Alaska is home to nearly 960,000 registered vehicles and 553,000 licensed drivers. There were approximately six million crashes in Alaska in 2015, and unfortunately, that number has been trending upward since 2006. The good news is that 72.2%, a majority, of those crashes only resulted in property damage rather than injuries or fatalities.
Though these statistics can be daunting, it’s proof that having great car insurance is imperative for anyone on the road in Alaska. Your car insurance will keep your wallet protected from accidents — both big and small — that might happen while you’re on the road.
When you’re looking for car insurance, pay attention to the coverage offered, the premium tied to your driving history and credit and discounts related to things like being a good driver or a good student.
The best car insurance companies in Alaska
As a car owner, you’ve probably already been bombarded by advertisements by a variety of the top car insurance companies. It can be hard to choose or even to understand how all these companies differ.
The J.D. Power Auto Insurance Study is one of the best sources to look to. For 2019, they’ve put together lists of the top auto insurance provider for each region in the U.S. For the Northwest region, some of the top insurance providers include the providers below. We’ve picked the top companies in Alaska:
- Allstate: Allstate offers a big list of coverage options and discounts to its customers. Allstate also received a 3 out of 5 rating for the Northwest J.D. Power region. What sets Allstate apart is its company advocacy for industry-wide safety features in cars.
- Geico: Geico is the lowest rated by J.D. Power on our list, but it still receives a 3 out of 5 power circle rating, making it above average for customers in the Northwest region. Geico is known for having a quick and easy claims process while providing excellent customer service. It also offers a wide variety of coverage options and unique discounts.
- State Farm: State Farm is known as one of the biggest insurance companies in the U.S. With State Farm, you’re likely to receive a wide variety of coverage options, including accident forgiveness, rideshare coverage and even medical payments. According to J.D. Power, State Farm has a 3 out of 5 power circle rating in the Northwest, which is slightly above average.
- The Hartford: The Hartford receives 4 out of 5 power circle ratings from the J.D Power Study for its operations in the Northwest. It’s known for its bundle insurance options where customers can save up to 10% on auto insurance by bundling their coverage with home insurance.
|J.D. Power rating||AM Best rating||BBB rating|
|The Hartford||4 out of 5||A+||A+|
|State Farm||3 out of 5||A++||A+|
|Allstate||3 out of 5||A++||A+|
|Geico||3 out of 5||A++||A+|
Finding the right cheap car insurance in Alaska for you
In the search for car insurance, finding an affordable option is probably one of your biggest priorities. The cheapest car insurance Alaska has for you will vary depending on your unique needs and driver history. We’ve searched through Alaska’s top auto insurance providers to show you how they can provide the cheapest car insurance for some specific cases.
Cheapest Alaska car insurance for drivers with low credit: State Farm
It is legal in Alaska for companies to use your credit score to determine rates, but you still must be notified in writing that your credit score is being used. State Farm had the lowest average premium for drivers with a low credit score at $891. The next cheapest was Geico with an average premium of $1,054.
Cheapest Alaska car insurance for good drivers: State Farm
If you haven’t had any accidents, insurance companies will give you a lower premium since you’re statistically a better driver than someone who has had accidents while driving. State Farm has the lowest average insurance costs for drivers with a clean record with an average premium of $905.
Cheapest Alaska car insurance for students: Geico
Being a good student can reap you high discounts on your car insurance. Most student discounts only apply to drivers under the age of 25 because they don’t have enough driver history yet for insurance companies to determine an accurate premium. The good student discount is a relatively good indicator that the driver will be more responsible while they’re driving. Geico offers student discounts to help save students money.
Cheapest Alaska car insurance for drivers with accidents: State Farm
If you’ve been in several accidents, you may be considered a high-risk driver by auto insurance companies. Accidents that factor into this include anything that’s deemed your fault or situations of reckless driving. Unfortunately, this means that your options will usually be higher premium rates. Rates vary depending on the type of accident or ticket that’s on your record: speeding, DUI, at-fault accidents, and racing all have different effects on your premium.
With one accident, State Farm was the cheapest option with an average premium of $1,069.
The average cost of car insurance in Alaska
Car insurance costs vary greatly from person to person, and they also vary by state. Compared to all other states, Alaska’s auto insurance prices are more mid-level. They won’t break the bank, but they also aren’t the cheapest. According to the Insurance Information Institute, the average annual cost for car insurance is $859 including liability, collision and comprehensive coverage.
View the table below for some annual premium averages based on different driver cases:
|Average cost for reckless drivers||Average costs for drivers with low credit||Average costs for drivers with excellent credit||Average costs for young drivers (under 30)|
Car insurance discounts in Alaska
Even if you have the odds stacked against your favor, there are many savings opportunities you can look out for while you’re shopping for car insurance. Outside your driver history, credit score or student grades, companies will also offer discounts based on your car’s safety features, any military affiliation and the customer loyalty you’ve already shown to the company. Find out some of the specific insurance discounts you can enjoy from top companies in Alaska.
- $100 deductible reduction: The Hartford AARP auto insurance offers a unique $100 deductible reduction when customers choose to take their car into Hartford-authorized auto shop. This feature helps you save when it comes to paying for repair costs that fall outside of your deductible.
- Bundle and save: You can save up to 5% on your auto insurance when you choose a bundle plan that includes The Hartford home insurance.
- First accident forgiveness: If you already have a clean driving record from the past five years, The Hartford will waive your first accident instead of counting it against you to raise your premium.
- Accident-free discount: If you choose State Farm and have been insured by the company for three consecutive years with no accidents, you’ll qualify for an accident-free discount. The discount may also continue to increase if you go multiple additional years without any accidents.
- Vehicle safety discount: With State Farm, you could save up to 40% on medical-related coverage if your vehicle was made after 1994. The discount will depend on the specific vehicle make, model, and year.
- Multiple auto discount: If two or more vehicles in your household are insured by State Farm, you could save up to 20% on your auto insurance.
- 55 and retired: If you’re 55 and retired, you can save up to 10% on your insurance premium.
- Defensive driver discount: If you’ve completed a defensive driver discount, you can get a good discount on your annual payments.
- eSmart discount: This is a simple discount that anyone can enjoy. Save up to 10$ by signing up for a paperless policy through eSmart.
- Membership and employee discount: Geico partners with a variety of organizations and associations to offer special discounts. This includes educational organizations, professional organizations, recreational organizations, and more. You can visit the Geico website to find out if your organization is partnered with Geico.
- Military discounts: Active and retired members of the military, national guard and reserves can enjoy up to 15% off of their total insurance premium.
- Vehicle equipment discounts: You can gain multiple discounts on your premium just by the equipment that’s part of your car. Geico offers up to 40% savings for your airbags, 5% for anti-lock brakes and 25% for an anti-theft system.
State minimum insurance requirements in Alaska
Though car insurance can be heavily customizable, you’re still required by law to have a minimum amount of insurance. This requirement varies from state to state. In Alaska, you’re required to have a liability insurance policy that covers $50,000/$100,000 for bodily injury or death and $25,000 for property damage.
A liability policy is intended to protect others when you’re in an accident and at fault. With Alaska’s requirement, this means that your policy will pay for up to $50,000 for bodily damage or death per person in the event of an accident and up to $100,000 for all persons per accident. The $25,000 property damage coverage is meant to pay for things like automobile repair in an accident that you’re liable for.
Frequently asked questions
What is the cheapest car insurance in Alaska?
Car insurance varies greatly depending on your driver’s history, age, gender, vehicle, and a host of other factors. Geico, State Farm and Allstate all have some of the cheapest annual premiums for drivers depending on history, credit and age.
What information is needed to get car insurance in Alaska?
Before you begin searching for car insurance in Alaska, you’ll need to know your driving history (accidents and tickets), your vehicle specifications and your credit score. The companies who you’re working with to get insurance will be able to access much of this information, but knowing it ahead of time will help you understand the type of coverage you need and the premium cost you’ll probably be expecting.
What are the requirements for car insurance in Alaska?
In Alaska, you must have a liability insurance policy that covers $50,000/$100,000 for bodily injury and death and $25,000 for property damage.
What is the best car insurance in Alaska?
The best car insurance in Alaska is offered from The Hartford, Allstate, State Farm and Geico. These companies offer great average premiums and broad discounts.