Best Auto Insurance Rates in Alabama
If you're looking to save on auto insurance in Alabama, make sure to get quotes from State Farm, Country Financial and, if you qualify, USAA. While these companies offer the best rates statewide, others are not far behind. Here’s how to find cheap car insurance in Alabama.
In this article:
Companies that offer cheap car insurance in Alabama
State Farm, Country Financial and USAA offer the cheapest rates in Alabama for many different driver profiles, based on QuoteWizard’s statewide analysis of car insurance rates.
Best rates for customers with a clean driving record
For drivers with no accidents or violations, USAA and State Farm offer the state’s best average rates for minimum-coverage insurance, both charging $40 per month. The next-cheapest rate is $44 per month, offered by Country Financial.
USAA is only available to current and former members of the military, as well as their families.
For full coverage, State Farm leads the way with an average monthly rate of $81, followed by Country Financial, at $90 a month, and USAA, at $92 a month.
A minimum-coverage policy meets the state’s requirements for liability coverage, while full coverage also includes collision and comprehensive coverages. On average, Alabama drivers pay $80 per month for a minimum-coverage policy and $164 a month for full coverage.
| Company | Average monthly rate |
|---|---|
| USAA | $40 |
| State Farm | $40 |
| Country Financial | $44 |
| Allstate | $56 |
| Progressive | $60 |
| Safeway | $76 |
| Nationwide | $89 |
| Farmers | $113 |
| Travelers | $118 |
| GEICO | $137 |
| State average | $80 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
| Company | Average monthly rate |
|---|---|
| State Farm | $81 |
| Country Financial | $90 |
| USAA | $92 |
| Allstate | $104 |
| Progressive | $135 |
| Safeway | $138 |
| Nationwide | $180 |
| Farmers | $213 |
| Travelers | $240 |
| GEICO | $311 |
| State average | $164 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Best rates for drivers with a speeding ticket or accident
Our analysis also shows that a speeding ticket increases the average monthly rate for full coverage to $200 per month, which is 22% more than what those with a clean record pay. An accident increases the average monthly rate 46%, to $239 per month.
State Farm’s average rate for a driver with a speeding ticket is $89 per month, followed by USAA, at $105 per month, and Country Financial, at $112 a month.
State Farm also offers the cheapest average monthly rate for drivers with an accident, $100, followed by Country Financial, $116, and USAA, $132.
| Company | Average monthly rate |
|---|---|
| State Farm | $89 |
| USAA | $105 |
| Country Financial | $112 |
| Allstate | $116 |
| Safeway | $138 |
| Progressive | $183 |
| Nationwide | $219 |
| Travelers | $271 |
| Farmers | $274 |
| GEICO | $379 |
| State average | $200 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
| Company | Average monthly rate |
|---|---|
| State Farm | $100 |
| Country Financial | $116 |
| USAA | $132 |
| Safeway | $168 |
| Allstate | $170 |
| Nationwide | $180 |
| Progressive | $244 |
| Travelers | $288 |
| Farmers | $298 |
| GEICO | $490 |
| State average | $239 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
Cheap car insurance in Alabama with a DUI
The average car insurance rate for a driver with a driving under the influence (DUI) conviction is $282 per month, which is 72% more than what a driver with a clean record pays.
State Farm offers the best average rate for a driver with a DUI, $89 per month, followed by Allstate, $141 per month, and Country Financial, $144 per month.
| Company | Average monthly rate |
|---|---|
| State Farm | $89 |
| Allstate | $141 |
| Country Financial | $144 |
| Safeway | $181 |
| Progressive | $185 |
| USAA | $191 |
| Farmers | $286 |
| Travelers | $318 |
| Nationwide | $382 |
| GEICO | $562 |
| State average | $282 |
| Note: Average rates are based on non-binding estimates provided by Quadrant Information Services. Your rates may vary. | |
How can I find cheap auto insurance in Alabama?
In its guide to smart shopping, the Alabama Department of Insurance encourages consumers to comparison shop to save money on insurance. “Remember, competition only works if the consumer shops for coverage,” the agency notes on its website.
Your insurance claims history, driving record, age, ZIP code and vehicle are among the top factors that Alabama insurance companies evaluate to determine your rate. Since different companies use different formulas, reviewing quotes from multiple companies provides an opportunity to find the cheapest rate.
Comparison shopping also allows you to see how many discounts you can qualify to receive with different companies. Most offer multipolicy discounts for bundling your car insurance with a home or renters policy. And many also offer discounts to current and former members of the military.
Here are other common discounts to ask about when you shop:
- Good student discounts for young drivers in your household.
- Driving school discounts for young drivers and seniors who complete approved safety courses.
- Claims-free discounts for those who maintain good driving records.
- Affinity discounts to those in certain professions or organizations. Country Financial, for example, extends its occupation discount to teachers and first responders.
- Discounts for vehicles with advanced safety and anti-theft features.
Do you have to have car insurance in Alabama?
Alabama law requires drivers to carry liability insurance with bodily injury limits of at least $25,000 per person and $50,000 per accident, plus at least $25,000 for property damage.
Under the state’s tort laws, if you are found to be at fault for an accident, you’re responsible for the medical costs and repair bills for the injuries and damage you cause.
The state’s Online Insurance Verification System (OIVS) allows law enforcement and license-plate issuing officials to verify your insurance coverage during traffic stops, at accident scenes and prior to vehicle registration or renewal.
The penalties for driving without insurance include fines and a possible suspension of your driver’s license. You also have your vehicle’s registration suspended until you provide proof of insurance and pay reinstatement fees.
Which are Alabama’s most popular insurance companies?
In addition to offering some of the state’s most favorable rates, State Farm is Alabama’s largest carrier, with 22% market share, followed by Alfa (14%), Progressive (11%), GEICO (11%) and Allstate (10%)
| Company | Market share |
|---|---|
| State Farm | 22% |
| Alfa | 14% |
| GEICO | 11% |
| Progressive | 11% |
| Allstate | 10% |
| Source: National Association of Insurance Commissioners, based on premiums written in 2020. | |
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