The cheapest full coverage car insurance in Alabama is $112 , saving you $43 compared to the average cost of insurance in the state, which is around $155 per month.
CarInsurance.com has done the homework for you. We analyzed rates from various auto insurance companies in Alabama, such as Geico, Progressive, State Farm and more, so you can effortlessly compare their rates to find the most affordable option.
“Drivers looking to get the cheapest insurance premiums in Alabama should maintain continuous coverage and avoid any lapse. When it comes to shopping for a new insurance company, discounts may be applied if the drivers have maintained continuous coverage, which will help lower the annual premium,” says Lauren Mckenzie, senior insurance agent, A Plus Insurance.
- Among the companies analyzed by CarInsurance.com, Nationwide stands out as the cheapest option for full coverage car insurance in Alabama, with an insurance premium of $112 per month.
- Drivers in Alabama with a clean record pay 36% less for premiums compared to those with a DUI.
- The city with the lowest car insurance rates in Alabama is Fort Rucker, with an annual premium of $1,664 .
- Alabama drivers can save up to 28% annually on their auto insurance policy by comparing price quotes from multiple carriers.
Which company offers the cheapest car insurance in Alabama?
Nationwide offers the cheapest car insurance rates in Alabama for a full coverage policy with an average premium of $112 per month or around $1,345 per year, based on CarInsurance.com’s rate analysis.
A full coverage policy includes liability insurance, which is required by law in most states and optional coverage such as comprehensive and collision insurance, which typically have a deductible.
The below table shows the cheapest quotes in Alabama by different insurance carriers for a full coverage policy.
Cheapest car insurance rates in Alabama per month
| Company | Full Coverage Monthly Rates |
|---|---|
| Nationwide | $112 |
| Travelers | $119 |
| Geico | $135 |
| Country Financial | $141 |
| State Farm | $149 |
| Auto-Owners | $178 |
| Allstate | $182 |
| Progressive | $200 |
| Farmers | $212 |
| USAA* | $122 |
Note: USAA is only available to military community members and their families.
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Who pays the lowest auto insurance premiums in Alabama?
Car insurance rates can differ due to various factors, including age, location, driving history, credit score and the type of vehicle you own. Some insurers may offer cheaper rates for certain types of drivers compared to others.
- Married drivers pay 10% less than single drivers.
- Alabama drivers with clean records pay 36% less than drivers who have a DUI on their record.
- Alabama drivers in their 20s pay 62% lower rates for insurance than a 16-year-old in Alabama.
- Adding a teen to your policy will cost you 77% less than having the teen purchase their own auto insurance policy.
- Drivers who are licensed for three or more years pay 21% less on their insurance premiums.
- Drivers insured for three or more years can save up to 20% on their insurance costs.
TipIf you no longer drive regularly or work remotely, you may want to re-evaluate your insurance policy. Drivers with a daily commute of less than 15 miles can save up to 4% for this state more on their premiums.
Cheapest Alabama companies for different coverage levels
We all know that car insurance costs are different for everyone and can vary depending on your insurance company. Other than the insurer, your driving record and coverage levels also play a role in determining your premium.
There are cheaper options, such as liability-only and state minimum policies. These types of insurance only provide coverage for the other party in an at-fault accident up to the limits of the policy.
Not all insurers offer the same coverage limits at the same price point. For instance:
- Country Financial is the cheapest for a state minimum policy.
- Country Financial has the cheapest rates for a liability-only policy (50/100/50).
- Nationwide offers the cheapest car insurance for a full coverage policy (100/300/100) in Alabama.
The numbers above (100/300/100) represent up to $100,000 for medical bills per person, with a $300,000 cap per accident and up to $100,000 to repair other drivers’ cars and property that you damage.
Cheapest state minimum coverage in Alabama
State laws require all drivers to maintain a minimum level of car insurance coverage, also known as the state’s minimum coverage requirements. In Alabama, you must have at least the following insurance coverage on your car.
| Minimum Coverage | Minimum Limit |
|---|---|
| Minimum bodily injury liability | $25,000/$50,000 |
| Minimum property damage liability | $25,000 |
Read more about the minimum liability car insurance requirements by state
Below, you’ll see average annual rates for major insurance providers in Alabama, ranked from cheapest to most expensive for state minimum coverage.
| Company | State Minimum Annual Rates |
|---|---|
| Country Financial | $313 |
| State Farm | $340 |
| Geico | $363 |
| Travelers | $403 |
| Auto-Owners | $416 |
| Progressive | $450 |
| Nationwide | $487 |
| Allstate | $576 |
| Farmers | $667 |
| USAA* | $316 |
Note: USAA is only available to military community members and their families.
Cheapest liability-only coverage in Alabama
Your liability-only coverage will cover the cost of property damage or bodily injury you cause in an accident, up to the policy limits.
In the table below, see the average annual rates from Alabama’s top insurers for liability insurance, ranked from cheapest to most expensive. Coverage limits are $50,000 for bodily injury per person, $100,000 for bodily injury per accident and $50,000 for property damage.
| Company | Liability Only Annual Rates |
|---|---|
| Country Financial | $475 |
| State Farm | $511 |
| Geico | $523 |
| Travelers | $558 |
| Nationwide | $617 |
| Auto-Owners | $618 |
| Progressive | $718 |
| Allstate | $752 |
| Farmers | $1,186 |
| USAA* | $431 |
Note: USAA is only available to military community members and their families.
Cheapest full coverage in Alabama
A full-coverage car insurance policy typically includes comprehensive and collision coverage, offering protection against accidents, theft, vandalism and damage from natural disasters.
In an ideal scenario, having full coverage means having a policy that aligns with your income, assets and risk profile. Lenders typically mandate full coverage for individuals financing their vehicles.
The table below shows the average annual rates from major insurance providers in Alabama, listed by cost, for a full coverage policy of $100,000 for bodily injury per person, $300,000 for bodily injury per accident and $100,000 for property damage, with comprehensive and collision coverage and a $500 deductible.
| Company | Full Coverage Annual Rates |
|---|---|
| Nationwide | $1,345 |
| Travelers | $1,428 |
| Geico | $1,625 |
| Country Financial | $1,694 |
| State Farm | $1,790 |
| Auto-Owners | $2,134 |
| Allstate | $2,178 |
| Progressive | $2,402 |
| Farmers | $2,542 |
| USAA* | $1,458 |
Note: USAA is only available to military community members and their families.
Learn more about who has the cheapest full coverage auto insurance
Cheapest car insurance in Alabama by driving history
In Alabama, driving history significantly impacts car insurance costs. Insurance companies use this information to evaluate the risk of insuring a driver. Drivers with clean records pose less risk, leading to lower premiums.
Insurance companies consider traffic violations like speeding tickets, DUIs and at-fault accidents as indicators of risky driving behavior. So, they charge higher premiums to drivers with these violations on their record.
In Alabama, drivers with a history of such violations typically pay $627 more annually than drivers with clean records.
Cheap car insurance rates in Alabama after a speeding ticket
A speeding ticket can impact your Alabama car insurance rates, but finding affordable options is still possible. Among the carriers analyzed, Nationwide has the cheapest car insurance premiums for individuals with a speeding ticket at an average cost of $1,495 a year.
| Company | Rates Before Speeding | After Speeding (1-29 mph over limit) | % Difference | $ Difference |
|---|---|---|---|---|
| Nationwide | $990 | $1,495 | 51% | $506 |
| Allstate | $1,583 | $1,763 | 11% | $180 |
| Travelers | $1,290 | $1,813 | 41% | $524 |
| State Farm | $1,705 | $1,849 | 8% | $144 |
| Auto-Owners | $1,640 | $1,971 | 20% | $331 |
| Geico | $1,178 | $2,143 | 82% | $964 |
| Progressive | $1,972 | $2,563 | 30% | $591 |
| Farmers | $2,164 | $2,805 | 30% | $642 |
| USAA* | $1,130 | $1,300 | 15% | $170 |
Note: USAA is only available to military community members and their families.
Cheapest car insurance premiums in Alabama after a DUI conviction
State Farm offers the cheapest car insurance to Alabama drivers with a DUI conviction at $1,849 per year and Travelers has the second-cheapest insurance premiums at $1,965 a year, based on recent data.
A DUI can significantly impact your car insurance costs. On average, drivers with clean records pay 36% less than drivers with a DUI on their record.
| Company | Rates Before DUI | Rates After a DUI | % Difference | $ Difference |
|---|---|---|---|---|
| State Farm | $1,705 | $1,849 | 8% | $144 |
| Travelers | $1,290 | $1,965 | 52% | $676 |
| Nationwide | $990 | $2,011 | 103% | $1,021 |
| Allstate | $1,583 | $2,134 | 35% | $551 |
| Progressive | $1,972 | $2,416 | 23% | $444 |
| Geico | $1,178 | $2,483 | 111% | $1,304 |
| Farmers | $2,164 | $2,924 | 35% | $760 |
| Auto-Owners | $1,640 | $3,192 | 95% | $1,552 |
| USAA* | $1,130 | $2,345 | 108% | $1,215 |
Note: USAA is only available to military community members and their families.
Cheap car insurance rates in Alabama after an at-fault accident
If you’re a driver with an at-fault accident on your record, Nationwide is the cheapest option, offering car insurance at an average cost of $1,606 annually.
Travelers is the second most affordable option, providing full-coverage insurance to drivers with a history of at-fault accidents at an average cost of $1,837 .
If you’re accountable for an accident, it can significantly affect your insurance premiums, as insurance companies see at-fault incidents as a sign of higher risk, leading to increased costs for coverage.
| Company | Rates Before Accident | Rates After Accident | % Difference | $ Difference |
|---|---|---|---|---|
| Nationwide | $990 | $1,606 | 62% | $616 |
| Travelers | $1,290 | $1,837 | 42% | $547 |
| Geico | $1,178 | $2,025 | 72% | $847 |
| State Farm | $1,705 | $2,065 | 21% | $361 |
| Auto-Owners | $1,640 | $2,111 | 29% | $472 |
| Allstate | $1,583 | $2,487 | 57% | $905 |
| Farmers | $2,164 | $3,044 | 41% | $880 |
| Progressive | $1,972 | $3,319 | 68% | $1,348 |
| USAA* | $1,130 | $1,708 | 51% | $578 |
Note: USAA is only available to military community members and their families.
Cheapest car insurance rates by state
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Our apologies, we cannot display the data due to availability or spelling errors. Please check the spelling and try again. For assistance, reach out us via Alabama cities with the lowest auto insurance rates
Your location plays a key role in determining your car insurance premium. Insurance companies analyze claim data in your area to assess the risk of insuring you. Areas with higher accident rates or theft statistics have higher premiums.
Fort Rucker is the city with the lowest premiums in Alabama at an annual auto insurance rate of $1,664 .
Insurance companies use data about thefts, collisions and vandalism to decide how likely it is for one of these things to happen in your city. Insurers also consider your driving record, the type of car you drive and your car’s age to determine your premiums.
Find below a list of Alabama cities with the lowest car insurance rates.
| City | Full Coverage Annual Rates |
|---|---|
| Fort Rucker | $1,664 |
| Ozark | $1,669 |
| Muscle Shoals | $1,669 |
| Dothan | $1,670 |
| Tanner | $1,672 |
| Hartford | $1,674 |
| Hartselle | $1,675 |
| Sheffield | $1,675 |
| Webb | $1,677 |
| Cottonwood | $1,678 |
Explore the top 10 factors that influence car insurance rates
How much can you save on car insurance in Alabama?
By comparing car insurance quotes, you can save an average of 28% per year for a full coverage policy in Alabama.
While savings will depend upon individual circumstances, there are still significant benefits associated with comparison shopping and getting exactly what you need at an affordable price.
Car insurance discounts in Alabama: Save on premiums
Car insurance discounts in Alabama can help you save on car insurance premiums. Insurance companies offer discounts to drivers for safe driving, vehicle safety features and policy bundling. Here are some common car insurance discounts available in Alabama.
Shop around and compare quotes from different insurance companies to find the best coverage and discounts for your specific needs.
| Discount Type | % Difference | $ Difference |
|---|---|---|
| Air bags | 1% | $22 |
| Anti-theft device | 1% | $25 |
| Daily commute | 5% | $108 |
| Days advanced purchase | 6% | $125 |
| Days per week driven | 4% | $60 |
| Education | 5% | $94 |
| Electronic funds transfer | 2% | $37 |
| Homeowner | 3% | $61 |
| Lower annual mileage | 5% | $78 |
| Loyalty – years renewal with company | 11% | $207 |
| Marital status | 10% | $194 |
| Multi policy | 8% | $158 |
| Paperless/electornic documents | 4% | $72 |
| Payment type | 9% | $173 |
| Primary use | 8% | $149 |
| Profession | 11% | $209 |
| Safety devices | 2% | $40 |
| Telematics | 11% | $191 |
| Years insured | 18% | $500 |
| Years licensed | 20% | $722 |
Final thoughts on cheap car insurance in Alabama
Based on our research, if you are a good driver, Nationwide is the cheapest in Alabama for a full coverage policy.
It’s important to find the cheapest auto insurance and ensure you have the right amount of protection for your needs.
To get affordable car insurance in Alabama, figure out the coverage you require, compare quotes from different companies, look for discounts and keep a good driving record.
Resources & Methodology
Methodology
CarInsurance.com commissioned Quadrant Information Services to field rates in 2023 from all the major insurers in nearly every ZIP code of Alabama for three different coverage levels:
- Full coverage policy with limits 100/300/100, including comprehensive and collision coverage and a $500 deductible.
- Liability-only with limits 50/100/50.
- State-minimum car insurance limits of 25/50/25.
The rates are based on the sample profile of a 40-year-old male and female driving a Honda Accord LX with a clean driving record and a good credit score. We have compared 53,409,632 car insurance quotes from 75 company groups across 34,588 ZIP Codes.
Violations:
Car insurance rates are calculated by evaluating the sample profile of a 40-year-old driver for a full coverage policy with limits 100/300/100, including comprehensive and collision coverage, and a $500 deductible, with the following incidents applied: clean record, at-fault accident, DUI conviction and speeding ticket.
Discounts:
Car insurance discount rates are for a full coverage policy with limits of 100/300/50 and a $500 comprehensive and collision deductible based on the sample profile of a 40-year-old male driver. To gather the data, our data experts compared 2,677,890 insurance quotes across various ZIP Codes.
The rates are for comparison purposes only and your exact rates may vary.
Ask the Insurance Expert
Laura Longero
Executive Editor
Laura Longero is an insurance expert and Executive Editor at CarInsurance.com, where she specializes in helping consumers navigate the complexities of the financial and insurance industries. She has 15 years of experience educating people about finance and car insurance. Prior to joining CarInsurance.com, she worked as a reporter and editor at the USA Today Network. Her expertise provides readers with practical guidance, helping them make informed choices about their financial and insurance needs.
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John McCormick
Editorial Director
John is the editorial director for CarInsurance.com, Insurance.com and Insure.com. Before joining QuinStreet, John was a deputy editor at The Wall Street Journal and had been an editor and reporter at a number of other media outlets where he covered insurance, personal finance, and technology.
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Leslie Kasperowicz
Executive Editor
Leslie Kasperowicz is an insurance educator and content creation professional with nearly two decades of experience first directly in the insurance industry at Farmers Insurance and then as a writer, researcher, and educator for insurance shoppers writing for sites like ExpertInsuranceReviews.com and InsuranceHotline.com and managing content, now at CarInsurance.com.
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Nupur Gambhir
Managing Editor
Nupur Gambhir is a content editor and licensed life, health, and disability insurance expert. She has extensive experience bringing brands to life and has built award-nominated campaigns for travel and tech. Her insurance expertise has been featured in Bloomberg News, Forbes Advisor, CNET, Fortune, Slate, Real Simple, Lifehacker, The Financial Gym, and the end-of-life planning service.
Guide to car insurance (with rates) in cities of Alabama