Find Cheap Car Insurance in Birmingham, AL

You might not expect to find a mountainous terrain in such a southern location, but you will be pleasantly surprised to find out that Birmingham is beautifully hilly located in the foothills of the Appalachians. The city is considered a low cost of living area, although there are some more expensive areas, such as Mountain Brook and Vestavia. The weather can be very hot to those who are not familiar with southern climates, but typically, this area does get a full four seasons.

With its near proximity to places like Nashville and New Orleans, young students attending Samford University in suburb Homewood, plus those looking for a change of pace, can easily visit those and other places nearby. Those who enjoy outdoor activities will love this place, since it is has plenty of hiking, mountain biking, golf courses, easy drivable access to beaches and more.

People who live there say Birmingham has an amazing food scene, lots of great shopping and an attractive downtown. Before you go driving around in search of some good eats, make sure your car insurance in Alabama is up to legal standards. At Acceptance, our agents live and drive in the same neighborhoods as you, so they will know what you need and can find it at the cheapest rates.

Increases in vehicle repair costs, plus lots of uninsured drivers are a couple of reason why Birmingham specifically and Alabama overall see somewhat higher car insurance prices. In Birmingham, the average monthly cost for full coverage is $166, a little higher than the national average of $148.

The minimum required basic liability averages $52, higher than the national average of $47, but it won’t offer as much protection.

There are many different types of car insurance to choose from, but you must have at least basic liability to drive legally.

Full coverage auto insurance offers a mixture of liability, comprehensive and collision.

Reasons Why Insurance is Expensive in Alabama

As mentioned, there are several reasons why Alabamans feel the pinch a little more than some other states when it comes to the cost of auto coverage. Some of those reasons include:

• Higher costs around vehicle repairs and medical bills: After a wreck, the responsible party’s insurance will pay for repairs and medical costs of other people involved up to their policy holder’s limits. Due to rising costs of repairs and medical services, insurers have been steadily increasing their rates to compensate.
• Severe weather: Although the area is sufficiently inland from the gulf to protect it from tropical hurricanes, in the spring residents may see severe thunderstorms and tornadic activity.
• Uninsured drivers: One in five drivers in Alabama is estimated to be driving without insurance, making it one of the highest places in the nation for drivers with no way to help pay for your injuries and damages if they cause a wreck. Your own liability will be no help, but if you have uninsured motorist coverage it will help cover your costs.

Insurers look at many different factors to determine your rate and one of those is built around where you live. If you live in a city with a lot of congestion and traffic accidents, it tells them you may be more likely to file a claim than someone who lives in a more rural area. Here are some cities in Alabama for a comparison.

Compare Car Insurance Rates by Zip Code in Birmingham

Insurers not only look at where you live city-wise, they also drill down to zip codes in that city. Here is a sampling of some zip codes in Birmingham.

Low-Cost Car Insurance Rates by Age in Birmingham

Insurance rates are always the highest for those who are just starting out and those who have proved by their driving behavior to be more likely to file a claim. New drivers have not established a pattern of safe driving behavior yet, so they receive high rates until carriers are confident they are not likely to be at fault for a wreck. Teens also have a high number of claims as a group.

Affordable car insurance for teens may seem out of reach, but there are steps you can take to lessen the burden – and as they get older, their rates will drop.

*To figure out the average costs, we use the following approach: we consider a 30-year-old male, with the state’s minimum liability coverage and full 100/300/100 coverage.

Driving conditions in Birmingham, AL, are often congested during morning and evening rush hours, particularly on I-65, I-20, and Highway 280. Weather can impact traffic, especially during heavy rain or occasional winter ice. Road construction and urban growth also contribute to unpredictable travel times.

How Many Fatal Accidents Happen Per Year in Birmingham, AL?

Birmingham, like other cities in Alabama, has a high rate of fatal accident every year. In 2023, there were 43 fatal crashes. In 2022, there were 50 fatal wrecks. These high numbers are attributed to distracted driving that goes unchecked, poor road conditions and speeding, especially where highways and cities intersect.

There are several dangerous roads in Birmingham where accidents seem to be frequent. These include:

• Highway 280 (U.S. 280) – This major commuter route is notorious for heavy congestion, frequent stop-and-go traffic, and numerous intersections. It’s often cited as one of the most dangerous roads due to high-speed limits mixed with dense retail and residential access points.
• I-65 – This interstate runs north-south through Birmingham and sees high traffic volumes. The downtown stretch is particularly dangerous due to merging traffic, speed differentials, and sudden lane changes.
• I-20/I-59 Interchange (“Malfunction Junction”) – Known for confusing lane shifts and heavy merging traffic, this interchange has a history of accidents and congestion, though ongoing reconstruction efforts aim to improve safety.
• Arkadelphia Road (AL-139) – This road sees a lot of high-speed traffic and has several blind curves and steep grades, contributing to its danger.
• Finley Boulevard – Running through an industrial area, this road sees a mix of heavy truck and local traffic, with poor road conditions and visibility in some areas.

It reinforces the importance of driving defensively, following traffic rules and paying attention.

Are Road Infrastructure and Bridges in Birmingham Well Maintained?

Birmingham is undergoing significant road and bridge infrastructure improvements to enhance traffic flow and safety. Key projects include widening U.S. 280 between Lakeshore Drive and Perimeter Park, which necessitates replacing the Pump House Road bridge. Additionally, the $5 billion Birmingham Northern Beltline project aims to construct a 52-mile interstate loop around the city, with the first phase underway.

In Alabama, all drivers are required to have at least the following minimum liability insurance coverage:

• $25,000 for bodily injury/death per individual
• $50,000 for bodily injury/death per accident
• $25,000 for property damage per accident

Keep in mind, these requirements are only for helping to pay for repairs and injuries you cause to others if you are at fault. There is no money here for your own injuries and damages. Plus, if you get hit by one of the many uninsured drivers in Alabama, you’ll have to come up with the money you need to pay for your costs associated with the wreck.

The state of Alabama is serious about enforcing insurance requirements. You may think insurance is too expensive, but if you get caught driving without it (or worse, cause an accident), you’ll soon find out it is more expensive to drive uninsured.

Fines range from $500 to $1,000, which is more than many people pay for car insurance. You may lose your license and registration, meaning you won’t be able to drive to work or take your kids to school. Repeat offenders could go to jail

A conviction for driving without insurance means you’ll be required to purchase SR-22 insurance in order to drive. Insurance agencies look at someone who has this requirement as a high-risk driver, meaning your rates could double or even triple.

Insurance premiums are impacted by factors like your age, your location and your past driving record. These are just a few of the factors insurers feed into their protected algorithms to arrive at your estimated cost. Some others include:

• The type of car you drive
• Your marital status
• Your job title
• How many miles you drive annually

Driving in Birmingham requires awareness of local traffic patterns, weather conditions, and roadway challenges. Major interstates like I-65, I-20, and I-459 often experience heavy congestion during peak hours, particularly near downtown and at major interchanges such as the I-20/I-59 “Malfunction Junction.” U.S. Highway 280 is another notorious corridor known for dense traffic and frequent accidents due to its many traffic lights and retail entrances.

Weather can also impact driving—heavy rain may cause flash flooding, and while rare, ice storms in winter can make roads treacherous, especially on bridges and overpasses. Road construction is common, as the city continues infrastructure improvements and bridge replacement projects, so be prepared for detours and delays.

Pay close attention to speed limits in both urban and suburban areas, and watch for pedestrians and cyclists, especially near UAB and downtown. Use navigation apps for real-time updates on traffic and construction zones to avoid the worst bottlenecks. Patience and caution go a long way in Birmingham traffic.

You’ve probably already heard of discounts. There seems to be at least one for every situation. Insurers in your area offer these discounts as an incentive to lure customers, so you’ll want to research who has the best ones and how much you can save – or let your neighborhood Acceptance agent do the research for you!

Here are some examples of discounts you may qualify for:

Ask your friendly neighborhood agent to let you know what discounts are available to you – especially if your circumstances change!