Alabama Auto Insurance

Last updated : May 2024

Published By : Direct Auto

Whether you live along the Gulf Coast in Mobile or way up in Huntsville, Alabama offers plenty of adventures well within driving distance. But before you hop in the car, it’s important to make sure you have the right insurance coverage. Direct Auto Insurance is proud to offer cheap car insurance in Alabama, and in this guide, we’re teaching you which coverages are mandatory, which ones are optional, and how Direct Auto can help you find cheap Alabama car insurance. Get a free quote to see how much money you can save with Direct.

Alabama Car Insurance Laws

Do you have to have car insurance in Alabama?

Alabama law requires drivers to maintain continuous liability insurance for any vehicle they have registered in the state. Alabama auto insurance policies must at least meet the minimum liability coverage limits, typically expressed as three numbers representing thousands of dollars. For example, the liability limits in Alabama are 25/50/25, as shown below under Alabama Minimum Car Insurance Requirements.

Alabama Minimum Car Insurance Requirements

Wondering what your insurance policy needs to meet Alabama’s requirements? Here’s a quick breakdown by coverage type.

Coverages	Is It Required by Law?
Bodily Injury Liability Coverage provides financial protection if you cause an accident that injures another person. It helps pay for their medical expenses and your legal services (if necessary).	Yes. $25,000 bodily injury per person/$50,000 bodily injury per accident.
Property Damage Liability Coverage helps pay to repair or replace other people’s property that is damaged in an accident you cause. It typically involves damage to another vehicle, but it could help pay to repair a house, fence, mailbox, and more.	Yes. $25,000 property damage per accident.
Uninsured/Underinsured Motorist Coverage (UM/UIM) helps pay for your medical bills and related expenses if the other driver has no coverage (UM), insufficient coverage (UIM), or can’t be identified due to hit and run. In some states, UM/UIM can also help pay for property damage.	Not required.
Medical Payments Coverage (Med Pay) helps pay for your medical and related expenses stemming from an accident, regardless of fault.	Not required.
Collision Coverage helps pay to repair or replace your vehicle if you collide with another car, tree, guardrail, or another object, regardless of fault.	Not required.¹
Comprehensive Coverage helps pay to repair or replace your vehicle if it’s damaged by something other than a collision, like fire, floodwaters, falling branches, vandalism, or contact with an animal.	Not required.¹

IMPORTANT NOTE: While purchasing liability-only coverage ensures you follow Alabama’s insurance laws, it doesn’t necessarily protect you and your vehicle in every circumstance. You would need to add additional coverage, like UM/UIM, comprehensive, and collision, to protect yourself and your vehicle more fully.

¹Your lender may require these coverages if you lease or finance your vehicle.

Are there additional coverage options?

For added peace of mind, Direct Auto offers add-on services and other insurance products for Alabama drivers:

Alabama Proof of Financial Responsibility and Penalties

What if I don't meet Alabama’s minimum car insurance requirements?

The penalties for a first offense of driving without insurance are a fine of up to $500, suspension of registration, a $200 registration reinstatement fee, and potential SR-22 requirements, according to the Consumer Federation of America. For second or subsequent violations, the penalties increase in severity.

Penalties for Driving with a Suspended License in Alabama

It’s against the law to operate a vehicle without a valid driver’s license in Alabama. The exact penalty for driving without a license or driving with a suspended or revoked license in Alabama depends on a few factors, although it generally involves fines, jail time, or both.

SR-22 Insurance in Alabama

In many states, high-risk drivers are also required to keep an SR-22 (also known as a certificate of financial responsibility) on file with the state verifying they have purchased auto insurance coverage that satisfies the state’s minimum coverage requirements. Drivers might be required to fulfill SR-22 requirements if:

They have been caught not maintaining proper liability coverage.
They were convicted of a DUI/DWI.
They have committed other serious driving violations.

If you have any questions about SR-22 filings, we’d be happy to help. Our agents specialize in helping people find affordable car insurance coverage, regardless of their history.

High-Risk Auto Insurance in Alabama

Many individuals do not have a perfect driving record, and after a certain number of violations or a serious enough violation, drivers can be considered a major risk to insure. While some companies try to steer clear of these individuals, other insurance companies offer non-standard insurance (another name for high-risk auto insurance) to provide financial protection for these drivers.

We believe your driving history shouldn't define you forever, and we work hard to find quality, affordable coverage for every driver, regardless of their past.

Where can I find the cheapest car insurance rates in Alabama?

Car insurance costs vary depending on a number of factors, including:

The amount & type of coverage you choose
The year, make, and model of the vehicle you drive
How much you drive, where you drive, and where you live
Your demographics
Your driving record
Your credit history

Alabama Regional Auto Insurance

Depending on where you live, you might have specific wishes and “must-haves” in your mind for your car insurance policy. After all, some cities have busy traffic and others offer quiet streets with far fewer accidents. But no matter what city you call home in Alabama, we’re here to help you get covered.

Birmingham Auto Insurance

Huntsville Auto Insurance

Mobile Auto Insurance

Montgomery Auto Insurance

Tuscaloosa Auto Insurance

Other Alabama Auto Insurance Resources

Find Cheap Car Insurance in Alabama with Direct Auto!

Looking for affordable car insurance in Alabama? Call, click, or come in to get an Alabama car insurance quote from Direct Auto! We always offer affordable coverage options, and we work hard to get you cheap car insurance in Alabama so you can keep driving to new adventures.

*Emergency Protection Plans (EPP) and Roadside Assistance are not insurance and are administered through Nation Safe Drivers, Boca Raton, FL. Not all benefits available in all states.

** The “Direct Auto Insurance” brand is used by insurers in the National General Group, Winston-Salem, NC to describe their direct-to-consumer auto insurance programs. Direct Auto Insurance branded policies are produced by Direct General Insurance Agency, Inc. dba “Direct Auto Insurance” and by National General Insurance Marketing Inc

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