Cheapest car insurance in Alaska for 2024

Just like any state, some companies are more affordable than others when it comes to the cheapest auto insurance in Alaska. The cheapest car insurance companies based on the average annual premium for minimum coverage are the ones we've listed on the table below. Average rates were determined based on data collected by Quadrant Information Services and analyzed by our insurance editorial team.

Key takeaways

• Cheapest company for minimum coverage: Geico
• Cheapest company for full coverage: Geico
• Cheapest company for drivers with prior incidents: Geico
• Cheapest company for young drivers: Geico

Carrying minimum car insurance limits is a common way for drivers to save money, however, higher limits offer better financial protection in the event of a covered claim. Every policyholder has a unique financial situation and car insurance should be tailored to suit those needs. Drivers who lease vehicles are often required to carry liability limits of 100/300/50. Other policyholders with additional assets or higher risks, such as owning a home, owning a business or having investments, may benefit from higher limits and an umbrella policy. Speaking with an insurance agent about your financial needs and risk tolerance can help you find the level of coverage that works best for you.

Alaska, like most states, requires drivers to carry a mandated minimum car insurance limit when driving. This is necessary to help financially protect other drivers on the road, their passengers and pedestrians if you cause an at-fault accident. Alaska’s minimum requirements are for liability-only coverage, which does not provide payments toward you or your passenger's injuries or damage done to your vehicle.

Minimum coverage requirements for Alaska drivers

Alaska requires its drivers to carry a minimum amount of liability car insurance that includes the following coverage:

• $50,000 bodily injury per person
• $100,000 bodily injury per accident
• $25,000 property damage

It is worth noting that Alaska’s minimum required state limits for car insurance are not required throughout the entire state; some areas and territories are exempt because vehicle registration is not required in these areas. Auto insurance providers in Alaska must also offer uninsured and underinsured car insurance coverage, but it can be rejected in writing.

According to the Insurance Information Institute (Triple-I), more than 15 percent of Alaskan drivers do not have car insurance. If you were to have a collision with any one of these drivers, it could mean a severe financial loss if you do not have the right car insurance to protect yourself. That’s why it is so important to carry at least the minimum amount of coverage required by law, if not full coverage, so that you can pay the costs incurred following an accident.

Your bank will likely require full coverage if you have a car with a lease or loan. A full coverage policy includes liability coverage along with comprehensive and collision coverage. In the event of a covered claim, your insurance company will pay up to the actual cash value of your vehicle minus the insurance deductible. Geico offers the cheapest full coverage car insurance on average in Alaska.

Surchargeable activity in your driving history will impact your overall insurance rate, but each insurance provider weighs accidents and moving violations differently. Insurance providers that offer SR-22 filings and specialize in high-risk drivers may rate a driver with several moving violations differently than other providers who cater to preferred risk pools. Shopping insurance rates with multiple insurance companies can help you find which company will rate your driving activity more favorably.

• Cheapest car insurance for drivers with a ticket: Geico
• Cheapest car insurance for drivers with an at-fault accident: Geico
• Cheapest car insurance for high-risk drivers: Umialik

Cheapest insurance companies for drivers in Alaska with a speeding ticket: Geico

With a single speeding ticket conviction, you may find your cheap Alaska car insurance rates rising. The increased rate will stay in effect for three to five years before dropping off—unless you receive another speeding ticket during that time period. Speeding may mean you're more likely to be involved in an accident, so your insurer will adjust its rates accordingly. Consider these five insurers to help give you a baseline for how each insurance provider treats a speeding ticket on average in the state.

Cheapest car insurance for drivers in Alaska with an at-fault accident: Geico

As is true of speeding tickets, getting into an at-fault accident may leave your insurer thinking you're not as safe a driver as you could be. That means you're likely to see an increase if you are found to be the cause of an accident. The exception would be if you have an accident forgiveness endorsement on your policy, although each insurer has guidelines for what types of accidents will be forgiven even if you have the endorsement. Following an at-fault accident, you may want to check out the following insurers to see which company offers the cheapest car insurance in Alaska for those with an accident on their records.

Cheapest car insurance in Alaska for high-risk drivers: Umialik

Every insurance company has its criteria for determining who is a high-risk driver. Generally, if you have had multiple speeding ticket convictions or at-fault accidents, or, most seriously, a single DUI conviction, you will be placed in the high-risk category. Once you are in this category, you can expect to find it more difficult to find low-cost car insurance in Alaska. Examine these rates from five car insurance companies in Alaska to see how average rates might change for drivers who are considered high-risk. Note that some carriers, even among those we listed, may not extend coverage to you if you’ve been convicted of a DUI.

If you add a teen driver to your policy, you can expect an increase in your premium. Statistics show that drivers under 25, also called inexperienced operators, are involved in more accidents than any other age group, primarily because they have less experience behind the wheel. Insurers compensate for this increased risk by charging more for young drivers in every state except Hawaii and Massachusetts, where it is not allowed by law. The premium for teen drivers can decrease slowly over time and inexperience is typically no longer a rating factor after age 25. Here are some of the best companies for cheap car insurance for young adults in Alaska.

• Cheapest car insurance for insuring a teen driver: Geico
• Cheapest car insurance for teens with a ticket: Geico
• Cheapest car insurance for teens with an at-fault accident: Geico
• Cheapest car insurance for young drivers with a DUI: Geico

Cheapest Alaska car insurance for insuring a teen driver: Geico

According to the Alaska Department of Transportation and Public Facilities, about 20 percent of Alaska's fatalities and significant injuries occurring on the road involve teen drivers. Since young drivers are already more expensive to insure, even one speeding ticket can make their premiums skyrocket. Some tips for saving money on car insurance are to take advantage of student discounts and safe driving programs geared towards teens and inexperienced drivers.

Cheapest Alaska car insurance for teens with a ticket: Geico

Our annual insurance premium data analysis shows that Geico has the lowest average price for 18-year-old drivers with their own insurance policy in Alaska. Since speeding increases the risk of an accident and the severity of property damage and bodily injury, insurance companies rate these policies accordingly.

Cheapest Alaska car insurance for teens with an at-fault accident: Geico

There is a risk associated with every driver on the road. However, young drivers have not had the time to gain the experience and knowledge to recognize pending hazards and how to take the appropriate corrective action. Due to this higher level of risk, younger drivers may pay more for car insurance when they have an accident on their driving records than drivers in more experienced age groups. Geico tends to have the lowest annual car insurance premium for minimum coverage.

Cheapest Alaska car insurance for young drivers with a DUI: Geico

A DUI is the most serious driving infraction in most cases; for a younger driver that is already considered high-risk, the insurance repercussions are even worse. A 21-year-old driver who is convicted of a DUI can expect to pay some of the highest car insurance rates in the state on average. Geico may offer the best rates for this situation, according to average rates we analyzed.

As we noted above, discounts could help lower your rate and many of them are easy to earn. Almost all insurers offer at least a few, and it's worth conversing with your agent about which ones you can access. Here are a few that are commonly seen in Alaska:

• Young driver discounts: Young drivers in high school or college can often earn a discount by maintaining a "B" average or higher. Some insurers also offer a discount to students who are attending college at least 100 miles from where their car is garaged.
• Safe driver discounts: Insurers increasingly offer telematics programs to assess your driving skills. By downloading an app onto your smartphone or installing a device, your insurer can monitor your driving habits, which could earn you up to a 40 percent discount with some insurers if you are a safe driver.
• Organizational discounts: Some insurers work with businesses, colleges or other organizations to offer a discount to employees or alumni. You may also earn a discount if you are a military member or a veteran.
• Senior driving discount: You could earn some savings if you are over the age of 55 and take a defensive driving course. Usually, the course entitles you to savings for three years after its completion.
• Bundling: This common discount offers savings if you buy more than one policy from an insurer. Most commonly, this would mean vehicle and homeowners or vehicle and renters insurance. You may also save if you have more than one car on your policy.
• Safety features: If your car has safety features installed such as airbags and anti-lock brakes, you may earn a discount. You may also be eligible for savings if you have installed an anti-theft feature.
• Low-mileage: If you work from home or are retired, you may drive less than the average Alaskan. Some insurers offer a discount if this is the case.

Bankrate utilizes Quadrant Information Services to analyze the latest rates in April 2024 for ZIP codes and carriers in all 50 states and Washington, D.C. Rates include the most recent approved rate increases filed by insurance companies and are weighted based on the population density in each geographic region so that policyholders can see the impact rates have in their areas. Quoted rates are based on a 40-year-old male and female driver with a clean driving record, good credit and the following full coverage limits:

• $100,000 bodily injury liability per person
• $300,000 bodily injury liability per accident
• $50,000 property damage liability per accident
• $100,000 uninsured motorist bodily injury per person
• $300,000 uninsured motorist bodily injury per accident
• $500 collision deductible
• $500 comprehensive deductible

To determine minimum coverage limits, Bankrate used minimum coverage that meets each state’s requirements. Our base profile drivers own a 2022 Toyota Camry, commute five days a week and drive 12,000 miles annually.

These are sample rates and should only be used for comparative purposes.

Incidents: Rates were calculated by evaluating our base profile with the following incidents applied: clean record (base), at-fault accident, single speeding ticket and single DUI conviction. Young driver DUI rates are for 21-year-old drivers on their own policy; other young driver incident rates are for 18-year-old drivers on their own policy.

Teens: Rates were determined by adding a 16-year-old teen to their 40-year-old married parents' policy. The rates displayed reflect the total cost of a driver this age added to their parents’ policy.

Age: Rates were calculated by evaluating our base profile with the ages 18 and 21 applied. Drivers are renters on their own policy. Age is not a contributing rating factor in Hawaii and Massachusetts due to state regulations.