How To Save On Alabama Car Insurance? 7 Tips To Reduce Costs

By Randy Luton | Last Updated: 05/18/2022

Key Insights:

  • Alabama car insurance is expensive when compared to the rest of the states of our country.
  • There are certain ways in which we can try to save some money on buying car insurance in the USA.
  • Not all cities of the state have the same car insurance rates; some are too expensive as compared to others.
  • The cost of car insurance can vary from driver to driver based on his or her profile.

Even though Alabama state is not that expensive for car insurance still it is not easily affordable for every driver.

Did You Know Alabama has witnessed more than 150,000 road accidents in 2017? The high number of road accidents is one of the major reasons for expensive car insurance rates in Alabama. As higher road accidents lead to more claims hence the company tries to cover the losses from the drivers.

This blog is written with an objective to explain and cover the best ways any driver can try to get affordable car insurance in Alabama.

Average Car Insurance Cost in Alabama

The average car insurance cost in Alabama is $1200 but it is not the same for everyone. Every driver has a unique profile that is based on the driving experience, type of car, accidents on record, DUI on record , etc. There are some profiles that most car insurance companies either avoid or they provide higher insurance rates.

Each company has its own way of calculating the cost of car insurance. This is the reason that we have decided to list out the average car insurance cost in Alabama.

CompaniesCar Insurance Quotes
State Farm$1,116
Travelers$1,167
The General Insurance$1,049
Progressive$1,412
Statewide Average$1,273

Why Car Insurance is Expensive in Alabama?

There are multiple reasons behind expensive car insurance in Alabama and these reasons can vary in different cities too. Popular cities like Dothan, Hoover, and Huntsville witness a huge variation in the cost due to factors like the number of road accidents, driving under the influence, thefts, and type of weather.

Below is the list of reasons behind the huge gap in car insurance cost in different cities of Alabama:

1. Higher Road Accidents

As mentioned above; the high number of road accidents leads to a higher amount of claims to be paid by the insurance company. This means the company will try to save its pocket by charging you higher car insurance rates.

2. Expensive Auto Repairs

The cost of even small repairs in Alabama is too high as compared to other states. On average; a driver will have to pay $368 for a basic repair in Alabama. Higher auto repair cost means the company will have to pay a higher amount in claims.

3. Uninsured Drivers

Alabama has almost 19.5% uninsured drivers. Uninsured drivers are a liability on insurance companies, if you ever get into an accident with an uninsured driver then even if you are not at fault; your insurance company will have to provide coverage for the repairs.

4. Severe Weather

The weather conditions in Alabama are also not favorable for drivers. Floods, tornados, and severe storms are common in Alabama which is less predictable and can lead to expensive claims.

How to Save on Alabama Car Insurance?

Now that you know why car insurance is expensive in Alabama; let’s have a look at the ways you can try to save money:

  1. Shop Around
    The best way to get cheap car insurance is by checking the rates of different companies and comparing them. It will help you to understand what other companies are providing at similar costs. It is not always necessary for us to select the lowest insurance rates. Some companies provide amazing benefits at a bit higher cost. You can try that also.
  2. Keep A Clean Record
    A clean driving record proves that you are a responsible driver hence the chances of you getting into an accident are low. Fewer accidents mean fewer claims which will result in less expense of the company. As a result, your car insurance company will provide you with affordable costs.
  3. Drive Less Than Other Drivers
    On average; drivers in our country drive around 12,000 to 15,000 miles per year. If you drive less than the national average rates then you can show that to your insurance company and get discounts. When you decide to drive your car less you save your vehicle from accidents hence fewer claims.
  4. Increase The Deductibles
    Deductibles increase the liability of the driver. Whenever you get into an accident you will have to pay a pre-agreed deductible amount before filing a claim. This adds pressure on the driver to drive safely and avoid accidents. The higher your deductible amount will be, the lower will be the chances of you getting into an accident.
  5. Get A Driving Improvement Course
    A driving improvement course will help you to improve your driving skills and judgment. This will lead to fewer accidents and claims. As a result; the car insurance company will consider you as a safe driver and you will get lower insurance rates.
  6. Bundle Your Multiple Policies
    We all need multiple policies like home insurance, life insurance, renters insurance, etc. when you decide to bundle all the policies you automatically decide to buy all these policies from one company. This will make you a premium customer and hence they will provide you the most affordable rates as compared to all the other competitors.
  7. Get A Safe Parking Space
    As we all know the weather of Alabama is not favorable. You can get a safer parking space or a garage that can protect your car from extreme weather conditions. This will prove that you are a safe customer to the company and they will provide you with affordable car insurance rates.

Over To You!

Alabama is at the 16th position when we check the average auto insurance expenditures as a percent of median household income. Which shows how difficult it is for drivers to get affordable cheap car insurance in Alabama state.

Here RateForce can help you. Wondering how? Get quotes from the top car insurance companies around the states, compare them and buy most affordable insurance for your profile instantly.

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SOURCES

  • Checked an article by StevesonKlotz to understand the number of accidents in Alabama.
  • Referred to an article by CarMD to check the expense of auto repairs in Alabama.
  • Checked an article by III to understand the number of uninsured drivers in Alabama.
  • Visited the website of III to check the average auto insurance expenditures when compared with the percent of median household income.
  • Referred to a blog by MetroMile to check the average miles a driver covers in our country per year.

Editorial Guidelines: The above is meant as general information to help you understand the different aspects of auto insurance. This information does not refer to any specific auto insurance policy. Coverages and other features vary between insurers, vary by state, and are not available in all states. References to costs of coverages/repair, average or typical premiums, amounts of losses, deductibles, etc., are indicative and may not apply to your situation. We encourage you to speak to our insurance representative and to read your policy contract to fully understand your coverages.

Randy Luton is the Founder and CEO of RateForce. He is passionate about InsurTech services and has in-depth knowledge about the auto insurance sector of the USA.