Cheapest Car Insurance In Alabama For 2025

Cincinnati offers the cheapest car insurance in Alabama, with average annual rates of $318 for minimum coverage.

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Updated: 10 September 2025
Written by Bob Phillips
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If you’re searching for the cheapest car insurance in Alabama, Cincinnati stands out as the most affordable option for minimum coverage, at an average of $318 per year, which is lower than the national average of $637.

Drivers in Alabama looking for full coverage car insurance can find the lowest rates with Travelers, averaging $1,312 per year. This is significantly lower than the national average of $2,401.

Key Takeaways

  • Cincinnati & State Farm provide the cheapest car insurance policies in Alabama, on average.

  • The average cost of car insurance in Alabama ranges between $163–$181 per month.

  • Discounts are a good way to reduce your car insurance premium.

Cheapest Car Insurance Companies In Alabama, 2025

Cheapest Car Insurance In Alabama For Minimum Coverage

Minimum coverage in car insurance represents the most fundamental level of protection, aligning with the legal mandates set by the state of Alabama.

Cincinnati offers the cheapest minimum coverage car insurance in Alabama, with average monthly premiums of $26.

Provider Average Monthly Cost Average Annual Cost
Cincinnati $26 $318
State Farm $28 $340
Geico $29 $346
USAA $34 $407
Mercury $36 $435

Cheapest Car Insurance In Alabama For Full Coverage

Full coverage car insurance encompasses a more extensive range of protection compared to minimum coverage, making it a comprehensive choice for many drivers. This type of policy typically integrates both comprehensive and collision insurance, creating a robust safety net.

Travelers has the cheapest full coverage car insurance in Alabama. You can get coverage for around $109 a month.

Provider Average Monthly Cost Average Annual Cost
USAA $153 $1,839
Nationwide $127 $1,523
Allstate $147 $1,758
Travelers $109 $1,312
Safeway Insurance $157 $1,889

Cheapest Car Insurance In Alabama For Drivers With Poor Credit

Credit score plays a pivotal role in the calculation of car insurance rates, serving as a key indicator for insurers in assessing the risk profile of a driver. The underlying premise is that individuals with lower credit scores are statistically more likely to file insurance claims.

If you have poor credit, you can find the cheapest car insurance with Cincinnati. Premiums are around $56 per month.

Provider Average Monthly Cost Average Annual Cost
Cincinnati $56 $672
Geico $59 $708
Safeway Insurance $63 $756
USAA $66 $792
Country Financial $71 $852

Cheapest Car Insurance In Alabama For Seniors

Car insurance for seniors in Alabama can be found at an affordable rate of $50 per month with USAA.

Provider Average Monthly Cost Average Annual Cost
GEICO $66 $796
Travelers $68 $815
USAA $50 $598
Country Financial $84 $1,010
Safeway $86 $1,032

Seniors in Alabama have the potential to secure competitive rates for their car insurance, thanks to the various factors that work in their favor. Age can indeed be a significant factor in determining insurance premiums, with the assumption being that as drivers age, their reflexes and driving abilities might decline. However, this is not a hard and fast rule, and many seniors maintain excellent driving records well into their later years.

Cheapest Car Insurance In Alabama For Teenagers

Teenage car insurance rates in Alabama are typically the highest out of any age group, this is because teenagers have a high rate of accidents, which translates into high premiums

Country Financial has the cheapest rates for teens, with an average monthly premium of $145.

Provider Average Annual Cost Average Monthly Cost
Country Financial $1,740 $145
USAA $1,800 $150
Auto-Owners $2,064 $172
Travelers $1,824 $152
GEICO $1,944 $162

Cheapest Car Insurance In Alabama For Good Drivers

Good drivers, characterized by their clean driving records, are typically rewarded with lower car insurance rates. Insurance companies assess risk based on a driver’s history, and those without any violations or accidents naturally fall into the low-risk category.

Travelers provides the cheapest auto insurance policy in Alabama for drivers with a clean record, at an average annual rate of $102.

Provider Average Monthly Cost Average Annual Cost
Travelers $102 $1,224
Geico $108 $1,296
USAA $113 $1,356
Nationwide $117 $1,404
Safeway Insurance $122 $1,464

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Cheapest Car Insurance In Alabama For Drivers With A Speeding Ticket

USAA has average premiums of $39, making it the cheapest option for drivers with a speeding ticket.

Provider Average Monthly Cost Average Annual Cost
USAA $39 $468
Geico $42 $504
Travelers $52 $624
Safeway Insurance $54 $648
Country Financial $61 $732

Cheapest Car Insurance In Alabama For Drivers With An At-Fault Accident

Travelers offers affordable rates for drivers who have speeding tickets, with typical premiums averaging only $146.

Provider Average Monthly Cost Average Annual Cost
Travelers $146 $1,752
Geico $153 $1,836
Nationwide $158 $1,896
Safeway Insurance $164 $1,968
Country Financial $172 $2,064

Cheapest Car Insurance In Alabama For Drivers After A DUI

Travelers has average premiums of $156, making it the cheapest option for drivers with a DUI on their record.

Provider Average Monthly Cost Average Annual Cost
Travelers $156 $1,872
Progressive $167 $2,004
USAA $171 $2,052
Safeway Insurance $174 $2,088
Country Financial $182 $2,184

Average Cost Of Car Insurance In Alabama – By Age

An 18-year-old driver in Alabama can expect to pay around $3,408 per year for their insurance, while a 35-year-old driver will only pay around $1,704.

Your age plays a significant role in determining your car insurance rate. Young drivers typically pay the highest premiums, with rates dropping as you get older.

Age Average Monthly Cost Average Annual Cost
16 $312 $3,744
17 $298 $3,576
18 $284 $3,408
19 $259 $3,108
21 $218 $2,616
25 $174 $2,088
35 $142 $1,704
45 $134 $1,608
55 $128 $1,536
65 $136 $1,632
75 $148 $1,776

Average Cost Of Car Insurance In Alabama – By City

Drivers in Birmingham typically pay around $2,088 per year, while drivers in Dothan may find rates around $1,632.

The city that your home is in greatly affects your car insurance premiums. Cities usually have higher risks of theft and accidents.

City Average Monthly Cost Average Annual Cost
Birmingham $174 $2,088
Montgomery $159 $1,908
Huntsville $148 $1,776
Tuscaloosa $142 $1,704
Dothan $136 $1,632
Hoover $138 $1,652
Mobile $168 $2,016

Minimum Car Insurance Requirement In Alabama

Alabama drivers must have minimum car insurance with liability coverage set at 25/50/25. The minimum amount of coverage required by law is as follows:

  • $25,000 for bodily injury per person
  • $50,000 in bodily injury per accident
  • $25,000 for property damage per accident.

Car Insurance Discounts In Alabama

While searching for car insurance, it’s wise to explore providers that present the most beneficial discounts tailored to your circumstances. Additionally, consulting with your insurance agent can reveal potential discounts that you might not be currently utilizing.

Below is further insight into the common types of discounts provided by top car insurance companies:

  • Multi-policy: Bundle two or more insurance policies with the same company.
  • Multi-vehicle: Insuring multiple cars under the same policy or combining auto insurance policies earns you this discount.
  • Military: This generally applies to both veterans and active-duty military members.
  • Senior: This often applies to policyholders who are 55 or older.
  • Homeowners: If you own a home, you may qualify for this discount.
  • Good student: This discount is usually for college and high school students under 25 who maintain a B average in their courses.
  • Good driver: You can save money by maintaining a clean driving record (with no at-fault accidents, DUI, or traffic tickets in the last three years).
  • Defensive driving: Those who take a qualifying defensive driving course get a discount.
  • Driver training: Get a discount by taking a driver education training course.
  • New car: Drivers who purchase new cars, typically no more than three model years old, get a discount.
  • Safe car: This applies if your vehicle has safety features like anti-theft technology.
  • Paperless: Receive a discount by opting to receive your documents through email.
  • Pay-in-full: Save on your car insurance premium by paying in full up front.

Our Methodology

Drawing upon a comprehensive analysis that encompasses multiple facets such as customer service ratings, product options, pricing, and a thorough evaluation of various online review sites and user experience, I've crafted an in-depth view of the landscape of car insurance providers in Alabama.

This is an informed perspective, honed by over 15 years of personal involvement in the industry as a licensed casualty insurance agent in Alabama, countless interactions with representatives from various companies, and insights gleaned from firsthand experience buying car insurance in Alabama.

62

Quotes Assessed

35+

Research Hours

15+

Years Of Industry Experience

24

Brands Reviewed

Compare Rates To Other U.S. States

State Average Annual Premium
Alabama $1,777
Alaska $1,576
Arizona $1,873
Arkansas $1,923
California $2,462
Colorado $2,139
Connecticut $1,834
Delaware $2,076
Florida $2,576
Georgia $1,974
Hawaii $1,546
Idaho $1,362
Illinois $1,672
Indiana $1,502
Iowa $1,488
Kansas $1,704
Kentucky $2,095
Louisiana $3,019
Maine $1,413
Maryland $1,991
Massachusetts $1,664
Michigan $2,199
Minnesota $1,702
Mississippi $1,892
Missouri $1,944
Montana $1,873
Nebraska $1,653
Nevada $2,211
New Hampshire $1,314
New Jersey $1,984
New Mexico $1,799
New York $2,281
North Carolina $1,432
North Dakota $1,623
Ohio $1,487
Oklahoma $2,062
Oregon $1,659
Pennsylvania $1,879
Rhode Island $2,174
South Carolina $1,944
South Dakota $2,376
Tennessee $1,615
Texas $1,983
Utah $1,784
Vermont $1,253
Virginia $1,531
Washington $1,703
West Virginia $1,726
Wisconsin $1,536
Wyoming $1,646

FAQs

How much is car insurance a month in Alabama?

The monthly cost of car insurance in Alabama varies widely but typically ranges from $$163–$181. Factors influencing the price include your driving record, type of coverage, and the make and model of your vehicle.

Which car insurance is better in Alabama?

The “best” insurance in Alabama depends on individual needs. Cincinnati and State Farm are both popular for their affordability and customer service.

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