Best Car Insurance in Alabama
Last Updated on May 21, 2021
Alabama drivers pay competitive rates for car insurance. In fact, Alabama sits squarely in the middle of the country in terms of average car insurance premiums. The average American pays around $1,400 per year for full coverage car insurance, and the average driver in Alabama pays around $1,456 per year, according to our model driver portfolio.
By comparing quotes online today, you can get the best car insurance in Alabama. Today, we’re recommending the best car insurance companies in Alabama for drivers with all different needs.
Table of Contents
- Best Auto Insurance Companies in Alabama
- Alabama Auto Insurance Requirements
- Driving Without Insurance in Alabama
- Car Insurance in Alabama with a DUI
- Car Insurance in Alabama with At-Fault Accidents
- Car Insurance in Alabama with Speeding Tickets
- Car Insurance in Alabama for Young Drivers
- Car Insurance in Alabama with Poor Credit
- SR-22 Insurance in Alabama
Top 10 Auto Insurance Companies in Alabama
Plenty of nationwide insurance companies and smaller firms serve drivers in Alabama. You have options. Consider any of the following insurance companies in Alabama when comparing quotes today:
USAA is often the cheapest insurance company in the country, including in Alabama. If you qualify for membership, then you could pay as little as $787 per year for full coverage car insurance in Alabama. USAA membership is restricted to members of the military and their families.
|Company Address||9800 Fredericksburg Road
San Antonio, TX 78288
Travelers offers competitive prices across Alabama, charging drivers roughly $891 per year for coverage, nearly $500 lower than the statewide average. Travelers is popular in both rural and urban areas of the state, although drivers in urban areas generally pay more for car insurance.
|Company Address||485 Lexington Ave 10th Fl
New York, NY 10017
GEICO is America’s second-largest insurance company. In Alabama, GEICO charges drivers around $898 per year for full coverage car insurance, making them one of the best options in Alabama, especially for drivers interested in dealing with a large, nationwide insurance company.
|Company Address||5260 Western Avenue
Chevy Chase, MD 20815
Allstate is a competitively-priced insurance company available in all 50 states – including Alabama. Allstate charges drivers around $923 per year for full coverage car insurance in Alabama, making them one of the best-value options in the state.
|Company Address||2775 Sanders Road
Northbrook, IL 60062
5. COUNTRY Financial
Although not as well-known as other companies on this list, COUNTRY Financial is popular among rural and urban areas of Alabama. Also known as COUNTRY, COUNTRY Financial charges around $1,225 per year, according to our model driver profile.
|Company Address||701 Towanda Ave
Bloomington, IL 61701
|Phone Number||1 (866) 268-6879
Progressive charges $1,365 per year for full coverage car insurance, making the company slightly cheaper than Alabama’s statewide average.
|Company Address||6300 Wilson Mills Road
Mayfield Village, OH 44143
Nationwide is popular throughout big cities and small towns in Alabama, where drivers pay around $1,436 per year for full coverage car insurance.
|Company Address||One Nationwide Plaza
Columbus, OH 43215
8. State Farm
State Farm is America’s largest property and casualty insurance company, so it makes sense the company has a strong presence in Alabama. State Farm charges roughly $1,462 per year for full coverage car insurance in Alabama.
|Company Address||1 State Farm Plaza
Bloomington, IL 61701
Cincinnati is available throughout Alabama, serving small towns and large cities throughout the state. Expect to pay as little as $1,123 per year with Cincinnati, although the average driver pays close to $1,500 per year.
|Company Address||6200 S. Gilmore Road
Fairfield, OH 45014
10. Liberty Mutual
Liberty Mutual is rarely the cheapest insurance company in Alabama, although the company does have great ratings for claims satisfaction and customer service. Many Liberty Mutual members are willing to pay slightly higher rates for significantly better coverage. Expect to pay around $2,021 per year for full coverage car insurance in Alabama with Liberty Mutual.
|Company Address||75 Berkeley Street
Boston, MA 02116
Alabama Insurance Requirements
Alabama’s Department of Insurance requires drivers to maintain specific minimum limits to legally drive. You can exceed these limits for added protection. Any insurance policy you buy in Alabama will (at least) match these minimum requirements:
- $25,000 of bodily injury liability coverage per person
- $50,000 of bodily injury liability coverage per accident
- $25,000 of property damage liability coverage
Insurance companies may express this policy as a 25/50/25 plan.
Alabama has a relatively high rate of uninsured motorists. Many drivers choose to carry uninsured motorist coverage for added protection. However, Alabama does not require you to carry it.
Driving Without Insurance in Alabama
Alabama is one of the worst states for uninsured motorists. To target the problem, Alabama passed the Mandatory Liability Insurance Act (MLI), requiring drivers to maintain minimum liability coverage at all times when driving on public roads.
If you are caught driving without insurance in Alabama, then you will face a range of penalties, including:
First Offense: Fine up to $500, up to 3 months in prison, suspension of vehicle registration for 45 days, vehicle impoundment, a $200 registration reinstatement fee, and SR-22 requirement for one year after reinstatement.
Second and Subsequent Offenses: Fine up to $1,000 (or $3,000 if charged with a Class B misdemeanor), up to 6 months in prison, suspension of driver’s license for 6 months, suspension of vehicle registration for 4 months, vehicle impoundment, a $400 registration reinstatement fee, and SR-22 requirement for 3 years after reinstatement.
Typically, you are charged with a Class C misdemeanor if caught driving without insurance in Alabama for the first time. A second offense is considered a Class B misdemeanor, which means higher charges and more severe penalties.
For all of these reasons, it’s crucial you maintain minimum car insurance requirements in Alabama.
Car Insurance in Alabama with DUI
A DUI always increases car insurance rates. However, some insurers treat DUIs more seriously than others. If you have one or more DUIs on your record, then request a quote from any of the following Alabama insurance companies:
- State Farm: $1,898 per year
- GEICO: $1,921 per year
- Progressive: $1,934 per year
- Country Financial: $2,002 per year
- Allstate: $2,021 per year
Car Insurance in Alabama with At-Fault Accidents
A single at-fault accident in Alabama could cause car insurance to rise 50% or more. However, some insurers have accident forgiveness and other policies that reduce the potential cost of an at-fault accident. Request a quote from any of the following companies of you recently caused an accident in Alabama:
- USAA: $1,453 per year
- GEICO: $1,521 per year
- State Farm: $1,622 per year
- Allstate: $1,710 per year
- Progressive: $1,897 per year
Car Insurance in Alabama with Speeding Tickets
Many drivers are surprised to see insurance premiums increase after a single speeding ticket. One or more speeding tickets could increase car insurance premiums. However, some insurers ignore a single speeding ticket, which means you can continue paying low rates. The best car insurance companies in Alabama for speeding tickets include:
- USAA: $992 per year
- Nationwide: $1,068 per year
- GEICO: $1,019 per year
- Allstate: $1,023 per year
- State Farm: $1,081 per year
Car Insurance in Alabama for Young Drivers
Insurers charge higher rates to young drivers because they’re the riskiest drivers to insure, according to statistics.
As a driver under age 25, you’re more likely to cause an accident than drivers in any other age group or demographic. However, some car insurance companies welcome young drivers to balance out their pool. Consider the following companies if shopping for car insurance as a young driver in Alabama:
- USAA: $1,531 per year
- GEICO: $1,729 per year
- State Farm: $1,821 per year
- Country Financial: $2,067 per year
- Travelers: $2,102 per year
Car Insurance in Alabama with Poor Credit
Alabama insurance companies are legally allowed to consider credit scores when calculating premiums. Drivers with bad credit scores will pay much higher rates for car insurance than drivers with good credit scores. Statistically, a driver with a bad credit score is more likely to miss payments and cause an accident, which is why insurers consider credit score in rankings.
However, not all insurance companies treat credit score equally. Consider any of the following insurance companies if you have a bad credit score:
- GEICO: $1,809 per year
- USAA: $1,901 per year
- Progressive: $2,528 per year
- State Farm: $2,532 per year
- Nationwide: $2,789 per year
SR-22 Insurance in Alabama
Certain high-risk drivers in Alabama may need SR-22 insurance. SR-22 insurance is not technically insurance: it’s a certificate proving you have insurance.
After causing an accident, being convicted of a DUI, or committing other serious driving offenses, you may need an SR-22 certificate. The Alabama DMV will notify you if you need SR-22 insurance.
You can obtain SR-22 insurance in Alabama from any major insurance company. All insurance companies charge higher rates for SR-22 insurance because it’s associated with high-risk driving behavior. You may want to obtain an SR-22 certificate from your current insurer. Or, you could compare quotes online to find the best SR-22 insurance provider in Alabama.
The average cost of an SR-22 in Alabama is around $2,568 per year. It increases the average premium by over $1,000. You can expect to pay much higher rates if you are required to obtain SR-22 insurance.
You must maintain SR-22 insurance for 1 to 5 years, depending on your type of driving offense. Generally, drivers must maintain SR-22 insurance for 3 to 5 years before regaining ordinary car insurance status.
Conclusion: How to Find the Best Auto Insurance in Alabama
Finding the best car insurance in Alabama is easy. Whether you live in an urban or rural area of the state, you can find plenty of competitively-priced car insurance companies who can provide cheap premiums, good claims satisfaction, and strong customer service, among other perks.
To find the best car insurance in Alabama, consider any of the companies listed above.