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Compare car insurance in Alabama
Alabama car insurance rates, coverage and cheap coverage
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.
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Compare car insurance in Alabama
Most popular Alabama auto insurance companies list
| 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 | |
| Alfa | $289 | |
| Allstate | $313 | |
| Safeco | $415 | |
| Metromile | $521 | |
| Country Financial | $600 | |
| Progressive | $830 | |
| 21st Century | $920 | |
| Auto-Owners | $921 | |
| State Farm | $926 |
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 |
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 an car insurance policy. However, Alabama doesn’t require UM/UIM coverage.
Do I need to 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 to 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
Bottom line
To drive in Alabama, you’ll need to purchase liability insurance or set up alternative means to pay out at least $50,000. Research your car insurance options to find the cheapest coverage for your needs when driving in Alabama.
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