costs an average of $2,092 per year or $174 per month.
Companies like National General, Nationwide, and Clearcover offer cheap rates for full-coverage auto insurance for many Alabama drivers.
Alabama’s high rate of accident fatalities and high rate of uninsured drivers make additional coverage necessary.
If you loan or lease your car, your bank or lender will require you to have a full-coverage auto policy.
Once your car insurance payments meet or exceed the value of your car, you may be able to save money by dropping full coverage.
How to get the best full coverage car insurance in Alabama
Finding a car insurance policy that meets your coverage needs and budget can be tricky. That’s why we recommend shopping around and comparing quotes from multiple insurance providers before making your decision—it’s the easiest way to find the right full-coverage auto insurance policy.
The table below shows average rates for full coverage from five of the best cheap car insurance providers in Alabama:
Methodology: How did we pick these five companies?
To narrow down the cheapest car insurance companies offering full coverage insurance in Alabama, Jerry experts spent over 200 hours analyzing data from more than 25 million real car insurance quotes from the past year. The companies listed above offered the lowest average rates for full coverage auto insurance policies for drivers in Alabama with a
in addition to liability coverage. Together, they cover physical damage to your car from car accidents, theft, vandalism, severe weather events, animals, fire, and more.
How much coverage do you need? Alabama minimum requirements for liability car insurance are about average compared to most states, but it’s often insufficient if you’re involved in an actual at-fault accident. Most drivers need at least $50,000/$100,000 of bodily injury liability coverage, $50,000 of property damage liability coverage, and enough collision and comprehensive insurance to replace their vehicle if it were totaled.
The secret to finding the best full coverage auto insurance company
As convenient as it would be, no single car insurance provider will offer the best rate on a full coverage policy for every Alabama driver. When
, insurers consider your entire driver profile, from your age and location to your driving record and vehicle make and model.
And every insurance provider uses a different algorithm to calculate your premium—so the best car insurance company won’t be the same for every driver.
Some drivers may find the cheapest Alabama auto insurance coverage with the biggest insurance companies—
is a good place to start, but it often won’t provide enough financial protection if you’re involved in an accident. Here’s why additional coverage—including comprehensive and collision coverage—is a must for Alabama drivers:
High accident fatality rate: Alabama has witnessed a huge spike in traffic fatalities from 2019 to 2022, rising by nearly 6%. There was also a 7% increase in the fatality rate per 100 million vehicle miles traveled (VMT), increasing from 1.3 to 1.39.
High auto theft rates: According to statistics published by the III, there were 7,308 auto thefts in 2021. However, there was a 7.5% decrease in auto crimes between 2019 and 2020.
High number of uninsured drivers: According to information from the Insurance Information Institute (III), 19.5% of drivers on Alabama roads in 2019 were uninsured—which has likely increased since.
or lease, your bank or lender will likely require you to maintain coverage for physical damages (collision and comprehensive) in addition to the minimum liability coverage limits for the duration of your loan or lease.
Do you need no-fault insurance in Alabama?
No—Alabama is not a no-fault state, and motorists are not required to have no-fault insurance, i.e., personal injury protection (PIP). In fact, Alabama insurers don’t even offer it.
. It’s similar to PIP in that it covers medical expenses for you and your passengers after an accident, regardless of fault, but it can often be cheaper.
isn’t required by law in Alabama, but with nearly 19.5% of drivers on the road not having insurance, it’s a good coverage to have.
If you’re involved in an accident with someone who doesn’t have insurance—or doesn’t have enough insurance to cover your costs—UM/UIM helps cover the costs of medical expenses for you and your passengers.
Do you need gap coverage in Alabama?
Gap (or Guaranteed Asset Protection) insurance isn’t legally required for Alabama drivers, but if you have an outstanding car loan, it might be wise to invest in it.
When you purchase a new car, you’ll automatically owe more on your loan than the car is worth—this is usually the case for the first few years. If you’re in an accident and your car is totaled, gap insurance bridges the gap between the
of your car at the time of the incident and your loan balance.
Should you drop full coverage in Alabama?
A full coverage auto insurance policy adds an extra layer of protection while on the road, but it might not be suitable for every driver. You should only drop full coverage in Alabama if:
When the cost to maintain car insurance meets or exceeds your car’s value
You can afford to replace your vehicle in the event of a total loss (or cover repairs if there’s significant damage)
You don’t carry a loan or lease on your vehicle
The average cost of minimum coverage insurance in Alabama is about $1,340 per year—more than $700 less than a full coverage auto policy. But full coverage isn’t for every Alabama driver.
from Alabama’s best full coverage car insurance companies. As a licensed broker serving over 4 million policyholders nationwide, Jerry helps you find the right policy at the most affordable price in seconds—completely hassle-free.
FAQs
How much is full coverage in Alabama?
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The average cost of full coverage car insurance in Alabama is $2,092 per year. Good drivers with a clean driving history, middle-aged and senior drivers, and those living in rural areas will find the lowest rates for full coverage auto insurance. Young drivers and
require drivers to have a minimum of $25,000/$50,000 of bodily injury liability coverage and $25,000 of property damage liability insurance, but it’s recommended to increase your liability limits and invest in additional coverage.
The best car insurance coverage in Alabama would have liability limits of $50,000/$100,000 of bodily injury liability insurance, $50,000 of property damage liability insurance, and enough collision and comprehensive coverage to replace your vehicle if it was totaled. Consider adding gap insurance or roadside assistance to your full coverage policy for even more protection.
What is the average cost of car insurance in Alabama?
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The average cost of car insurance in Alabama is $1,340 for minimum coverage liability and $2,092 for a full coverage policy. Drivers under 25 and those considered high-risk will see the highest rates in Alabama.
What is the most affordable full coverage in Alabama?
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Higher limits typically mean greater protection for you and your vehicle, but when it comes to affordability, the
in Alabama will have moderate liability limits (such as 50/100/50) and enough collision and comprehensive coverage to pay for the cost of replacing a totaled vehicle.
Comparing insurance quotes is the best way to find the most affordable car insurance rate. You can also ask about
State Farm has the largest market share of any insurance company in Alabama, but there might be better options for some auto owners. According to Jerry’s customer satisfaction survey, Assurance America and National General both received excellent feedback and may offer cheap auto insurance for drivers looking for full coverage.
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