You have money questions. Bankrate has answers. Our experts have been helping you master your money for over four decades. We continually strive to provide consumers with the technical advice and tools needed to succeed throughout animation ’ s fiscal journey. Bankrate ’ s editorial team writes on behalf of YOU – the reader. Our goal is to give you the best advice to help you make smart personal finance decisions. We follow nonindulgent guidelines to ensure that our editorial subject is not influenced by advertisers. Our column team receives no direct recompense from advertisers, and our content is thoroughly fact-checked to ensure accuracy. so, whether you ’ re reading an article or a review, you can trust that you ’ re getting credible and reliable information. We value your trust. Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. Our editors and reporters thoroughly fact-check editorial content to ensure the information you ’ re read is accurate. We maintain a firewall between our advertisers and our column team. Our editorial team does not receive aim compensation from our advertisers. Bankrate follows a hard-and-fast editorial policy, so you can trust that we ’ re putting your interests first. Our award-winning editors and reporters create honest and accurate capacity to help you make the right fiscal decisions. All providers discussed on our site are vetted based on the value they provide. And we constantly review our criteria to ensure we ’ rhenium putting accuracy first. Our indemnity team is composed of agents, data analysts, and customers like you. They focus on the points consumers care about most — price, customer service, policy features and savings opportunities — so you can feel confident about which supplier is right for you. Bankrate follows a rigorous editorial policy, so you can trust that we ’ rhenium putting your interests first. All of our content is authored by highly qualify professionals and reviewed by subjugate matter experts, who ensure everything we publish is objective, accurate and worthy of your trust. Founded in 1976, Bankrate has a long track record of helping people make smart fiscal choices. We ’ ve maintained this reputation for over four decades by demystifying the fiscal decision-making summons and giving people confidence in which actions to take next. While we adhere to strict column integrity, this post may contain references to products from our partners. hera ‘s an explanation for how we make money. This content is powered by HomeInsurance.com ( NPN : 8781838 ). For more data, please see our Insurance disclosure. Based on Bankrate ’ s extensive research, we found national insurance company USAA to be the best car insurance company in Alabama, followed closely by major insurers State Farm and Geico. Alabama’s average for full coverage car insurance is $1,623 per year, based on Bankrate’s review of quoted annual premiums, which is slightly lower than the U.S. average of $1,674. The best provider in the Yellowhammer State will be different for everyone. Some drivers prioritize finding the cheapest premium, while others want 24/7 customer service, an easy-to-use mobile app or a wide compass of coverage options. In this article, Bankrate ’ second team outlines the best car policy companies in Alabama, third-party company ratings, Alabama ’ mho minimum requirements, potential discounts and more .
Best car insurance companies in Alabama
To find the best car insurance in Alabama, Bankrate analyzed each caller ’ randomness modal annual premiums in Alabama using the latest premium data from Quadrant Information Services. Since most drivers care about more than merely how much they pay for their premium, we besides analyzed third-party fiscal forte ratings from companies like S & P and AM Best, customer satisfaction rankings from J.D. Power, available discounts and policy offerings to create an individualize Bankrate Score. Each seduce is calculated on a 5.0 scale. Our Bankrate Score presents a holistic see of each company ’ second operation across these important categories. The table below presents a Bankrate Score, average annual full coverage premium and J.D. Power customer atonement score for the five companies we rated as the best car policy providers in Alabama. *Not formally ranked with J.D. Power due to eligibility restrictions
USAA
USAA systematically tops third-party rankings for its low premiums and high customer satisfaction. In fact, USAA earns the highest J.D. Power customer satisfaction grudge in about every region, although it is not eligible for an official ranking due its membership requirements which are limited to the military community. With the lowest average annual full moon coverage rate on our list, USAA customers tend to enjoy low rates and a broad roll of policy products, including car, base, life, on-line banking and retirement plans. however, before getting a quote, note that USAA ’ second products are only available to active-duty members of the U.S. military, veterans and qualifying family members. The Texas-based insurance company boasts a potent balance plane and is rated A++ ( Superior ) by AM Best, the highest evaluation available. Learn more: USAA Insurance review
Geico
Geico has the second-cheapest average annual full coverage premium on our tilt. Geico is known for its abject rates and across-the-board discounts. The company offers discounts to more than 800 professional and alumnus groups and respective other groups, including good drivers, students, multi-policy holders and military military service members. however, Geico ranks slightly below the industry average in the J.D. Power customer satisfaction view. The Ohio-based company carries an A++ ( Superior ) fiscal strength military rank from AM Best. Learn more: Geico Insurance review
State Farm
department of state farm, the largest U.S. car insurance company by commercialize share, claims the second-highest J.D. Power grudge on our number. Its average annual full coverage premium comes in $ 153 cheaper than Alabama ’ mho average. The Illinois-based company is known for its ace customer service and locally-based agents, and provides a 24/7 customer helpline to its customers. One drawback may be that the company offers fewer specialized coverage options than some of its competitors. Like our other top picks, State Farm is rated A++ ( Superior ) by AM Best for its fiscal potency. Learn more: State Farm Insurance review
Read more: The 7 Best Car Insurance Companies (2022)
Progressive
progressive ’ sulfur average full coverage car policy rate comes in $ 50 cheaper than the state average. progressive is known for its imaginative programs such as Snapshot, a usage-based program which tracks your driving through telematics and rewards safe driving habits with discounts. however, before choosing Progressive, keep in thinker that the party scores below average in customer satisfaction. Ohio-based Progressive holds an A+ ( Superior ) fiscal lastingness evaluation from AM Best. Learn more: Progressive Insurance review
Farmers
Farmers ’ average annual full coverage premium comes in $ 191 cheaper than the state average. The California-based company offers a broad range of coverage options, including modern cable car successor, accident forgiveness, loss of use and rideshare indemnity. The company besides offers a 5 % rebate for good downloading its Signal app, a usage-based telematics plan that tracks your driving and can provide extra discounts for safe drive. Before choosing Farmers, keep in mind that the company received the lowest customer satisfaction score on our list. Farmers Insurance is rated A ( Excellent ) by AM Best for its fiscal strength. Learn more: Farmers Insurance review
Average car insurance cost in Alabama
| Average annual premium for minimum coverage in Alabama | Average annual premium for full coverage in Alabama |
|---|---|
| $469 | $1,623 |
How to find the best car insurance in Alabama
The best car insurance in Alabama will depend on your individual needs. however, the watch steps may allow you to find the best supplier to help financially protect you and your family .
Consider minimum insurance requirements in Alabama
When looking for car indemnity, Alabama residents will likely want to consider the state ’ s insurance regulations. In every state except New Hampshire and Virginia, drivers must comply with carrying at least their state ’ s minimal indemnity requirements. To review Alabama ’ s minimum car policy requirements, you can visit the Alabama Department of Insurance web site or familiarize yourself with Alabama ’ s insurance laws .
Consider lender requirements
Lenders or lienholders much require you to have full coverage insurance for leased vehicles, which includes collision and comprehensive coverages that are typically optional. If the car you ’ ra rent is badly damaged or destroyed, your lender wants to ensure funds are available to repair or replace it. Gap indemnity is a common imprint of car insurance that pays the difference between what your new leased car is worth in the current market and what you owe on it .
Consider your individual needs
life events can affect which insurance provider might be best for you. For example, if you have a crisscross on your drive record, such as a DUI conviction in the state of Alabama or a speed ticket, you may want to find a provider that offers car policy to bad drivers. If you ’ ve recently added a adolescent driver to your car indemnity, you may want to find a company that offers competitive scholar discounts .
Car insurance discounts in Alabama
If you ’ rhenium looking for the best car insurance in Alabama, you may want to look for companies that offer discounts that apply to you. Alabama drivers have multiple options to save on their car insurance premiums, even from the department of state ’ s top companies. many common savings opportunities include discounts for :
- Young driver discounts: Several top car insurance companies offer discounts for student drivers who earn good grades in high school and college and for students who are away at college without a vehicle.
- Safe driver discounts: If you are accident-free and claims-free for at least three years, or drive a vehicle that includes enhanced safety features such as blind spot monitoring, lane departure warning and pedestrian detection, you may be able to qualify for safe driver discounts. Even if you have a mark on your driving record, you may be able to qualify for telematics discounts. A usage-based telematics program tracks your driving in real-time and awards discounts for safe driving. Your insurer may also offer discounts for participating in a defensive driving course.
- Other discounts: You may also be able to score discounts for having anti-theft devices on your vehicle, having more than one vehicle on the same policy, for belonging to a certain alumni association or being employed by certain companies. Several companies also offer discounts for customer loyalty and bundling multiple insurance policies such as home and auto.
Frequently asked questions
What is the cheapest car insurance company in Alabama?
According to Bankrate ’ s survey of average quoted annual premiums, the cheapest car policy companies in Alabama overall are Geico, USAA and Travelers. however, the cheapest company for you will depend on your drive record and vehicle make, among other rat factors like your old age and credit history. Although quote comparisons are a utilitarian first step in finding low-cost coverage, you may besides find that an insurance company with a slenderly higher modal agio has respective discounts that you qualify for, which can importantly reduce your price. For this rationality, it helps to shop around and compare based on the same levels of coverage to see which supplier provides the best overall policy for your needs .
What information is needed in order to get car insurance in Alabama?
When you contact car insurers or licensed agents in Alabama to get a quote, they will will likely need to know the name and model of the vehicle you want to insure, your age, where you live, your annual mileage and information about your drive phonograph record .
Does Alabama require car owners to purchase no-fault insurance?
Alabama requires at least minimum amounts of liability indemnity, but does not require car owners to purchase no-fault insurance like personal injury protective covering ( PIP ) .
Can I save money by adding my teenager to my insurance policy, rather than purchasing separate coverage?
young drivers in Alabama typically pay exorbitantly senior high school car policy rates due to their lack of experience and higher accident frequency. Oftentimes, you can save your adolescent thousands of dollars per year by adding them to your existing car policy. additionally, multiple discounts may apply to your policy, such as good student, distant student and safe drive programs, which could save you money over several policy periods .
What factors do insurers use to determine my premium?
car insurers in Alabama typically use more than a twelve evaluation factors to determine your premium, including your age, sex, marital status, credit-based insurance seduce, make and model of your vehicle, car claim history, vehicle custom and your selected coverage options .
Methodology
Bankrate utilizes Quadrant Information Services to analyze 2021 rates for all ZIP codes and carriers in all 50 states and Washington, D.C. Quoted rates are based on a 40-year-old male and female driver with a clean drive record, good accredit and the succeed full 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 bodily injury per person
- $300,000 uninsured motorist bodily injury per accident
- $500 collision deductible
- $500 comprehensive deductible
To determine minimal coverage limits, Bankrate used minimal coverage that meets each state ’ randomness requirements. Our base profile drivers own a 2019 Toyota Camry, commute five days a workweek and repel 12,000 miles annually. These are sample rates and should only be used for comparative purposes.
Read more: Best car insurance companies for 2022
Bankrate Scores
Bankrate Scores primarily reflect a slant rate of industry-standard ratings for fiscal potency and customer experience in addition to analysis of quoted annual premiums from Quadrant Information Services, spanning all 50 states and Washington, D.C. We know it is authoritative for drivers to be confident their fiscal auspices covers the likeliest risks, is priced competitively and is provided by a financially-sound company with a history of cocksure customer subscribe. To determine how well the best car policy companies satisfy these priorities, third-party means ratings from J.D. Power, AM Best, S & P, NAIC, and Moodys had the most impact on the companies ’ Bankrate Scores. As price is a coarse consideration for drivers, we analyzed quoted premiums based on 40-year-old male and female drivers with a 2019 Toyota Camry. This profile, assessed across more than 35,000 ZIP codes in the U.S., provided a basis on which drivers may compare each provider. While coverage options, insurance company handiness, affordability and customer experience are often the top priorities, Bankrate besides analyzed each insurance company ’ randomness on-line and mobile resources for policy management and claims handling. policy is quickly evolving to keep pace with our digital global, so these aspects besides carried slant in determining Bankrate Scores .