Birmingham drivers pay an average of $1,221 annually for auto insurance, similar to the state average. Among the widely available insurers, GEICO has the most affordable average rate at $827. MoneyGeek studied rates across coverage levels and driver types to find a rate that fits your profile. If you are concerned about quality and cost, MoneyGeek recommended the best options.
Compare the Cheapest Car Insurance Quotes in Birmingham, AL
The Cheapest and Best Car Insurance in Birmingham
The Cheapest Car Insurance Companies in Birmingham
The cheapest companies in Birmingham for a full coverage policy are:
- USAA: $677 per year (only available to current and former military members)
- GEICO: $827 per year
In Birmingham, the most affordable car insurance provider is USAA. However, this company only serves military personnel and their families. The next best-priced auto insurance company is GEICO, with an average annual premium of $827. Its coverage is 119.3% cheaper than the city’s costliest car insurance provider, Nationwide, with an average yearly rate of $1,814.
MoneyGeek gathered average insurance rates based on a 40-year-old male driver with a full coverage policy that includes liability insurance and comprehensive and collision insurance.
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Average Cost of Car Insurance in Birmingham
The average annual cost of car insurance in Birmingham is $1,221. This rate is the same as the state average, but less than the U.S. average of $1,424. When compared with the national average, Birmingham’s annual rate is 14.3% less.
The Best Car Insurance Companies in Birmingham
MoneyGeek recommended the best car insurance companies in Birmingham based on a balance of affordability and quality of service. The top companies for most drivers are:
- Auto-Owners Insurance Co: MoneyGeek score of 93 out of 100
- ALFA: MoneyGeek score of 88 out of 100
USAA received the highest score in Birmingham by MoneyGeek's rating system. However, because USAA is only available to military members, veterans and their families, it is not listed as best overall.
Final scores out of 100 are based on J.D. Power user satisfaction, affordability and financial stability.
Personalized Quotes to Get You the Cheapest Car Insurance in Birmingham
To determine car insurance quotes in Birmingham, providers assess multiple factors including age, gender, miles driven per year, driving record and more. For example, a provider’s policy for 18-year-old drivers can be more than double the cost for 40-year-old drivers. You should get a quote at regular intervals to check if you qualify for rebates, discounts or other savings as your circumstances change.
Shopping around for car insurance in Birmingham could save you $394, which is enough to buy:
Cheapest Car Insurance in Birmingham by Coverage Amount
The amount of coverage you choose will affect the cost of your auto insurance premium in Birmingham and elsewhere. A state minimum liability-only policy costs $613 on average. Adding roughly $608 will get you a full coverage policy, which has an average rate of $1,221 per year.
Alabama Minimum Liability Requirements
- Bodily Injury and Property Damage$25,000 per person, $50,000 per accident and $25,000 for property damage. A more protective level is 100/300/100.
Taking a closer look at GEICO’s coverage plans, it offers average annual costs of $443 for its 50/100/50 liability-only coverage policies, $745 for its 50/100/50 full-coverage and $827 for its 100/300/100 full-coverage in Birmingham. The 50/100/50 full-coverage plan costs an average of $302 more than the 50/100/50 liability-only package. But the extra cost could be worth it since the full-coverage package is more comprehensive and will cover your costs if you are in an accident.
Average Car Insurance Premiums: Liability-Only vs. Full Coverage
- CompanyState Minimumper year50 / 100 / 50per year
- Company50 / 100 / 50per year100 / 300 / 100per year
Cheapest Car Insurance in Birmingham if You Have Driving Violations
Safe drivers enjoy the benefit of lower car insurance premiums, as violations on your driving record could increase your auto insurance costs. For example, Allstate policyholders with a DUI on their record could pay an average of $305 more annually for their coverage than individuals with a clean record. Similarly, those with a speeding ticket violation could pay an extra $100 yearly for their policy, compared to drivers with a clean record.
- CompanySpeeding Ticketper yearAt-Fault Accidentper yearDUIper year
Average Cost of Car Insurance by Postal Code
Car insurance providers also consider your ZIP code while calculating your premium. Areas that have higher numbers of accidents, car thefts, etc. are more expensive. In Birmingham, the 35215 area has an average annual premium of $1,247. It may be considered more risky — as residents in this locality pay about $52 more per year for their auto insurance coverage — compared to the most affordable ZIP code for car insurance, the 35242 neighborhood.
- Zip CodeState Minimumper year
Factors That Impact Insurance Costs in Birmingham
In addition to individual driver needs and history, location-specific factors like the rate of fatal accidents and the percentage of uninsured motorists also contribute to car insurance rates in Birmingham. How Birmingham ranks compared to the 300 most populous cities in the United States can have a significant impact on premium costs.
Methodology and Assumptions
MoneyGeek’s average premium rates for Birmingham are based on 100/300/100 comprehensive collision coverage with a $1,000 deductible for a 40-year-old male driver. The average driver profiled drives a 2010 Toyota Camry LE and has no tickets or accidents on their record. Additional premiums are added based on coverage type, location and driving record. Learn more about MoneyGeek’s data and methodology here.
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