Laser cladding Fe-based alloy coatings with 0, 3, 6, 9, 12 and 15% Al2O3 xerogel on 45 steel substrates were prepared by 5kWCO2 continuous wave laser. The effect of the content of Al2O3 xerogel on the microstructure, microhardness and wear resistance of the coatings was investigated by scan electron microscope, X-ray diffraction. The results show that the microstructure and properties were different when the content of Al2O3 xerogel changed. The addition of Al2O3 xerogel can enhance the fluidity of molten liquid and refine the microstructure. Adding adequate amount of Al2O3 xerogel to Fe-based alloy can improve the hardness and the wear resistance due to the nano-Al2O3 particles on surfaces and the dispersion strengthening and hardening of nano- Al2O3 particles.