Compare the Cheapest Car Insurance Quotes in Birmingham, AL

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.

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

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Last Updated: 5/16/2022
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In Birmingham, GEICO has the most affordable average car insurance at $827 annually, with an average annual state minimum liability premium of $375. Drivers with a speeding ticket should consider Allstate for its coverage at $945 per year on average. For military families, USAA is another less expensive option, especially in certain instances. Auto-Owners Insurance Co is MoneyGeek’s choice for the best auto insurance company in the city, balancing both cost and customer service.

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The Cheapest and Best Car Insurance in Birmingham

The Cheapest Car Insurance Companies in Birmingham

For most drivers, the insurers offering the cheapest full coverage car insurance in Birmingham are:

  • GEICO: $827 per year
  • Allstate: $846 per year

Veterans and current military personnel and their families will find USAA car insurance an even more affordable option with an average annual premium of $677.

At $827 a year, GEICO is the cheapest insurance company for most drivers in Birmingham, while Nationwide, at $1,814, is the most expensive. The difference between the annual premiums is 119% or $987.

Full coverage insurance includes comprehensive and collision coverage. Your premium depends on your driver profile and the liability limits you choose.

Cheapest Car Insurance in Birmingham
Full Coverage 100/300/100
  • Company
    100/300/100per year
  • 1.
    USAA
    $677
  • 2.
    GEICO
    $827
  • 3.
    Allstate
    $846
  • 4.
    Country Financial
    $1,033
  • 5.
    Travelers
    $1,059
  • 6.
    Farmers
    $1,185
  • 7.
    State Farm
    $1,235
  • 8.
    Progressive
    $1,288
  • 9.
    ALFA
    $1,439
  • 10.
    MetLife
    $1,484
  • 11.
    Nationwide
    $1,814

In our analysis, MoneyGeek used the average annual premiums for a 40-year-old male driver carrying a full coverage policy, as explained in our methodology.

Comprehensive and collision coverage costs more than an insurance policy with only liability coverage. The benefit of full coverage car insurance is that it gives you additional security in the event of an accident by helping cover the costs of any damage to your car.

  • Collision Insurance: This pays to fix damage to your car if you hit another vehicle or a stationary object.
  • Comprehensive Insurance: This pays car repair expenses and losses from non-collision damage, such as theft, fire, or damage from adverse weather events.

If you own an older car, you may wish to consider getting state minimum or liability-only insurance. That’s because the premiums for full coverage auto insurance may add up to be more than the replacement cost of your vehicle.

Compare Car Insurance Rates in Birmingham

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

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Insurance Rates

Cheapest Car Insurance in Birmingham for Minimum Coverage

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.

Cheapest Minimum Liability Car Insurance in Birmingham
State Minimum

In Alabama, drivers must have 25/50/25 minimum liability insurance. This is Birmingham's cheapest auto insurance; however, while your monthly premium may be lower, your cash outlay may be much higher in the event of an accident.

For example, if you are in an at-fault accident, and the other driver’s medical bills total $50,000, your insurer will only pay up to $25,000. You'll be responsible for the remaining $25,000 in medical expenses.

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.

Cheapest Car Insurance in Birmingham if You Have Driving Violations

If you’re involved in an at-fault accident or get a speeding ticket or DUI, you may see your premiums go up. Based on your specific violation, the following insurance providers are, on average, the most affordable in Birmingham:

  • Cheapest after a ticket: Allstate, $945 per year
  • Cheapest after an at-fault accident: Allstate, $1,181 per year
  • Cheapest after a DUI: Allstate, $1,150 per year

Whatever your traffic violations, the best course of action is to improve your record over time to reduce your premiums. In the meantime, however, look around for the best cheap car insurance for drivers with bad records. Compare quotes with as many insurance companies as possible to get the most affordable rate.

Cheapest Car Insurance in Birmingham With a Violation
Speeding Ticket

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.

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.

Compare Car Insurance Rates in Birmingham

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

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Insurance Rates

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 on MoneyGeek's rating system, with 95 out of 100. However, because USAA is only available to current military members, veterans and their families, we did not list the insurer as best overall.

We calculate the scores based on several factors, including customer satisfaction, affordability and financial stability ratings, and use different resources to do so, such as consumer intelligence company J.D. Power.


1
USAA
Score:95

4/5

Affordability

5/5

Claims Ratings

4/5

User Satisfaction

A++

Financial Stability

2
Auto-Owners Insurance Co
Score:90

4/5

Affordability

3/5

Claims Ratings

4/5

User Satisfaction

A++

Financial Stability

3
ALFA
Score:87.5

4/5

Affordability

4/5

Claims Ratings

4/5

User Satisfaction

A

Financial Stability

4
GEICO
Score:85

3/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A++

Financial Stability

5
State Farm
Score:82.5

3/5

Affordability

3/5

Claims Ratings

4/5

User Satisfaction

A

Financial Stability

6
Nationwide
Score:80

2/5

Affordability

3/5

Claims Ratings

3/5

User Satisfaction

A+

Financial Stability

7
Travelers
Score:80

2/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A++

Financial Stability

8
Progressive
Score:77.5

3/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

9
Safeco
Score:77.5

3/5

Affordability

2/5

Claims Ratings

3/5

User Satisfaction

A

Financial Stability

10
Allstate
Score:75

2/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A+

Financial Stability

11
Liberty Mutual
Score:75

2/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A

Financial Stability

12
MetLife
Score:75

3/5

Affordability

3/5

Claims Ratings

2/5

User Satisfaction

A-

Financial Stability

13
National General
Score:72.5

3/5

Affordability

2/5

Claims Ratings

2/5

User Satisfaction

A-

Financial Stability

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.

accident2 icon
Most Accidents With Fatalities3rd/300
handcuffs2 icon
Most Car Thefts186th/300
uninsured icon
Most Uninsured Motorists by State6th/50
insurance2 icon
Personal Injury Protection RequiredNo
rain icon
Most Annual Rainfall24th/300
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Most Rainy Days82nd/300

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.

About the Author


expert-profile

Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.