If you are going to drive a car in Alabama you'd better buy car insurance. The penalties for driving without insurance include having your car's registration suspended and paying a fine of $100 - plus a lot of time and aggravation. Fortunately the state of Alabama makes a very cheap form of auto insurance available to its drivers, a type of car insurance that virtually every driver can afford.
It's known as a 20/40/10 basic liability policy. This is the cheapest insurance policy that you can buy in Alabama and still drive 100% legally.
This policy pays a maximum of $20,000 toward the medical expenses of any one individual who is hurt as a result of an accident with your vehicle. It pays a maximum of $40,000 toward the medical expenses of everyone involved in an accident with your vehicle - this $40,000 maximum payment is made regardless of how many people are hurt or how badly they are hurt. The policy also pays a maximum of $10,000 in property damage (typically the repair of the other person's vehicle).
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