Cheapest car insurance in Alabama

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Nationwide provides the cheapest car insurance in Alabama at about $1,007 a year. Your specific rates may vary, but the average car insurance premium in Alabama is $129 per month, according to Insure.com’s rate analysis.

Car insurance is a legal requirement in most states, and Alabama is no exception. Alabama drivers are required to carry at least the minimum amount of liability coverage—$25,000 of personal property coverage per person, $25,000 for bodily injury per person and $50,000 for bodily injury per accident.

However, many drivers choose to purchase full coverage car insurance, which provides additional protection in the event of an accident.

The top 3 cheap car insurance in Alabama

Cheapest overall: Nationwide

$1,007/year

National avg. rate

Cheapest for at-fault accident: Nationwide

$1,610/year

Avg. rate after an at-fault accident

Cheapest for speeding ticket: Nationwide

$1,242/year

Avg. rate after speeding ticket

Cheapest car insurance in Alabama by company

Nationwide offers the cheapest car insurance in Alabama an average of $1,007 per year. It’s 35% less expensive than the average car insurance cost in Alabama. The rates will vary based on factors such as your driving history, age, ZIP Code and the make and model of your car.

When shopping for auto insurance, compare rates from multiple companies to make sure you’re getting the best deal.

Below are the annual rates for car insurance from the cheapest car insurance companies.

How we choose the cheap car insurance companies in Alabama

40+

Carriers reviewed

56M+

Quotes analysed

29K+

Cities examined

34K+

ZIP codes examined

Cheapest ZIP codes for car insurance in Alabama

36507 ZIP code in Alabama has the cheapest auto insurance cost at an average price of $1,385 annually. Know the cheapest ZIP codes for car insurance in Alabama below.

Cheapest car insurance in Alabama by age

Young drivers in Alabama tend to pay higher insurance rates than adult drivers because they are more likely to get into accidents and file claims on their insurance policy. A 16-year-old driver pays 365% more than a 40-year-old mature driver in Alabama, based on Insure.com’s analysis.

The table below shows the cheapest car insurance rates for drivers of different ages:

Read our Guide to car insurance for teens for more information

Cheapest car insurance in Alabama by driver history

Your driving history is one of the main factors insurers look at when considering insurance rates. If you are responsible for a car accident or convicted of a driving infraction, your auto insurance premiums will likely increase. However, if you have a clean driving record, insurance companies see you as a low-risk driver and you are likely to get cheap car insurance.

Cheapest car insurance after a speeding ticket in Alabama

Here is the list of the top 3 companies that offer cheap car insurance after a speeding ticket:

• Nationwide: $1,242 per year
• USAA: $1,324 per year
• Allstate: $1,724 per year

A single speeding ticket can increase your rates by 28% or $442 in Alabama, based on Insure.com data.

Getting a speeding ticket is never any fun. You will have to pay a fine, and your insurance rates may go up.

But if you’re looking for the cheapest car insurance costs in Alabama, below are the insurers that offer cheap car insurance after a speeding ticket.

Cheapest car insurance after an accident in Alabama

Here is the list of the top 3 companies that offer cheap car insurance after an accident:

• Nationwide: $1,610 per year
• USAA: $1,739 per year
• Travelers: $1,856 per year

Nationwide offers the cheapest car insurance rates to drivers after an at-fault accident at about $1610 a year. 

No one plans on getting into a car accident, but unfortunately, they happen. If you are in an accident and are at fault, you will probably see your car insurance premiums increase. However, this does not mean you can’t shop around to find the best rates.

Below, you’ll see which companies have cheap car insurance for drivers with one accident on their record.

Cheapest car insurance after a DUI conviction in Alabama

Here is the list of the top 3 companies that offer cheap car insurance after a DUI conviction:

• State Farm: $1,849 per year
• Nationwide: $2,015 per year
• Travelers: $2,015 per year

If you’ve recently been convicted of a DUI, you may wonder how it will affect your car insurance rates. Most insurers will view you as a high-risk driver and will charge you higher rates.

The table below shows the insurance companies offering cheap car insurance rates to drivers after a DUI conviction.

Average car insurance cost in Alabama

Full coverage insurance costs more than minimum liability insurance, but the extra cost is worth it for most drivers. The average cost of full coverage car insurance in Alabama is 8% less than the national average car insurance rates in the U.S.

There are different full coverage limits that a driver can purchase. However, Insure.com editors recommend that every driver should carry 100/300/100 coverage limits.

What is full coverage car insurance in Alabama?

Full coverage car insurance includes bodily injury liability and property damage liability coverage, as well as comprehensive and collision coverage, according to the Insurance Information Institute (III). Collision insurance covers your vehicle if it’s damaged or destroyed in an accident, while comprehensive insurance provides protection against damage that is caused by something other than collisions, such as weather or theft.

If you lease or finance your car in Alabama, your lender may ask you to purchase collision and comprehensive insurance beyond the state-mandated liability coverage. Every state except New Hampshire and Virginia requires drivers to get liability coverage, while comprehensive and collision coverage are optional. However, in Virginia, you have to pay an uninsured motorist fee of $500.

Final thoughts

When it comes to car insurance, everyone is always looking for ways to save. However, skimping on coverage to save a few dollars now could end up costing you dearly down the road.

Make sure you’re adequately protected and take into account your specific needs before buying an auto insurance policy. Car insurance rates vary, so make sure to compare insurance rates from various car insurance companies to get the cheapest car insurance coverage in Alabama

Source:

Insurance Information Institute. “What is auto insurance.” Accessed August 2022.

Methodology

Insure.com gathered the auto insurance rates with the help of Quadrant Information Institute. We collected full coverage car insurance rates from major insurance companies for multiple ZIP codes across Alabama.

The full coverage auto insurance rates are based on a sample driver profile of a 40-year-old man with a clean driving record and good credit score.