Alabama Average Cost of Car Insurance Rates (2023)

How Much Does Car Insurance Cost In Alabama?

On average, car insurance rates for drivers in Alabama are $208 per month, and $2495 per year. The average rates make Alabama the 24th most expensive state in the country for car insurance rates and 7% less expensive than the national average.

Keep in mind that average auto insurance costs are determined by factors other than location. Based on your driving history, credit score, age and marital status you should be able to find insurance quotes and discounts so that your monthly payment is less than the averages cited here.

Insurify's comparison tool will help you make sure you're getting the best possible quote based on your needs and location. You can have peace of mind you're not paying any more than the average price in your state, and customers save $48 per month on average.

Best Alabama Auto Insurance Rates

Insurify analyzed car insurance rates in the twenty most populous cities in Alabama and has selected the following providers and quotes as the best rates for drivers in Alabama.

Alabama Car Insurance Rates by City

For drivers in Alabama, it's important that you evaluate all of your potential insurance options to ensure you are finding the best rate. Based on internal Insurify data, here are the average cost of car insurance rates for drivers in the top 10 cities in Alabama.

What Is the Average Cost of Car Insurance in Alabama by Age?

Alabama’s hardest-working teens will have a tough time paying for car insurance with a minimum wage job. But twentysomethings see a $150 cut on average in their monthly payments—though they still pay $40 over the state average.

Alabamans in their 30s, 40s, and 50s shell out less than the state average. Folks in their 60s pay the least as they gear up for golf and retirement parties. Those in their 70s and 80s see a price increase, but it’s far less than that for young people.

What Is the Average Cost of Car Insurance in Alabama by Gender?

Men pay seven percent more than women in the Heart of Dixie. Could it be that men buy bigger, costlier rides or that women are just safer drivers? It's probably a little of both.

Does Marital Status Influence the Average Cost of Car Insurance in Alabama?

If you've just proposed, you can add one more benefit to your new nuptials. You'll save $17 a month on car insurance, which turns into a $200 savings per year. This should make that first dance even more fun.

Singles might want to listen to financial experts and economists. They say married couples have a higher average net worth and greater stability. Does that make you want to go from single to married?

Minimum Car Insurance Requirements in Alabama

All motor vehicles operated or parked on Alabama roadways are required to be insured. Proof of insurance must be carried in your car at all times and must be available when:

• Requested by law enforcement

• Renewing vehicle registration

• The vehicle is involved in a car accident

The minimum liability insurance requirements for private passenger vehicles in Alabama^[1] are:

• $25,000 per person for bodily injury

• $50,000 per accident for bodily injury

As a major part of your liability insurance, bodily injury coverage covers medical bills for people other than the policyholder who are injured during an accident. Alabama is an at-fault state, meaning the driver who is responsible for the collision is also responsible for paying for any resulting expenses, either through their car insurance provider or out of pocket.

• $50,000 per accident for property damage

If it’s determined that an insured driver is at fault for an accident, this coverage pays for repairs to the property of the other involved parties. Additionally, property damage coverage can cover legal costs if the insured driver is involved in a lawsuit following the accident.

• $25,000 per accident for PIP

Personal injury protection coverage, also referred to as PIP coverage, will cover the policyholder for medical payments they incur in the event of an accident. Depending on your plan, you may also receive non-medical benefits, compensating you for lost wages, household expenses, and even funeral costs.

How Does Credit History Affect Alabama Car Insurance Rates?

Should your credit score change what you pay for car insurance? Many Alabamans would say no, but the insurance companies beg to differ. The Heart of Dixie, like most states, allows insurance companies to use credit as a rating factor.

The good news is it doesn't make all that much of a difference in Alabama. People with poor credit pay the least, but that's likely because they finance less expensive cars and buy less coverage than those with better credit.

What Is the Average Cost of Car Insurance in Alabama for High-Risk Drivers?

"Safety first" is not just a mantra that saves lives. It also saves money. Common sense tells us that the safest drivers will pay the least, and safe drivers qualify for "good driver" and "accident-free" discounts. But what if your record is less than perfect?

Drivers with a speeding ticket in Alabama will pay $52 more per month on average—plus fines. Drivers with an at-fault accident on their insurance record should expect to see monthly rates increase by around $55. Accidents happen, but driving safely and keeping a clean record are the best ways to avoid rate hikes. Remember, violations and accidents will stay on your insurance history for years to come. Still, you can still take a defensive driver course to reduce your monthly payment.

Compare Top Auto Insurance Companies

Use Insurify for all of your car insurance comparison needs! Compare and connect directly with the top insurance companies to find the best rates as well as the most personalized discounts and coverage options. Insurify’s network includes over 200 insurance companies throughout the U.S. who can work with you to get you the right auto insurance policy at the cheapest price. See All Auto Insurance Companies