Alabama Auto Insurance

Auto insurance in Alabama

What is the average cost of car insurance in Alabama? The average cost of auto insurance in Alabama is $1,358 per year, which is just slightly below the national average cost of car insurance. Car insurance companies in Alabama look at several factors when determining the cost of auto insurance. The driver's age, martial status, driving history, gender and even credit score are among the most influential factors that come into play when determining the annual cost of car insurance. Married drivers, for example, get the benefit of slightly lower payments than divorced or single motorists. Younger and less experienced drivers have highest average yearly premiums in comparison to people in their twenties, thirties, forties and fifties.

The easiest way to get the cheapest car insurance in Alabama is by filling out a free quote for all the car insurance providers of your choice. Find affordable car insurance by zip code, city or even by county in Alabama.

In today's modern world, having car insurance is not only required by law, but it is also essential to stay safe and protected in case of accidents. Whether you are using your car for personal or professional purposes, you need to insure your vehicle. Without adequate insurance, you are liable for fines (up to $1,000), and you might even have your driver's license or vehicle registration suspended (up to six months). If you are interested in discovering more information on the topic of auto insurance in Alabama, all you have to do is keep on reading.

What type of car insurance do you legally need in Alabama?

According to the Alabama Mandatory Liability Insurance Act, all Alabama residents who operate a moving vehicle must be covered by a liability insurance policy. Should there be a lapse in the mandatory insurance, the respective vehicle registration will be suspended for several months. There is also an online insurance verification system, which is used to instantly check whether a vehicle is insured or not.

In order for a resident to operate a vehicle in the state of Alabama, the associated car insurance must meet several requirements. These include: bodily injury liability ($50,000 per accident and $25,000 per person), property damage liability ($25,000 per person), and uninsured motorist bodily injury (same as bodily injury liability). Full coverage insurance is naturally superior to the minimum liability coverage, including optional coverages, such as comprehensive insurance and collision insurance. Specialists recommend choosing a higher liability coverage limit than the one required by law in Alabama. In this way, you will be protected in case of a worst-case scenario.

The above-mentioned sums refer to the maximum amount an insurance provider will be able to pay, should you be involved in an accident for which you are at fault. It is required by law to carry a copy of your insurance policy while driving. Of course, it is illegal to drive without insurance in Alabama, with consequences including legal fines and suspension of your driver's license or vehicle registration, as mentioned above. Should one continue to drive without a valid insurance policy, it might lead to jail time.

Average cost of auto insurance in Alabama

How much does car insurance cost in AL? The state minimum auto insurance policy in Alabama has a value of $443. However, a full coverage insurance policy has an average value of $1,760 per year. Collision and comprehensive coverage are not included in this coverage, which means you will have to pay extra for them. There are several factors influencing the overall insurance rates, such as: marital status, gender, age, driving record, location, number of miles driven, the presence of prior insurance, vehicle, etc. It is recommended to choose an insurance policy that provides the best coverage, not necessarily the cheapest one.

It is worth knowing that the average cost of car insurance varies from one state to the other. This is valid for both the minimum coverage and the full version, with additional coverage, such as comprehensive and collision. Among the factors that influence these values, there are: road conditions, how many uninsured drivers there are in the city, number of drivers in accordance with the general population, at-fault accidents, accidents caused by weather elements or conditions, etc.

Alabama has a similar rate for the average car insurance to the national median, which is around $1,770. Among the states that have more expensive policies, there are: California, Colorado, Florida, Louisiana, Michigan, Nevada, New York, and Pennsylvania. More affordable states include: Maine, Nebraska, New Mexico, North Dakota, Oregon, Tennessee, Washington, and Wisconsin. New York has the most expensive rates, with $2,996 for the full coverage and $1,339 for the minimum one. Maine is the most affordable, with $876, respectively $227.

Within the state of Alabama, you might also find differences between various cities. The most affordable car insurance policies can be found in: Huntsville, Dothan, Madison, Decatur, Auburn, Florence, Gadsden, Enterprise, and Opelika. The following cities have higher rates to offer: Birmingham, Bessemer, Phenix City, and Trussville. Birmingham has the most expensive rates for full coverage, meaning $1,764. On the other hand, Florence has the most affordable rates for the same type of coverage, with a value of $1,514.

The age of the driver is one of the main factors influencing the value of the auto insurance. It is common knowledge that this type of insurance costs more for young drivers, as they are seen by insurance companies as immature and thus less responsible. A 16-year-old driver has an annual premium of over $7,700, as opposed to a 50-year-old driver, who might expect for his or her premium to be close to $2,000. There are also slight differences between genders, with the insurance policies for men having better rates. Married couples also benefit from the most affordable coverages, as opposed to those who are single, divorced, or widowed.

In deciding on the value of a potential coverage policy, car insurance companies will also analyze the driver's credit history. Drivers with exceptional credit can actually save significant sums on their car insurance premiums, as opposed to those who have a poor credit history. Prior driving offenses, such as DUI or DWI, reckless driving, at-fault accidents, speeding, will lead to significantly higher rates. Last, but not least, you can expect the rates to vary in accordance with the type of coverage. Keep in mind that you can add both comprehensive and collision to the state minimum policy, which is a significant advantage to consider.

Did not find your city or county on the list? Please use our auto insurance companies search box at the top to locate all the best auto insurance quotes in Alabama. Find car insurance in Alabama by city, zip code or county name.

Finding the right auto insurance in Alabama

If you are struggling to find the right insurance policy, perhaps you might consider our expert assistance. With years of experience and knowledge accumulated in the field, we are happy to help drivers discover the best policies for their needs, with careful consideration to the available budget. All you have to do is give us a call and we will be more than pleased to provide the necessary support. This service is 100% free and it will save you from a daunting research process, leaving you with more time to focus on other important things.