NAICS 52

Finance and Insurance in Birmingham, AL

Metro Market Score 67.1 (Difficult), ranked #277 of 331 metros. 2,350 establishments, 29,717 jobs.

Metro Market Assessment

Metro Market Score 67.1
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Difficult

ⓘ Lower is better. Relative to national finance and insurance average.

💰High-Cost Market

Birmingham is a specialized hub for finance and insurance, with a location quotient of 1.42 and industry concentration in the bottom quartile. Higher-than-average firm density means more competition for talent and customers, but also a deeper local supply chain and client pool.

Industry Concentration
95.8
LQ: 1.42
Rank #317 of 331 metros
Wage Competitiveness
84.9
$113,566 avg wage
Growth Trend
52.6
Employment growth index
Rank #158 of 331 metros
Wage Pressure
38.3
YoY wage change index

2,350 Finance and Insurance Firms in Birmingham

2,350
Establishments
+0.9% YoY
29,717
Total Employment
-0.1% YoY
$113,566
Average Annual Wage
+3.2% YoY
1.42
Location Quotient
Above national avg

Birmingham vs Alabama Statewide

How this metro's finance and insurance market compares to Alabama overall. The state ranks #18/51 for entry risk.

Measure Birmingham AL Statewide
Overall Score 67.1 Difficult 48.4 Elevated
Score Type Metro Market Score Entry Risk Score
Rank #277 of 331 metros #18 of 51 states

Metro and state scores use different methodologies (metro has 4 QCEW-based metrics; state adds BDS survival and momentum data). Direct score comparisons are approximate.

Other Industries in Birmingham

Accommodation and Food Services 43.8 Information 50.3 Real Estate and Rental and Leasing 51.5 Retail Trade 51.8 Construction 52.6 Other Services 66.8

Finance and Insurance in Other Alabama Metros

Auburn-Opelika 19.0 #6/331 Anniston-Oxford 29.0 #41/331 Gadsden 29.2 #43/331 Huntsville 34.0 #70/331 Daphne-Fairhope-Foley 39.1 #99/331 Florence-Muscle Shoals 43.2 #129/331 Decatur 44.6 #146/331 Dothan 48.5 #159/331 Mobile 69.1 #289/331

About Metro Market Score: A weighted composite of industry concentration (25%), wage competitiveness (25%), wage pressure (20%), and employment growth trend (30%). Lower scores indicate more favorable conditions. For Birmingham's finance and insurance sector, the industry concentration component (95.8) has the strongest pull on the composite. Metro scores use QCEW data only (no BDS survival data at metro level). Read full methodology →

Data Sources

Data period: 2024. Last updated: April 2026.