Best cheap car insurance in Montgomery for 2025

The best car insurance companies in Montgomery

To help you find the best car insurance companies in Alabama, Bankrate’s team analyzed average premium data from Quadrant Information Services. We looked at each provider’s affordability, J.D. Power customer satisfaction scores and AM Best financial strength ratings to create a Bankrate score, which is calculated on a five-point scale. The score could help you quickly compare providers as you begin searching for affordable car insurance.

The cheapest car insurance companies in Montgomery

Car insurance can be more expensive in cities than rural areas. Dense traffic leads to higher accident rates, and cities generally have a higher cost of living, leading to pricier repair costs. Fortunately, shopping around may help you find the coverage you need at an affordable price.  Below are the cheapest car insurance companies in Montgomery based on average minimum coverage rates.

How much is car insurance in Montgomery, Alabama?

The average cost of car insurance in Alabama is $2,082 per year for full coverage and $507 per year for minimum coverage. To compare, average full coverage rates in Montgomery are 5 percent more than the state average at $2,182 per year, while minimum coverage rates are 10 percent more at $559 per year.

Though higher than the state average, Montgomery’s average rates are still cheaper than the national average, which averages $2,692 annually for full coverage and $808 for minimum.

Montgomery rates for teens

Most insurance providers consider teenage drivers to be high-risk, so this demographic typically pays some of the highest average rates for coverage. As teenagers gain experience behind the wheel and get older, rates often begin to drop. Teens that are shopping for the cheapest car insurance might want to remain on their parents’ insurance policies for as long as possible.

Montgomery rates for young drivers

When teenagers become young adults, they are considered youthful operators until they turn 25 or get married. While this demographic’s insurance rates are often lower than those for teens, young adults might want to search out discounts for young drivers in order to find the cheapest rates. Some of these discounts include driving training discounts and good student discounts.

Montgomery rates for adults

Adult drivers usually see steady insurance rate declines after the age of 25, as long as you maintain a clean driving record. Other factors that impact your auto insurance rates include your credit history, vehicle type and ZIP code.

Montgomery rates for senior drivers

Insurance premiums typically begin to creep up after a driver turns 70. Physical impairments can begin to impact your reaction time with age, but looking for discounts, maintaining a clean driving record and shopping around regularly may help seniors continue to find low rates.

The cheapest car insurance in Montgomery by driving record

One of the biggest factors in determining your insurance premium is your driving record. Montgomery drivers with recent speeding tickets or accidents will usually pay more for car insurance than drivers with a clean driving history. However, all carriers assess incident risk differently, so shopping around may help you find more affordable rates even with a less-than-perfect driving history.

Car insurance with a speeding ticket in Montgomery

Alabama drivers with a speeding ticket will usually see elevated insurance premiums for three to five years after the incident. The average cost of full coverage car insurance with a single speeding ticket is 22 percent more than the cost of coverage for a driver with a clean record.

Car insurance after an accident in Montgomery

Having an at-fault accident on your driving record in Montgomery yields average full coverage car insurance rates that are 47 percent more than rates for drivers with clean records. If you're concerned about the potential impact of a car accident on your premium, you could look for a carrier that offers accident forgiveness coverage. While specifics vary by company, this add-on generally prevents a post-accident surcharge that increases your rate following your first at-fault accident, though you may still receive a rate increase if you lose a safe driver discount or for other factors.

Car insurance after a DUI in Montgomery

Alabama drivers who get DUIs are usually required to file an SR-22 to prove that they meet the state's minimum coverage requirements. A DUI is considered one of the most severe infractions, and not all carriers will extend coverage to drivers with DUIs.

Frequently asked questions

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. These are sample rates and should only be used for comparative purposes. Your quotes will differ.

If otherwise specified, the base profile has been modified with the following driver characteristics: 

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket and single DUI conviction.

Age: Rates were calculated by evaluating our base profile with the ages 20-70 (base: 40 years) applied. Depending on age, drivers may be a renter or homeowner. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.

Teens: Rates were determined by adding a 16- or 18-year-old teen to their 40-year-old married parents' policy. The rates displayed reflect the total cost of a driver this age added to their parents’ policy.

Bankrate Score

Our 2025 Bankrate Score for auto insurance considers key variables that our insurance editorial team determined impact policyholders’ experiences with an insurance company. These factors include a robust assessment of each company’s cost of coverage, product availability, financial strength ratings, online capabilities and customer and claims support accessibility. We grouped these factors into three essential categories — cost and ratings, coverage and savings, and support — which we then weighted in a tiered approach. 

Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.

• Tier 1 (Cost & ratings): To determine how well auto insurance companies satisfy these priorities, our team analyzed quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the National Association of Insurance Commissioners (NAIC). 
• Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated the discount options listed on each company’s website.
• Tier 3 (Support): To encompass the many ways an auto insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored in a company’s corporate sustainability efforts.