Alabama Insurance

Basic Car Insurance Requirements

The basic car insurance requirements in Alabama include $25,000 personal injury liability coverage per person involved in an accident, $50,000 total personal injury coverage per accident, and $25,000 for property damage per accident.

Required Insurance Documentation

Not only is every motorist in Alabama required to have insurance, they are also required to have proof of a valid insurance policy at all times when they are on the road. You must be prepared to provide this documentation to a law enforcement officer upon request.

Insurance Cards

Unlike some other states, Alabama does not have specific requirements for the insurance card’s appearance or the information printed on the card. However, a standard insurance card will typically include the following elements:

• The name of the insurance company
• The name of the driver(s) covered by the policy
• The address of the person who holds the policy
• The make and model of your vehicle
• Your vehicle’s VIN number
• The date the policy began
• The date the policy ends
• The insurance company’s address
• The insurance company’s contact information

Most drivers will keep the insurance card in the glove compartment of their vehicles with their registration. This ensures that both documents can be grabbed quickly if a law enforcement officer requests them.

Car Insurance Fraud in Alabama

Insurance fraud, including car insurance fraud, is a serious crime in Alabama. Insurance fraud includes providing false information to your insurance company when you are submitting a claim. You may be tempted to do so in an attempt to keep your insurance premiums low, but committing insurance fraud can lead to stiff legal penalties.

In fact, a law passed in 2013 made insurance fraud, including auto insurance fraud, a Class B felony in Alabama if the amount of the fraud is equal to or greater than $1,000. Such fraud can be punished by a prison sentence of 2 to 20 years. Insurance fraud of less than $1,000 is a Class C felony in Alabama. The penalty for such a crime is up to 10 years in prison.

How to Report Insurance Fraud in Alabama

Insurance fraud in Alabama can be reported to the State Fire Marshall’s Bureau. They will pass this information on to the Alabama Insurance Fraud Bureau. You can report a suspected insurance fraud online. You will need to have information about where in Alabama the alleged fraud took place. You will also need to describe the fraudulent actions. You will also need to provide your personal information so that law enforcement can contact you.