Minimum car insurance in Alabama.
What Alabama requires, in plain words, and why the minimum may not be enough.
The minimum limits
In Alabama, the minimum liability limits are written 25/50/25 (in thousands): $25,000 for injury to one person, $50,000 for injury to everyone in one accident, and $25,000 for property damage.
How the system works
Alabama is generally an at-fault (tort) state, so the driver who causes a crash is responsible for the other party’s losses. That is why liability limits matter so much.
Tort (at-fault) state. No other coverage required.
What the minimum means in practice
Say a crash you cause injures three people. The Alabama minimum pays at most $25,000 to any one of them and $50,000 in total, shared between all three. Any medical bills above that could become your responsibility. Property damage stops at $25,000.
If you drive without insurance in Alabama
Alabama suspends a vehicle's registration if it is found uninsured; reinstatement requires proof of current liability insurance and a $200 fee for a first violation or $400 for later violations.
Proof of insurance
The Motor Vehicle Division checks coverage through an online insurance verification system, and a registrant whose insurer cannot confirm coverage has 30 days to provide proof or the registration is suspended.
Also worth knowing in Alabama
A registrant can claim a one-time exemption per registration period by voluntarily surrendering the registration and plate before storing the vehicle.
Your state regulator
Alabama Department of Insurance is the official place for consumer questions and complaints about insurers.
Sources we checked (October 2026)
Requirements change. We checked the pages below. Confirm with your state insurance department or an agent.
Questions
Is Alabama a no-fault state?
Alabama is generally an at-fault state.