Cheapest Car Insurance In Alabama (2024) (original) (raw)
Written by:
, Writer
10/18/2024 08:01 AM
Key Points:
- GEICO is the cheapest car insurance company in Alabama overall, with an average rate of $33 per month for minimum coverage and $132 per month for full coverage.
- Travelers and USAA also offer affordable car insurance rates for many driver profiles.
- If you are under 25 years old or have had traffic violations, your car insurance rates will be higher than usual.
- You can save on car insurance by opting for minimum coverage, looking for discounts, increasing your deductible, and bundling your auto insurance with other policies.
Since car insurance costs are going up, it’s smart for Alabama drivers to compare different policies to find the cheapest coverage. Our reviews team has researched the best car insurance companies nationwide. We carefully examined the reputation, customer satisfaction, coverage options, and average premiums of each provider.
In this review, we will show you the most effective methods to save money on insurance and where you can get the least expensive car insurance in Alabama that matches your driving profile.
Cheap Car Insurance Alabama
Different car insurance companies assess driver profiles in slightly different ways, meaning that the provider that offers the lowest rates for one driver may not have the lowest rates for you. To illustrate this, here is a summary of the most affordable auto insurance providers and their rates for various driver profiles in Alabama.
| Cheapest Car Insurance Company | Average Monthly Cost | Average Annual Cost | |
|---|---|---|---|
| Minimum coverage | GEICO | 33∣33 | 33∣397 |
| Full coverage | Travelers | 122∣122 | 122∣1,468 |
| 16-year-olds | GEICO | 107∣107 | 107∣1,290 |
| 45-year-olds | USAA | 30∣30 | 30∣361 |
| High-risk drivers | Travelers | 42∣42 | 42∣503 |
| After a speeding ticket | GEICO | 38∣38 | 38∣453 |
| After an accident | Travelers | 42∣42 | 42∣504 |
| After a DUI | State Farm | 43∣43 | 43∣510 |
| Poor credit drivers | GEICO | 33∣33 | 33∣397 |
*Unless stated otherwise, average costs are minimum-coverage rates for single male drivers between the ages of 25 and 35 with a clean driving history.
What Is The Cheapest Car Insurance Company In Alabama?
In general, we discovered that GEICO provides the least expensive car insurance in Alabama for the majority of different driving situations. The following sections will cover the average monthly costs of both minimum- and full-coverage car insurance from the cheapest companies in Alabama.
These percentages apply to drivers in Alabama with varying ages, locations, and driving experiences. The cheapest companies are organized by minimum coverage costs.
Cheapest Minimum Coverage In Alabama: GEICO
Drivers looking for the most affordable coverage that just meets Alabama state minimum requirements may find it at GEICO for about $33 per month or $397 per year on average.
| Cheapest Car Insurance in Alabama | Average Monthly Cost | Average Annual Cost |
|---|---|---|
| GEICO | 33∣33 | 33∣397 |
| Travelers | 34∣34 | 34∣403 |
| USAA | 38∣38 | 38∣451 |
| State Farm | 38∣38 | 38∣459 |
| Progressive | 42∣42 | 42∣499 |
| Auto-Owners | 44∣44 | 44∣526 |
| Safeway | 53∣53 | 53∣631 |
| Nationwide | 58∣58 | 58∣694 |
| Allstate | 62∣62 | 62∣750 |
| Farmers | 73∣73 | 73∣876 |
Cheapest Full Coverage In Alabama: Travelers
If you want better coverage at the best price, Travelers is the best choice. The provider offers full-coverage insurance for an average of $122 per month.
Full-coverage insurance policies in Alabama generally include liability insurance, uninsured/underinsured motorist coverage, collision coverage, and comprehensive insurance.
| Cheapest Car Insurance in Alabama | Average Monthly Cost | Average Annual Cost |
|---|---|---|
| Travelers | 122∣122 | 122∣1,468 |
| GEICO | 132∣132 | 132∣1,589 |
| Nationwide | 159∣159 | 159∣1,906 |
| State Farm | 167∣167 | 167∣2,002 |
| USAA | 168∣168 | 168∣2,019 |
| Progressive | 206∣206 | 206∣2,468 |
| Allstate | 210∣210 | 210∣2,515 |
| Auto-Owners | 211∣211 | 211∣2,526 |
| Safeway | 223∣223 | 223∣2,670 |
| Farmers | 230∣230 | 230∣2,757 |
Cheapest Car Insurance In Alabama: Age
Below, you’ll find average insurance costs for Alabama drivers ages 16 to 55 as well as the top five cheapest car insurance companies for each age group. People aged 30 to 55 usually receive the most affordable car insurance rates since they are more experienced drivers. Additionally, statistical data shows that they are less prone to getting involved in car accidents compared to younger drivers.
Average Car Insurance Rates By Age
| Age | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| 16 | 214∣214 | 214∣694 |
| 25 | 52∣52 | 52∣199 |
| 35 | 43∣43 | 43∣166 |
| 45 | 41∣41 | 41∣157 |
| 55 | 40∣40 | 40∣147 |
Cheapest Alabama Car Insurance: Young Drivers
As mentioned, drivers in their teens and early 20s typically pay the most expensive car insurance rates. That’s mainly because these drivers have limited experience driving and are more likely to break traffic rules and get into car crashes.
In fact, the fatal crash rate per mile driven for teen drivers was nearly three times the rate for drivers 20 years old and older in 2021, according to the Insurance Institute for Highway Safety.
Cheapest Alabama Car Insurance For 16-Year-Olds: GEICO
If you’re a teen driver or the parent of one, GEICO may be your best bet for finding the most affordable car insurance in Alabama.
The company’s cheapest average rates for 16-year-old drivers are $107 per month or $1,290 per year, which is relatively affordable compared to other states. If you’re looking for full coverage, the average is $399 per month or $4,787 per year from Travelers.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| GEICO | 107∣107 | 107∣413 |
| Travelers | 116∣116 | 116∣399 |
| USAA | 140∣140 | 140∣529 |
| State Farm | 161∣161 | 161∣548 |
| Auto-Owners | 187∣187 | 187∣666 |
| Safeway | 188∣188 | 188∣652 |
| Nationwide | 204∣204 | 204∣549 |
| Progressive | 254∣254 | 254∣1,110 |
| Allstate | 302∣302 | 302∣856 |
| Farmers | 482∣482 | 482∣1,220 |
Cheapest Alabama Car Insurance For 25-Year-Olds: Travelers
Car insurance rates for young drivers in their 20s decrease a lot compared to what teenagers pay. However, the rates can still be expensive depending on the insurance company you choose.
Travelers provides the cheapest car insurance costs on average at $34 per month or $407 per year for minimum coverage. Travelers costs $127 per month or $1,519 per year for full coverage.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| Travelers | 34∣34 | 34∣127 |
| GEICO | 36∣36 | 36∣141 |
| State Farm | 42∣42 | 42∣187 |
| USAA | 43∣43 | 43∣188 |
| Progressive | 46∣46 | 46∣217 |
| Auto-Owners | 50∣50 | 50∣241 |
| Safeway | 55∣55 | 55∣245 |
| Allstate | 64∣64 | 64∣223 |
| Nationwide | 65∣65 | 65∣176 |
| Farmers | 81∣81 | 81∣244 |
Cheapest Alabama Car Insurance: Adult Drivers
Auto insurance costs are usually the cheapest for individuals in their 40s who drive. You can compare typical car insurance expenses of drivers in their 30s, 40s, and 50s from the top five cheapest companies for each age group below.
Cheapest Alabama Car Insurance For 35-Year-Olds: GEICO
Drivers in their mid-30s may insure their cars at the cheapest cost by getting a minimum coverage car insurance policy from GEICO. The company offers average minimum-coverage costs of $30 per month or $366 per year. For full coverage, Travelers’s rates average $118 monthly or $1,418 annually.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| GEICO | 30∣30 | 30∣123 |
| USAA | 32∣32 | 32∣148 |
| Travelers | 33∣33 | 33∣118 |
| State Farm | 34∣34 | 34∣147 |
| Progressive | 37∣37 | 37∣194 |
| Auto-Owners | 38∣38 | 38∣180 |
| Safeway | 50∣50 | 50∣200 |
| Nationwide | 50∣50 | 50∣141 |
| Allstate | 61∣61 | 61∣196 |
| Farmers | 65∣65 | 65∣215 |
Cheapest Alabama Car Insurance For 45-Year-Olds: USAA
Forty-five-year-old drivers may find the most affordable minimum coverage from USAA, with average rates of $30 per month or $361 per year. The cheapest full coverage comes from Travelers at $107 per month or $1,285 per year.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| USAA | 30∣30 | 30∣136 |
| Travelers | 31∣31 | 31∣107 |
| GEICO | 33∣33 | 33∣128 |
| State Farm | 35∣35 | 35∣145 |
| Progressive | 35∣35 | 35∣175 |
| Auto-Owners | 36∣36 | 36∣175 |
| Safeway | 39∣39 | 39∣176 |
| Nationwide | 48∣48 | 48∣130 |
| Allstate | 60∣60 | 60∣195 |
| Farmers | 62∣62 | 62∣204 |
Cheapest Alabama Car Insurance For 55-Year-Olds: USAA
Typically, people in their 50s in Alabama can find the most affordable car insurance rates from USAA. The insurer’s average premiums are $29 monthly or $348 annually for minimum coverage. The cheapest full coverage option is from Travelers, costing $107 monthly or $1,285 annually
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| USAA | 29∣29 | 29∣130 |
| Travelers | 30∣30 | 30∣97 |
| Progressive | 32∣32 | 32∣153 |
| GEICO | 33∣33 | 33∣119 |
| State Farm | 34∣34 | 34∣136 |
| Auto-Owners | 34∣34 | 34∣164 |
| Safeway | 43∣43 | 43∣174 |
| Nationwide | 46∣46 | 46∣120 |
| Farmers | 57∣57 | 57∣188 |
| Allstate | 60∣60 | 60∣190 |
Cheapest Car Insurance In Alabama: High-Risk Drivers
Besides the type of coverage and age, your driving safety is a major factor in determining how much you will be charged for car insurance. Auto insurers typically determine if you’re a high-risk driver by looking at how many infractions are on your driving record, including speeding tickets, at-fault accidents, and DUI convictions.
Average Car Insurance Rates For High-Risk Drivers
Drivers who pose a greater risk have to pay more for car insurance because they have a history of breaking the rules multiple times. On average, Alabama motorists who are deemed high-risk may find the most affordable rates from Travelers for minimum coverage or Travelers for full coverage.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| Travelers | 42∣42 | 42∣165 |
| State Farm | 45∣45 | 45∣187 |
| USAA | 59∣59 | 59∣266 |
| GEICO | 59∣59 | 59∣213 |
| Progressive | 60∣60 | 60∣273 |
| Safeway | 66∣66 | 66∣259 |
| Auto-Owners | 73∣73 | 73∣305 |
| Allstate | 83∣83 | 83∣276 |
| Nationwide | 88∣88 | 88∣259 |
| Farmers | 99∣99 | 99∣306 |
Cheapest Alabama Car Insurance For Drivers With A Speeding Ticket: GEICO
Drivers with a speeding citation on their record can generally find the most affordable coverage from GEICO, with average rates of $38 per month or $453 per year for minimum coverage and $157 per month or $1,886 per year for full coverage.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| GEICO | 38∣38 | 38∣157 |
| Travelers | 39∣39 | 39∣156 |
| State Farm | 43∣43 | 43∣180 |
| USAA | 43∣43 | 43∣195 |
| Safeway | 53∣53 | 53∣223 |
| Progressive | 54∣54 | 54∣259 |
| Auto-Owners | 61∣61 | 61∣266 |
| Nationwide | 68∣68 | 68∣194 |
| Allstate | 69∣69 | 69∣231 |
| Farmers | 93∣93 | 93∣294 |
Cheapest Alabama Car Insurance For Drivers With An At-Fault Accident: Travelers
If you have a car accident in Alabama, your car insurance rates might go up. Travelers tends to offer the most affordable rates on average at about $42 per month or $504 per year for minimum coverage and $167 per month or $167 per year for full coverage.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| Travelers | 42∣42 | 42∣167 |
| State Farm | 49∣49 | 49∣200 |
| USAA | 56∣56 | 56∣241 |
| Auto-Owners | 60∣60 | 60∣263 |
| GEICO | 67∣67 | 67∣210 |
| Safeway | 68∣68 | 68∣268 |
| Progressive | 69∣69 | 69∣319 |
| Nationwide | 88∣88 | 88∣259 |
| Allstate | 99∣99 | 99∣322 |
| Farmers | 105∣105 | 105∣317 |
Cheapest Alabama Car Insurance For Drivers With A DUI: State Farm
If you’re a motorist with a drunk driving conviction, you may find the cheapest minimum car insurance in Alabama from State Farm for $43 per month or $510 per year on average. They also have rates of $180 monthly or $2,161 annually for full coverage.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| State Farm | 43∣43 | 43∣180 |
| Travelers | 45∣45 | 45∣173 |
| Progressive | 58∣58 | 58∣241 |
| GEICO | 74∣74 | 74∣272 |
| Safeway | 76∣76 | 76∣287 |
| USAA | 78∣78 | 78∣363 |
| Allstate | 81∣81 | 81∣276 |
| Auto-Owners | 99∣99 | 99∣384 |
| Farmers | 100∣100 | 100∣305 |
| Nationwide | 108∣108 | 108∣325 |
Cheapest Alabama Car Insurance For Drivers With Poor Credit: GEICO
People who have low credit scores are charged more for car insurance. Those who don’t have the best credit history may want to check out GEICO, which has an average minimum-coverage rate of $48 per month or $577 per year and an average full-coverage rate of $204 per month or $2,447 per year.
| Cheapest Car Insurance in Alabama | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| GEICO | 48∣48 | 48∣204 |
| Travelers | 50∣50 | 50∣205 |
| Safeway | 53∣53 | 53∣223 |
| USAA | 59∣59 | 59∣295 |
| Progressive | 62∣62 | 62∣337 |
| Nationwide | 77∣77 | 77∣246 |
| Allstate | 106∣106 | 106∣350 |
| Farmers | 107∣107 | 107∣353 |
| Auto-Owners | 111∣111 | 111∣592 |
| State Farm | 151∣151 | 151∣643 |
Average Cost Of Car Insurance In 10 Alabama Cities
In Alabama, the area you live in also influences how much your car insurance costs. Auto insurance companies consider drivers riskier to cover in areas with:
- Larger groups of people.
- There are an increased number of cars driving on the road.
- More car accidents are occurring at increased rates.
- More instances of traffic law violations.
- More incidents of car theft and slashed tires
- Extreme weather conditions
Certain factors that increase the chance of something happening pose a greater impact on individuals who own cars in bigger urban areas. This is why drivers who live in bustling cities have to pay the highest average price for car insurance with minimum coverage. On the other hand, drivers living in rural regions with lower crime rates and a smaller number of people are more likely to have access to more affordable insurance rates.
| City | Minimum-Coverage Average Monthly Cost | Full-Coverage Average Monthly Cost |
|---|---|---|
| Tuscaloosa | 50.55∣50.55 | 50.55∣161.37 |
| Decatur | 46.25∣46.25 | 46.25∣153.07 |
| Dothan | 47.96∣47.96 | 47.96∣146.79 |
| Birmingham | 55.66∣55.66 | 55.66∣179.86 |
| Huntsville | 50.91∣50.91 | 50.91∣156.24 |
| Montgomery | 54.43∣54.43 | 54.43∣169.14 |
| Madison | 50.08∣50.08 | 50.08∣150.93 |
| Florence | 45.69∣45.69 | 45.69∣146.45 |
| Mobile | 58.35∣58.35 | 58.35∣178.81 |
| Auburn | 45.52∣45.52 | 45.52∣151.75 |
Best Car Insurance Companies In Alabama
Besides the price, we have examined more than 40 insurance companies in terms of their coverage, service, and reliability. This analysis helped us identify the top five insurance providers for Alabama residents. Based on our research, we found GEICO to be the best provider for most drivers in Alabama. Here are the ratings we have given to our top picks.
| Overall Rating | Cost | Coverage | Reliability | Service | |
|---|---|---|---|---|---|
| #1 State Farm | 4.7 | 4.3 | 4.6 | 5 | 4.5 |
| #2 Travelers | 4.6 | 4.4 | 4.9 | 4.5 | 4.2 |
| #3 GEICO | 4.5 | 4.2 | 4.2 | 4.9 | 4.3 |
| #4 Progressive | 4.5 | 4 | 4.8 | 4.8 | 4.1 |
| #5 USAA | 4.5 | 4.7 | 4.8 | 4.5 | 4.3 |
*The overall and category ratings above are based on nationwide factors.
How To Get The Cheapest Car Insurance In Alabama
You can reduce how much you pay for car insurance in Alabama by trying different methods. These include:
- Opting for minimum coverage: If you want the cheapest car insurance, just go for the minimum coverage required by your state.
- Seeking out discounts: Most insurance companies have multiple discounts that can help cut down on premium costs, from military and good student discounts to discounts for drivers that remain accident free for five years.
- Raising your deductible: A higher deductible will lower your premium costs, but you’ll have to pay more out of pocket if you file a claim.
- Bundling your auto insurance: You can often bundle your auto insurance with a homeowners insurance policy or other type of coverage to earn a discount.
- Comparing quotes: Getting quotes from several companies can give you an idea of which provider will give you the best deal.
Many insurance companies offer usage-based insurance programs, which are another good way to save money. These programs use telematics to monitor your driving habits–from your speed and braking to the time of day you drive. If you drive safely, you might qualify for a significant discount. However, certain programs might increase your rates if you engage in risky driving habits.
Some companies also offer diminishing deductibles and accident forgiveness. A diminishing deductible option decreases your deductible amount each time you renew your policy. Accident forgiveness ensures that your rates won’t increase after your first accident with the company.
What Does Alabama Require For Car Insurance?
Drivers in Alabama must meet minimum insurance requirements as outlined by state law, which include basic liability insurance and uninsured/underinsured motorist (UM/UIM) coverage:
- $50,000 bodily injury liability per accident
- $25,000 bodily injury liability per person
- $25,000 property damage liability per accident
Liability coverage only takes care of other parties’ injuries and property damages in an accident that you cause. UM/UIM covers your injuries and property damages, but only in the case that the at-fault driver has little to no auto insurance.
Getting comprehensive insurance will ensure that your car is covered if stolen, vandalized, or damaged by floods, fire, animals, or other natural disasters. Collision insurance covers your car repairs after an accident.
Our Take: Best Cheap Car Insurance In Alabama
When it comes to both minimum and full coverage, GEICO is the best and cheapest car insurance company for most drivers in Alabama. While the above costs can give you an idea of what you’d pay for car insurance in Alabama, seeking an individualized rate will help give you a more accurate picture of what you’ll pay.
Many companies offer quick and no-cost online tools for getting quotes. You can also contact a company’s insurance agent or representative by phone. Once you have gathered quotes from at least three providers, compare them to find the best one for you.
Best Cheap Car Insurance In Alabama: FAQ
Here are some frequently asked questions about car insurance in Alabama:
How much is car insurance per month in Alabama?
The average cost of minimum-coverage car insurance in Alabama is $47 per month or $569 per year. For full coverage, the average is $183 per month or $2,192 per year.
Is Alabama car insurance cheaper?
Alabama auto insurance is typically cheaper than the national average. Nationwide, the average cost of minimum-coverage insurance is 670peryear,whiletheaverageinAlabamais∗∗670 per year, while the average in Alabama is 670peryear,whiletheaverageinAlabamais∗∗569 per year. For full coverage, residents of Alabama pay about $2,192 per year on average, which is less than the national average of $2,216 per year.
How We Rate Insurers
Our review process aims to deliver consistent and unbiased assessments of car insurance providers. While there are multiple qualities that make a car insurance company successful, our review team focuses on those we believe are the most important for consumers:
- Cost: Cost can be difficult to compare between insurers because so many factors impact annual premiums. The cheapest insurer for one driver may not be the cheapest for another. To determine our cost score, we look at insurance rate estimates generated by Quadrant Information Services, discount opportunities, and consumer reports.
- Coverage: To determine our coverage score, we look at the number of coverage options available as well as coverage limits and deductible options. Our ratings also take into account additional services and benefits like roadside assistance.
- Reliability: It’s important that an auto insurer is able to meet its claims obligations. Companies with a strong financial strength rating from AM Best score best in this category. Established insurers with a long history of reliable service also receive positive marks.
- Service: We comb through customer reviews on sites like the Better Business Bureau (BBB) to learn about customer experiences. Insurers with a low volume of complaints score well in this area. We also consider the claims process, giving higher ratings to car insurance providers that offer easy-to-use claims apps.
*Data accurate at time of publication.