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Average Cost of Car Insurance in Birmingham

Birmingham$1,221
Alabama$1,221
U.S.$1,424

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.

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The Best Cheap Car Insurance Companies in Birmingham

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.

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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.

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Cheapest Car Insurance in Birmingham by Coverage Amount

How much car insurance coverage you purchase in Birmingham also affects how much your policy will cost. Coverage includes required liability coverage and optional items like collision, comprehensive, and deductibles.

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Alabama Minimum Liability Requirements

  • Item
    Description
  • 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 by Coverage Type

Liability Only
Full Coverage
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Cheapest Car Insurance in Birmingham if You Have Tickets

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.

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 Code
    State Minimumper year
  • 35242
    $1,195
  • 35215
    $1,247

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.

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Most Accidents With Fatalities3rd/300
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Most Car Thefts186th/300
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Most Uninsured Motorists by State6th/50
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Personal Injury Protection RequiredNo
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Most Annual Rainfall24th/300
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Most Rainy Days82nd/300

Shopping around for car insurance in Birmingham could save you $394, which is enough to buy:


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131Cups of Coffee
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30Months of Your Favorite Streaming Service

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.

Compare Car Insurance Rates in Birmingham

Ensure you're getting the best rate for your car insurance. Compare quotes from the top insurance companies.

Insurance Rates

About the Author


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The MoneyGeek editorial team has decades of combined experience in writing and publishing information about how people should manage money and credit. Our editors have worked with numerous publications including The Washington Post, The Daily Business Review, HealthDay, and Time, Inc., and have won numerous journalism awards. Our talented team of contributing writers include mortgage experts, veteran financial reporters, and award-winning journalists. Learn more about the MoneyGeek team.