Updated: November 14, 2024
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In Alaska, drivers pay around $1,114 yearly for full coverage car insurance. For those opting for minimum coverage, the cost hovers at about $517 annually.
Factors like age, coverage, location, history on the road and credit history all affect the price. Affordable plans are available, but cheaper isn't always better.
AlaskaCar InsuranceCostsWhy Trust MoneyGeek? We analyzed data and quotes from Quadrant Information Services and the Alaska Division Of Insurance to get the most precise average costs for a variety of Alaska drivers.
These rates reflect the average cost of car insurance in Alaska as of November 2024.
Alaska's average full coverage car insurance cost is about $1,114 annually. Knowing your state's average car insurance cost can help you evaluate if your quote is fair or pricey. Start by comparing car insurance quotes to find your ideal plan.
Below is a summary of what you might pay for auto insurance in Alaska. These numbers reflect what you could spend monthly and yearly for minimum or full coverage.
| 100/300/100 Full Cov. w/$1,000 Ded. | $1,114 | $93 |
| 100/300/100 Liability Only | $608 | $51 |
| State Minimum Liability Only | $517 | $43 |
Car insurance in Alaska is relatively moderate compared to other states. When comparing the average annual premium for state minimum coverage in Alaska of $517 to the national average of $628, Alaska is more affordably priced.
The rates in Alaska might be deemed relatively affordable due to factors such as less road traffic, a lower number of claims or reduced risk of accidents and thefts compared with more densely populated regions.
Car insurance premiums can vary significantly per company. For instance, Progressive offers the cheapest full coverage in Alaska at an annual cost of $903, while Umialik Insurance presents the priciest premium at $1,319.
Shopping around is important when hunting for the cheapest car insurance in Alaska. Compare quotes to ensure you secure an affordable and suitable policy.
| Progressive | $903 | $75 |
| GEICO | $1,053 | $88 |
| State Farm | $1,108 | $92 |
| Allstate | $1,189 | $99 |
| Umialik Insurance | $1,319 | $110 |
The cost of car insurance in Alaska is also influenced by the level of coverage selected. For example, opting for minimum coverage results in a monthly cost of $43, while the monthly cost for full coverage is $93. Full coverage insurance is generally recommended as it provides more comprehensive financial protection.
Opting for comprehensive and collision coverage will raise your insurance premium, but the impact can be mitigated by selecting higher deductibles. For instance, a deductible amount like $1,000 with comprehensive and collision coverage can lower the monthly premium. The deductible applies separately to each comprehensive and collision claim.
| State Minimum Liability Only | $517 | $43 |
| 100/300/100 Liability Only | $608 | $51 |
| 300/500/300 Liability Only | $709 | $59 |
| State Minimum Liability w/ Full Cov. w/$1,500 Ded. | $956 | $80 |
| State Minimum Liability w/ Full Cov. w/$1,000 Ded. | $1,023 | $85 |
| 100/300/100 Full Cov. w/$1,500 Ded. | $1,046 | $87 |
| 100/300/100 Full Cov. w/$1,000 Ded. | $1,114 | $93 |
| State Minimum Liability w/ Full Cov. w/$500 Ded. | $1,143 | $95 |
| 300/500/300 Full Cov. w/$1,500 Ded. | $1,147 | $96 |
| 300/500/300 Full Cov. w/$1,000 Ded | $1,215 | $101 |
| 100/300/1000,000 - 500 comp_coll | $1,234 | $103 |
| 300/500/300 Full Cov. w/$500 Ded. | $1,335 | $111 |
Alaska's minimum car insurance requirements include $50,000 for bodily injury per person, $100,000 for bodily injury per accident and $25,000 for property damage per accident. Uninsured/underinsured motorist coverage is not mandated.
$50,000 for bodily injury liability per person
This is the amount paid for a single person's injuries in an accident you cause.
$100,000 for bodily injury liability per accident
This covers total injury costs for all persons injured in an accident you're liable for in Alaska.
$25,000 for property damage liability per accident
This is the amount used to cover property damage you cause in an accident.
Your location can heavily influence your car insurance premiums. In Anchorage, full coverage is $1,011, while minimum coverage costs $524.
Car insurance rates in Alaska can be affected by several factors, including local crime rates, climate conditions and road safety. Other variables like traffic volume and car repair costs also play a role in determining premiums.
| Anchorage | $1,011 | $524 |
In Alaska, age impacts car insurance costs. Drivers aged 22 to 29 face the highest premiums at an annual rate of $1,350. This changes as motorists age, with drivers aged 30 to 59 seeing premiums drop to an average of $1,114. However, those aged 60 and above experience a decrease, paying around $1,113 per year.
| 22-29 | $1,350 | $113 |
| 30-59 | $1,114 | $93 |
| 60 + | $1,113 | $93 |
Age and gender influence car insurance rates in Alaska, with 16-year-old male drivers facing higher premiums than other age groups. On average, adding a 16-year-old boy to a family policy costs $3,027 annually, which is the most expensive age for car insurance premiums.
It's often not possible for teens under 18 to purchase car insurance independently — they'll need a co-signer. Opting for an individual policy, a 16-year-old male driver would pay about $4,998 in premiums.
The average annual cost for full coverage on a 2012 car model is $879, while for a 2022 model, it's notably higher at $1,135. This uptick in cost can be attributed to the greater actual cash value and repair expenses for newer vehicles and their increased susceptibility to theft.
Drivers with newer car models should consider securing comprehensive and collision coverage. This not only protects against a wide range of incidents but can also facilitate prompt repairs without significant out-of-pocket expenses.
| 2012 Vehicle | $879 | $73 |
| 2022 Vehicle | $1,135 | $95 |
The actual cash value (ACV) of your vehicle is important for insurance claims. It's the amount insurers use as the vehicle's market value at the time of the loss. If your car is totaled or damaged, the insurance company will typically pay up to the ACV, minus your deductible, to either repair or replace your vehicle. This figure helps ensure that you receive a fair and market-reflective reimbursement for covered incidents.
Understanding the average cost of car insurance in Alaska based on your driving record is crucial, and here's how it breaks down:
The more serious the violation, the more you'll have to pay for car insurance. These higher premiums stick with you as long as the violation is on your record. Although a DUI typically leads to the highest insurance rates due to its seriousness, there are exceptions. Some insurance companies' policies may be costlier depending on the driving violation and the state.
In Alaska, a DUI stays on your driving record permanently, always potentially affecting your insurance premiums. That means your insurance premiums could be significantly affected for a substantial amount of time.
The table provides specific costs for different coverage options and age groups to find out what you might pay for car insurance in Alaska, given your driving record.
| Clean | $1,114 | $93 |
| Ticket | $1,282 | $107 |
| At-fault Accident | $1,449 | $121 |
| DUI | $1,476 | $123 |
In Alaska, the average annual cost of car insurance varies significantly based on credit score, ranging from $665 for those with excellent credit to $1,303 for people with poor credit. This demonstrates how your credit score can influence what you pay for car insurance. A good credit score falls between 670 and 739. Drivers with lower scores tend to face higher insurance premiums.
| Excellent | $665 | $55 |
| Good | $793 | $66 |
| Fair | $916 | $76 |
| Below Fair | $1,081 | $90 |
| Poor | $1,303 | $109 |
Key factors influence the average cost of car insurance in Alaska. Knowing them helps you make an informed decision:
Compare car insurance quotes to find a policy that matches your driving needs and fits your budget. You could miss potential savings by not exploring your options.
To secure affordable car insurance in Alaska, compare rates, opt for a higher deductible and fully utilize all available insurance discounts.
Shop Around for Rates
Comparing quotes from multiple insurers can lead to finding the cheapest car insurance in Alaska, potentially saving hundreds of dollars annually.
Maintain a Clean Driving Record
Drivers with no accidents or traffic violations often qualify for lower premiums, reflecting their lower risk to insurers.
Bundle Insurance Policies
Purchasing auto insurance along with other policies like home or life insurance from the same company can unlock discounts on premiums.
Increase Your Deductible
Opting for a higher deductible can reduce your monthly premiums, but ensure you can afford the out-of-pocket expense in case of a claim.
Look for Discounts
Insurers may offer discounts for various reasons such as being a good student, having anti-theft devices or for low annual mileage.
Consider Vehicle Type
The cost of insurance in Alaska can vary based on the car model. Choosing a vehicle that is cheaper to insure can lead to significant savings.
Improve Your Credit Score
A higher credit score can influence insurers to offer more affordable rates because it suggests financial responsibility.
Get answers about what impacts the average cost of car insurance in Alaska and how to find affordable rates.
The minimum car insurance requirements in Alaska include $50,000 bodily injury liability per person, $100,000 bodily injury liability per accident and $25,000 property damage liability per accident.
The average cost of full coverage auto insurance in Alaska is $1,114 per year or $93 per month. For minimum coverage, the average cost is $517 per year or $43 per month.
The average cost of car insurance for a 22-year-old in Alaska is $1,350 per year for full coverage, $605 per year for state minimum coverage and $712 per year for 100/300/100 liability coverage.
The cheapest car insurance company in Alaska is Progressive, which offers full coverage at $903 and minimum coverage at $422 per year.
About Mark Fitzpatrick
Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.
Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.
