The best car insurance in Alaska

Nicole Wakelin

By

Nicole Wakelin

Nicole Wakelin

Automotive journalist

Nicole Wakelin is an automotive journalist who has covered the industry for over a decade. She’s always loved cars and the fact that they regularly hand her the keys to shiny new automobiles so she can write about them is a constant source of amazement. She covers breaking news, writes reviews, and attends auto shows and new vehicle launches across the country.

Her work has appeared in a wide range of publications both online and in print. These include U.S. News & World Report, The Boston Globe, TrueCar, Kelley Blue Book, and Autobytel. In addition, she speaks to all things automotive at conferences, on the radio, and on podcasts, including co-hosting the weekly Wheel Bearings Podcast.

Nicole is a current member and former Vice President of the New England Motor Press Association. She is also a juror for both the Women’s World Car of the Year and the North American Car, Truck and Utility of the Year.

Published November 17, 2021

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The average cost of a full coverage car insurance policy in Alaska is $1,345 per year, but rates vary quite a bit depending on where in the state you live. In Anchorage, average rates are as high as $1,601 per year, while drivers in Ketchikan pay just $1,116 for the same coverage.

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The best way to make sure you’re finding affordable coverage is to compare quotes before you buy a policy. Policygenius can help you see options from top car insurance companies so you can be sure you’re choosing the best coverage at the right price for you.

Key Takeaways

  • USAA is the cheapest car insurance company in Alaska at an average cost of $930 per year

  • 16-year-old drivers will get the best rate with Umialik at an average rate of $3,059 per year

  • The minimum amount of coverage required in Alaska is $50,000 per person/$100,000 per accident in bodily injury liability and $25,000 in property damage liability

Cheapest car insurance companies in Alaska

When you buy car insurance, companies consider your age, driving record, where you live, and the kind of car you drive in determining your rate.

Each car insurance company has its own formula for how those factors are weighted, so different companies will offer you different rates, even for identical coverage.

Company

Average cost

JD Power Rating

USAA

$930

890

State Farm

$959

881

GEICO

$1,005

871

Umialik

$1,205

--

Progressive

$1,978

856

Cheapest car insurance companies by age in Alaska

Your age plays a big part in how much you pay for car insurance. Younger drivers pay considerably more than older drivers because they’re at greater risk of having accidents and filing claims.

Age

Cheapest company

Average cost

16

Umialik

$3,059

18

USAA

$2,268

21

GEICO

$1,170

25

State Farm

$1,072

30

USAA

$975

35

GEICO

$931

45

USAA

$878

55

USAA

$831

Choosing the right car insurance company in Alaska

It seems like a complicated process, but buying car insurance is easy if you break it down into a few key factors.

  • Cost: Compare rates from multiple companies to see which one offers you the most affordable policy 

  • Coverage: The higher you set your limits, the better protected you’ll be, so see which company can offer you the most coverage at the lowest rates

  • Service: Don’t just compare costs, take a few minutes to check customer service and claims satisfaction ratings before picking a company 

Policygenius takes the stress out of finding the right car insurance company by showing you quotes from top providers and making it easy to find your best rates.

Car insurance rates for drivers with driving violations in Alaska

A clean driving record can lower the cost of your car insurance policy. If your driving record isn’t so good, then you’ll pay more for coverage. More serious infractions, like a DUI on your record, mean even higher rates.

Violation

USAA

State Farm

GEICO

Umialik

Progressive

At-fault Accident

$1,411

$1,157

$1,511

$1,355

$2,968

DUI

$1,819

$1,068

$1,712

$1,355

$2,280

Driving with a suspended license

$1,767

$1,068

$1,979

$1,355

$2,816

Driving with an open container

$1,488

$1,068

$1,712

$1,355

$2,280

Driving with expired registration

$1,271

$1,068

$1,340

$1,355

$2,605

Driving without Lights

$1,116

$1,068

$1,136

$1,355

$2,605

Failure to show documents

$1,271

$1,068

$1,340

$1,355

$2,605

Failure to stop at a red light

$1,271

$1,068

$1,136

$1,355

$2,605

Cheapest car insurance for drivers with bad credit in Alaska

If you have bad credit, then you’re going to pay more for your car insurance. That means it’s all the more important for Alaska drivers with poor credit scores to shop around and compare quotes before picking a policy.

Company

Rates for drivers with bad credit

USAA

$1,701

State Farm

$1,870

Umialik

$2,031

GEICO

$2,134

Allstate

$2,711

Car insurance costs in Alaska cities

Where you live in Alaska has a big impact on how much you pay for car insurance. Car insurance companies consider everything from the rate of accidents and claims in your area to the average cost of car repairs. Here’s what drivers pay in the 10 largest cities in Alaska:

  • Anchorage: $1,601

  • Juneau: $1,142

  • Fairbanks: $1,433

  • Badger: $1,422

  • Kinik-Fairview: $1516

  • College: $1,412

  • Wasilla: $1,423

  • Sitka: $1,140

  • Ketchikan: $1,116

  • Palmer: $1,533

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Buying car insurance in Alaska

Alaska requires a minimum amount of car insurance. Most drivers need more than the state minimums in order to be fully protected, but all drivers in Alaska must have the following amount of car insurance:

  • Bodily injury liability coverage per person: $50,000

  • Bodily injury liability coverage per accident: $100,000

  • Property damage liability coverage: $25,000

You must have proof of insurance in your vehicle at all times. If a law enforcement officer requests proof of insurance, then you must be able to provide that proof on demand. If you don’t have proof of insurance, then you may face serious consequences.

Alaska is an at-fault state. This means that the insurance of the driver who is at-fault for an accident will pay the related expenses of any parties involved. Be sure you have enough liability  coverage to comfortably cover expenses if you are at-fault.

Alaska is also one of only a few states that has what is called a “no-pay, no-play” law. This limits the amounts that an uninsured driver can claim in damages, regardless of who is at fault for the accident.

How to get cheap car insurance in Alaska

  • Drive safely: The fewer accidents and driving violations on your record, the better your car insurance rates will be

  • Shop around: Compare the quotes from multiple companies before you buy a car insurance policy

  • Know your discounts: All car insurance companies offer discounts for things like safe driving, paying your premiums in full, and taking a defensive driving course

  • Bundle coverage: Get your auto and home or renters insurance from the same company and save

Frequently asked questions

Who has the cheapest car insurance rates in Alaska?

The cheapest car insurance companies in Alaska are USAA and State Farm, according to our analysis.

Is Alaska a no-fault state?

No, Alaska is an at-fault state. This means that the insurance of the driver who is found to be at-fault for an accident is responsible for covering the expenses of all those involved.

Does Alaska require car insurance?

Yes, the minimum amount of car insurance coverage required in Alaska is $50,000 per person/$100,000 per accident in bodily injury liability and $25,000 in property damage liability.

Methodology

Policygenius has analyzed car insurance rates provided by Quadrant Information Services for every ZIP code in all 50 states plus Washington, D.C. For full coverage policies, the following coverage limits were used:

  • Bodily injury liability: 50/100

  • Property damage liability: $50,000

  • Uninsured/underinsured motorist: 50/100

  • Comprehensive: $500 deductible

  • Collision: $500 deductible

In some cases, additional coverages were added where required by state or insurer.

Rates for overall average rate, rates by ZIP code, and cheapest companies determined using averages for single drivers ages 30, 35, and 45. Our sample vehicle was a 2017 Toyota Camry LE driven 10,000 miles/year.

Rates for driving violations and “Poor” credit determined using average rates for a single male 30-year-old driver with a credit score under 578.

Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.