Leif Olson, Car Insurance Writer
@leif_olson_1
All of the major types of car insurance are available in Alabama, except for personal injury protection. The types of car insurance required in Alabama include liability insurance. Most other coverage types are optional.
Types of Car Insurance Available in Alabama
| Type of Insurance | What It Covers | Minimum Amount Required |
| Covers other people’s medical bills | $25,000 per person and $50,000 per accident | |
| Covers other people’s vehicle repairs | $25,000 | |
| Covers accident-related medical expenses for you and any passengers in your car | Not required | |
| Covers medical bills and vehicle repairs if your car is hit by a driver who doesn’t have any liability insurance | Drivers can opt-out in writing | |
| Covers medical bills and vehicle repairs if your car is hit by a driver who doesn’t have enough liability insurance | Drivers can opt-out in writing | |
| Helps pay for damage to your vehicle caused by a collision with another car or with a stationary object | Not Required | |
| Helps pay for damage to your vehicle caused by something other than an accident, like vandalism or extreme weather | Not Required | |
| Pays the difference between the value of your car and the balance on your lease/loan in the event of a total loss | Not Required | |
| Provides assistance if your car needs a tow, jump start, tire replacement or fuel refill | Not Required | |
| Covers the cost of repairs to mechanical parts of your car, like the engine and transmission | Not Required |
Other types of auto-related insurance you can get in Alabama include rental reimbursement coverage, classic car insurance, non-owner insurance, and umbrella insurance. These coverages apply to specific situations or needs and are generally available across the country.
If you want to learn more, check out WalletHub’s guide to the different types of car insurance.
People also ask
What is full coverage insurance in Alabama?
Full coverage insurance in Alabama is usually defined as a policy that provides more than the state’s minimum liability coverage, which is $25,000 in bodily injury coverage per person, up to $50,000 per accident, and $25,000 in property damage coverage. Full coverage in Alabama also includes optional collision and comprehensive insurance. As a result, full coverage insurance costs an average of $2,029 per year in Alabama, while a state minimum policy costs $577 per year.
If you can’t afford to repair or...
read full answerHow does car insurance work in Alabama?
Alabama is an at-fault state, which means that the at-fault driver is responsible for paying for everyone injured in the accident. There are no restrictions on the right to sue after an accident in at-fault states, even if the insured buys personal injury protection (PIP).
Drivers in Alabama are required to carry at least $25,000 in bodily injury liability insurance per person, up to $50,000 per accident, and $25,000 in property damage liability insurance. When an insured driver is responsible for an accident, liability insurance covers the other driver’s expenses.
On average, state minimum coverage costs $1,311 per year in Alabama, but there are many factors that can affect how much you pay for a policy. Any coverage above and beyond what is required by Alabama law is optional, but it’s usually worth the money to get some additional protection. The biggest reason is that state minimum coverage doesn’t protect your personal vehicle. For insurance to pay for damage to your car, you’ll need full coverage.
In Alabama, full coverage refers to a policy that includes collision and comprehensive, plus higher coverage limits than what is required by state law. Full coverage car insurance costs about $4,254 per year in Alabama. There may be cases when you don’t need full coverage insurance, but Alabama drivers should buy as much coverage as they can afford as a general rule.
Most policies offer coverage for six months to one year at a time and can be paid in a variety of ways, including monthly payments. The best car insurance companies in Alabama balance affordability with quality coverage and strong customer service. You can easily get a quote from top companies like State Farm, Geico, Nationwide, Erie Insurance, Alfa Insurance, and Farm Bureau Insurance online or over the phone, or use WalletHub’s comparison tools to find the best car insurance policy for your needs.
read full answerHow much car insurance do I need in Alabama?
Drivers in Alabama need $25,000 of bodily injury liability insurance per person (up to $50,000 per accident) and $25,000 of property damage liability insurance. Collision, comprehensive and gap insurance may also be required by a lender or lessor if your vehicle is financed.
In addition, an optional but recommended type of coverage in Alabama is uninsured/underinsured motorist insurance. It replaces the liability coverage an at-fault driver should’ve had and pays for your costs up to your policy limits.
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