Alabama Car Insurance
Everything You Need to Know About Auto Insurance in Alabama
Known as the Heart of Dixie, Alabama is as Southern as they come, with more than five million residents calling this state their sweet home, just like the song says. It’s inspired countless shows, books, and films that act like historical snapshots, introducing younger audiences to the Civil Rights marches and the influence of the Vietnam War.
Like most other states, the land had been inhabited by Native American tribes for thousands of years until the Spanish reached its Gulf shores during the 16th century. During the 1780s, it became part of British West Florida for two years after a lost battle but was eventually recaptured by the Spanish. After it was admitted to the Union in 1819, a land rush brought many settlers and speculators to the area, looking to build plantations to grow cotton — one of the state’s top staples. Those plantations would be tended by slaves throughout the Civil War period when Alabama was part of the Confederacy. Decades later, this state would become the birthplace of the Civil Rights movement when Rosa Parks refused to give up her bus seat in Montgomery.
Those who live in Alabama are well aware of its southern charm and there’s plenty to do when visitors come calling. For example, in northwest Alabama, be amazed by the nighttime spectacle of the “glow worms” at Dismals Canyon. Near Birmingham, be enchanted by the multiple waterfalls at Bankhead National Forest. For the more scientific minded, no trip is complete without a visit to the U.S. Space & Rocket Center in Huntsville.
If you’re looking for an affordable auto policy to keep you and your loved ones safe on the road, InsureOne expert agents can help you find the best auto insurance at a great rate in Alabama.
How Much Does Car Insurance Cost in Alabama?
In Alabama, drivers pay annual auto premiums of $1,843 for full coverage and $441 for minimum liability insurance.
These premiums are much lower than national averages, which are $2,014 and $622 for full and minimum coverage, respectively. That means Alabama drivers typically save between $171 and $181 on auto insurance policies.
Reasons Why Insurance Is So Cheap in Alabama
Alabama has many small towns and rural communities that don’t see too much traffic or congestion, which could be a reason why premiums are cheaper. This state does experience a high number of fatal crashes annually compared to other states, which can lead to higher premiums, particularly if you live and drive along streets and highways where these types of crashes happen often.
Affordable Car Insurance Rates Comparison by Cities in Alabama
For a comparison of the average monthly premiums paid by drivers in different cities across the state, check out our breakdown below.
|Full Coverage Insurance
|Liability Insurance Coverage
Our average monthly premiums by city are based on the following methodology: male, age 30, lowest possible legal coverage allowed by Alabama.
How Bundling Your Vehicle and Homeowners Insurance Can Save You Money in Alabama
You can lower your monthly premium by bundling coverage, reducing your rate by around 5% to 25%. Because homeowners typically pay more for insurance that protects their houses, they stand to benefit most by bundling, seeing bigger rate drops than renters do.
For example, if you own a house in Birmingham or Huntsville and bundle your home and auto insurance, you’ll likely get a 25% reduction on your premium. By contrast, someone renting an apartment in these same areas, or any other town or city, might only get a 15% discount by bundling.
Whether you own or rent your home, an InsureOne agent can help you build a quality insurance package that meets your needs and budget. They save you time and money by doing all the work of comparing offers from top providers.
What Types of Auto Discounts Are Available in Alabama?
Driver discounts help you save money on your premiums, especially if you’re eligible for more than one savings offer. If you own a house and two cars, for example, bundling your homeowners insurance and auto coverage could earn you a 25% discount.
You can also lower your rate if you qualify for any of the following discounts:
- Good driver
- Good student
- Paperless billing
Alabama Car Insurance Laws
Alabama has a 25/50/25 minimum mandatory liability coverage requirement, and drivers must always carry proof of having it. Here’s a closer look at what this means.
What Are the Mandatory Car Insurance Requirements in Alabama?
In Alabama, a basic policy must provide 25/50/25 liability coverage to pay for costs you cause if you’re responsible for a crash. That means you’ll have:
- $25,000 to pay for the medical expenses of an injured person or their funeral expenses if they die from their injuries
- $50,000 to cover treatment for injuries or deaths if two or more persons are involved
- $25,000 to pay for property damage
These are the minimum amounts the state requires. You can choose to increase the amount of liability coverage on your policy or add additional coverages for even more protection.
What Is the Penalty for Driving Without Insurance in Alabama?
State law is strict with uninsured drivers, and the penalties get steeper with each offense. The first time you’re caught driving without proof of insurance, you’ll face a $200 fine and a 45-day vehicle registration suspension. You could also face up to three months in jail.
A second offense will cost you $300 in fines and up to $400 for subsequent ones. This time, your driver’s license will be suspended for up to 90 days. The length of time you spend in jail will likely be longer, too.
What Factors Does Alabama Law Allow in Determining Your Premiums?
By law, insurers can calculate your premium based on several factors. Some of the most important ones are:
- Driving record and experience
- Credit history
- Marital status
- Vehicle type
Insurance That Helps You Prepare for the Future
Your auto policy does more than protect you on the road. This coverage brings added benefits that kick in when you tap into it. These benefits include:
- Keeping costs low. Monthly payments add up over time. Typically, you only get to see that when you cause an accident, such as hydroplaning into someone during a rainy day. That’s when all the coverage you paid for kicks in and helps pay for the medical costs and property damage others suffer.
- Protecting yourself and others. Auto policies ensure that everyone involved in a crash can afford the medical attention they need by helping to pay for treatment costs. Whether you or a passenger are hurt in a crash or an accident you cause hurts another driver, auto coverage makes sure everyone’s protected.
- Addressing crash-related claims promptly. From paying hospital bills to having your vehicle towed to a repair shop, coverage from a trusted insurer takes care of all these claims expeditiously.
- Supplementing medical coverage. Auto policies provide an additional layer of medical coverage that kicks in if you’re injured in a crash. This can include treatment options that your health insurance doesn’t cover.
At InsureOne, our expert agents help you find the best auto insurance with customizable options that best meet your needs.
What Is Driving Like in Alabama?
Alabama spans 52,419 square miles, and roughly 3.2% of its land is water, with the coastal plain that abuts the Gulf of Mexico and slopes toward the Mississippi River making up a large part of it.
This makes southern Alabama flood-prone, especially if a tropical storm or hurricane makes landfall in or around Mobile. This southern portion of the state is much warmer than the northern half, which is cooler, particularly around the Appalachian Mountains.
Overall, the state has hot summers and cold winters and may also be impacted by tornados, which create dangerous roadway conditions.
How Many Car Accidents Happen in Alabama?
In 2021, 885 fatal crashes in Alabama resulted in 983 deaths. The following chart shows the number of fatal crashes that took place in various cities across the state that year.
|Fatal Crashes in 2021
Source: U.S. Department of Transportation National Highway Traffic Safety Administration.
How Many Uninsured/Underinsured Motorists Are in Alabama?
In Alabama, nearly 20% of drivers aren’t insured. In 2019, the state ranked number 7 among those with the highest number of uninsured or underinsured motorists.
Get the Best Car Insurance in Alabama Today
InsureOne offers a one-stop auto insurance shopping experience with expert agents who will listen to your needs and help you find top-quality insurance options that work best for you.
We will save you time and money by researching quotes and presenting you with several options that meet your needs. Get a quote online, visit us at an office near you, or call us at (800) 836-2240 for a quote.