Auto insurance is an expense that anyone who wishes to own a car must pay. 

Many things can affect the total cost of car insurance. Among them is the state in which you live.

Car insurance rates vary by state. Certain states are a lot more expensive than the national average, while others are quite a bit less expensive. Car insurance rates vary by state because the United States does not regulate car insurance costs at a federal level, but rather, allows states to set rates independently. 

So, what does the cost of car insurance look like in Alabama? What kinds of factors will affect your rates?

In this article, you’ll learn more about how much is car insurance in Alabama and how key factors affect that cost.

How Much Is Car Insurance In Alabama?

The answer to that depends. That is because many factors will affect how much you pay for car insurance premiums in the state of Alabama. 

But to give you an idea, the average cost of car insurance premiums in the state of Alabama in 2022 ranges from around $1,200 to $1,350 per year. This makes Alabama’s car insurance rates lower than the national average, which is $1,483 per year. 

If you are only planning to have minimum coverage, Alabama’s average car insurance rate in 2022 ranges between $470 to $630 per year. The amount of car insurance coverage you will be having is a factor that affects the rates of your car insurance. 

On the other hand, the average cost of car insurance premiums in Alabama in 2022 ranges from $1,220 to $1,620 for full coverage. While it costs a lot more, full coverage also covers a lot more if you were to get in an accident.

Car Insurance Companies 

The car insurance provider is another factor that affects how much car insurance premiums you will pay in Alabama. 

The car insurance company that offers the cheapest rates for the minimum coverage is USAA; their yearly premiums are only a little over $300 for minimum coverage. 

On the other hand, the most expensive car insurance minimum coverage comes from MetLife. Their car insurance premiums cost $970 per year for minimum coverage. 

As for the cheapest car insurance, the company with the lowest full coverage premiums is also USAA which has rates around $680 per year. Meanwhile, the most expensive full coverage for car insurance comes from Geico, which is $2,500. 


Another thing that will affect the car insurance rates in Alabama is your age. Alabama’s cheapest car insurance rates are premiums for drivers in their 50s.

Their yearly premiums are only about $1,200 on average. Much like most states, the younger the driver, the more expensive the premiums. For example, the car insurance premiums for 17 years old are a little over $6,500 per year. For 30 years old, the rates are much lower at around $1,300. 

Driving History

Another factor influencing auto insurance premiums in Alabama is a driver’s driving history. The average annual premium for drivers who have been involved in an accident ranges from $1,770 to $1,960. Meanwhile, if the driver is arrested and charged with a DUI, their vehicle insurance costs will climb to over $2,230 per year.

To learn more about how to save money on car insurance, check out our article “How To Find Affordable Car Insurance.”

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