Home Insurance in Muscle Shoals, Alabama
With a median home value of $199,700, Muscle Shoals is 17% higher than the Colbert County median.
The typical home in Muscle Shoals was built around 1990. Older homes can cost more to insure or rebuild because of aging wiring, roofing and plumbing. About 8% of homes were built before 1960, about 15 points below Colbert County's 23%.
Mobile and manufactured homes typically need a manufactured-home (HO-7) policy rather than a standard homeowners policy. The housing stock in Muscle Shoals is 75% single-family homes, 8% apartments in buildings with 5+ units and 4% mobile or manufactured homes. The rest are 2-4 unit or other housing types.
In Muscle Shoals, about 59% of owner-occupied homes have a mortgage - lenders require hazard insurance on every mortgaged home.
The vacancy rate is 5%; vacant or unoccupied homes typically need a different coverage form than an owner-occupied policy. About 67% of occupied homes in Muscle Shoals are owner-occupied.
In Muscle Shoals, 64% of homes are primarily heated with electricity.
FEMA rates Colbert County's overall risk as Relatively Low, led by strong wind (Relatively High). Colbert County had 134 active NFIP flood policies as of September 2026. See the full Colbert County home insurance overview for all FEMA hazard ratings and flood coverage details.
According to the NAIC homeowners insurance report (2023 data), a standard HO-3 homeowners policy in Alabama carries a statewide average premium of $1,906 per year.
Key figures
| Median home value | $199,700 |
|---|---|
| Median year built | 1990 |
| Owner-occupied share | 67% |
| Share of owner-occupied homes with a mortgage | 59% |
| Top county hazard | Strong Wind (Relatively High) |
| Active NFIP policies in Colbert County | 134 |
| Home insurance premium | $1,906 - statewide average (NAIC, 2023 data) |
Nearby towns
Sources
Data last updated: 2026-09-29
- U.S. Census Bureau Gazetteer Files (2024)
- U.S. Census Bureau, American Community Survey 2020-2024 5-Year Estimates (2024)
- FEMA National Risk Index (December 2025)
- FEMA OpenFEMA NFIP Redacted Policies v3 (2026)
- NAIC Dwelling Fire, Homeowners Owner-Occupied, and Homeowners Tenant and Condominium/Cooperative Unit Owners Insurance: Data for 2023 (published 2026) (2023)