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Cheapest Car Insurance in Alabama (Feb 2024)

Compare 50+ top insurance companies including Progressive, Travelers, AAA, Nationwide (and more!) to find the best and cheapest car insurance in Alabama.
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R.E. Fulton
Licensed Insurance Agent —Senior Content Writer
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Reviewed by Josh Damico, Vice President Insurance Operations
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Edited by Lina Zhang, Licensed Insurance Agent, VP of Operations

How to find the cheapest car insurance quotes in Alabama

There’s no “one-size-fits-all” when it comes to the best
car insurance
coverage—and there’s no “one-price-fits-all” either! Comparing quotes from different auto insurance companies is the best way to find the lowest rates in Alabama.
For years, the
Jerry Insurance Agency
has helped thousands of drivers to find plans and prices that fit them like a glove. Compare some of the recent quotes Jerry found for drivers in Alabama:
Insurance CompanyPremium (monthly)CustomerCarInsurance Coverage
Progressive
$148
Toyota Camry CE
• State Minimum Liability
• Comp / Collision
Allstate
$115
Chevrolet Suburban C1500
• State Minimum Liability
Safeco
$141
Toyota Camry LE
• 50,000/100,000 Liability
• Comp / Collision
Nationwide
$140
Honda Accord LX
• 50,000/100,000 Liability
• Comp / Collision
Travelers
$158
KIA Niro EX Premium
• 100,000/300,000 Liability
• Comp / Collision
coverageLast Updated Feb 23, 2024

Cheapest car insurance companies in Alabama

Jerry knows where to find the best car insurance rates for every driver in Alabama. How? You told us!
According to our survey, the secret to a great policy is finding the auto insurance company that suits you best. The five largest auto insurance companies in Alabama are
State Farm
, Alfa Insurance,
Allstate
,
Progressive
, and
GEICO
. But not every driver will find the best rate with the biggest company.  
For example, if you have a bad driving record, you should probably check out
Progressive
; but if you have a military record, you can’t do much better than
USAA
. And if you’re on the road more often than not,
AAA
’s nationwide discount program is invaluable!
Here’s what the survey respondents had to say about the best car insurance companies in Alabama:
Insurance companyDateCost rating (out of 5)What our customer said:
Bristol West
February 19, 2024
3
"My rate were good in the beginning. But it seems like every time I renew my 6 month policy. It goes up. Significantly...(read more)"
-Trevor
Bristol West
February 19, 2024
5
"Great insurance 👌 highly recommended "
-Aaron
Commonwealth Insurance
February 14, 2024
4
"I have been with Alfa a year and a half. They are a good company my price is just a little high! "
-Lela
Amica
February 14, 2024
4
"So far it’s been pretty good I was able to get a lower rate wit the same deductible and my previous insurance company...(read more)"
-Dollie
Allstate
February 10, 2024
5
"Great rates customer is helpful and friendly and efficient and friendly "
-Nelle
coverageLast Updated Feb 19, 2024
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How'd we get these scores?

Jerry's experts conducted one of the largest car insurance surveys in the United States. We surveyed 15,000 policyholders, in all 50 states, over the span of 18 months. These policyholders hold insurance policies with 87 different insurance companies. We surveyed policyholders to gauge their satisfaction with their insurance carriers in: policy cost, customer service, buying and renewal experience, as well as claim experience. These scores were all reported by real customers of the insurance companies.
So, how do you find the company that can offer you the smartest plan and the best rates? How do you choose among
Farmers
,
AARP
, and hundreds of other companies with thousands of products? 
Just reach into your pocket and pull out your
personal licensed insurance agent
, Jerry! Our free app shows you the cheapest car insurance companies based on your policy needs. Trust our team of 100+ licensed insurance agents and customer service experts to give you the best shopping experience you’ve ever had.

Minimum car insurance requirements for liability and full coverage in Alabama

Alabama’s car insurance laws
require every driver in the state to carry
liability car insurance
. If you cause harm to somebody else or their property while driving, liability insurance will pay for the cost of treatment, repairs, and replacements.

Cheapest minimum liability coverage in Alabama

In Alabama, every liability car insurance policy must meet the minimum requirements for coverage.
Your insurance provider must insure you for at least $25,000 of
bodily injury liability
per person, $50,000 of bodily injury liability per accident, and $25,000 of
property damage liability
coverage per accident. No auto insurance company in Alabama will sell you a policy with lower coverage limits than that. It’s often referred to as the “25/50/25 rule”. 
If you’re sticking with the absolute minimum car insurance requirements, here’s a sample of the best quotes you can get:
card cover
Janie (55 years old)
coverageCoverage
State Minimum
$148
per month
card cover
Billy (46 years old)
coverageCoverage
State Minimum
$76
per month
card cover
Charles (35 years old)
coverageCoverage
State Minimum
carJeep Grand Cherokee Limited
$81
per month
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Julian (43 years old)
$115
per month
card cover
Gainsco
Mittie (32 years old)
coverageCoverage
State Minimum
$108
per month
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Gilbert (33 years old)
coverageCoverage
State Minimum
$144
per month

Do you need more than the minimum liability insurance coverage in Alabama? 

Just because you can get away with the minimum liability insurance coverage doesn’t mean you should—in fact, many Alabama drivers don’t!
If you cause an accident that exceeds your policy’s bodily injury liability and property damage liability coverage limits, the injured party could sue you. Compared to the cost of paying someone else’s medical expenses and repair bills out of pocket, annual premiums aren’t so bad.
That said, to make sure you're always covered, we recommend you opt for full-coverage insurance.
Lower my car insurance too!

Cheapest full coverage Alabama auto insurance quotes

Liability insurance coverage benefits other people, but
full-coverage car insurance
has your back no matter what. It pays for repairs and replacements to your motor vehicle even if you’re at fault.
A full-coverage insurance policy usually contains liability coverage,
collision coverage
, and
comprehensive coverage
. Collision coverage pays to repair or replace your car if you hit another motor vehicle or a stationary object—even if it’s your fault. Comprehensive coverage pays the same benefits but for different reasons. If your car is vandalized, stolen, or has a tree branch dropped on the windshield, you’ll be glad to have it!
Typically, if you
lease or buy a car
with a loan, you’ll be required to carry full coverage car insurance. And while full-coverage car insurance costs more than the bare minimum, you can bring your premiums back down with Jerry. Here are some of the best rates for complete peace of mind:
Insurance CoverageInsurance CompanyPremium (monthly)CustomerCar
• State Minimum Liability
• Comp / Collision
Safeco
$81
Jeep Grand Cherokee Limited
• 50,000/100,000 Liability
• Comp / Collision
Allstate
$245
Dodge Dart SXT
• 50,000/100,000 Liability
• Comp / Collision
Nationwide
$140
Honda Accord LX
• 100,000/300,000 Liability
• Comp / Collision
State Auto
$224
Toyota Camry SE
• State Minimum Liability
• Comp / Collision
National General
$144
Hyundai Sonata GLS
coverageLast Updated Feb 23, 2024

Average rates for minimum liability coverage and full coverage car insurance in Alabama

In May 2023, the average cost of a full coverage car insurance policy in Alabama was $2,098 per year. If you stuck with the minimum requirements for liability car insurance in Alabama, you’d pay about $1,298 per year or about $108 per month.
That’s assuming you don’t ask Jerry to find
cheap car insurance quotes
for you, of course.
However, keep in mind that the average car insurance quote can only tell you so much. Auto insurance companies look closely at your driving history, age, and other factors to calculate your premiums. If you’re a
new driver
with a
bad driving record
and with one of the
most expensive cars to insure
, you’ll need to add several hundred dollars to these estimates.

Other types of Alabama auto insurance

The state minimum requirements for car insurance prove your financial responsibility to others on the road, but they leave you with a lot to worry about. Perhaps you want to safeguard your motor vehicle against more dangers than bad weather and thieves. If you have dependents, you might be concerned about far more than car repair bills.
For a variety of situations, there are many additional coverage options like:
  • Gap insurance
    , which pays for the remainder of your debt if the post-wreck insurance payout doesn’t cover it.
  • MedPay
    , which provides long-term medical treatment for you and your passengers.
  • Non-owner car insurance
    , which provides you with liability insurance coverage while you’re driving cars you don’t own.
  • Personal injury protection (PIP)
    , which covers you and your passengers’ injuries, even if you’re at fault. 
  • Rental reimbursement coverage
    , which offsets the cost of a rental car if your primary vehicle ends up in the garage following a covered claim.
  • Towing and labor coverage
    , which pays for services like gas delivery, battery boosts, and towing.

Over 3,500,000 customers and counting

We love saving our customers money. Turns out, they love it too! Here's what they have to say about their switch with Jerry:
Gainsco
"I am flabbergasted by the fine work that Gainsco has offered me! I am satisfied with the coverage & I highly recommend Gainsco"
Bobbie
Progressive
Progressive is a great insurance company. Very pleased so far
Julie
Travelers
Always friendly and ready to help
Lauren
Progressive
Very quick and easy process and saved me over $150. Thanks Jerry!
Tristin

Finding low car insurance premiums for every kind of driver

Remember when we talked about how different factors affect your car insurance premiums? Here’s a fuller picture of what things auto insurance companies take into consideration:
  • Your age and demographics: Are you a
    new driver
    ? A
    senior
    ? A
    student
    ? A
    veteran
    ? You could be subject to high rates or insurance discounts depending on the insurance provider.
  • Your credit score: You guessed it:
    credit scores affect car insurance
    . With a good credit score, you’ll have access to the best rates.
  • Your driving record and claims history: If you’ve gotten a ticket, the penalties don’t stop with a fine. Your car insurance premiums will be higher than those of a “good driver” for a while. 
  • Your driving habits: Commuters risk getting into an accident twice per day, five days per week, thanks to rush hour. You’ll enjoy lower rates if you stay or work at home.
  • Your location: Cities are busier, louder, and more hazardous to cars than a quiet country driveway in the middle of nowhere. You’ll pay higher rates if you live in the former.

How Do Different Factors Impact Your Car Insurance Costs in Alabama?

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Allowed (with applicable limitations): Gender, age, driving experience, credit history, education, occupation, employment status, marital status, zip code, insurance history
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Prohibited (or effectively prohibited): Alabama currently does not disallow any common insurance rating factors when calculating insurance premiums.
Learn more abut the car insurance rating factors in Alabama:

How to find cheap Alabama car insurance if you’re a high-risk driver

Driver violation points significantly affect your insurance rates
. They also affect which auto insurance company is right for you. Some car insurance providers are willing to work with a customer with a high-risk driver profile, and others aren’t–especially if you have serious violations like
reckless driving
or DUI. Here’s how to find the right fit for your situation:

How to find cheap car insurance in Alabama after a speeding ticket

The
Alabama Law Enforcement Agency
distinguishes between two kinds of speeding violations: 1-25 mph over the speed limit and 26 or more mph over the speed limit. You’ll receive two demerit points if you commit the former, and five if you commit the latter.
An
Alabama speeding ticket
also comes with a $150-$300 fine. Commercial drivers can even lose their licenses completely. 
Regardless of the offense, these Alabama drivers had luck finding insurance at the following companies with Jerry:
Speeding TypeInsurance CompanyPremium (monthly)CustomerInsurance Coverage
Speeding 1-5
Progressive
$112
• State Minimum Liability
• Comp / Collision
Speeding 6-10
Travelers
$201
• State Minimum Liability
• Comp / Collision
Speeding 11-15
Safeco
$309
• 50,000/100,000 Liability
• Comp / Collision
Speeding 16-20
Nationwide
$148
• 100,000/300,000 Liability
• Comp / Collision
Speeding 21+
Gainsco
$259
• State Minimum Liability
• Comp / Collision
coverageLast Updated Feb 18, 2024

How to find cheap Alabama auto insurance after a DUI

Alabama’s DUI laws
have serious consequences for those who drive impaired. Drivers face a $600-$2,100 fine, a license suspension of 90 days, and a jail term of up to one year. Not to mention the impact an
OWI, DWI, and DUI
can have on your car insurance premiums!
It’s tough, but it’s not the end of the world. Jerry has helped many high-risk Alabama drivers cope with the rising cost of car insurance after a DUI conviction:
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Cynthia (35 years old)
DUI
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
locationBay Minette, AL
$115
per month
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Hettie (29 years old)
DUI
coverageCoverage
State Minimum
locationMount Olive, AL
$201
per month
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Martha (30 years old)
DUI
coverageCoverage
State Minimum
locationOpp, AL
$64
per month
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Gainsco
Donald (32 years old)
DUI
coverageCoverage
State Minimum
$108
per month
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Lottie (71 years old)
DUI
coverageCoverage
30,000 per person
60,000 per accident bodily injury
$146
per month
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Trexis
Brett (34 years old)
DUI
coverageCoverage
50,000 per person
100,000 per accident bodily injury
$131
per month

The cheapest Alabama car insurance companies for SR-22 insurance

Multiple traffic tickets, convictions, or accidents lead to an
SR-22 in Alabama
. An SR-22 is a filing requirement designed to make it near-impossible for high-risk drivers to hit the road without liability coverage. It must be filed by an auto insurance company and renewed yearly; allowing it to lapse (by missing a payment, for example) could cost you your license.
More than anything, an SR-22 requirement severely restricts your choice of insurance provider. You’ll need to compare a lot of quotes before you can find the cheapest car insurance company.

How to find cheap car insurance in Alabama after an at-fault accident

Sure, everyone knows that a
clean driving record
comes with lower insurance premiums, but it’s easier said than done. Even good drivers have bad days and make mistakes. So, while you’re working to get rid of the accidents on your
Alabama driving record
, put some of that effort into finding a car insurance company that won’t hold the past against you—and brush up on
Alabama’s car accident laws
With Jerry’s help, high-risk drivers found savings with these companies after their at-fault accident:
Accident TypeInsurance CompanyPremium (monthly)CustomerInsurance Coverage
At Fault With Injury
Progressive
$85
• State Minimum Liability
At Fault With No Injury
Travelers
$158
• 100,000/300,000 Liability
• Comp / Collision
Not At Fault
Safeco
$130
• 50,000/100,000 Liability
• Comp / Collision
At Fault With No Injury
Allstate
$257
• 50,000/100,000 Liability
• Comp / Collision
At Fault With Injury
Bristol West
$113
• 100,000/300,000 Liability
coverageLast Updated Feb 20, 2024

FAQ

No, Alabama is not a
no-fault state
. This means that no-fault PIP insurance isn’t required by law. So, unless you opt for a specific no-fault coverage option (like MedPay, collision coverage, or comprehensive coverage), you’ll have to deal with the bills after an at-fault accident yourself.
The bottom line: In Alabama, the at-fault driver is responsible for paying for the medical and repair bills that result from a car accident.

The best Alabama auto insurance for other high-risk drivers

Of course, there are other ways to get in trouble on the road besides a DUI conviction or speeding ticket. Depending on the severity of the violation, the impact on your insurance premiums can range from minor to major. Why not take a look around for a better rate in the meantime?
These Alabama drivers located a cheaper car insurance policy through Jerry after their traffic violations:
ViolationInsurance CompanyPremium (monthly)CustomerCarInsurance Coverage
Careless Driving
Progressive
$208
Dodge RAM 1500 ST
• State Minimum Liability
• Comp / Collision
Defective Equipment
Nationwide
$111
BMW 328 i Sulev
• State Minimum Liability
• Comp / Collision
Driving on Sus. License
Allstate
$211
KIA Forte GT Line
• 50,000/100,000 Liability
• Comp / Collision
DUI
Gainsco
$108
Volvo S60 T5
• State Minimum Liability
Failure to Obey Signal
Safeco
$84
Volvo XC90 3.2
• 100,000/300,000 Liability
• Comp / Collision
Illegal Turn
Clearcover
$271
Honda Civic Sport
• 50,000/100,000 Liability
• Comp / Collision
Improper Passing
Bristol West
$147
Buick Lucerne CXL
• State Minimum Liability
• Comp / Collision
Leaving scene of an Accident/Hit and Run
Progressive
$65
Dodge Durango SXT
• State Minimum Liability
Passing School Bus
Assurance America
$162
Volkswagen CC Sport
• State Minimum Liability
Racing/Drag Racing
National General
$181
Ford Focus SE
• 100,000/300,000 Liability
• Comp / Collision
Speeding 16-20
Mercury
$147
Ford Fusion SE
• State Minimum Liability
• Comp / Collision
Speeding Violation-Minor
Allstate
$245
Dodge Dart SXT
• 50,000/100,000 Liability
• Comp / Collision
Suspension
Gainsco
$248
Chevrolet Malibu LT
• State Minimum Liability
• Comp / Collision
Wrong Way/Wrong Lane
Dairyland
$147
Lincoln MKZ
• State Minimum Liability
Refusal to submit to chemical test
Travelers
$232
Hyundai Sonata GLS
• 100,000/300,000 Liability
• Comp / Collision
coverageLast Updated Feb 19, 2024

How to find cheap Alabama car insurance after a car insurance lapse

Like a safe driving streak, an unbroken car insurance history can net you cheaper rates. Unfortunately, even if you have a good reason, any
car insurance lapse will change your rates
for the worse.
Not only does Jerry provide payment reminders, but it can also send you renewal reminders (and an up-to-date cost comparison) ahead of your auto insurance policy’s expiration date.
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Adeline (25 years old)
Currently Insured
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
locationValley, AL
$160
per month
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Leila (39 years old)
Not Currently Insured
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
$232
per month
card cover
Maude (46 years old)
Currently Insured
coverageCoverage
State Minimum
$76
per month
card cover
Effie (37 years old)
Not Currently Insured
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$130
per month
card cover
Lina (39 years old)
Currently Insured
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$118
per month
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Bobby (37 years old)
Not Currently Insured
coverageCoverage
State Minimum
locationWedowee, AL
carGMC Acadia SLE
$121
per month

How to find cheap Alabama car insurance with a low credit score

A high credit score tells car insurance companies you have a history of paying your bills. And because insurance providers are allergic to risk, they’re usually happy to throw lower rates your way. 
However, you’re not out of luck with a low credit score. To help you deal with the higher rates that drivers with poor credit typically find, Jerry partners with companies who work with Alabama drivers with a credit score of 550 or less:
Credit RangeInsurance CompanyPremium (monthly)CustomerCarInsurance Coverage
> 750
Progressive
$128
GMC Terrain Denali
• State Minimum Liability
• Comp / Collision
660 - 750
Allstate
$123
Toyota Corolla L
• 50,000/100,000 Liability
• Comp / Collision
550 - 659
Travelers
$178
Honda Civic Sport
• 50,000/100,000 Liability
• Comp / Collision
< 550
Clearcover
$195
Lexus RX 350
• 100,000/300,000 Liability
• Comp / Collision
coverageLast Updated Feb 23, 2024

Over 3,500,000 customers and counting

We’ve earned an App Store rating of 4.7 stars for all we do to make car ownership easier.
Progressive
Progressive is a great insurance company. Very pleased so far
Julie
Travelers
Always friendly and ready to help
Lauren
Progressive
Very quick and easy process and saved me over $150. Thanks Jerry!
Tristin
Gainsco
"I am flabbergasted by the fine work that Gainsco has offered me! I am satisfied with the coverage & I highly recommend Gainsco"
Bobbie

How to find cheap auto insurance in Alabama for your age

Car insurance rates follow an inverse bell curve—they start high when you’re a new teen driver, drop in the middle, and rise again as you age. So, if you’re in the sweet spot between 25 and 75 years old, enjoy the savings! If not, read on.

The best car insurance companies in Alabama for young drivers

New drivers have empty, unproven driver profiles. And because teen drivers between the ages of 16-19 are the most likely to be involved in a car accident, they pay the highest rates of any age group.
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Sophia (23 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$116
per month
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David (23 years old)
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
locationMarbury, AL
carChevrolet Silverado K1500 Custom
$193
per month
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Walter (23 years old)
coverageCoverage
State Minimum
$312
per month
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Derek (23 years old)
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
$185
per month
card cover
Gainsco
Roxie (23 years old)
coverageCoverage
State Minimum
$185
per month
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Clearcover
Celia (23 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$90
per month

The best car insurance companies for senior drivers in Alabama 

While older drivers have experience on their side, they’re also prone to vision and hearing losses as they age. Add this to the fact that they’re more likely to suffer severe injuries in a car accident, and you have a formula for higher premiums. 
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Donald (72 years old)
coverageCoverage
State Minimum
locationNauvoo, AL
carChevrolet Trax 1LT
$143
per month
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Mildred (65 years old)
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
$118
per month
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Jeffery (72 years old)
coverageCoverage
State Minimum
carChevrolet Impala Limited LT
$119
per month
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Clearcover
Garrett (65 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$131
per month
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Luella (66 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$222
per month
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Bill (67 years old)
coverageCoverage
State Minimum
locationGrand Bay, AL
$79
per month

How to find car insurance discounts in Alabama for your motor vehicle

It should come as no surprise that sports cars, luxury SUVs, and other high-end motor vehicles are more expensive to insure. Just check out the difference between the
insurance costs of a Honda Civic LX
and a
Civic Sport Touring
! It’s all in the materials—Alcantara upholstery and zebrawood inlay might look nice, but they’re pricey to repair. 
To save, find a ride with cheap repair costs, a good security system, and excellent safety ratings. You may also earn an insurance discount by installing a
vehicle anti-theft device
The roads in the state of Alabama are dominated by five models:
Popular and dependable, you can be sure that parts for these cars will almost always be available. Pair them with a car insurance policy from Jerry and you’ve got a ride that won’t break the bank.
Popular CarInsurance CompanyPremium (monthly)CustomerInsurance Coverage
Chevrolet Silverado C1500Progressive
$148
• 50,000/100,000 Liability
• Comp / Collision
Ford F-150 Heritage ClassicProgressive
$97
• State Minimum Liability
Toyota Camry LAllstate
$180
• State Minimum Liability
• Comp / Collision
Toyota RAV4 XLE
Clearcover
$86
• 50,000/100,000 Liability
• Comp / Collision
GMC Sierra K1500 AT4Travelers
$133
• 100,000/300,000 Liability
• Comp / Collision
coverageLast Updated Feb 20, 2024

Is it cheaper to insure a new car or a used car?

Generally, new cars cost more to insure than old cars. Modern vehicles feature sophisticated technology that creates a huge difference between the
insurance costs of a 2023 Ford F-250
and a model from ten years ago. The rising cost of materials and supply chain issues have only made repairs more expensive. 
On the plus side, we can now use technology to find and compare car insurance quotes without much effort.
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Bernard (33 years old)
2001 Chevrolet Silverado C1500
coverageCoverage
State Minimum
locationGoodwater, AL
$77
per month
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Russell (41 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
locationMunford, AL
$84
per month
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Alta (42 years old)
coverageCoverage
State Minimum
$70
per month
card cover
Ryan (30 years old)
2002 Chevrolet Tahoe C1500
coverageCoverage
State Minimum
locationTrafford, AL
$79
per month
card cover
Clearcover
Celia (23 years old)
coverageCoverage
50,000 per person
100,000 per accident bodily injury
Comp / Collision
$90
per month
card cover
Mark (37 years old)
2003 Dodge Dakota Quad SLT
coverageCoverage
100,000 per person
300,000 per accident bodily injury
Comp / Collision
$182
per month

How to find cheap car insurance in Alabama in your city

Chances are you’ve heard that the insurance rates in
Huntsville
,
Birmingham
, and
Montgomery
are abysmal. But we’ll bet you haven’t heard a peep from the folks in
Cusseta
—did you even know there was a Cusseta, AL? That’s because sedate country towns have lower accident rates, lower crime rates, and lower car insurance rates.
Take a look at the table below to see what you could be saving across the state of Alabama:
CityCustomerInsurance CompanyPremium (monthly)CarInsurance coverage
Montgomery, AL
Leo, 55
Progressive
$148
Toyota Camry CE
• State Minimum Liability
• Comp / Collision
Birmingham, AL
Charles, 35
Safeco
$81
Jeep Grand Cherokee Limited
• State Minimum Liability
• Comp / Collision
Mobile, AL
Adelaide, 43
Nationwide
$124
Mercedes-Benz C 300
• 100,000/300,000 Liability
• Comp / Collision
Foley, AL
Jonathan, 27
Allstate
$245
Dodge Dart SXT
• 50,000/100,000 Liability
• Comp / Collision
Gardendale, AL
Alta, 30
Clearcover
$95
Hyundai Elantra GLS
• State Minimum Liability
• Comp / Collision
Montgomery, AL
Gilbert, 33
National General
$144
Hyundai Sonata GLS
• State Minimum Liability
• Comp / Collision
Hoover, AL
Gertrude, 26
Bristol West
$120
Hyundai Veloster
• No Coverage Liability
Irondale, AL
Mittie, 32
Gainsco
$108
Volvo S60 T5
• State Minimum Liability
Gadsden, AL
Emily, 31
State Auto
$156
Nissan Rogue S
• State Minimum Liability
• Comp / Collision
Decatur, AL
Troy, 71
Commonwealth Insurance
$139
Audi A4 2.0T Cabriolet
• 30,000/60,000 Liability
Birmingham, AL
Ada, 34
Dairyland
$247
Nissan Sentra S
• 50,000/100,000 Liability
Montgomery, AL
Callie, 38
The General
$92
KIA Optima LX
• State Minimum Liability
Birmingham, AL
Myrtie, 26
Assurance America
$68
Lexus RX 330
• State Minimum Liability
coverageLast Updated Feb 22, 2024

How to lower the cost of car insurance in Alabama

Now that we’ve examined why your insurance premiums are high, it’s time to explore what you can do about it. To cut your bills month after month, Jerry’s insurance agents recommend:
  1. Comparison shopping: As we’ve said, there’s an ideal auto insurance company for every driver. You won’t know if you’ve got the right one until you
    shop around
    and take a look.
  2. Bundling insurance products: What do you get when you
    bundle your car and home insurance
    together? If they’re from the same company, you get an insurance discount!
  3. Looking for
    car insurance discounts
    : Speaking of discounts, there are plenty to find. See whether your insurance provider has a program for students, veterans, or military members by giving them a call.
  4. Increasing your deductible: The more you agree to pay upfront after an accident, the less you’ll have to pay month-to-month.
  5. Changing your payment methods: Pay your bills in one to four lump sums and you’ll cut the cost of your annual premiums.
  6. Taking a defensive driving course
    : Not only can a state-approved defensive driver course remove demerit points from your record, but it can also lower your monthly premiums.
  7. Buying a used car: Pick a dependable classic with cheap repairs and low insurance costs, and you’ll enjoy many years of savings.

Why is car insurance so expensive in Alabama?

It’s not your imagination: auto insurance rates are going up. Here are a few reasons why Alabama drivers are feeling squeezed for cash: 
  • Higher premiums nationwide: Auto insurance is the fastest-growing motor vehicle-related expense. Between 2012 and 2022, the national average auto insurance rate rose by 52%.
  • Higher motor vehicle fatality rates: In 2021, the US Department of Transportation reported 19.5 deaths per 100,000 residents in Alabama. Fatalities cause millions of dollars in damages to both human lives and property.
  • More drivers per capita: Alabama has the third-highest number of licensed drivers per driving age population, which leads to more congestion.
More expensive medical care: The cost of medical care is rising and taking car insurance premiums with it. Not only that, but the severity of crash injuries has also increased, as more drivers fall prey to road rage and distraction.

FAQs

The average cost of car insurance in Alabama per month in May 2023 was ${dynamic} for a minimum-coverage policy and ${dynamic} for a full-coverage policy. This was slightly higher than the national average auto insurance rate.
Car insurance costs slightly more than the national average auto insurance rate in Alabama. In 2023, Jerry’s research found that Alabama drivers were paying ${dynamic} per year for a minimum coverage policy and ${dynamic} per year for a full-coverage policy. For comparison, the national average insurance cost was $1,672 per year for a full-coverage policy.
Yes, you need car insurance in Alabama to legally drive a motor vehicle. Driving without liability coverage is punishable by a $500 – $1,000 fine, the suspension of your vehicle registration, the suspension of your driver’s license, and jail time. Repeated offenses may lead to an SR-22 filing requirement.
High crash fatality rates and an extremely high number of drivers on the road contribute to Alabama’s high insurance rates.
Car insurance generally
follows the car, not the driver
, in Alabama. Your liability, comprehensive, and collision insurance all follow the insured vehicle—but medical payments coverage or personal injury protection (PIP) follow the driver, even when you’re not in your vehicle.
In Alabama, as elsewhere, full coverage car insurance typically refers to a policy that includes some amount of comprehensive and collision coverage along with mandatory liability coverage. A full coverage policy may also include additional coverage, such as
uninsured motorist coverage
or medical payments coverage.
Driving without insurance in Alabama can land you with fines up to $1,000, suspension of your license and registration, and even jail time.

Methodology

The Insurance Research Team analyzes insurance products and services to drive insights and help consumers make informed purchase decisions. 
Insurance research: We analyzed over 25 million car insurance quotes; conducted the largest insurance shopping survey (over 15,000 customers surveyed and 85 carriers reviewed in the past 18 months). 
We surveyed insurance policyholders for their experience with their insurers in the following areas: (1) insurance cost (2) customer service (3) insurance buying experience (4) insurance renewal experience (5) claim experience. In addition, we asked people what they like about their insurers and what areas in which their insurers could improve. The driver characteristics used in calculating average rates for auto insurance include: single driver, single car, currently insured, clean driving record.  
For the quotes and sold policies included in this article, please note that personal information has been hidden. Not all customers find savings. 
Team: The team consists of licensed insurance agents, insurance industry veterans, and data scientists.

Meet our Experts

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R.E. Fulton
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Licensed Insurance Agent —Senior Content Writer
R.E. Fulton is an expert insurance writer specializing in car ownership topics from car shopping and loan advice to insurance and repair guides. R.E.’s mission is to create unique and accessible content that helps readers to become more successful and independent car owners. R.E. has written and edited over 900 high-performing articles for Jerry, with an average of 1 million+ views.
As a senior writer on Jerry’s editorial team, R.E. draws on over 10 years of experience as a professional writer and digital publishing specialist. Prior to joining Jerry’s editorial team in 2021, R.E. worked as a writing coach at Columbia University, the Rochester Institute of Technology (RIT), and the University of Rochester. They serve as a managing editor for peer-reviewed history publication Nursing Clio, where their work has appeared regularly since 2015.
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Lina Zhang
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Licensed Insurance Agent
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Licensed in 50 states and Washington DC
Lina Zhang is Vice President of Operations at Jerry. She helped to found Jerry in order to take the confusion and mystery expenses out of car ownership and help drivers achieve financial success. Leading a global team responsible for operations, talent acquisition, legal, and content, Lina has been a key contributor to the AllCar™ app’s 10x growth in its first year of operation. Prior to Jerry, Lina and her Jerry co-founders, Art Agrawal and Musawir Shah, created YourMechanic, the largest on-demand car repair services provider. In one year, Lina built and scaled YourMechanic operations from just five markets to more than 50. The trio left YourMechanic to incubate Jerry at Y Combinator in 2017. Lina’s previous roles include intellectual property attorney at Morrison & Foerster LLP and a biomedical researcher at Stanford University.
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Josh Damico
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Head Of Insurance Operations
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18+ Years Experience in Insurance
Josh Damico is Jerry’s vice president of insurance operations and a licensed insurance professional with nearly two decades of experience in the industry. Previously, Josh held executive roles at Geico, where he had vast regional oversight and leadership opportunities.  He holds a bachelor’s degree in business administration and management from Medaille College, and has appeared on news channels including FOX and CBS to offer insurance expertise and tips to drivers across the country. His work has appeared in Business Insider, Kelley Blue Book, and Digital Insurance and been quoted in The Balance, GOBankingRates, and Inspiring Workplaces.
*Illustration only. For all the pricing information presented in this article (including various tables), please note that not all customers find savings and the information is for illustrative purposes only. Savings depend on type of car, location, policy features, driving history and other factors. Drivers who switch through Jerry save over $70/month on average.