The 4 Best Alabama Homeowners Insurance Companies

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From hurricanes to tornadoes, Alabama homeowners have faced their fair share of natural disasters. It’s not surprising, therefore, that the average annual premium in the Heart of Dixie is almost $200 higher than the national average, according to the Insurance Information Institute.

That being said, high premium costs don’t always equal adequate coverage. As a homeowner, it’s important to protect your most valuable asset by searching for a provider that offers protections that are specific to your living situation and budget. To help ease your search, we’ve outlined our picks for the top Alabama homeowners insurance providers and included an online quote tool so you can start getting accurate estimates for policies in your area.

Find the Best Home Insurance

Enter your ZIP code below and be sure to click at least 2-3 companies to find the very best rate.

Allstate

Allstate is a great option for homeowners insurance in Alabama because the company offers flexible policies, multiple discount opportunities, and top-of-the-line educational online tools and resources.

A standard policy from Allstate can be supplemented with add-on coverage to protect your most valuable assets — be it your home office, sports equipment, musical instruments, or electronic data. You can save over 30% on your Allstate policy if you bundle your homeowner’s policy with auto insurance, install protective devices, go paperless with your bill, or insure a new or recently renovated home. Allstate offers additional price breaks for new customers and retirees.

Allstate ensures that you’re in good hands by offering high quality policy management tools. The Allstate digital locker is a wirelessly-synced inventory for your valuable items, providing a painless way to submit claims in times of need. Allstate’s online resource center also has an extensive library of articles, videos, and specialty calculators to answer any questions you may have and provide tips for owning a home.

Alfa Mutual

Alfa is based in Montgomery, Ala., so the company understands the unique insurance needs of Alabama homeowners. Alfa offers HO-3 and HO-5 coverage options for homeowners, meaning that even their minimum policy protects your home and all of its contents. Additional options can be purchased for extra replacement cost coverage, personal liability coverage, and valuables endorsements.

To help save you money on your policy, Alfa provides discounts for things like bundling auto and home insurance, installing safety devices like dead-bolt locks and smoke alarms, being claims-free, and opting for higher deductibles. In Alabama’s Mobile and Baldwin counties, Alfa also offers premium discounts for residents that have built or repaired their homes with materials that can better withstand hurricanes and windstorms.

The online resource center on Alfa’s website has tips for safeguarding your home, lowering your costs, and understanding your rights as an Alabama homeowner.

State Farm

State Farm dominates the homeowner’s insurance market in Alabama — writing over 30% of the state’s policies. The advantage State Farm offers over its competitors is that policies with basic coverage are extremely affordable and customers can pick and choose what additional protections they want to meet their specific home and budget needs.

State Farm also has standard policies for nearly every type of Alabama residence, including single-family homes, farms and ranches, condos, and mobile homes.

Should your home suffer a loss, you can have the peace of mind knowing that State Farm has one of the largest and most extensive claims networks in the world. You can file a claim via the 24-hour claims hotline, online, in person with a local agent, or using the State Farm Pocket Agent mobile app. State Farm’s Premier Service Program is also an incredibly handy tool that directly connects you with experienced local contractors in your area to conduct any immediate repairs and restore your home to safety after a covered loss.

USAA

USAA was founded in 1922 by a group of 25 Army officers with the intention of providing quality, affordable insurance products to the Armed Services. Today, the company has over 9 million members and is one of the largest shareholders of the Alabama homeowners insurance market thanks to the state’s vast military population.

USAA is backed by an A+ financial rating from A.M. Best, gets 4 out of 5 stars from J.D. Power & Associates, and boasts a strong history of military values, so you know you can trust the service you will receive. The company offers its members countless benefits and discounts, including free ATMs nationwide for banking customers, lower rates on car and personal loans, and affordable insurance policies.

USAA policies come equipped with features that typically cost extra from other providers. For example, the company offers full replacement cost coverage, allowing you to rebuild your home after a loss at current construction costs. USAA also provides up to 75% of the insured value of your home to replace personal belongings and up to $5,000 in identity theft coverage — all at no extra cost to you. The only hitch is that you or a family member must be an active or retired member of the U.S. armed forces to become a USAA member.

The 4 Best Alabama Homeowners Insurance Companies

  • Allstate
  • Alfa Mutual
  • State Farm
  • USAA

Find the Best Home Insurance

Enter your ZIP code below and be sure to click at least 2-3 companies to find the very best rate.

For more information on homeowners insurance, you can check out our Complete Guide to Home Insurance. You can also see our overall top picks for Best Home Insurance in the country.