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Alabama Car Insurance

Driving is an integral part of society, and people in many areas need cars to get to places like the grocery store, gym, and visit family. There are expenses related to owning a car, and some of them are required by law to drive legally. People who are driving in Alabama are required to have automobile insurance plans, and these plans need to be valid. If a person is pulled over for driving without car insurance, they may suffer consequences. To get the best deal on car insurance for your particular situation, you will need to know the cheapest car insurance companies, as well as the rules and penalties in your state.

Auto Insurance Requirements In Alabama

Every state in the US has requirements for automobile insurance for drivers to operate their motor vehicles legally. In Alabama, the Alabama Mandatory Liability Insurance Law was passed in the year 2013. This law requires each motorist to carry liability auto insurance. There are penalties, including fines, fees, and possible driver's license suspension, for people without the required amounts of coverage. Alabama requires a person to have $25,000 in bodily injury liability insurance for a single person in a crash, as well as $50,000 bodily injury liability coverage for multiple people in an accident. Also, $25,000 of property damage liability coverage must be included as part of the policy. Carrying the proper amount of automobile insurance required, and drivers in Alabama must also maintain a valid vehicle registration at all times.

Average Cost Of Coverage In Alabama

There are many different types of auto insurance plans, and the average cost of insurance you get will depend on which types of coverage you decide to purchase. Many people choose to get additional auto insurance coverage beyond the minimum limits required by Alabama law. With numerous types of car coverage plans available in the state, there are many choices drivers can make to help protect themselves. UIM coverage, underinsured motorist coverage, collision coverage, comprehensive coverage, roadside assistance, and numerous other types of policies are available. Drivers must weigh which kinds of insurance will benefit them the most and balance that with their budget. Fortunately, auto insurance providers are flexible with the types of insurance and insurance amounts in quotes they give. Also, comparing prices from multiple companies can help you save money. Different companies use different variables to determine what a person will pay for an auto plan from them.

Car insurance in the state of Alabama costs less on average than other states. Many variables affect a person’s rates, however, so some people may pay more than the average in the state, and others will pay less. Variables auto insurance providers use to determine a person’s rates include credit history, marital status, age, gender, driving records, and more. This variety of factors highlights the importance of getting car coverage quotes from multiple providers.

Age Annual Rate with Parents Annual Rate Alone
16 $5,711 $7,767
17 $5,464 $6,537
18 $5,231 $5,581
19 $4,749 $3,543

The Cheapest Car Insurance Companies In Alabama

It is an excellent plan to start by getting car quotes from auto insurance companies that tend to have the cheapest auto insurance plans in Alabama. Even so, professionals recommend also getting quotes from companies that are outside of the top three cheap car insurance companies in Alabama. Getting up to five or more quotes every few years can help you continue to save on plans.

If you already live in Alabama and are looking for a cheaper car insurance plan or are getting ready to move to the state for the first time, you’ll want to look into the most affordable car insurance providers in your area. People who are just moving may consider auto insurance rates when looking for a place to rent or buy. The lowest prices for car insurance in Alabama are often found outside of the major cities. Those who are living in the country often find lower-cost car insurance plans in the state. Some of the cheapest places to find automobile insurance plans in Alabama are Newton and Ozark.

As far as cities that are on the more expensive side, Birmingham and Fairfield are on the list. People looking for car insurance plans should know that many cities in the state average more than $1,400 per person for an auto insurance policy. There are numerous ways a person can save on their plans, and it is recommended to pay attention to these. One of the most impactful ways is using the tools on this website to compare prices from multiple companies. There are numerous ways to save, and knowing the rules and penalties is vital. Having a valid auto insurance plan in the state is essential.

Rank Company Avg. Premium (annual)
1 USAA $1,203
2 GEICO $1,504
3 Allstate $1,512
4 Progressive $1,559
5 Nationwide $1,658
6 State Farm $1,724
7 State Auto $1,844
8 ALFA $1,881
9 Metropolitan $2,409
10 Farmers $3,227

Unique Car Insurance Rules And Penalties In Alabama

People who are driving without insurance often find themselves faced with large fees and fines, as well as possible driver’s license or registration suspension. These things can have an impact on a person’s finances beyond just the payment they have to make as a penalty. Those who have a driver’s license suspension can find themselves having a more difficult time getting to the workplace, social events, or family visits.

Drivers must carry a valid auto insurance policy that has bodily injury coverage in the amounts of $25,000 per person and $50,000 per accident. Also, property damage coverage is required, in the amount of $25,000 per accident. Other types of car insurance plans are beyond what is required by law, like a comprehensive insurance policy or other forms of automobile insurance, to drive legally in the state. It is recommended to have more than the minimum limits of coverage in many cases, however.

In Alabama, drivers are liable and responsible for bodily injury and property damage that they cause while driving. This means that Alabama is a torte state. People choose to get more than the minimum amounts of liability insurance coverage, as well as other types of insurance added to their plan, for this reason.

Violation Avg. Annual Auto Insurance Rate % Insurance Rate Increase $ Insurance Rate Increase
Hit and Run $2,380 72% $992
Refused Breathalyzer/Chemical Test $2,261 63% $874
DUI $2,261 63% $874
Racing $2,368 71% $980
Reckless Driving $2,299 66% $912
Driving with a Suspended License $2,129 53% $742
At-Fault Accident $2,002 44% $614
Driving with an Open Container $1,968 42% $581
Operating a Vehicle Without Permission $1,729 25% $342
Passing a School Bus $1,717 24% $330
Improper Passing $1,687 22% $300
Following Too Closely $1,687 22% $300
Speeding $1,724 24% $336
Failure to Stop at a Red Light $1,687 22% $300
Illegal Turn $1,687 22% $300
Driving Wrong Way/Wrong Lane $1,687 22% $300
Failure to Yield $1,687 22% $300
Speeding in a School Zone $1,663 20% $276
Driving Too Slowly $1,663 20% $276
Distracted Driving $1,623 17% $236
Driving with Expired Registration $1,591 15% $203
Failure to Show Documents $1,591 15% $203
Not-at-Fault Accident $1,509 9% $122
Failure to Use Child Safety Restraint $1,464 6% $77
Failure to Wear a Seat Belt $1,464 6% $77
Driving Without Lights $1,387 0% $0

How To Get The Cheapest Car Insurance In Alabama

There are many ways a person can save money on automobile insurance policies in Alabama. Shopping around is one of the best ways to save money, but people can also focus on improving their driving record. Also, when you are purchasing a new vehicle, consider what you will be paying for automobile insurance as you research the purchase. Some cars cost more on average to insure than others. Using the tools on this website, you can save. Take advantage of free car insurance quotes from multiple companies that service Alabama here.

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