Alabama Auto Insurance

Required Coverage Minimum

20/40/10. A minimum coverage limit of $20,000 for injury liability for one person in an accident, $40,000 for all injuries in any one accident, and $10,000 for property damage in an accident.

Mandatory Insurance Coverage

Property Damage Liability policy
Bodily Injury Liability policy

Proof of Insurance—You are required to carry current proof of liability insurance in your vehicle. You must be prepared to present such proof, like your insurance card or policy, to law enforcement if you are pulled over.

Penalty for Failure to Comply—if you do not maintain the minimum insurance coverage, the penalty for a first offense is a $500 fine and license suspension.

Alabama Auto Insurance Laws

Insurance cards issued by qualified companies should contain the vehicle year model, vehicle make, vehicle identification number, name of the insured, the name of the insurance company, the policy number, and the effective and expiration dates of the policy.

Other acceptable forms of documentation to prove insurance include:

A temporary insurance card
A premium receipt or insurance binder issued by the motorist's insurance agent
Current declarations page of a liability insurance policy
Liability insurance policy
Certificate of liability insurance policy
liProof of purchase of a motor vehicle within 60 days and a valid insurance card issued for the motor vehicle replaced by such purchase. (proof of purchase is a copy of the bill of sale if the vehicle is a pre-1975 year model, or the owner's permit (yellow) copy of the application for certificate of title for a 1975 and subsequent year model vehicle)
Copy of the rental agreement that specifies the insurance coverage.

Non-Seatbelt Use

You can be pulled over for non-seat belt usage. The fine for non-compliance is a $25 penalty for all front seats.

Lawsuits—There are no restrictions on lawsuits for Tort liability as a result of an accident

Alabama Department of Insurance

For more information on AL regulations, check out Alabama Department of Insurance Web Site

Email: Webmaster@insurance.alabama.gov