)
13+ years writing insurance and personal finance content
Insurance, lending, and retirement expert
Jacqueline has contributed content, and her personal finance passion, to dozens of noteworthy financial brands, including Credit Karma, Bankrate, and MagnifyMoney.
Featured in
Elena Stratoberdha is an Editorial Assistant at Insurify. Before joining the content team at Insurify, Elena earned her bachelor’s degree in English Literature and Writing from Simmons University, where she collaborated as a copy editor and led the layout design for two student-run magazines: Sidelines and MindScope Magazine.
In her free time, Elena enjoys writing creative and short fiction, knitting, running near the beach, and exploring new music genres.
)
Corporate communications director for Insurance Information Institute
20+ years in insurance and communications
As Director, Corporate Communications for Triple-I, Mark serves as the non-profit’s national spokesperson, sharing information and education on a wide array of insurance issues.
)
7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.
Updated
At Insurify, our goal is to help customers compare insurance products and find the best policy for them. We strive to provide open, honest, and unbiased information about the insurance products and services we review. Our hard-working team of data analysts, insurance experts, insurance agents, editors and writers, has put in thousands of hours of research to create the content found on our site.
We do receive compensation when a sale or referral occurs from many of the insurance providers and marketing partners on our site. That may impact which products we display and where they appear on our site. But it does not influence our meticulously researched editorial content, what we write about, or any reviews or recommendations we may make. We do not guarantee favorable reviews or any coverage at all in exchange for compensation.
Table of contents
Car insurance in Alabama is cheaper than the national average. Alabama’s comparatively low population density and its midsize population may contribute to the state’s lower car insurance costs.
On average, Alabama drivers pay $139 per month for full-coverage auto insurance and $59 per month for liability-only coverage.
Comparing rates from several different insurers is the best way to find a policy that meets your coverage needs and budget.
Auto-Owners, State Farm, and USAA offer the cheapest car insurance coverage in Alabama.
A full-coverage car insurance policy costs Alabama drivers $1,673 per year, on average.
The minimum car insurance requirements in Alabama are $25,000 in bodily injury liability per person, $50,000 in bodily injury liability per accident, and $25,000 in property damage liability per accident.
3 of the cheapest car insurance companies in Alabama
Which auto insurance company is right for you will depend on your individual situation and needs. But to help you jumpstart your research, here are the top car insurance companies for Alabama drivers.
Direct Auto
A.M. Best A.M. Best analyzes an insurer’s financials, operating performance, business profile, and other factors to generate an opinion-based rating of a company’s financial and credit strength. Ratings range from A++ (exceptional) to D (poor). | A |
---|---|
IQ Score The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores. | 7.3 /10 |
Liability Only Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages. | $53/mo |
Full Coverage Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible. | $135/mo |
Drivers appreciate the insurer’s helpful customer service and easy-to-use website. But they dislike the frequent and significant rate increases, especially for those with clean driving records. Some also report difficulties with roadside assistance.
Drivers appreciate the insurer’s helpful customer service and easy-to-use website. But they dislike the frequent and significant rate increases, especially for those with clean driving records. Some also report difficulties with roadside assistance.
Terry
March 21, 2025
Poor
Lori
March 20, 2025
Poor
Jeffrey
March 20, 2025
Crazy Rates at Direct
For a little more than 20 years, Direct Auto has specialized in providing insurance for non-standard drivers who may struggle to find affordable coverage elsewhere, and to drivers who need SR-22 certification. The company also provides standard coverage policies. Today, Direct Auto sells car, motorcycle, and term life insurance, car insurance in Mexico, roadside assistance, and vehicle protection plans. Direct Auto operates in just 16 states. The company has an A+ rating from AM Best for financial and credit strength, but nearly 35 times the number of expected complaints in the National Association of Insurance Commissioners (NAIC) Customer Complaint Index.
Drivers 55 and older can qualify for a senior citizen discount by completing an accident-prevention course
Homeowner discounts, multi-policy discounts, and multi-car discounts available
Roadside assistance and emergency protection plans available
Not all products and discounts available in all states
Many negative customer reviews and complaints
May not be the best option for drivers with clean records
National General
User Reviews | 3.4 |
---|---|
IQ Score The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores. | 6.8 /10 |
Liability Only Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages. | $53/mo |
Full Coverage Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible. | $118/mo |
Drivers appreciate the quick and easy setup but are dissatisfied with the frequent and unexplained rate increases. Many find the customer service lacking and the claims process slow.
Drivers appreciate the quick and easy setup but are dissatisfied with the frequent and unexplained rate increases. Many find the customer service lacking and the claims process slow.
Thomas
March 23, 2025
NG Ins - Poor Customer Service
Stephen
March 22, 2025
The little guy is No. 1!
Rich
March 22, 2025
National General
National General is part of Allstate. The insurer offers personal and commercial car insurance, home insurance, renters coverage, and more through a nationwide network of independent agents. National General offers liability, collision, and comprehensive auto insurance. The company has an excellent A- rating from AM Best for financial strength and long-term credit, meaning National General should be able to pay policyholder claims. But the company has nearly six times the expected number of complaints in the National Association of Insurance Commissioners Complaint Index.
Has 24-hour claims processing
Offers $500 emergency expense allowance
Low-mileage drivers could save with DynamicDrive program
Poor customer reviews with Better Business Bureau
Quotes may be higher than some competitors
Bad 1.6/5 Trustpilot score
USAA
User Reviews | 4.9 |
---|---|
IQ Score The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores. | 9.4 /10 |
Liability Only Liability-only insurance, sometimes called minimum-coverage insurance, pays for bodily injury and property damage to others in an accident the policyholder causes. It does not pay for the insured’s own damages. | $36/mo |
Full Coverage Full-coverage car insurance generally includes liability, collision, and comprehensive coverage, and may include other optional coverages such as uninsured motorist coverage. Collision covers a policyholder’s repair or replacement costs in case of an accident. Comprehensive covers damages caused by non-accident events. The average quote displayed here reflects policies with the following coverage limits: $50,000 bodily injury liability per person; $100,000 bodily injury liability per accident; $50,00 property damage liability per accident; $1,000 collision deductible; and a $1,000 comprehensive deductible. | $66/mo |
Customers appreciate the insurer’s reliable customer service and claim handling but express concerns about high rates and frequent price increases. Some also find the insurer’s security protocols and communication methods frustrating.
Customers appreciate the insurer’s reliable customer service and claim handling but express concerns about high rates and frequent price increases. Some also find the insurer’s security protocols and communication methods frustrating.
Philip
March 23, 2025
Fair
Shandra
March 21, 2025
Helpful in Difficult Times
Karen
March 21, 2025
My husband and I have a policy with USSA and our new monthly record has not arrived at our home! The expiration date was 3/15. We need a new record that has been paid for. This is unspeakably rude and dangerous as we are now past due.
USAA exclusively serves current and former members of the military and their immediate families and is still the seventh-largest insurance company in the U.S. by market share. USAA offers banking, investing, and retirement services in addition to numerous insurance products, including auto, homeowners, renters, and more. Auto policyholders can qualify for discounts for bundling, insuring multiple vehicles, and living on a military base. AM Best gives USAA an A++ (Superior) financial strength rating, and the insurer ranked best in most regions in J.D. Power’s Overall Customer Satisfaction Index.
High customer satisfaction
Low premiums
SafePilot program rewards good driving with up to 30% discount
Only available to active-duty military, veterans, military spouses, or children of service members or veterans
No 24/7 customer phone support
Customer reviews are mixed for service and claims processing
How to get the cheapest car insurance in Alabama
Many factors influence how much you pay for car insurance coverage in Alabama. If you’re curious about how to snag affordable car insurance rates in Alabama, consider these insights:
A clean driving record is key — avoid accidents and traffic violations to show insurance companies you aren’t likely to file claims.
Assess whether higher collision and comprehensive deductibles suit your financial situation, as a higher deductible leads to lower premiums.
Maximize savings by bundling multiple policies (like home or life insurance) with a single insurer.
Ask about discounts tied to safety features, like anti-theft devices or airbags.
Shop around and compare quotes from different insurers to see which company can offer you the amount of coverage you need for the best price.
Cheapest liability-only car insurance quotes in Alabama: Auto-Owners
Liability-only coverage ensures protection against liability for injuries and damages you cause to others and excludes coverage for your vehicle and injuries.
This type of insurance typically includes bodily injury liability, covering medical expenses and legal fees resulting from injuries to others, and property damage liability, which handles repairs or replacement of damaged property.
Alabama drivers pay a monthly average of $59 for liability-only insurance.
If you’re interested in finding the insurance companies offering the cheapest average liability insurance policies in Alabama, here are the top insurers in the state.
7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.
Insurance Company | Average Monthly Quote |
---|---|
Auto-Owners | $36 |
State Farm | $36 |
USAA | $36 |
Allstate | $39 |
COUNTRY Financial | $40 |
Travelers | $49 |
National General | $53 |
Direct Auto | $53 |
GEICO | $54 |
Nationwide | $62 |
Progressive | $66 |
Farmers | $67 |
Root | $73 |
Clearcover | $74 |
Bristol West | $86 |
Foremost | $87 |
AssuranceAmerica | $95 |
Hugo | $98 |
Safeco | $99 |
GAINSCO | $103 |
Dairyland | $104 |
Liberty Mutual | $187 |
Cheapest full-coverage car insurance quotes in Alabama: Auto-Owners
Liability-only insurance covers damages and injuries you cause to others, while full-coverage insurance includes additional protection for your vehicle. Full-coverage insurance includes collision and comprehensive coverage, which covers repairs, theft, and non-collision incidents. Full-coverage car insurance is particularly beneficial for drivers with newer or higher-value vehicles.
Full-coverage policies cost $139 per month, on average, for Alabama drivers.
Here are the companies with the cheapest average full-coverage policies in Alabama.
7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.
Insurance Company | Average Monthly Quote |
---|---|
Auto-Owners | $66 |
USAA | $66 |
State Farm | $67 |
Allstate | $72 |
COUNTRY Financial | $73 |
Travelers | $90 |
GEICO | $99 |
Nationwide | $113 |
National General | $118 |
Root | $120 |
Progressive | $121 |
Farmers | $122 |
Clearcover | $135 |
Direct Auto | $135 |
The General | $145 |
Safeco | $172 |
AssuranceAmerica | $190 |
Foremost | $223 |
Bristol West | $226 |
GAINSCO | $247 |
Liberty Mutual | $267 |
Dairyland | $384 |
Cheapest recent car insurance quotes in Alabama
Drivers using Insurify have found quotes as cheap as $33/mo for liability only and $66/mo for full coverage in Alabama.
*Quotes generated for Insurify users from Alabama within the last 10 days. Last updated on March 24, 2025. Actual quotes may vary based on the policy buyer’s unique driver profile.
*Quotes generated for Insurify users from Alabama within the last 10 days. Last updated on March 24, 2025. Actual quotes may vary based on the policy buyer’s unique driver profile.
The average cost of car insurance changes as you age. Teen drivers generally pay higher costs due to their lack of driving experience and higher accident risk.[1]
Rates typically decline around age 25 as drivers gain more experience and become less prone to accidents. But around age 70, senior drivers may see an uptick in their rates because of age-related risk factors, such as decreased vision, reaction time, and overall physical capabilities.[2]
The table below shows how much Alabama drivers pay for car insurance by age group.
Age GroupAverage Monthly Quote: Liability OnlyAverage Monthly Quote: Full CoverageTeen drivers $116 $274 Adult drivers $57 $134 Senior drivers $45 $107 Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.
Car insurance requirements in Alabama
In Alabama, drivers must meet 25/50/25 minimum-coverage requirements.[3] Here’s how that coverage breaks down:
Coverage | Minimum Requirements |
---|---|
Bodily injury liability | $25,000 per person / $50,000 per accident |
Property damage liability | $25,000 |
Examples of optional coverage you can buy generally include:[4]
Collision coverage
Collision insurance reimburses you for car damage from collisions when you’re at fault, excluding mechanical failure and wear and tear. This coverage includes collisions with other vehicles and with objects like trees, fences, and light poles. It also covers rollover accidents.
Comprehensive coverage
Comprehensive insurance protects against theft and non-collision incidents, like fire, flood, vandalism, hail, and falling objects.
Glass coverage
This includes no-deductible windshield coverage, plus side windows, rear windows, and glass sunroofs.
Cheapest car insurance in Alabama by driving record
Some driving infractions can increase your insurance premiums significantly due to the concern that you’re more likely to file an auto insurance claim. These incidents include at-fault car accidents, speeding tickets, driving under the influence (DUI), and other moving violations. But some violations have a greater effect — if you’re convicted of a DUI, your company may not renew your policy.[5]
In Alabama, drivers with a clean record spend an average of $59 on a liability policy, while drivers with a DUI spend an average of $109 per month.
7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.
Insurance Company | With Speeding Ticket | With At-Fault Accident | With DUI |
---|---|---|---|
State Farm | $49 | $52 | $62 |
Auto-Owners | $50 | $53 | $62 |
USAA | $50 | $53 | $62 |
Allstate | $54 | $57 | $68 |
COUNTRY Financial | $57 | $61 | $69 |
Travelers | $68 | $72 | $85 |
National General | $73 | $76 | $92 |
Direct Auto | $73 | $79 | $92 |
GEICO | $75 | $79 | $94 |
Nationwide | $86 | $91 | $108 |
Progressive | $91 | $98 | $115 |
Farmers | $93 | $98 | $116 |
Clearcover | $102 | $117 | $128 |
Root | $109 | $115 | $116 |
Bristol West | $120 | $126 | $149 |
Foremost | $128 | $134 | $151 |
AssuranceAmerica | $129 | $134 | $165 |
Hugo | $133 | $150 | $170 |
Safeco | $139 | $148 | $166 |
Dairyland | $143 | $151 | $181 |
GAINSCO | $151 | $145 | $179 |
Liberty Mutual | $274 | $287 | $325 |
Many individual rating factors influence your car insurance premium, including your ZIP code. The table below shows how average car insurance rates compare in Alabama cities.
The below rates are estimated rates current as of: Thursday, March 13 at 12:00 PM PDT.Data reviewed by Konstantin Halachev7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.
CityAverage Quote: Liability OnlyAverage Quote: Full CoverageEnterprise $53 $140 Dothan $57 $130 Auburn $58 $137 Tuscaloosa $62 $158 Madison $62 $136 Huntsville $63 $138 Birmingham $67 $161 Montgomery $67 $170 Mobile $70 $156 Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers and quote estimates from Quadrant Information Services. Actual quotes may vary based on the policy buyer's unique driver profile.
Alabama car insurance FAQs
If you’re looking for affordable car insurance in Alabama, this additional information may help. You can also check out Insurify’s guides on how to lower your car insurance premiums for more information on finding the cheapest insurance.
Car insurance in Alabama costs an average of $139 per month for full-coverage insurance and $59 per month for liability-only insurance.
Auto-Owners, State Farm, and USAA have the cheapest average liability rates in Alabama, according to Insurify data. Auto-Owners’s liability rates start as low as $36 per month, while State Farm and USAA offer rates as low as $36 and $36, respectively.
Even though these are the cheapest car insurance companies in the state, you should still compare quotes from multiple companies to see which one offers the best price for the coverage you need.
USAA, State Farm, and Auto-Owners are Insurify’s picks for best car insurance companies in Alabama. These insurers have high IQ Scores, above-average J.D. Power ratings, and affordable average rates.
No. Alabama is an at-fault state. Drivers who cause accidents, or carry the majority of the fault for an accident, are responsible for compensating other parties for injuries and property damage.[6]
Alabama requires insurance companies to include uninsured/underinsured motorist coverage in every policy they sell in the state, although drivers can opt out by rejecting it in writing.
But it’s a good idea to have UM/UIM coverage, which can help pay for your damages and medical costs if someone driving without insurance or with too little insurance causes an accident. It can also pay for costs associated with a hit-and-run accident.
In Alabama, 14.2% of drivers are uninsured, according to data from a 2022 Insurance Information Institute report.[7]
Methodology
Insurify data scientists analyzed more than 90 million quotes served to car insurance applicants in Insurify’s proprietary database to calculate the premium averages displayed on this page. These premiums are real quotes that come directly from Insurify’s 50+ partner insurance companies in all 50 states and Washington, D.C. Quote averages represent the median price for a quote across the given coverage level, driver subset, and geographic area.
Unless otherwise specified, quoted rates reflect the average cost for drivers between 20 and 70 years old with a clean driving record and average or better credit (a credit score of 600 or higher).
Liability-only premium averages correspond to policies with the following coverage limits:
- Bodily injury limits between state-minimum rates and $50,000 per person, $100,000 per accident
- Property damage limits between $10,000 and $50,000
- No additional coverage
- Comprehensive coverage with a $1,000 deductible
- Collision coverage with a $1,000 deductible
Quotes for Allstate, Farmers, GEICO, State Farm, and USAA are estimates based on Quadrant Information Services’ database of auto insurance rates.
Sources
- III. "What determines the price of an auto insurance policy?."
- III. "Senior driving safety and insurance tips."
- Alabama Department of Insurance. "Automobile Insurance FAQs."
- III. "Auto insurance basics—understanding your coverage."
- III. "Do auto insurance premiums go up after a claim?."
- Nolo. "Alabama Car Insurance Laws."
- III. "Facts + Statistics: Uninsured motorists."
)
During college, Jacqueline DeMarco interned at a retirement plan advisory firm and was tasked with creating a presentation on the importance of financial wellness. During her research into how money can affect our health, relationships and career, Jacqueline realized just how important financial education is. Jacqueline is a contributor for Insurify and has worked with more than a dozen financial brands, including LendingTree, Capital One, Credit Karma, Fundera, Chime, Bankrate, Student Loan Hero, ValuePenguin, SoFi, and Northwestern Mutual, providing thoughtful content to give readers insight into complex topics that they likely didn’t learn in school.
Jacqueline has been a contributor at Insurify since October 2022.
Elena Stratoberdha is an Editorial Assistant at Insurify. Before joining the content team at Insurify, Elena earned her bachelor’s degree in English Literature and Writing from Simmons University, where she collaborated as a copy editor and led the layout design for two student-run magazines: Sidelines and MindScope Magazine.
In her free time, Elena enjoys writing creative and short fiction, knitting, running near the beach, and exploring new music genres.
)
Corporate communications director for Insurance Information Institute
20+ years in insurance and communications
As Director, Corporate Communications for Triple-I, Mark serves as the non-profit’s national spokesperson, sharing information and education on a wide array of insurance issues.
)
7+ years experience in data analysis
Ph.D. in Computational Biology
Konstantin has led data teams across multiple industries, including insurance, travel, and biology. He’s led Insurify’s engineering team for more than three years.