Cheap Alabama Car Insurance

Find affordable auto insurance that works for you in Alabama. Compare quotes from over 100 top companies.

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Here's what you need to know when driving in Alabama

Our team has compiled data from all over Alabama, done the analysis and presented it below to help you find the perfect car insurance for your needs. We’ve made shopping for cheap car insurance in Alabama fun and easy, so you can quickly make an expert decision and get back to the things you enjoy in life.


 

Affordable insurance companies in Alabama

What's the cheapest car insurance in Alabama?
RankCompany NameAvg. Annual Premium
1Travelers$799
2Auto-Owners$1,194
3USAA$1,201
4MetLife$1,354
5Cal Casualty$1,481
6Progressive$1,560
7Country$1,613
8Nationwide$1,657
9Liberty Mutual$2,664
10Cincinnati Insurance$4,482

Compare quotes from dozens of companies that provide coverage throughout Alabama. Enter your ZIP code below to get started.

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Cheap auto insurance for good drivers in Alabama

Drivers with spotless driving records typically enjoy lower car insurance costs than drivers with histories of speeding tickets, at-fault accidents, or DUI citations. Alabama drivers without a recent at-fault accident save 31% on their car insurance, on average, while Alabama drivers without a recent ticket save 16%. Both of these figures are near US averages. In addition to earning a cheaper premium for driving incident-free, you may qualify for a safe-driving bonus through your car insurance company. The amount of these discounts may vary, but they typically run between 5 and 10%.

Rating Factor$ Savings% Savings
No Traffic Tickets$27416.92%
No Accidents$61131.20%
Good Credit$1,59154.16%

 

Cheap auto insurance for young drivers in Alabama

Young drivers (those between the ages of 16 and 25) pay extraordinarily high auto insurance rates, with those aged 16-19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teens pay more than three times the national average for car insurance. In Alabama, the typical teen driver pays $5,573 per year — approximately $600 more than the national teen driver average and more than three times as much as a typical driver in Alabama.

AgeAnnual Rate with ParentsAnnual Rate Alone
16$5,710$7,768
17$5,463$6,538
18$5,228$5,584
19$4,753$3,541

 

Cheap auto insurance for bad drivers in Alabama

If you have a clean driving record — no at-fault accidents, speeding tickets, DUIs, or other recent citations — you'll probably pay less for car insurance. Conversely, a bad driving record will cause your rates to skyrocket: car insurance premiums typically increase by 39% after a DUI, 31% after an at-fault accident, and 16% after a speeding ticket in Alabama. These post-incident rate hikes roughly align with national averages. If you have a sparkling clean driving history, be sure to inquire about your insurer's safe driver discount.

Rating FactorAnnual Rate% Increase
At-Fault Accident$1,95731.20%
DUI$2,23039.62%
Speeding Violation$1,62116.92%
Bad Credit$2,93854.16%

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Top rated car insurance companies in Alabama

Every auto insurance company emphasizes its low rates. But as with any product, the cheapest option isn't always the best choice. Considering the stakes, it's worth doing your due diligence to find the policy that will cover your car adequately in the event of a collision. When your money is at stake, it's worth being patient and finding a great value, rather than settling for the cheapest car insurance in Alabama.

Use the table below to better understand the quality of service you'll receive. You'll see reviews for popular auto insurers' financial strength, claims satisfaction, and customer satisfaction including an internal satisfaction score from The Zebra's customers. 

 

Insurance Company

Claims Satisfaction

(J.D. Power)

Customer Satisfaction

(J.D. Power)

Financial Strength

(A.M. Best)

Customer Satisfaction

(The Zebra)

Auto-OwnersExcellentAbove averageSuperiorN/A
Cal CasualtyN/AN/AGoodN/A
GEICOAverageAverageSuperior4.4 / 5
Liberty MutualBelow averageAbove averageGood4.2 / 5
MetLifeExcellentBelow averageExcellentN/A
ProgressiveBelow averageBelow averageExcellent4.3 / 5
SafecoAverageAverageExcellentN/A
State FarmAbove averageAbove averageSuperior4.5 / 5
TravelersBelow averageBelow averageSuperior4.3 / 5
USAAExcellentExcellentSuperior4.6 / 5

 

Alabama auto insurance laws

In Alabama, drivers are required to maintain liability coverage at the below levels:

In Alabama, the state minimum coverage requirement is liability with limits of:

  • Bodily Injury $25,000 per person
  • Bodily Injury $50,000 per accident
  • Property Damage $25,000 per accident

Optional coverage in Alabama (varies by carrier):

  • Comprehensive
  • Collision
  • Loan/Lease Payoff
  • Medical Payments
  • Rental Car Reimbursement
  • Roadside Assistance
  • Uninsured Motorist Bodily Injury

If you select the minimum required coverage in Alabama, expect to pay an average of $611 per year. This is cheaper than the national average by 7%. If you opt for a higher level of car insurance coverage, you can choose a policy with comprehensive and collision coverage, which will protect against damages caused by car-versus-car collisions, theft, or weather incidents.

Better coverage comes at a cost: in Alabama, a comprehensive policy with a $1,000 deductible costs $1,219, 100% more than basic liability-only coverage. For a comprehensive policy with a $500 deductible, expect to pay 123% more than you would for basic liability-only coverage.

View a full breakdown of Alabama auto insurance rules and regulations.

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How tickets change insurance rates in Alabama

If you get a ticket, your car insurance rates may rise. How much your rates rise depends on the type of violation, your insurance company's pricing strategy, and local insurance regulations. That's why tickets may have a different impact on insurance in your state compared to the national average.

Below is a snapshot of average car insurance rates in Alabama after a few common citations.

ViolationAvg. Annual Auto Insurance Rate% Insurance Rate Increase$ Insurance Rate Increase
Hit and Run$2,38072%$992
Refused Breathalyzer/Chemical Test$2,26163%$874
DUI$2,26163%$874
Racing$2,36871%$980
Reckless Driving$2,29966%$912
Driving with a Suspended License$2,12953%$742
At-Fault Accident$2,00244%$614
Driving with an Open Container$1,96842%$581
Operating a Vehicle Without Permission$1,72925%$342
Passing a School Bus$1,71724%$330
Improper Passing$1,68722%$300
Following Too Closely$1,68722%$300
Speeding$1,72424%$336
Failure to Stop at a Red Light$1,68722%$300
Illegal Turn$1,68722%$300
Driving Wrong Way/Wrong Lane$1,68722%$300
Failure to Yield$1,68722%$300
Speeding in a School Zone$1,66320%$276
Driving Too Slowly$1,66320%$276
Distracted Driving$1,62317%$236
Driving with Expired Registration$1,59115%$203
Failure to Show Documents$1,59115%$203
Not-at-Fault Accident$1,5099%$122
Failure to Use Child Safety Restraint$1,4646%$77
Failure to Wear a Seat Belt$1,4646%$77
Driving Without Lights$1,3870%$0

 

Alabama car insurance FAQs

Who actually has the cheapest car insurance in Alabama?

Travelers is the cheapest insurance company in Alabama. Our data show Travelers charges $399 for a six-month policy — or $67 a month.

How much is car insurance in Alabama per month?

The average monthly premium in Alabama varies. The average driver pays $113/month for car insurance in Alabama. Our estimate could be low or high depending on your driving profile. Use our comparison tool to find multiple options for you.

What insurance company has the best auto rates?

The best company and best rates will depend on you. Based on your driving history, different companies will charge you different amounts. Use our comparison tool to find the perfect match for you.

How much does car insurance cost in Alabama cities?

Car insurance companies calculate your rate based on many factors, location of the vehicle being an important one. The cheapest car insurance is found in Enterprise, Alabama, and the most expensive in Birmingham, Alabama.

RankCityAvg. Annual Premium
1Birmingham$1,648
2Hoover$1,596
3Mobile$1,592
4Montgomery$1,488
5Tuscaloosa$1,479
6Huntsville$1,431
7Auburn$1,354
8Decatur$1,348
9Dothan$1,346
10Enterprise$1,292

 

Recent Questions:

Car insurance for a car I own but don't drive

Here's what I recommend: because you don't have a drivers license, don't have a driving record, and won't be using the vehicle, I would have your son get car insurance for the vehicle but I would use your bank/credit card information to pay for it. Most insurance companies will allow you to add another consenting individual's payment information to the insurance policy - as they want to be paid for the policy regardless.

Does liability cover my damages caused by a windstorm?

Unfortunately, no. The damage to your car will not be covered if you only have liability insurance.

Do I have to list my spouse as a driver?

You do have to list your spouse on the policy but many companies will allow you to exclude your spouse as a driver. Keep in mind that unless your spouse has a poor driving history, bad credit, or an expensive car, it's usually a sensible decision to add them since most insurance companies offer a discount on a joint policy.

If my car was fully paid for, can I still file a claim?

Having "full coverage" is a bit of a misnomer. It really refers to having both comprehensive and collision coverage.

Kristine Lee
Kristine Lee LinkedIn

Kristine is a licensed insurance agent and one of The Zebra’s in-house content strategists. With a background in copywriting, she covers the ins and outs of the home and car insurance industries. She has contributed to numerous publications focused on the nuances of insurance, including Automoblog, USInsuranceAgents.com, and BestCompany.com.