Advertiser Disclosure

Best Cheap Car Insurance in Alabama for 2021

Dec. 9, 2020
Auto Insurance, Insurance
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.

If you’re looking for cheap car insurance in Alabama, shopping around will help. Insurance rates vary among companies and factor in your age, driving record, credit and other criteria.

To help Alabamians get the best deal possible, NerdWallet researched rates from 24 insurers in the state and found the cheapest options for the following types of drivers:

Cheapest for 20-year-old drivers in Alabama

Drivers in their 20s may have to get a lot of quotes to find 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 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: $2,033 per year.
  2. Allstate: $2,172 per year.
  3. Country Financial: $2,307 per year.
  4. Geico: $2,481 per year.
  5. State Farm: $3,165 per year.

Cheapest minimum coverage 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. Travelers: $653 per year.
  2. Geico: $700 per year.
  3. Allstate: $719 per year.
  4. Country Financial: $735 per year.
  5. Safeway: $973 per year.

Cheapest coverage for 20-year-olds with poor credit in Alabama

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

  1. Safeway: $973 per year.
  2. Geico: $988 per year.
  3. Travelers: $999 per year.
  4. Country Financial: $1,104 per year.
  5. Allstate: $1,176 per year.

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

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

  1. Travelers: $850 per year.
  2. Country Financial: $947 per year.
  3. Geico: $1,129 per year.
  4. Allstate: $1,249 per year.
  5. Safeway: $1,264 per year.

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

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

  1. Travelers: $964 per year.
  2. Allstate: $987 per year.
  3. State Farm: $1,274 per year.
  4. Country Financial: $1,319 per year.
  5. Progressive: $1,389 per year.

Cheapest for 30-year-old drivers in Alabama

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 in Alabama for 30-year-olds

Drivers in Alabama with clean driving records may get the lowest rates from these companies:

  1. Travelers: $1,221 per year.
  2. Geico: $1,291 per year.
  3. Allstate: $1,318 per year.
  4. Donegal: $1,394 per year.
  5. State Farm: $1,528 per year.

Cheapest minimum coverage 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. Geico: $300 per year.
  2. Travelers: $393 per year.
  3. Country Financial: $442 per year.
  4. State Farm: $482 per year.
  5. Allstate: $484 per year.

Cheapest coverage for 30-year-olds with poor credit in Alabama

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

  1. Geico: $1,793 per year.
  2. Travelers: $2,147 per year.
  3. Allstate: $2,170 per year.
  4. Alfa: $2,361 per year.
  5. Country Financial: $2,368 per year.

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

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

  1. Travelers: $1,596 per year.
  2. Alfa: $1,973 per year.
  3. Country Financial: $2,006 per year.
  4. State Farm: $2,072 per year.
  5. Allstate: $2,138 per year.

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

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

  1. Travelers: $1,744 per year.
  2. State Farm: $1,777 per year.
  3. Allstate: $1,803 per year.
  4. Progressive: $2,266 per year.
  5. Country Financial: $2,491 per year.

Cheapest for 40-year-old drivers in Alabama

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 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. Travelers: $1,091 per year.
  2. Geico: $1,276 per year.
  3. Allstate: $1,312 per year.
  4. Donegal: $1,394 per year.
  5. Country Financial: $1,413 per year.

Cheapest minimum coverage 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. Geico: $300 per year.
  2. Travelers: $361 per year.
  3. Country Financial: $374 per year.
  4. Allstate: $479 per year.
  5. Safeway: $481 per year.

Cheapest coverage for 40-year-olds with poor credit in Alabama

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

  1. Geico: $1,762 per year.
  2. Travelers: $1,863 per year.
  3. Country Financial: $2,036 per year.
  4. Allstate: $2,160 per year.
  5. Alfa: $2,361 per year.

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

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

  1. Travelers: $1,512 per year.
  2. Country Financial: $1,791 per year.
  3. Alfa: $1,973 per year.
  4. State Farm: $2,028 per year.
  5. Allstate: $2,133 per year.

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

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

  1. Travelers: $1,653 per year.
  2. State Farm: $1,738 per year.
  3. Allstate: $1,798 per year.
  4. Country Financial: $2,137 per year.
  5. Progressive: $2,149 per year.

Cheapest for 50-year-old drivers in Alabama

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 the best cheap car insurance companies is a good place to start.

Cheapest full coverage 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. Travelers: $1,071 per year.
  2. Geico: $1,220 per year.
  3. Allstate: $1,260 per year.
  4. Country Financial: $1,272 per year.
  5. Donegal: $1,311 per year.

Cheapest minimum coverage 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. Geico: $289 per year.
  2. Country Financial: $322 per year.
  3. Travelers: $361 per year.
  4. Safeway: $441 per year.
  5. Allstate: $461 per year.

Cheapest coverage for 50-year-olds with poor credit in Alabama

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

  1. Geico: $1,685 per year.
  2. Country Financial: $1,818 per year.
  3. Travelers: $1,827 per year.
  4. Allstate: $2,074 per year.
  5. Alfa: $2,084 per year.

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

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

  1. Travelers: $1,485 per year.
  2. Country Financial: $1,636 per year.
  3. Alfa: $1,744 per year.
  4. State Farm: $1,984 per year.
  5. Geico: $2,008 per year.

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

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

  1. Travelers: $1,623 per year.
  2. State Farm: $1,697 per year.
  3. Allstate: $1,730 per year.
  4. Country Financial: $1,903 per year.
  5. Progressive: $1,977 per year.

Cheapest for 65-year-old drivers in Alabama

Although 65-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 auto insurance for seniors, drivers in their mid-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 in Alabama for 65-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: $1,025 per year.
  2. Geico: $1,236 per year.
  3. Country Financial: $1,247 per year.
  4. Allstate: $1,321 per year.
  5. State Farm: $1,365 per year.

Cheapest minimum coverage in Alabama for 65-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. Geico: $309 per year.
  2. Country Financial: $331 per year.
  3. Travelers: $377 per year.
  4. State Farm: $458 per year.
  5. Alfa: $472 per year.

Cheapest coverage for 65-year-olds with poor credit in Alabama

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

  1. Geico: $1,605 per year.
  2. Country Financial: $1,792 per year.
  3. Travelers: $1,799 per year.
  4. Alfa: $2,084 per year.
  5. Allstate: $2,161 per year.

Cheapest for 65-year-old drivers with one at-fault crash in Alabama

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

  1. Travelers: $1,520 per year.
  2. Country Financial: $1,671 per year.
  3. Alfa: $1,744 per year.
  4. State Farm: $1,860 per year.
  5. Allstate: $2,185 per year.

Cheapest insurance for 65-year-old drivers after a DUI in Alabama

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

  1. State Farm: $1,588 per year.
  2. Travelers: $1,664 per year.
  3. Allstate: $1,830 per year.
  4. Country Financial: $1,878 per year.
  5. Progressive: $2,074 per year.

Cheapest 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 36 of the 40 driver profiles we examined.

» MORE: Best car insurance for veterans and military

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 from an average of 14 insurers in each state and Washington, D.C., 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 2018 Toyota Camry L for all drivers and assumed 12,000 annual miles driven.
  • We analyzed rates for drivers 20 to 80 years old in five-year increments.

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 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.

These are rates generated through Quadrant Information Services. Your own rates will be different.

About the author