Both list.sort() and sorted() have an optional key parameter to specify a function to be called on each list element prior to making comparisons.
>>> lst = ["Apple","House","cars","Cats","Red","all"]
>>> sorted(lst)
['Apple', 'Cats', 'House', 'Red', 'all', 'cars']
>>> sorted(lst, key=str.lower)
['all', 'Apple', 'cars', 'Cats', 'House', 'Red']