What is the minimum car insurance required in Alabama?

$25,000 for bodily injury or death of one person, $50,000 for all bodily injuries in one accident, and $25,000 for property damage per accident — 25/50/25.

Can I use an out-of-state policy in Alabama?

No. Alabama requires an Alabama policy issued by a carrier qualified to write motor vehicle liability insurance in the state. Keeping an out-of-state policy after moving here does not satisfy the requirement and can lead to registration suspension.

Is uninsured motorist coverage required in Alabama?

No, it is optional. Alabama has an above-average share of uninsured drivers though, and in an at-fault state your own uninsured motorist coverage is the only thing that responds when the at-fault driver has no policy.

Does my Alabama policy cover tornado or hail damage to my car?

Only if you carry comprehensive coverage, which the state minimum does not require. Wind, hail and tornado damage to your own vehicle are comprehensive claims.

How does Alabama check whether I have insurance?

Through the Mandatory Liability Insurance programme run by the Department of Revenue, which verifies coverage online. Evidence can be submitted electronically or through your local licensing official.

Alabama

Auto insurance in Alabama: what’s required, and what isn’t

By Gaby Valencia, Insurance Content Editor

Last verified August 26, 2026

Alabama requires 25/50/25 liability and enforces it through an online verification programme run by the Department of Revenue rather than by the insurance regulator. One detail catches people out: the policy has to be an Alabama policy from a carrier licensed here. Alabama also leaves uninsured motorist coverage optional while carrying an above-average share of uninsured drivers, which is a gap worth closing yourself.

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What Alabama requires you to carry

Minimum liability limits in Alabama — 25/50/25
Bodily injury, per person	$25,000
Bodily injury, per accident	$50,000
Property damage, per accident	$25,000

These are floors, not recommendations. Alabama sets the minimum a driver may legally carry. It does not assess whether that amount would cover a claim you caused. Anything above your limits is your personal exposure.

How Alabama enforces it

Alabama runs the Mandatory Liability Insurance programme through the Department of Revenue, with online verification. The policy must be an Alabama policy from a carrier qualified to write motor vehicle liability insurance in the state — an out-of-state policy does not satisfy it. If the department determines a vehicle was uninsured, it suspends the registration.

How rates are set in Alabama

Alabama is an at-fault state. The driver responsible for a crash is responsible for the resulting injury and property damage, and their liability limits cap what the insurer pays on their behalf.

Responsibility is split: the Alabama Department of Insurance regulates carriers, reviews filings and publishes a consumer guide, while the Department of Revenue owns the Mandatory Liability Insurance programme and the verification system behind it.

Alabama is a competitive-rating state, so carriers apply their own filed models to garaging ZIP, vehicle, record and credit-based insurance score.

Credit-based insurance scores in Alabama

Alabama permits credit-based insurance scores in rating. Alabama premiums sit near the national middle and the state has a broad mix of national and regional carriers, so the spread between quotes for the same driver is worth working through.

What actually moves your premium here

The policy has to be an Alabama policy

Alabama specifically requires coverage from a carrier qualified to write motor vehicle liability insurance in Alabama. That catches people who move into the state and keep an out-of-state policy running for a few months — it does not satisfy the requirement, and the registration suspension does not care that you were insured somewhere.

Tornado and hail exposure is severe

Alabama sits in one of the most active severe convective corridors in the country, and Dixie Alley tornado outbreaks produce concentrated vehicle losses. All of it is comprehensive coverage, which the state minimum does not require.

Uninsured driving rates run high

Alabama has persistently carried an above-average share of uninsured drivers. In an at-fault state that is a direct argument for uninsured motorist coverage, which Alabama does not compel: if the driver who hits you has nothing, your own policy is the only thing that responds.

Rural severity alongside metro frequency

Birmingham, Huntsville, Montgomery and Mobile price differently from one another and very differently from rural Alabama, where long two-lane distances produce fewer but more severe crashes. Carriers rate by garaging ZIP.

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Comparing carriers in Alabama

Price uninsured motorist coverage explicitly rather than letting a quote drop it. Alabama does not require it and has more uninsured drivers than average — a combination that makes it one of the better-value optional coverages in the state.

Do not skip comprehensive. Between hail and tornado exposure, damage to your own vehicle from weather is a realistic Alabama claim, and liability of any size does not respond to it.

One habit matters more than any single carrier choice: re-check every year or two, and again after anything that changes your risk profile — a move across town, a new vehicle, a driver added or removed, or a violation ageing off your record. Carriers re-weight their rating factors continuously, so the one that priced you best three years ago is often not the one that prices you best today.

If you need an SR-22 in Alabama

Alabama requires an SR-22 filing after certain suspensions, including driving without insurance and DUI convictions. Your insurer files it with the Department of Revenue and must notify the state if the policy lapses. Confirm the period for your case with the department, since it runs from your reinstatement date.

Alabama auto insurance FAQ

What is the minimum car insurance required in Alabama?: $25,000 for bodily injury or death of one person, $50,000 for all bodily injuries in one accident, and $25,000 for property damage per accident — 25/50/25.
Can I use an out-of-state policy in Alabama?: No. Alabama requires an Alabama policy issued by a carrier qualified to write motor vehicle liability insurance in the state. Keeping an out-of-state policy after moving here does not satisfy the requirement and can lead to registration suspension.
Is uninsured motorist coverage required in Alabama?: No, it is optional. Alabama has an above-average share of uninsured drivers though, and in an at-fault state your own uninsured motorist coverage is the only thing that responds when the at-fault driver has no policy.
Does my Alabama policy cover tornado or hail damage to my car?: Only if you carry comprehensive coverage, which the state minimum does not require. Wind, hail and tornado damage to your own vehicle are comprehensive claims.
How does Alabama check whether I have insurance?: Through the Mandatory Liability Insurance programme run by the Department of Revenue, which verifies coverage online. Evidence can be submitted electronically or through your local licensing official.

Sources

Requirements on this page were verified against Alabama’s own regulator and motor vehicle agency on the date shown at the top. Rules change — if you are making a decision that turns on an exact figure, confirm it at the source.

Consumer help in Alabama: Alabama Department of Insurance, (334) 269-3550.