The Latin Grammy Award for Best Alternative Music Album is an honor presented annually by the Latin Academy of Recording Arts & Sciences at the Latin Grammy Awards, a ceremony that recognizes excellence and promotes a wider awareness of cultural diversity and contributions of Latin recording artists in the United States and internationally. According to the category description guide for the 2012 Latin Grammy Awards, the award is for vocal or instrumental alternative albums containing at least 51 percent newly recorded material. It is awarded to solo artists, duos or groups.

The 13th Annual Latin Grammy Awards was held on Thursday, November 15, 2012 at the Mandalay Bay Events Center in Las Vegas, Nevada. It was the fifth time the awards was held at this venue and in Las Vegas. It also marks the last year in the Latin Recording Academy's contract where the Mandalay Bay Events Center hosted. It is unknown if the awards will continue to be held at this location beyond 2012.