The Best Homeowners Insurance Companies in Alabama (2022)
When looking for the best rated home insurance companies in Alabama, it is important to consider customer service ratings, claims experience, financial stability and affordability. Based on MoneyGeek’s analysis, the best overall company in Alabama is Country Financial. However, the top option for you may differ depending on your specific needs.
While Country Financial ranks best overall, the best home insurance company in Alabama will vary by homeowner. MoneyGeek ranked the top insurers in the state for different individuals and reviewed available coverages and discounts.
Although the best insurer for individuals prioritizing affordability is Country Financial, State Farm may be the best option for homeowners who want to bundle their homeowners and auto insurance policies.
If you’re more concerned with savings than service quality, MoneyGeek also analyzed the cheapest home insurance companies in Alabama.
The Best Homeowners Insurance in Alabama
The Best Overall Homeowners Insurance Companies in Alabama
Home insurance provides protection against financial burdens if certain unexpected incidents occur. To help you find the right policy for your needs, MoneyGeek analyzed the best-rated home insurance companies in Alabama based on affordability, claims reputation, customer satisfaction and financial stability.
The top two insurance providers for the average Alabama homeowner are:
- Country Financial: MoneyGeek score of 91 out of 100
- Allstate: MoneyGeek score of 85 out of 100
USAA, which got the highest score of 98 out of 100, was excluded from this ranking because it is only available to active military members, veterans and their families.
MoneyGeek broke down the unique coverages and discounts Country Financial and Allstate offer to help you understand why they ranked best in the state.
The Top Home Insurance Companies in Alabama
Country Financial is the best home insurance company in Alabama after getting high scores across all categories. It has an average rate of $1,139 per year. Homeowners concerned with identity theft can opt to buy the company’s Identity Theft Expense Coverage.
Policyholders can choose to get additional coverages based on their needs. For instance, Country Financial’s Identity Theft Expense Coverage allows you to get up to $25,000 if you become a victim of identity theft or someone takes over your checking account. You can also opt for separate enhanced protection that would cover your jewelry, electronics and other high-value items.
Allstate is the second-best rated home insurance company in Alabama. It tied for second in financial stability, ranked fifth in customer satisfaction and was rated sixth in affordability. It also offers less common coverages like an energy efficiency upgrade.
The company offers the energy efficiency upgrade, which is optional coverage for the additional cost of replacing damaged covered items with more energy-efficient alternatives. If you have a garden, you can also get additional coverage for certain items like trees, landscaping and riding lawn mowers. But, unlike other companies, Allstate does not offer contents replacement cost coverage.
MoneyGeek collected quotes from across the country and balanced them against claims rating and customer satisfaction scores from J.D. Power to determine the best home insurance nationally and in Alabama.
Your experience and the cost of your home insurance may differ depending on your unique circumstances. Read MoneyGeek’s methodology to find out more.
The Best Homeowners Companies in Alabama for Service Quality
MoneyGeek ranked the best home insurance companies in Alabama based on claims experience and customer satisfaction to help individuals who prioritize service quality more than cost.
The two top-rated companies in the state are:
- Country Financial: MoneyGeek score of 90 out of 100
- Auto-Owners Insurance Co: MoneyGeek score of 89 out of 100
Excluded from this ranking is USAA, which got a score of 100 out of 100. Only active-duty or former military members and their families are qualified to have USAA policies.
MoneyGeek outlined some details about Country Financial and Auto-Owners Insurance Co to show why these are the highest-ranking companies for people looking for the best possible service experience.
The Top Home Insurance Companies in Alabama for Quality Service
The company has high ratings across all categories. It ranked high in both customer satisfaction and claims, which means it has high-quality policy offerings and processes.
Country Financial does not offer more rare coverages. However, there are optional coverages you can buy. For instance, extended reimbursement covers the cost of labor and construction materials up to 120% of your coverage amount if you need to rebuild your home. Additionally, the company ranked high across all categories, especially in customer satisfaction and claims rating.
Auto-Owners Insurance Co ranked well in claims rating. That means its customers have a great service experience when making a claim.
The company allows policyholders to get additional protection through optional coverages. It has unique offerings, such as off-premises coverage. With this, your policy covers any personal property you take with you on vacation. Another type of coverage you can get is equipment breakdown, which covers electrical and mechanical failures of equipment found at your home.
The Best Homeowners Companies in Alabama on a Budget
If you want the best home insurance in Alabama but are also concerned about affordability, MoneyGeek rated the top options for individuals on a budget.
In terms of affordability, the top two companies in Alabama are:
- Country Financial: MoneyGeek score of 92 out of 100
- Farmers: MoneyGeek score of 91 out of 100
USAA got a score of 97 out of 100, making it the top-ranking company in Alabama. However, its policies are only for military members and their families.
The average cost of Country Financial policies is $1,139 per year, while the average annual rate for Farmers policies is $357. To understand why Country Financial has the top ranking in affordability, MoneyGeek broke down its unique coverages and discounts.
The Top Home Insurance Companies in Alabama on a Budget
Affordable home insurance coverage at $1,139 per year, on average
Discounts for responsible payment, protective device and newly constructed homes
MoneyGeek satisfaction rating of 4.5 out of 5
Not the cheapest option
Country Financial got high ratings across all categories, making it the top-rated company for most Alabama homeowners, specifically those concerned about affordability. It got a score of 4.5 out of 5 in customer satisfaction. Additionally, policyholders can enjoy significant discounts. For instance, you can get a discount for having protective devices at home like smoke detectors and fire extinguishers. You can also get a discount if your home is newly constructed.
There are also more unique discounts, such as responsible payment. Policyholders who make payments on time for three years may qualify for this discount.
The Best Homeowners Companies in Alabama for Expensive Homes
Having an expensive home may require more coverage. MoneyGeek scored the best home insurance companies in Alabama by weighing the cost of insuring a $2 million home against customer satisfaction.
Based on MoneyGeek’s study, the top insurers in Alabama for expensive homes are:
- State Farm: MoneyGeek score of 85 out of 100
- Country Financial: MoneyGeek score of 83 out of 100
The top-rated company is USAA, which scored 100 out of 100. However, it is only available to military families.
MoneyGeek evaluated the unique coverage State Farm offers for homeowners with expensive homes to break down why it ranked first.
The Top Home Insurance Companies in Alabama for High-Value Homes
MoneyGeek satisfaction rating of 4.09 out of 5
It does not offer content replacement cost and extended reimbursement coverages
It ranks seventh in affordability of the eight insurers MoneyGeek evaluated
State Farm is the best widely available insurance company for expensive homes in Alabama. It rated high across all categories, especially in customer satisfaction where it ranked second. While it ranked seventh in affordability, the services it offers could be beneficial for homeowners in need of a lot of coverage.
The company has different coverage options that are suitable for high-value homeowners, such as the following:
- Cyber Event/ID Theft: The Identity Restoration and Fraud Loss coverage offers case management services and expense reimbursement up to $50,000 in the event of identity theft. Meanwhile, the Cyber Attack coverage allows you to get reimbursements for expenses up to $15,000 related to cyber-attacks. There is a $500 deductible.
- Scheduled Personal Property: Policyholders can opt to buy this coverage to extend protection for valuable items found in their homes. It can increase coverage limits up to $2,500 for jewelry and fur, $2,500 for silverware and goldware, and $1,500 for business property.
The Best Homeowners Companies in Alabama for Veterans
MoneyGeek evaluated the best rated home insurance companies in Alabama to find the top option for military families. USAA got a MoneyGeek score of 98 out of 100, getting the highest rating in the state.
On average, the cost of USAA policies in Alabama is $924 per year. The company also only caters to active-duty military, veterans and their families.
The Top Home Insurance Companies in Alabama for Veterans
Coverage tailored to military families’ needs
MoneyGeek satisfaction rating of 5 out of 5
MoneyGeek affordability score of 4.74 out of 5
Not available to homeowners without military background
USAA got high ratings for both customer satisfaction and affordability in Alabama. Overall, it is also the top-scoring company in the state.
Catering to military families, USAA offers different coverage options. Policyholders can add home rental and earthquake coverages. Home rental coverage provides protection to homeowners renting out their homes. Additionally, the company includes contents replacement cost coverage, which reimburses the cost of replacing belongings with no depreciation.
The Best Homeowners Companies in Alabama for Bundling
Typically, bundling home and auto insurance will give you access to savings opportunities. MoneyGeek evaluated the best home insurance companies in Alabama for individuals looking for home and auto insurance bundles.
The top-rated companies for homeowners who are also looking for the best auto insurance in Alabama are:
- State Farm: MoneyGeek score of 84 out of 100
- Allstate: MoneyGeek score of 83 out of 100
Bundling your auto and home insurance does not only help you get extra discounts, but will also make it more convenient for you to handle both insurance policies.
The Top Home Insurance Companies in Alabama for Bundling
Home MoneyGeek score of 4.23 out of 5
28% bundling discount
Auto MoneyGeek score of 3.71 out of 5
State Farm is the best option for Alabama homeowners looking for home and auto insurance bundles. Despite the low rating for auto insurance, the company was rated high for home insurance and discounts.
You can also find unique coverages with State Farm. For instance, homeowners can get additional protection against the repair or replacement costs of certain service lines. As an auto insurance policyholder, you can also get additional coverage like rideshare insurance. With this, you have access to medical, emergency roadside assistance and rental car reimbursement even while driving for a ridesharing company.
How to Find the Best Home Insurance in Alabama
To find the best home insurance companies in Alabama, it’s important to consider insurers that balance cost, service reputation and financial stability. MoneyGeek gathered and analyzed this information for you. However, you can also do the research and go through the process yourself to learn more about certain providers you may be interested in.
Research Customer Service Reputations in Alabama
MoneyGeek checked the J.D. Power satisfaction scores and NAIC complaint ratios of different insurance companies to determine their customer service reputation. You can also do the same to further review companies. You can also get your research started on the Alabama Department of Insurance website.
Compare Quotes for Yourself
MoneyGeek collected quotes based on sample homeowner and driver profiles in Alabama. However, it does not consider needs and situations that may be unique to you. If you want to find the right policy, it is best to compare quotes from at least three insurance companies. This way, you can have an idea about how much your insurance costs.
Make Sure the Company Has Coverages You Want in Alabama
Insurance companies often advertise the coverages and discounts they offer. However, there may be features that do not extend to every state. Before purchasing a policy, it’s best to confirm with insurance companies whether the features you’re looking for are available in your area.
Double-Check Financial Stability Ratings
The financial strength rating of an insurer can also help you determine its capacity to pay legitimate claims in times of need. Typically, regional insurance companies in Alabama offer lower insurance rates. However, large insurance companies tend to have better financial stability.
FAQs About the Best Home Insurance in Alabama
The best home insurance companies in Alabama may vary depending on what you’re looking for and your needs as a homeowner. Review some of the most common questions about homeowners insurance below.
MoneyGeek scores for homeowners insurance in Alabama were calculated by using a scaled and weighted average of J.D. Power Property Claims and Customer Satisfaction Scores, real homeowners insurance quotes and financial stability ratings from A.M. Best. Our scoring system weighted J.D. Power scores 60%, affordability 30% and financial stability 10%, adjusting weightings in the sections focused on affordability and service experience specifically.
MoneyGeek analyzed homeowners insurance quotes from the top insurance companies in Alabama that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Alabama. Quotes were gathered with an average home profile of 2,500 square feet, built in 2000, with an average dwelling coverage value of $100,000, liability coverage of $100,000 and personal property coverage of $100,000.
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