Alabama Auto Insurance
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- Alabama Auto Insurance
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From Tuscaloosa to Montgomery and everywhere in between, the Alabama minimum auto insurance requirements are the same as long as you have your vehicle registered in The Heart of Dixie. Since the state also has a high number of uninsured drivers, it has taken precautions to make sure each driver is properly insured and maintains enough coverage.
The Alabama Mandatory Liability Insurance Act makes it illegal for drivers to take public roads or highways without proper auto insurance on the vehicle — even if it’s just a tractor in the rural parts of the state.
So whether you’re driving a car, truck, motorcycle or another form of transportation, it’s imperative you maintain adequate Alabama auto insurance coverage. Failure to do so could result in heavy fines, license suspension and other penalties.
Alabama Minimum Auto Insurance Requirements
From the pristine white sand beaches to the hilly green pastures of northern Alabama and all the football-loving fans in between, every driver in The Heart of Dixie is required to maintain coverage minimums on their Alabama auto insurance if they plan to take their vehicle on the open road.
- Bodily Injury: $25,000 per person, $50,000 per accident
- Property Damage: $25,000 per accident
- Uninsured Motorist: $25,000 per person, $50,000 per accident
- Underinsured Motorist: $25,000 per person, $50,000 per accident
What Does Alabama Auto Insurance Cover?
Property Damage Liability
This coverage helps pay to repair the damage you directly cause to another person’s vehicle or their property if you’re at fault. It’s required by law in most states.
Collision Coverage
This coverage helps pay to repair damage to your vehicle if you’re at fault in an accident that involves another vehicle or piece of property. It’s required if you’re financing or leasing your vehicle.
Comprehensive Coverage
This coverage helps pay to repair or replace your vehicle if it was stolen or damaged by something other than a collision, like a hailstorm, tree, fire or vandalism.
Bodily Injury Liability
If you’re at fault in an accident that injures a passenger of another car or pedestrian, this coverage will help to pay their medical bills, legal fees and loss of income.
Personal Injury Protection
Whether you’re at fault or not in an accident, personal injury protection (PIP) is a no-fault coverage that helps to pay for you and your passenger’s medical bills. Some states make this coverage mandatory.
Medical Payments
This is similar to PIP coverage in that it may help to pay for the medical bills of you and your passenger if you’re involved in an accident, whether you’re at fault or not. It’s different because MedPay is always optional.
Gap Coverage
If your vehicle is totaled in an accident, guaranteed asset protection (GAP) coverage helps to pay the difference between your vehicle’s current worth and what you still owe on your auto loan.
Towing & Labor
An optional coverage, towing and labor may be added to your auto insurance policy to get you out of binds. This pays for a tow truck to pick up your vehicle and take it to the nearest repair shop.
Rental Car
You may add rental car coverage that pays for a rental car while your vehicle is in the shop. But nearly every auto policy also covers the vehicle and passengers when you’re driving a rental car.
Uninsured Motorist
This coverage is within your own auto policy and helps to pay for repairs to your vehicle or for your medical bills if a driver who’s at fault doesn’t have auto insurance.
Underinsured Motorist
This coverage is also within your own auto policy, helping to supplement the remaining expenses to repair your vehicle and pay your medical bills if the other driver doesn’t have sufficient coverage.
Does Alabama Require Auto Insurance?
Yes, Alabama requires every registered vehicle to maintain a minimum amount of liability coverage while they’re on the road. These limits are specific to bodily injury ($25,000 per person, $50,000 per accident) for people in other vehicles, property damage ($25,000 per accident) to help cover other vehicles if you’re at fault, and uninsured motorist ($25,000 per person, $50,000 per accident) in case you’re involved in an accident with a driver who doesn’t have auto insurance.
Although the state doesn’t require drivers to maintain underinsured motorist coverage, Alabama is one of the top states for drivers without coverage at all or with insufficient coverage. So it’s a good idea to opt-in to this added protection.
How Much Is Car Insurance in Alabama?
Getting cheap auto insurance Alabama is as easy as giving Clovered a call and letting us find great rates for you. We partner with many of the state’s top auto insurers to find quotes every day for people just like you. What are you waiting for? Give us a call today at 833-255-4117.
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The editorial content on Clovered’s website is meant to be informational material and should not be considered legal advice.
