmingham

Company Annual car insurance rate
Allstate $361
21st century $1211
Metromile $701
Progressive $883
Geico $873

Car insurance quotes in Montgomery

Company Annual car insurance rate
Allstate $363
21st century $1069
Metromile $624
Progressive $924
Geico $870

Car insurance quotes in Madison

Company Annual car insurance rate
Allstate $313
21st century $1025
Metromile $703
Progressive $844
Geico $785

Car insurance quotes in Mobile

Company Annual car insurance rate
Allstate $417
21st century $1280
Metromile $758
Progressive $982
Geico $845

Car insurance quotes in Tuscaloosa

Company Annual car insurance rate
Allstate $342
21st century $1053
Metromile $668
Progressive $826
Geico $793

State minimum car insurance requirements in Alabama

State minimum requirements for car insurance vary by state. To fulfill car insurance laws in Alabama, you must carry liability insurance that includes at least:

  • $25,000 for bodily injury or death per person.
  • $50,000 total for bodily injury or death per accident.
  • $25,000 for property damage.

When shopping for car insurance, you may see these liability limits written as 25/50/25.

Some states require drivers to carry uninsured/underinsured (UM/UIM) motorist coverage, which protects a driver if they’re involved in an accident with another driver that isn’t adequately covered by a car insurance policy. However, Alabama doesn’t require UM/UIM coverage.

Can I get SR-22 insurance in Alabama?

An SR-22 is a form that lets the state know that you’re carrying at least the minimum for auto liability insurance so you can legally drive again. It is used as confirmation of insurance for high-risk insurance policies, often after major driving infractions:

The regulations and methods for obtaining an SR-22 vary from state to state. You’re required to file an SR-22 in Alabama if:

  • Your driver’s license is suspended or revoked
  • You’re caught driving without proof of insurance
  • You’re found guilty of a DUI, DWI or reckless driving

How to file an SR-22 in Florida

Get the cheapest quotes

Compare car insurance companies near you.

Your information is secure.

Bottom line

To drive in Alabama, you’ll need to purchase liability insurance or set up alternative means to payout at least $50,000. Research your car insurance options to find the cheapest coverage for your needs when driving in Alabama.

Frequently asked questions about car insurance in Alabama

More guides on Finder

Ask an Expert

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder.com provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and finder.com Terms of Use.

Questions and responses on finder.com are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site