Cheapest car insurance in Alabama

Why you can trust Insure.com

Quality Verified

At Insure.com, we are committed to providing the timely, accurate and expert information consumers need to make smart insurance decisions. All our content is written and reviewed by industry professionals and insurance experts. Our team carefully vets our rate data to ensure we only provide reliable and up-to-date insurance pricing. We follow the highest editorial standards. Our content is based solely on objective research and data gathering. We maintain strict editorial independence to ensure unbiased coverage of the insurance industry.

According to Insure.com’s analysis, Nationwide has the cheapest car insurance rates for most drivers in Alabama at $1,345 annually. However, your rates may be higher or lower based on personal factors such as your driving record, ZIP code and vehicle type.

To comply with Alabama’s car insurance laws, drivers must carry at least the minimum liability coverage required. It consists of $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $25,000 for property damage per accident.

However, many vehicle owners prefer to invest in full-coverage car insurance for better coverage and added protection.

Below, you’ll find which insurance companies are the most affordable for different categories.

Cheapest overall: Nationwide

$1,345/year

National avg. rate

Cheapest for at-fault accident: Travelers

$2,026/year

Avg. rate after an at-fault accident

Cheapest for speeding ticket: State Farm

$1,934/year

Avg. rate after speeding ticket

Cheap car insurance companies in Alabama

Nationwide offers Alabama’s most affordable car insurance rates, at $1,345 per year, 28% less than the state’s annual cost. However, your rate may differ based on personal factors like your driving history, ZIP code and vehicle type.

When looking for auto insurance, make sure to compare quotes from at least three different companies to ensure you’re getting the best coverage.

The table below shows the most affordable car insurance companies and their average annual premiums.

*Note: USAA only offers coverage to military members, veterans and their families.

How we choose the cheapest car insurance companies in Alabama

170+

Carriers reviewed

53M+

Quotes analysed

34K+

ZIP codes examined

Cheapest ZIP codes for car insurance in Alabama

The cheapest ZIP code for car insurance in Alabama is 36352, with an average annual cost of $1,640. Find below the most affordable ZIP codes for auto insurance rates in Alabama.

Auto insurance premiums vary significantly from city to city, so drivers need to be sure they’re getting the best deal. Insure.com has done the research for you. Get more information on auto insurance rates by city below.

Cheapest car insurance in Alabama by age

In Alabama, young drivers often face higher insurance premiums than adults due to their higher likelihood of being involved in accidents and filing claims. According to an analysis by Insure.com, a 16-year-old driver pays $5,643 more for insurance than a 40-year-old driver.

Below are the cheapest auto insurance rates for Alabama drivers of different ages.

You might find interesting

• The best, cheapest car insurance in Alabama
• Alabama car insurance calculator
• Non-owner auto insurance in Alabama: Which company has the cheapest rates?
• Cheapest SR-22 insurance in Alabama
• Best and cheapest companies for home and auto bundles in Alabama

Cheapest car insurance in Alabama by driver history

Insurers consider your driving history to be one of the most important factors in setting insurance rates. If you’re involved in an at-fault accident or convicted of a traffic violation, your premiums may increase. On the other hand, having a clean record makes you a low-risk driver and can lead to cheaper car insurance.

Cheapest car insurance after a speeding ticket in Alabama

Here are the top three companies that offer cheap car insurance after a speeding ticket:

• State Farm: $1,934 per year
• Travelers: $2,002 per year
• Nationwide: $2,074 per year

According to Insure.com data, a single speeding ticket can increase your rates by 39% or $734 in Alabama.

Getting a speeding ticket can be costly. You will have to pay a fine, and your insurance rates may go up. If you’re looking for the cheapest car insurance costs in Alabama, below are some insurers that offer cheap car insurance after a speeding ticket.

*Note: USAA only offers coverage to military members, veterans and their families.

Cheapest car insurance after an accident in Alabama

Here are the top three companies that offer cheap car insurance after an accident:

• Travelers: $2,026 per year
• State Farm: $2,151 per year
• Nationwide: $2,235 per year

Travelers offers the cheapest car insurance rates to drivers after an at-fault accident at about $2,026 a year.

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 better rates.

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

*Note: USAA only offers coverage to military members, veterans and their families.

Cheapest car insurance after a DUI conviction in Alabama

Below, you’ll find the top three companies that offer cheap car insurance after a DUI conviction:

• State Farm: $1,934 per year
• Travelers: $2,166 per year
• Nationwide: $2,825 per year

If you’ve 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.

*Note: USAA only offers coverage to military members, veterans and their families.

Average car insurance cost in Alabama

Full coverage insurance typically costs more than minimum liability insurance, but for most drivers, the additional expense is worthwhile. On average, full coverage car insurance in Alabama is $35 less than the national average.

Full coverage limits vary, but getting a policy with limits of 100/300/100 is recommended for added protection.

What is full coverage car insurance in Alabama?

Full coverage car insurance covers bodily injury liability, property damage liability, collision and comprehensive coverage. Collision insurance helps pay for repairs if your car is damaged in an accident, while comprehensive insurance protects against damage from non-collision events like theft or natural disasters.

In Alabama, if you’re leasing or financing your car, your lender might require you to purchase collision and comprehensive insurance on top of the state-required liability coverage.

Final thoughts

When it comes to car insurance, everyone is looking for ways to save on premiums. However, cutting back on coverage to save a little money now could result in much higher costs later.

Before purchasing an auto insurance policy, consider your specific needs to ensure you purchase adequate insurance coverage. Since car insurance rates differ, it’s important to compare quotes from various companies to find the most affordable coverage in Alabama.

Methodology

Insure.com gathered data from Quadrant Information Services to get car insurance rates in Alabama. The rates are based on a sample profile of a 40-year-old male and female driving a Honda Accord LX with a good insurance score and no violation on record for a full coverage insurance policy with limits 100/300/100 and $500 comprehensive and collision deductibles.

We analyzed 53,409,632 insurance quotes from 170 insurance companies across 34,588 ZIP codes nationwide.

To determine car insurance rates for high-risk drivers with a history of traffic violations, we used a sample profile of a 40-year-old male and female driver who own a Honda Accord LX.

We also used sample profiles of drivers from different age groups: Teen drivers (Age 16-19), young drivers (Age 20-24), adult drivers (Age 25-60) and senior drivers (Age 65-75)

We determined the premiums for a high-risk driver with the following incidents applied

1. 1 At-fault property damage accident over $2K
2. 1 At-fault property damage accident under $2K
3. At-fault bodily injury accident
4. Poor credit
5. DUI/DWI first offense
6. Speeding 30+ over limit
7. Speeding ticket 1-10 MPH over limit
8. Speeding ticket 11-29 MPH over the limit

These are sample rates, and your exact rates may vary.

Shivani Gite

Contributing Writer

 

|

 . .

Shivani Gite is a personal finance and insurance writer with a degree in journalism and mass communication. She is passionate about making insurance topics easy to understand for people and helping them make better financial decisions.