Cheap Car Insurance in Alabama for 2023

Donegal offers the cheapest car insurance in Alabama, with an average monthly rate of $115 for full coverage.
Ben Moore
By Ben Moore 
Edited by Lacie Glover

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Auto insurance is an important purchase, but finding cheap car insurance in Alabama isn’t always easy. The best way to find cheap car insurance is to compare rates from multiple insurers.

The cheapest car insurance company in Alabama is Donegal at $1,381 per year on average, or $115 per month, according to the most recent NerdWallet analysis of full coverage car insurance rates in Alabama. Meanwhile, the average cost of full coverage car insurance in Alabama is $2,269 per year, or about $189 per month.

Minimum coverage in Alabama is $681 per year on average, but we found you can likely get a cheaper policy. For example, Cincinnati Insurance offers the cheapest rates in Alabama at $301 per year, on average, for minimum coverage car insurance for a 35-year-old driver with a clean driving record.

NerdWallet also analyzed car insurance rates to find the cheapest options in Birmingham.

How we chose the cheapest companies in Alabama

NerdWallet’s editorial team analyzed car insurance rates from 16 auto insurers in Alabama and listed the five cheapest options for drivers in several age brackets and with different histories, all driving a 2020 Toyota Camry L. For minimum coverage, we looked at rates that reflect the minimum requirements in Alabama. For full coverage, we used the below coverage limits:

  • $100,000 bodily injury liability per person.

  • $300,000 bodily injury liability per accident.

  • $50,000 property damage liability per accident.

  • $100,000 uninsured motorist coverage per person.

  • $300,000 uninsured motorist coverage per accident.

  • Collision coverage with a $1,000 deductible.

  • Comprehensive coverage with a $1,000 deductible.

Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our writing and data analyses. You can trust the prices we show you because our data analysts take rigorous measures to eliminate outliers and inaccuracies in pricing data, which include rates from every locale in Alabama where coverage is offered and data is available. When comparing rates for different coverage amounts, ages and backgrounds, we change only one variable at a time, so you can easily see how each factor affects pricing.

Cheapest for 20-year-old drivers

Drivers in their 20s may have to get a lot of quotes to find the best cheap car insurance. Prices can be sky-high for younger 20-somethings, but tend to come down as drivers get more experience on the road. Still, some companies routinely have better insurance rates for young drivers, so it's best to shop around to find them.

Cheapest full coverage car insurance in Alabama for 20-year-olds

Drivers in Alabama with clean driving records may want to consider the following companies, which had the lowest average rates:

  1. Travelers: $2,738 per year, or about $228 per month.

  2. Country Financial: $2,805 per year, or about $234 per month.

  3. Progressive: $3,031 per year, or about $253 per month.

  4. Allstate: $3,124 per year, or about $260 per month.

  5. Auto-Owners: $3,189 per year, or about $266 per month.

Cheapest minimum coverage car insurance in Alabama for 20-year-olds

Drivers in Alabama who want just the state minimum coverage may want to check with these companies, which had the lowest average rates:

  1. Cincinnati Insurance: $772 per year, or about $64 per month.

  2. Country Financial: $781 per year, or about $65 per month.

  3. Travelers: $787 per year, or about $66 per month.

  4. Auto-Owners: $824 per year, or about $69 per month.

  5. Progressive: $955 per year, or about $80 per month.

Cheapest auto insurance in Alabama for 20-year-olds with poor credit

Drivers with poor credit in Alabama should look at the following insurers with the lowest average rates for minimum coverage:

  1. Safeway: $1,094 per year, or about $91 per month.

  2. Cincinnati Insurance: $1,146 per year, or about $96 per month.

  3. Country Financial: $1,208 per year, or about $101 per month.

  4. Travelers: $1,227 per year, or about $102 per month.

  5. Progressive: $1,306 per year, or about $109 per month.

Cheapest auto insurance in Alabama for 20-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $916 per year, or about $76 per month.

  2. Travelers: $980 per year, or about $82 per month.

  3. Country Financial: $1,072 per year, or about $89 per month.

  4. Progressive: $1,083 per year, or about $90 per month.

  5. Safeway: $1,094 per year, or about $91 per month.

Cheapest auto insurance in Alabama for 20-year-old drivers with one at-fault crash

For drivers with a recent accident in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Travelers: $1,033 per year, or about $86 per month.

  2. Country Financial: $1,057 per year, or about $88 per month.

  3. Auto-Owners: $1,137 per year, or about $95 per month.

  4. Progressive: $1,186 per year, or about $99 per month.

  5. Cincinnati Insurance: $1,369 per year, or about $114 per month.

Cheapest auto insurance in Alabama for 20-year-old drivers after a DUI

The cheapest auto insurance we found after a DUI is shown here, alongside the insurers' average rates for minimum coverage.

  1. Progressive: $1,120 per year, or about $93 per month.

  2. Travelers: $1,186 per year, or about $99 per month.

  3. Country Financial: $1,340 per year, or about $112 per month.

  4. Allstate: $1,457 per year, or about $121 per month.

  5. Safeway: $1,587 per year, or about $132 per month.

Cheapest for 30-year-old drivers

By the time they reach their 30s, most drivers will enjoy cheaper car insurance rates than in their teens and 20s. Still, factors like a person’s driving record and car make and model can increase prices. Drivers in their 30s can get lower rates by shopping around and taking advantage of any car insurance discounts.

Cheapest full coverage car insurance in Alabama for 30-year-olds

Drivers in Alabama who want their state's minimum coverage can check with the following companies, which had the lowest average rates:

  1. Donegal: $1,381 per year, or about $115 per month.

  2. Auto-Owners: $1,535 per year, or about $128 per month.

  3. Travelers: $1,595 per year, or about $133 per month.

  4. State Farm: $1,625 per year, or about $135 per month.

  5. Progressive: $1,670 per year, or about $139 per month.

Cheapest minimum coverage car insurance in Alabama for 30-year-olds

Drivers in Alabama who want their state's minimum coverage can check with the following companies, which had the lowest average rates:

  1. Cincinnati Insurance: $308 per year, or about $26 per month.

  2. Auto-Owners: $332 per year, or about $28 per month.

  3. State Farm: $398 per year, or about $33 per month.

  4. Country Financial: $434 per year, or about $36 per month.

  5. Travelers: $461 per year, or about $38 per month.

Cheapest auto insurance in Alabama for 30-year-olds with poor credit

Drivers with poor credit in Alabama should consider the following companies with the lowest average rates for full coverage:

  1. Safeway: $2,075 per year, or about $173 per month.

  2. Country Financial: $2,585 per year, or about $215 per month.

  3. Progressive: $2,647 per year, or about $221 per month.

  4. Cincinnati Insurance: $2,697 per year, or about $225 per month.

  5. Travelers: $2,734 per year, or about $228 per month.

Cheapest auto insurance in Alabama for 30-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $367 per year, or about $31 per month.

  2. State Farm: $460 per year, or about $38 per month.

  3. Auto-Owners: $465 per year, or about $39 per month.

  4. Travelers: $559 per year, or about $47 per month.

  5. Country Financial: $597 per year, or about $50 per month.

Cheapest auto insurance in Alabama for 30-year-old drivers with one at-fault crash

For drivers in Alabama with a recent accident, here are the lowest average rate options for full coverage:

  1. Auto-Owners: $1,942 per year, or about $162 per month.

  2. Travelers: $2,123 per year, or about $177 per month.

  3. State Farm: $2,164 per year, or about $180 per month.

  4. Country Financial: $2,306 per year, or about $192 per month.

  5. Progressive: $2,399 per year, or about $200 per month.

Cheapest auto insurance in Alabama for 30-year-old drivers after a DUI

For the cheapest auto insurance after a DUI, we found the following options for full coverage.

  1. Progressive: $2,039 per year, or about $170 per month.

  2. Travelers: $2,327 per year, or about $194 per month.

  3. Allstate: $2,417 per year, or about $201 per month.

  4. State Farm: $2,521 per year, or about $210 per month.

  5. Safeway: $2,694 per year, or about $224 per month.

Cheapest for 40-year-old drivers

Drivers in their 40s tend to have better insurance rates than their younger counterparts on average, but still pay more than older age groups. Shopping around for cheap car insurance quotes with multiple insurers is the best way to find lower rates. Good drivers who don’t get behind the wheel often might want to consider pay-per-mile insurance, which charges drivers by how many miles they drive.

Cheapest full coverage car insurance in Alabama for 40-year-olds

Drivers in Alabama with clean driving records may want to think about the following companies, which had the lowest average rates:

  1. Donegal: $1,381 per year, or about $115 per month.

  2. Travelers: $1,412 per year, or about $118 per month.

  3. Progressive: $1,536 per year, or about $128 per month.

  4. Auto-Owners: $1,543 per year, or about $129 per month.

  5. State Farm: $1,580 per year, or about $132 per month.

Cheapest minimum coverage car insurance in Alabama for 40-year-olds

Drivers in Alabama who want just the minimum coverage may want to check prices from these companies, which had the lowest average rates:

  1. Cincinnati Insurance: $275 per year, or about $23 per month.

  2. Auto-Owners: $352 per year, or about $29 per month.

  3. Country Financial: $394 per year, or about $33 per month.

  4. State Farm: $404 per year, or about $34 per month.

  5. Travelers: $422 per year, or about $35 per month.

Cheapest auto insurance in Alabama for 40-year-olds with poor credit

Drivers with poor credit in Alabama can check out the following insurers with the lowest average rates for full coverage:

  1. Safeway: $1,839 per year, or about $153 per month.

  2. Travelers: $2,343 per year, or about $195 per month.

  3. Country Financial: $2,356 per year, or about $196 per month.

  4. Progressive: $2,437 per year, or about $203 per month.

  5. Cincinnati Insurance: $2,466 per year, or about $206 per month.

Cheapest auto insurance in Alabama for 40-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $327 per year, or about $27 per month.

  2. State Farm: $466 per year, or about $39 per month.

  3. Auto-Owners: $492 per year, or about $41 per month.

  4. Safeway: $509 per year, or about $42 per month.

  5. Country Financial: $541 per year, or about $45 per month.

Cheapest auto insurance in Alabama for 40-year-old drivers with one at-fault crash

For drivers with a recent accident living in Alabama, here are the companies with the lowest average rates for full coverage:

  1. Auto-Owners: $1,955 per year, or about $163 per month.

  2. Travelers: $2,003 per year, or about $167 per month.

  3. State Farm: $2,101 per year, or about $175 per month.

  4. Country Financial: $2,155 per year, or about $180 per month.

  5. Safeway: $2,220 per year, or about $185 per month.

Cheapest auto insurance in Alabama for 40-year-old drivers after a DUI

The cheapest full coverage auto insurance we found for drivers with a DUI came from the following companies.

  1. Progressive: $1,900 per year, or about $158 per month.

  2. Travelers: $2,198 per year, or about $183 per month.

  3. Safeway: $2,376 per year, or about $198 per month.

  4. Allstate: $2,406 per year, or about $200 per month.

  5. State Farm: $2,446 per year, or about $204 per month.

Cheapest for 50-year-old drivers

Drivers in their 50s have cheaper car insurance rates than most other age groups on average. Prices will continue to drop as they inch toward their 60s and gain more driving experience. Rates can still vary depending on other factors such as a driver’s gender and location, so it’s smart to shop around to find the best rate. Our list of cheap auto insurance companies is a good place to start.

Cheapest full coverage car insurance in Alabama for 50-year-olds

Drivers in Alabama with clean driving records may want to get quotes from these insurers, which had the lowest average rates:

  1. Donegal: $1,295 per year, or about $108 per month.

  2. Travelers: $1,385 per year, or about $115 per month.

  3. Cincinnati Insurance: $1,400 per year, or about $117 per month.

  4. Auto-Owners: $1,433 per year, or about $119 per month.

  5. Progressive: $1,450 per year, or about $121 per month.

Cheapest minimum coverage car insurance in Alabama for 50-year-olds

Drivers in Alabama who opt for the state minimum coverage may want to consider the following companies, with the lowest average rates:

  1. Cincinnati Insurance: $247 per year, or about $21 per month.

  2. Auto-Owners: $318 per year, or about $26 per month.

  3. Country Financial: $381 per year, or about $32 per month.

  4. State Farm: $398 per year, or about $33 per month.

  5. Travelers: $422 per year, or about $35 per month.

Cheapest auto insurance in Alabama for 50-year-olds with poor credit

Drivers with poor credit in Alabama can check with the following companies, which showed the lowest average rates for full coverage:

  1. Safeway: $1,715 per year, or about $143 per month.

  2. Cincinnati Insurance: $2,169 per year, or about $181 per month.

  3. Country Financial: $2,238 per year, or about $186 per month.

  4. Progressive: $2,297 per year, or about $191 per month.

  5. Travelers: $2,301 per year, or about $192 per month.

Cheapest auto insurance in Alabama for 50-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $293 per year, or about $24 per month.

  2. Auto-Owners: $446 per year, or about $37 per month.

  3. State Farm: $458 per year, or about $38 per month.

  4. Safeway: $478 per year, or about $40 per month.

  5. Country Financial: $523 per year, or about $44 per month.

Cheapest auto insurance in Alabama for 50-year-old drivers with one at-fault crash

For drivers living in Alabama with a recent accident, here are the insurers with the lowest average full coverage rates:

  1. Auto-Owners: $1,807 per year, or about $151 per month.

  2. Travelers: $1,966 per year, or about $164 per month.

  3. State Farm: $2,042 per year, or about $170 per month.

  4. Safeway: $2,067 per year, or about $172 per month.

  5. Country Financial: $2,082 per year, or about $174 per month.

Cheapest auto insurance in Alabama for 50-year-old drivers after a DUI

The cheapest auto insurance we found for drivers with a recent DUI comes from the following companies, listed with rates for full coverage.

  1. Progressive: $1,818 per year, or about $152 per month.

  2. Travelers: $2,158 per year, or about $180 per month.

  3. Safeway: $2,212 per year, or about $184 per month.

  4. Allstate: $2,316 per year, or about $193 per month.

  5. State Farm: $2,379 per year, or about $198 per month.

Cheapest for 60-year-old drivers

Although 60-year-olds have cheaper car insurance rates than many other age groups on average, prices will start increasing as they get older. To find cheap car insurance for seniors, drivers in their 60s should make sure to shop around to find the best rate. Drivers in this age group should also take advantage of any available discounts for senior citizens.

Cheapest full coverage car insurance in Alabama for 60-year-olds

Drivers in Alabama with clean driving records may want to think about getting quotes from these companies, which had the lowest average rates:

  1. Travelers: $1,267 per year, or about $106 per month.

  2. Donegal: $1,295 per year, or about $108 per month.

  3. Cincinnati Insurance: $1,304 per year, or about $109 per month.

  4. Auto-Owners: $1,394 per year, or about $116 per month.

  5. Progressive: $1,424 per year, or about $119 per month.

Cheapest minimum coverage car insurance in Alabama for 60-year-olds

Drivers in Alabama who want just the state minimum coverage may want to check with these insurers, which had the lowest average rates:

  1. Cincinnati Insurance: $234 per year, or about $20 per month.

  2. Auto-Owners: $321 per year, or about $27 per month.

  3. State Farm: $367 per year, or about $31 per month.

  4. Country Financial: $373 per year, or about $31 per month.

  5. Travelers: $404 per year, or about $34 per month.

Cheapest auto insurance in Alabama for 60-year-olds with poor credit

Drivers with poor credit in Alabama can look at the following companies with the lowest average rates for full coverage:

  1. Safeway: $1,781 per year, or about $148 per month.

  2. Cincinnati Insurance: $2,018 per year, or about $168 per month.

  3. Travelers: $2,121 per year, or about $177 per month.

  4. Country Financial: $2,149 per year, or about $179 per month.

  5. Progressive: $2,247 per year, or about $187 per month.

Cheapest auto insurance in Alabama for 60-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $278 per year, or about $23 per month.

  2. State Farm: $424 per year, or about $35 per month.

  3. Auto-Owners: $449 per year, or about $37 per month.

  4. Country Financial: $513 per year, or about $43 per month.

  5. Travelers: $552 per year, or about $46 per month.

Cheapest auto insurance in Alabama for 60-year-old drivers with one at-fault crash

For drivers with a recent accident living in Alabama, here are the companies with the lowest average rates for full coverage:

  1. Auto-Owners: $1,761 per year, or about $147 per month.

  2. Travelers: $1,900 per year, or about $158 per month.

  3. State Farm: $1,906 per year, or about $159 per month.

  4. Country Financial: $2,026 per year, or about $169 per month.

  5. Cincinnati Insurance: $2,151 per year, or about $179 per month.

Cheapest auto insurance in Alabama for 60-year-old drivers after a DUI

The cheapest auto insurance we found after a DUI came from the following companies, shown with their average rates for full coverage.

  1. Progressive: $1,790 per year, or about $149 per month.

  2. Travelers: $2,088 per year, or about $174 per month.

  3. State Farm: $2,218 per year, or about $185 per month.

  4. Allstate: $2,280 per year, or about $190 per month.

  5. Country Financial: $2,289 per year, or about $191 per month.

Cheapest for 70-year-old drivers

Car insurance costs may start to rise for 70-year-old drivers. To find the cheapest possible coverage, shop around and compare quotes from multiple companies. Also, look for insurers that offer discounts for seniors. For example, some insurers offer discounts to senior drivers who take a defensive driving course.

Cheapest full coverage car insurance in Alabama for 70-year-olds

Drivers in Alabama with clean driving records may want to think about getting quotes from these companies, which had the lowest average rates:

  1. Donegal: $1,391 per year, or about $116 per month.

  2. Travelers: $1,413 per year, or about $118 per month.

  3. State Farm: $1,498 per year, or about $125 per month.

  4. Cincinnati Insurance: $1,546 per year, or about $129 per month.

  5. Auto-Owners: $1,556 per year, or about $130 per month.

Cheapest minimum coverage car insurance in Alabama for 70-year-olds

Drivers in Alabama who want just the state minimum coverage may want to check with these insurers, which had the lowest average rates:

  1. Cincinnati Insurance: $335 per year, or about $28 per month.

  2. State Farm: $396 per year, or about $33 per month.

  3. Auto-Owners: $399 per year, or about $33 per month.

  4. Country Financial: $427 per year, or about $36 per month.

  5. Travelers: $474 per year, or about $40 per month.

Cheapest auto insurance in Alabama for 70-year-olds with poor credit

Drivers with poor credit in Alabama can look at the following companies with the lowest average rates for full coverage:

  1. Safeway: $2,013 per year, or about $168 per month.

  2. Country Financial: $2,245 per year, or about $187 per month.

  3. Cincinnati Insurance: $2,414 per year, or about $201 per month.

  4. Travelers: $2,459 per year, or about $205 per month.

  5. Progressive: $2,605 per year, or about $217 per month.

Cheapest auto insurance in Alabama for 70-year-old drivers with one speeding ticket

For drivers with a recent speeding ticket in Alabama, here are the companies with the lowest average rates for minimum coverage:

  1. Cincinnati Insurance: $396 per year, or about $33 per month.

  2. State Farm: $457 per year, or about $38 per month.

  3. Auto-Owners: $559 per year, or about $47 per month.

  4. Country Financial: $585 per year, or about $49 per month.

  5. Safeway: $654 per year, or about $54 per month.

Cheapest auto insurance in Alabama for 70-year-old drivers with one at-fault crash

For drivers with a recent accident living in Alabama, here are the companies with the lowest average rates for full coverage:

  1. Auto-Owners: $1,997 per year, or about $166 per month.

  2. State Farm: $2,004 per year, or about $167 per month.

  3. Country Financial: $2,152 per year, or about $179 per month.

  4. Travelers: $2,176 per year, or about $181 per month.

  5. Safeway: $2,442 per year, or about $204 per month.

Cheapest auto insurance in Alabama for 70-year-old drivers after a DUI

The cheapest auto insurance we found after a DUI came from the following companies, shown with their average rates for full coverage.

  1. Progressive: $2,162 per year, or about $180 per month.

  2. State Farm: $2,343 per year, or about $195 per month.

  3. Travelers: $2,395 per year, or about $200 per month.

  4. Country Financial: $2,399 per year, or about $200 per month.

  5. Allstate: $2,478 per year, or about $206 per month.

Cheapest car insurance for military families

If you're an active member of the military or a veteran — or have an immediate family member who is — chances are you'll get a relatively cheap rate with USAA, a company that isn't available to the general public.

Because of that restriction, USAA isn't ranked with the others, but it was among the cheapest five auto insurance options for 59 of the 70 driver profiles we examined.

Minimum car insurance requirements in Alabama

Alabama drivers are required to purchase liability insurance, which kicks in if you cause a crash to pay for others’ injury treatment and property damage.

The minimum limits you must select are:

  • $25,000 bodily injury liability coverage per person.

  • $50,000 bodily injury liability coverage per crash.

  • $25,000 property damage liability coverage per crash.

It’s typically smart to get more than the bare minimum, however, as these limits may not be enough to fully cover costs if the incident is serious.

Visit NerdWallet's guide to car insurance requirements by state for more detail on how the required and optional coverages of your auto policy work.

Alternative car insurance in Alabama

If you’ve been denied car insurance on the voluntary market because of violations, poor credit or other factors, you can apply for coverage through the Alabama Automobile Insurance Plan.

Drivers searching for cheap car insurance in Alabama can also try NerdWallet’s car insurance comparison tool to easily review estimates.

Methodology

For our “good driver” profile, NerdWallet averaged insurance estimates for single male and female drivers with good credit and no tickets or violations. The analysis included 5-10 of the largest insurance companies in each state; smaller insurers were also included when rates were available. Liberty Mutual and its subsidiaries were excluded from our analysis as rates were not available.

For full coverage policies, we used the following coverage limits:

  • $100,000 bodily injury liability per person.

  • $300,000 bodily injury liability per accident.

  • $50,000 property damage liability per accident.

  • $100,000 uninsured motorist coverage per person.

  • $300,000 uninsured motorist coverage per accident.

  • Collision coverage with a $1,000 deductible.

  • Comprehensive coverage with a $1,000 deductible.

In states where required, minimum additional coverages were added. Some policies include additional coverages at the insurer’s discretion.

We used a 2020 Toyota Camry L for all drivers and assumed 12,000 annual miles driven.

We analyzed rates for drivers 20 to 70 years old in ten-year increments. For the average cost of full and minimum coverage in each state, we looked at 35-year-old drivers.

We used the same assumptions for all other driver profiles, with the following exceptions:

  • For drivers with minimum coverage, we adjusted the numbers above to reflect the minimum required coverage by law in the state.

  • We changed the credit tier from “good” to “poor” as reported to the insurer to see rates for drivers with poor credit.

  • For drivers with one at-fault crash, we added a single at-fault crash that happened six months ago, resulting in $10,000 in property damage and no bodily injury claim.

  • For drivers with a DUI, we added a single drunken driving violation that happened six months ago.

We looked at 35-year-old drivers to find the cheapest company overall, the cheapest company for minimum coverage and the cheapest company for drivers with poor credit in states where credit history is used to price rates. We looked at 20-year-old drivers to find the cheapest company for young drivers.

These are rates generated through Quadrant Information Services. Your own rates will be different. Some insurance companies included in this article may have made changes in their underwriting practices and no longer issue new policies in your state.

Get more smart money moves – straight to your inbox
Sign up and we’ll send you Nerdy articles about the money topics that matter most to you along with other ways to help you get more from your money.