Best and Cheapest Renters Insurance in Alabama for 2025 (10 Most Affordable Companies)

USAA, Travelers, and Geico provide the best and cheapest renters insurance in Alabama. Starting with just $20 per month with USAA, the companies offer many benefits to renters in Alabama.

Specifically, USAA offers the cheapest renters insurance for military families in Alabama, while Travelers provides cheap comprehensive coverage and affordable rates by Geico.

Company	Rank	Monthly Rates	A.M. Best	Best For	Jump to Pros/Cons
	#1	$20	A++	Military Families	USAA
	#2	$28	A++	Comprehensive Coverage	Travelers
	#3	$32	A++	Affordable Rates	Geico
	#4	$34	A+	Personalized Plans	Nationwide
	#5	$37	A	Customer Satisfaction	American Family
	#6	$38	A+	Bundling Policies	Allstate
	#7	$39	B	Local Agents	State Farm
	#8	$40	A+	Tight Budget	Progressive
	#9	$48	A	Many Discounts	Farmers
	#10	$58	A	Customizable Coverage	Liberty Mutual

The monthly average cost of renters insurance in Alabama varies by provider, ranging from $20 to $58 for minimum and $56 to $162 for full coverage. Find your area's best and cheapest renters insurance by entering your zip code above into our free quote tool.

What You Should Know

• USAA offers the best and cheapest renters insurance in Alabama for military families, at just $20 monthly
• Travelers balances affordability and comprehensive coverage
• Geico excels in affordable rates and multi-policy discounts

#1 – USAA: Top Overall Pick

Pros

• Military Families: As seen in our USAA review, it offers tailored insurance policies for renters with military backgrounds in Alabama.
• Replacement Cost Coverage: Gives full reimbursement to renters in Alabama for damaged or stolen items without depreciation.
• Exceptional Customer Service: Known for assisting renters promptly and effectively in Alabama.

Cons

• Limited Eligibility: It is only available to renters who are military members, veterans, and their families in Alabama.
• No Local Agents: Relies on online or phone services, which may not suit renters seeking in-person assistance in Alabama.

#2 – Travelers: Best and Cheapest for Comprehensive Coverage

Pros

• Flexible Payment Options: Allows renters in Alabama to manage premiums with monthly payment plans.
• Comprehensive Coverage: Includes valuables options for the best and cheapest renters insurance in Alabama. Learn more in our Travelers Review.
• Additional Coverage Options: Offers identity theft and personal liability add-ons in Alabama for renters insurance.

Cons

• High Premiums for Add-Ons: Extra coverage can increase the cost of renters insurance beyond the cheapest options in Alabama.
• Limited Discounts: Renters have fewer savings opportunities compared to competitors in Alabama.

#3 – Geico: Best and Cheapest for Affordable Rates

Pros

• Online Tools: Online tools are available to manage renters' insurance and claims in Alabama.
• Multi-Policy Discounts: Bundling renters insurance with other policies in Alabama yields more savings.
• Affordable Rates: It is known for offering the best and cheapest renters insurance in Alabama with competitive pricing. Read our Geico review for more information.

Cons

• Third-Party Underwriting: Renters insurance policies in Alabama are underwritten by partner companies, not directly by Geico.
• Basic Coverage: It may lack some comprehensive options for renters insurance with other providers in Alabama.

#4 – Nationwide: Best and Cheapest for Personalized Plans

Pros

• Personalized Plans: Our Nationwide review highlights having customizable policies makes it a top choice for the best and cheapest renters insurance in Alabama.
• Claims-Free Discounts: It rewards renters who maintain a claims-free record in Alabama.
• Broad Network: Nationwide has many local agents in Alabama who are ready to help renters anytime.

Cons

• Limited Online Features: It has a less advanced online tool than its competitors, which may cause a concern for some renters in Alabama.
• Higher Premiums for Customization: Opting for personalized renters insurance plans may cost more than standard policies in Alabama.

#5 – American Family: Best and Cheapest for Customer Satisfaction

Pros

• Unique Coverage Options: It has unique coverage options like identity theft add-ons and travel protection to go with renters insurance, making it convenient for tenants in Alabama who travel a lot.
• Customer Satisfaction: It is known for having positive feedback on claims handling and affordability, making it one of the best and cheapest renters insurance in Alabama. Read more in our American Family review.
• Safe Home Discount: Renters with safety measure devices like fire alarms in their homes in Alabama receive discounts.

Cons

• Availability Issues: Renters insurance coverage may not extend to all parts of Alabama.
• Fewer Discounts: It has limited discount opportunities for renters in Alabama compared to larger insurers.

#6 – Allstate: Best and Cheapest for Bundling Policies

Pros

• Quick Claims Process: Has swift claims processing for renters insurance in Alabama.
• Optional Coverage: It offers renters in Alabama protection for their expensive electronics or collectibles.
• Bundling Discounts: Our Allstate review emphasizes 25% discounts by bundling policies, making it one of the best and cheapest renters insurance in Alabama.

Cons

• High Deductibles: Some renters insurance policies in Alabama may have higher deductibles than competitors.
• Pricing Variability: Premiums for renters insurance vary based on location in Alabama.

#7 – State Farm: Best and Cheapest for Local Agents

Pros

• Customizable Policies: Allows renters in Alabama to customize coverage depending on what they need.
• Discounts for Safe Practices: Offers savings on renters insurance for using security systems and smoke detectors in Alabama.
• Many Local Agents: Our State Farm review underlines the large number of local agents it has for assisting people in finding the best and cheapest renters insurance in Alabama.

Cons

• Limited Online Services: It may lack advanced digital management tools for renters insurance policies in Alabama.
• Higher Premiums for Comprehensive Plans: Customization can increase the overall cost of renters insurance in Alabama.

#8 – Progressive: Best and Cheapest for Tight Budget

Pros

• Excellent for Tight Budget: As mentioned in our Progressive review, it offers affordable renters insurance even for those with limited budgets in Alabama.
• Easy Online Quote System: Simplifies getting the best and cheapest renters insurance in Alabama.
• Flexible Coverage Options: Allows renters in Alabama to adjust policies as needed.

Cons

• Third-Party Underwriting: Partner companies often manage renters insurance policies in Alabama for Progressive.
• Limited In-Person Support: Primarily operates through online or phone services, which may limit accessibility for renters who want personal support in Alabama.

#9 – Farmers: Best and Cheapest for Many Discounts

Pros

• Policy Customization: Allows renters to adapt coverage for valuables or special needs.
• Many Discounts: Our Farmers review spotlights rewarding renters in Alabama with savings for bundling, safe homes, or claims-free history.
• Mobile App: Offers efficient claims tracking and policy management for the best and cheapest renters insurance in Alabama.

Cons

• High Premiums for Add-Ons: Extra coverage can make it less affordable for renters on a budget in Alabama.
• Not Always Available: Renters insurance overage may not extend to rural areas of Alabama.

#10 – Liberty Mutual: Best and Cheapest for Customizable Coverage

Pros

• Newly Renovated Home Discounts: It offers renters in Alabama savings for updated rental properties.
• Customizable Coverage: Tailored options make it a top pick for the best and cheapest renters insurance in Alabama. Our Liberty Mutual review gives an in-depth analysis of the topic.
• Quick Online Claims: It streamlines the insurance claims process for renters in Alabama.

Cons

• Higher Base Premiums: Starting rates for renters insurance in Alabama may be higher than those of some competitors.
• Limited Local Support: There are fewer in-person agent locations to support renters in Alabama.

Alabama Cheap Renters Insurance Rates Comparison

The monthly rates of the best and cheapest renters insurance in Alabama significantly vary by provider. The table below gives further insights into renters insurance premiums per month.

Insurance Company	Monthly Rates
	$38
	$37
	$48
	$32
	$58
	$34
	$40
	$39
	$28
	$20

The lowest price starts at $20 with USAA and goes up to $58, offered by Liberty Mutual. Travelers and Geico on the other hand, stays at a competitive rate of $28 and $32 per month respectively.

Category	Grade	Explanation
Average Monthly Premium	A	Among the lowest in the Southeast
Affordability	A-	Competitive rates across urban and rural areas
Coverage Options	B+	Standard options with some limitations
Claim Satisfaction	B	Moderate customer satisfaction with claims
Availability of Discounts	B-	Fewer discounts compared to neighboring states
Customer Support	C+	Service response times vary significantly

In Alabama, there are numerous major insurance companies available, offering affordable rates for their coverage options with some discounts. However, there is room for improvement regarding their customer service.

City	Accidents per Year	Claims per Year
Auburn	450	380
Birmingham	1,200	950
Decatur	400	330
Dothan	300	250
Florence	350	290
Gadsden	500	420
Huntsville	800	700
Mobile	900	750
Montgomery	1,100	890
Tuscaloosa	600	520

The accidents and claims per year in Alabama vary by city. For example, Dothan and Florence city record up to 300 and 350 accidents with 250 and 290 claims annually, respectively. On the other hand, over 1,000 accidents with 890 claims occur in Montgomery.

Claim Type	Portion of Claims	Cost per Claim
Theft	35%	$3500
Water Damage	25%	$4200
Fire Damage	20%	$10000
Liability Claims	15%	$6000
Vandalism	5%	$2000

The most common types of insurance claims in Alabama are theft, water damage, fire damage, liability claims, and vandalism. Cost per claim varies depending on the severity, ranging from $2,000 for vandalism claims to $10,000 for fire damage.

Read More: Renters Insurance Guide

Best and Cheapest Renters Insurance Discounts in Alabama

The best and cheapest renters insurance discounts in alabama provide savings opportunities for renters. Many providers offer discounts for bundling policies with other options, maintaining a claims-free record, or having safety features like smoke detectors.

These discounts help renters secure affordable coverage while meeting their specific needs. The table below displays the discounts that providers offer.

Insurance Company	Available Discount
	Multi-Policy, Protective Devices, New Home, Claims-Free
	Multi-Policy, Claims-Free, Protective Devices, Automatic Payments
	Multi-Policy, Claims-Free, Protective Devices
	Multi-Policy, Claims-Free, Protective Devices, Electronic Payment
	Multi-Policy, Protective Devices, Claims-Free, New Home
	Multi-Policy, Claims-Free, Protective Devices, Early Sign-Up
	Multi-Policy, Claims-Free, Protective Devices, Electronic Payment
	Multi-Policy, Claims-Free, Protective Devices, New Home
	Multi-Policy, Claims-Free, Protective Devices, Early Sign-Up
	Multi-Policy, Claims-Free, Protective Devices

Although many providers offer discounts like multi-policy discounts, each of them has their own unique discounts. The Alabama report card shows what type of discounts give the most savings and what companies are offering them.

Discount Name	Grade	Savings	Participating Providers
Multi-Policy	A	20%	State Farm, Allstate, Farmers
Protective Devices	A-	15%	Nationwide, Progressive, Geico
Claim-Free	B+	10%	Liberty Mutual, Travelers, State Farm
Pay-in-Full	B	5%	Allstate, Geico, Farmers
Good Credit	B-	7%	Progressive, Nationwide, USAA
Paperless Billing	C+	3%	American Family, State Farm

Multi-policy discounts offer the most savings for renters insurance; State Farm, Allstate, and Farmers participate in this type of discount, while USAA, Progressive, and Nationwide give good credit discounts. Recognizing the discounts offered by providers is crucial when choosing the right insurance. Review them and get the best insurance for you.

Alabama Renters Insurance Coverage

The best and cheapest renters insurance coverage in Alabama offers the standard policies offered nationwide, but the specific terms and costs may vary depending on the provider and local regulations. Here are the typical types of coverage available:

Personal Property Coverage

• What It Covers: Protects your belongings, such as furniture, electronics, and clothing, from perils like vandalism, fire, theft, or certain types of water damage.
• Unique to Alabama: Some insurers may provide additional protection for risks associated with local weather conditions, such as tornadoes or severe storms. Liability Coverage
• What It Covers: Provides financial protection if you’re legally held responsible for injuries or property damage to others while in your rental property.
• Coverage Limits: Typically starts at $100,000 but can be increased based on your needs.

Medical Payments to Others

• What It Covers: Pays for minor medical expenses if somebody gets injured in your rental property, regardless of fault.

Additional Living Expenses (ALE)

• What It Covers: Covers temporary housing, meals, and other costs if your rental becomes uninhabitable due to covered events, like fire or severe storm.

Renters insurance is important for protecting your belongings and yourself in a rental property. It protects you from liabilities caused by unforeseen events like natural disasters or accidents.

Top Providers of the Best and Cheapest Renters Insurance in Alabama

USAA, Travelers, and Geico Provide the best and cheapest renters insurance in Alabama. USAA specializes in providing exclusive military discounts for families with service history at just $20 per month.

Travelers offers comprehensive coverage for renters looking for more robust protection. On the other hand, Geico focuses on giving affordable rates for people with limited budgets.

Renters insurance offers protection when renting a space; it includes property damage liability insurance, theft, water damage, fire damage, and more. Therefore, knowing what renters insurance does not cover is also crucial when buying insurance from providers.

Finding the right insurance is a tedious task, but our free comparison tool simplifies the hassle of looking for cheap insurance by entering your zip code below.