Auto Coverage in Alabama
Alabama Auto Insurance
Alabama drivers are required to have liability insurance before they can register a vehicle in the state, and they must carry proof of insurance in the car at all times. In case of an accident, or if an officer pulls a car over, the driver will need to show proof of insurance in the form of an ID card or a declaration page of the policy.
Alabama minimum auto insurance
Alabama drivers are required to have the following minimum coverage:
- Bodily Injury and Death: $25,000 to cover one person in any one accident, and $50,000 to cover all injuries
- Property Damages: $25,000
Penalties without Alabama auto insurance
If a driver can't show evidence of insurance when he or she is pulled over by a police officer, then the driver's registration will be suspended for a year, he or she will be required to file an SR-22 certificate, and must also pay a $100 reinstatement fee. In the case of an accident, the driver will also need to compensate the victim for damages. The SR-22 means that the driver will need to buy insurance, and the insurance company needs to file an SR-22 form with the state Department of Motor Vehicles (DMV).
Alabama does not require drivers to file electronically, but the state does maintain a database of information about driver licensing and vehicle registrations, since 2001. An SR-22 may also be needed for other high-risk drivers who have been in an accident or found to be driving under the influence.
Those who show fraudulent insurance coverage will be subject to fines up to $500, driver suspension, and court action.
Alabama auto insurance laws
Applicable Laws for Alabama Auto Insurance are the following:
- Compulsory Liability Insurance Law (2000)
- Financial Responsibility Law (1984)