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Car Insurance in Alabama

Compare Alabama car insurance quotes with EverQuote and get your own personalized recommendations

Updated May 29th, 2024

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Alabama Car Insurance Quotes

Alabama drivers pay an average of $153 monthly for car insurance, roughly 19% less than the nationwide average of $189. The rates reflect Alabama's relatively low population density but also accommodate its subtropical climate, which is subject to tropical storms and hurricanes. Other factors influencing Alabama's car insurance rates include the driver's age and driving record, type of policy, discount availability, and consumer profile. We included those factors, and others, in our insurance rate analysis.

If you're in the market for a new policy, comparing Alabama car insurance quotes is a good idea. Read on to learn how you can get an affordable, personalized policy - absolutely free.

Alabama Car Insurance Laws

Alabama law mandates that any individual who operates or registers a vehicle in the state must carry an auto liability insurance policy. The policy must be issued by an insurance company licensed to conduct business in Alabama. Like other states, Alabama sets minimum coverage requirements. Currently, the Alabama minimum car insurance requirements are:

Alabama’s car insurance minimums are:

$25,000 for the death or injury of one person
$50,000 for the death or injury of two or more people
$25,000 for property damage

Proof of Insurance

Individuals who operate a vehicle without insurance may receive a fine of up to $500 for the initial violation and $1,000 for the second violation. In addition, Alabama may revoke their driver's license for six months.

“ When shopping for a new car, you'll want coverage before driving the vehicle off the lot. ”

If you purchase a new or used vehicle, you must obtain auto insurance before driving it. There is no defined Alabama new car insurance grace period within state laws. So, while insurance may not be the first thing you think about when shopping for a new car, you'll want coverage before driving the vehicle off the lot.

Consumers who live in an Alabama area susceptible to bad weather should consider purchasing insurance that exceeds the minimum requirements. Events like tornadoes, hurricanes, and hailstorms can increase the risk of accidents or vehicle damage.

Frequently Asked Questions

What is the quickest way to reduce my insurance premium in Alabama?

The quickest and easiest way to reduce your insurance premium is to take advantage of discounts related to your account setup. Depending on the insurance provider, setting up Electronic Funds Transfer (EFT), signing up for Paperless billing, and paying your policy in-full can reduce your cost by 4% to 9% instantly.

What is the most common insurance discount in Alabama?

The most common insurance discount is signing up for Paperless billing. We have seen discounts range from 3% up to 11% depending on the policy. It is important to note that not all carriers offer this discount and those that do might have rules of when it can be applied (usually around the start of your policy term).

How much will I save switching insurance providers in Alabama?

How much you can save by switching carriers can vary widely by location, time of year, and your driving record. While some carriers offer a median discount of 6 - 7% for policy renewals, recent research suggests that you can save anywhere between 10 - 20% by switching to a new carrier. The best way to secure the highest savings on your policy is by shopping often and connecting with a licensed agent.

🔍 Auto Insurance Methodology - Premiums are sourced from over 30,000 zip codes across 200 insurance companies. We estimate premiums based on policies seeking 50/100 in liability with $500 deductibles for collision and comprehensive coverage. Rates are based a 35-year-old single female with a good credit score and no history of accidents or violations driving a 2023 Toyota RAV4 LE. We assume no unique benefits or discounts are applied for these rates. Your own rates may be different.