Homeowners insurance in Alabama: premium by ZIP code
The median Alabama ZIP code paid $1,857 per policy in 2022; ZIP 36528 on the coast paid $8,482.
Independent site, not an insurer or a broker. Treasury figures cover 2018 to 2022 only.
Premium per policy in 2022, Alabama (median ZIP code)
$1,857
Average paid per HO-3 or HO-5 policy, inflation-adjusted as published by the Treasury. At September 2026 prices: about $2,474.
| Change from 2018 to 2022, after inflation | +2.6% |
| Premium per policy in 2018 | $1,810 |
| Premium per policy in 2022 | $1,857 |
| 2022 premium carried to September 2026 (BLS index) | $2,474 |
| Policies not renewed by the insurer, 2022 | 0.66% |
| Claims paid per 100 policies, yearly average | 5.7 |
| Average claim paid, 2018 to 2022 (adjusted) | $14,930 |
| Cancelled for nonpayment, 2022 | 1.95% |
Treasury data stop in 2022. The September 2026 figure applies the national BLS price index to the 2022 value, read as 2022 dollars: an estimate, not a quote.
Compiled by Radif Partners · Where the numbers come from · 544 ZIP codes in 67 counties of Alabama in the Treasury file · not a quote
Alabama's median ZIP code paid $1,857 per homeowners policy in 2022, ranked 15 of 51 and above the national $1,551. Over five years the figure barely moved after inflation, +2.7%, but the state is two markets. Inland, Jefferson County around Birmingham was at $1,925 and Madison County around Huntsville at $1,952. On the Gulf, Mobile County paid $2,097 and Baldwin County $2,281, and the single dearest ZIP code, 36528 in Mobile County, paid $8,482. The year 2020 stands out in the claims: 7.1 paid claims per 100 policies, the year Hurricane Sally came ashore near the state line. Coastal homes that private insurers will not cover for wind turn to the Alabama Insurance Underwriting Association, whose policies are not in these figures. Data stop in 2022.
Birmingham and Huntsville pay close to the state median
Most of Alabama's 544 ZIP codes in the Treasury file sit in a narrow band: the cheapest tenth paid under $1,670 and the dearest tenth over $2,161, a tight range for a state with a coastline. Jefferson County's 45 ZIP codes had a median of $1,925, up +4.3% after inflation since 2018. Madison County rose a little faster, +6.0%. The cheapest ZIP code, 36832 in Lee County, paid $1,440. Tornadoes and hail drive inland claims, and Alabama's claim rate, 5.7 per 100 policies a year, ranks 16 of 51.
Alabama against a neighbor
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Median premium per policy in Alabama, 2022
$1,857
| Same premium carried to September 2026 with the BLS index | $2,474 |
| Median ZIP change 2018 to 2022, after inflation | 2.7% |
| Cheapest tenth of ZIP codes pays under | $1,670 |
| Dearest tenth of ZIP codes pays over | $2,161 |
Mobile Bay and the beach
The private market prices the coast very differently. Baldwin County's median ZIP code, $2,281 in 2022, actually fell -5.0% after inflation from 2018, and Mobile County was flat at -0.7%. A falling figure on a hurricane coast usually means insurers wrote fewer of the most exposed homes, or wrote them without wind. ZIP 36528 in Mobile County and 36561 in Baldwin County, at $8,482 and $5,305, were the dearest in the state. Those owners often carry a percentage hurricane deductible, explained on the hurricane deductible page.
The beach plan
The Alabama Insurance Underwriting Association writes wind, hail and hurricane only policies for homes in the beach and seacoast areas of certain coastal counties, paired with a private policy for fire, theft and liability. Its premiums are outside the Treasury file. The state regulator, the Alabama Department of Insurance, also runs a program that helps owners fortify roofs against wind, which can earn a premium discount with many insurers.
Cancellations and nonrenewals
Alabama's nonrenewal rate in the median ZIP code was 0.66% in 2022, ranked 37 of 51, well below the national median. Cancellations for nonpayment were higher than in most states, 1.95% over the period, which the escrow and installment advice on the monthly cost page addresses.
Alabama, year by year
| Year | Alabama median ZIP | National median ZIP | Nonrenewal rate | Claims per 100 policies | Paid loss ratio |
|---|---|---|---|---|---|
| 2018 | $1,810 | $1,445 | 0.83% | 4.7 | 32% |
| 2019 | $1,812 | $1,469 | 0.57% | 4.4 | 31% |
| 2020 | $1,828 | $1,491 | 0.40% | 7.1 | 44% |
| 2021 | $1,864 | $1,521 | 0.63% | 5 | 37% |
| 2022 | $1,857 | $1,551 | 0.66% | 4.4 | 35% |
The Alabama counties with the most ZIP codes in the file
| County | ZIP codes | Median 2018 | Median 2022 | Change | Nonrenewal 2022 | Average claim |
|---|---|---|---|---|---|---|
| Jefferson County | 45 | $1,827 | $1,925 | +4.3% | 0.79% | $14,992 |
| Mobile County | 32 | $2,180 | $2,097 | -0.7% | 0.91% | $18,081 |
| Baldwin County | 20 | $2,367 | $2,281 | -5.0% | 0.29% | $26,187 |
| Madison County | 20 | $1,859 | $1,952 | +6.0% | 0.65% | $12,935 |
| Tuscaloosa County | 17 | $1,684 | $1,716 | +2.4% | 0.67% | $14,105 |
| Shelby County | 16 | $1,771 | $1,847 | +4.8% | 0.45% | $14,758 |
| Montgomery County | 15 | $1,952 | $1,989 | +1.3% | 1.18% | $10,378 |
| DeKalb County | 14 | $1,676 | $1,764 | +3.3% | 0.79% | $16,854 |
Highest and lowest premiums per policy, Alabama ZIP codes, 2022
| ZIP code | County | Premium per policy | Change since 2018 | Nonrenewal 2022 |
|---|---|---|---|---|
| 36528 | Mobile County | $8,482 | +9.6% | 0.00% |
| 36561 | Baldwin County | $5,305 | -17.2% | 0.21% |
| 36559 | Baldwin County | $4,660 | -4.0% | 0.00% |
| 36523 | Mobile County | $4,420 | +27.9% | 2.11% |
| 36542 | Baldwin County | $3,580 | -18.6% | 0.17% |
| 36832 | Lee County | $1,440 | +0.9% | 0.55% |
| 35112 | St. Clair County | $1,482 | -13.1% | 3.85% |
| 36852 | Chambers County | $1,485 | +4.1% | 0.00% |
| 35805 | Madison County | $1,521 | +6.1% | 1.83% |
| 36269 | Cleburne County | $1,528 | -2.0% | 0.00% |