How Much Is Car Insurance in Alabama? (October 2024)

In Alabama, drivers pay about $1,032 annually for full coverage car insurance and around $484 for minimum coverage.

Your age, coverage level, location, driving record and credit history impact your car insurance premium. These factors help insurers determine your policy cost.

Alabama's average full coverage car insurance cost is around $1,032 annually. Knowing Alabama's average car insurance rates can help determine if you're receiving an affordable or pricier quote. Compare car insurance quotes to find the best deal.

Below are average auto insurance costs in Alabama to help you find minimum or comprehensive full coverage that fits your needs.

Car insurance in Alabama is generally more affordable than the national average cost of car insurance. A full coverage policy with a $1,000 deductible costs around $1,032 annually ($86 monthly) in Alabama, while the average national equivalent is $1,337 annually ($111 monthly). For minimum coverage, Alabama's average is $484 per year ($40 monthly), compared with the national average of $619 annually ($52 monthly).

Several factors drive the cost difference, including Alabama's lower-than-average number of uninsured drivers, moderate population density, which reduces the likelihood of accidents, and the relatively low frequency of natural disasters reducing weather-related claims. Competition among insurers in Alabama also helps keep premiums lower.

In Alabama, Country Financial offers the cheapest full coverage at $680 annually, while Progressive has the most expensive average premium at $1,359.

Finding the cheapest car insurance in Alabama requires comparing quotes from different providers.

The cost of car insurance in Alabama is also determined by the level of coverage selected. The minimum coverage averages at $40 per month, while full coverage, referred to as 100/300/100 Full Cov. w/$1,000 Ded., is higher at around $86 monthly. Despite the price difference, full coverage insurance is recommended for its comprehensive protection.

Adding comprehensive and collision coverage to your Alabama car insurance policy will increase premiums. Yet, opting for higher deductibles, such as a $1,000 deductible, can help make these additions more affordable. Each comprehensive and collision coverage carries its own deductible amount, contributing to financial responsibility in the event of a claim.

In Alabama, the minimum car insurance requirements are $25,000 for bodily injury liability per person, $50,000 per accident and $25,000 for property damage liability per accident. Uninsured/underinsured motorist coverage isn't required.

Location can heavily impact car insurance costs in Alabama. In Huntsville, full coverage costs $838, while in Birmingham, it's $989.

Your driving record, age, type of vehicle, safety features and local weather conditions also influence premiums.

In Alabama, younger drivers aged 22 to 29 face the highest car insurance rates, averaging $1,314 annually due to perceived inexperience. Premiums decrease with age, dropping to $1,032 for drivers aged 30 to 59 and $987 for those 60 and older, assuming a clean driving record.

Age and gender affect car insurance rates in Alabama. A 16-year-old male driver added to a family policy faces an average annual cost of $2,896. This age group generally sees the highest premiums across the board.

Teen drivers under 18 typically cannot purchase car insurance independently without a guardian's signature. A male teen would pay around $6,081 annually for an individual policy.

The average annual cost of full coverage car insurance for a 2012 model is $891, while a 2022 model costs $1,156. This increase is due to the 2022 car's higher value, more expensive repairs and higher theft risk.

Drivers with newer cars should consider comprehensive and collision coverage to protect against various incidents and accidents.

The average cost of car insurance in Alabama varies depending on your driving record, affecting how much you'll pay for coverage.

• With a ticket: $1,277 per year; $106 per month
• With an at-fault accident: $1,573 per year; $131 per month
• With a DUI: $1,743 per year; $145 per month

The seriousness of a violation, such as a DUI, greatly influences your car insurance premiums in Alabama. These increases will persist for as long as the violation remains on your record, and this timeframe can differ by state. In Alabama, for example, a DUI can impact your car insurance rates for a minimum of five years.

Although a DUI is often the most costly infraction, some states have insurance companies that use risk assessment methods that may assess other violations as more severe.

When shopping for car insurance, consider different coverage options and your age to find the most affordable rate that matches your specific driving record in Alabama.

Alabama drivers experience a significant difference in car insurance costs based on credit scores, with average annual premiums ranging from $707 for excellent credit to $1,744 for those with poor credit. The impact of your credit score on car insurance rates is real — in Alabama, insurers consider it when assessing risk.

Scores are categorized as excellent (800 to 850), very good (740 to 799), good (670 to 739), fair (580 to 669) and poor (300 to 579). A higher score often leads to lower insurance rates.

These key elements influence car insurance rates in Alabama. Understanding them helps drivers find affordable, adequate coverage.

• Driving Record: Safe drivers often enjoy lower rates, while tickets and accidents indicate higher risk, increasing premiums.
• Age and Gender: Younger drivers, particularly boys, may face higher rates due to a perceived lack of experience and a higher risk of accidents.
• Credit Score: Alabama permits credit scores to be used to determine car insurance rates. A higher credit score can result in more affordable insurance options.
• Vehicle Type: Your car's make and model affect your rates. High-value or sports cars generally have higher insurance costs due to their potential repair costs and risk profile.
• Location: Living in areas with high traffic congestion or higher crime rates can impact your insurance rates due to the increased risk of accidents and theft.
• Coverage Level: Opting for state minimal coverage will cost less than more comprehensive plans. However, additional protection like collision insurance and comprehensive insurance can be valuable.
• Annual Mileage: The more you drive, the more you might pay. Higher annual mileage can increase your risk of an accident, raising your insurance rates.
• Marital Status: Being married can often lead to lower insurance rates because married couples tend to file fewer claims than single drivers, signaling a lower risk to insurers.

To get affordable car insurance in Alabama, compare rates from different providers, choose a higher deductible and take advantage of all eligible discounts.

Get answers about what impacts the average cost of car insurance in Alabama and how to find affordable rates.