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Cheap Car Insurance in Alaska (2023)

Some of the cheapest car insurance providers in Alaska are State Farm, GEICO, and USAA.

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Sarah Sharkey
Written by
Sarah Sharkey
Sarah Sharkey
Written by
Sarah Sharkey
Insurance Writer
Sarah Sharkey is a personal finance writer who enjoys helping people make savvy financial decisions. She covered insurance and personal finance topics. You can find her work on Business Insider, Money Under 30, Rocket Mortgage, Bankrate, and more. Connect with her on LinkedIn.
Tanveen Vohra
Edited by
Tanveen Vohra
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Edited by
Tanveen Vohra
Editorial Manager
Tanveen Vohra is an editorial manager at Insurify specializing in writing about property and casualty insurance. Through her work, Tanveen helps consumers better understand the components of their insurance policies so they can make smarter purchase decisions.Tanveen's work has been cited by CNBC , Fox Business, Business Insider, Fortune, and Market Watch, among others.
Konstantin Halachev
Data reviewed by
Konstantin Halachev
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Data reviewed by
Konstantin Halachev
VP of Engineering
Konstantin has led data science and engineering projects across multiple domains: biology, travel and insurance. He loves finding data nuggets that help people.

Updated December 22, 2022

Alaskan drivers enjoy abundant natural beauty, reliably snowy holidays, and the 13th-cheapest car insurance rates in the country. On average, drivers pay $165 per month, which is lower than the national average of $233 per month. 

But drivers who want to lock in the cheapest car insurance should compare quotes online. Shopping around is the best way to see all available providers and find the cheapest car insurance.

Quick Facts

  • The average cost of car insurance in Alaska is $165/mo.

  • State Farm is the cheapest provider in Alaska, with average rates of $127/mo.

  • The easiest way to cut car insurance costs is to compare quotes online.

Best cheap car insurance in Alaska: State Farm

1
State Farm logo

State Farm

Average Monthly Cost:
$127
Insurify Composite Score:
88

When insurance companies determine car insurance premiums, each has a unique method of setting your rates. Details like your personal information and driving record can lead to large variations in rates across insurers. Since everyone’s situation is a little bit different, comparing quotes from multiple companies can help you lock in the best rates.

Check out the table below for the cheapest car insurance companies in Alaska alongside the average quote they offer. These rates are sourced from Insurify’s proprietary database of more than 70 million quotes.

Car Insurance CompanyAverage Monthly Quote
State Farm$127
GEICO$130
USAA$141
Umialik Insurance$143
Progressive$210
Allstate$226
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Minimum car insurance requirements in Alaska

Alaska requires its residents to insure all motor vehicles they operate or park on the state’s roadways. You must carry proof of insurance in your car at all times and make it available when:

  • Requested by law enforcement

  • Renewing vehicle registration

  • The vehicle is involved in a car accident

The minimum liability insurance requirements for private passenger vehicles in Alaska are:1

  • $50,000 per person for bodily injury

  • $100,000 per accident for bodily injury

As a major part of your liability insurance, bodily injury coverage covers medical bills for parties you injure in an accident. Alaska is an at-fault state, meaning the driver who’s responsible for the collision is also responsible for paying for any resulting expenses, either through their car insurance provider or out of pocket.  

  • $25,000 per accident for property damage

If it’s determined that an insured driver is at fault for an accident, this coverage pays for repairs to the property of the other involved parties. Additionally, property damage coverage can cover legal costs if the insured driver is involved in a lawsuit following the accident.

Alaska DMV information

The Alaska Division of Motor Vehicles (DMV) offers drivers a wide range of services, including renewing their driver’s licenses, reporting vehicle sales, vehicle registration renewal, and more. Although you’ll find DMV offices around the state, you can handle several critical vehicle tasks through the DMV’s website.2 For example, you can take a driver's exam, renew your license, and more online. 

Public transportation in Alaska

The Alaska Community Transit program oversees all the state’s public transportation infrastructure systems. Modes of public transportation include buses, ferries, trains, and cars for door-to-door service in rural areas. Other ways to get around in developed areas of the state include rideshare options.3 But in some areas of the state, access to a vehicle is the most efficient mode of transportation. 

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Tips for getting cheap car insurance in Alaska

As you shop for car insurance, it’s important to realize that every insurance company will evaluate your unique situation differently. Details like your ZIP code and driving history can lead to dramatically different quotes across insurance companies. Taking the time to shop around provides an opportunity to find the best rates. Compare quotes to find the most affordable policy for you.

Be sure to check into any discounts that may be available to you, such as a good driver discount, or a good student discount for teens and college students.

Liability-only vs. full-coverage insurance in Alaska

If you live in Alaska, you can opt to carry liability-only auto insurance, which pays for expenses related to injuries and damage to the other party’s car if you cause an accident. Each state sets its own minimums for how much liability insurance it requires drivers to carry. Liability-only insurance can make sense if:

  • You have a low-value vehicle.

  • You can afford to repair or replace your car out of your own pocket.

  • Getting the cheapest insurance possible is your top priority.

For a higher level of protection, you can choose full-coverage insurance, which includes basic liability plus collision and comprehensive coverage. Collision coverage pays for damages to your car, even if you’re at fault for an accident. Comprehensive coverage pays for damages caused by events out of your control, like vandalism, theft, weather, and damage caused by animals. Auto lenders and leasing companies typically require drivers to carry full coverage on a car they’ve financed.

You may also opt for full coverage if:

  • You have a high-value vehicle.

  • You wouldn’t be able to afford to repair or replace your car out of pocket.

  • Your car’s actual cash value (the payout you’d likely get if your car is totaled) exceeds your annual premium to carry full coverage.

Here’s a look at the average monthly quotes for the cheapest auto insurance in Alaska by policy type.

Car Insurance CompanyLiability OnlyFull Coverage
State Farm$84$127
GEICO$86$130
USAA$93$141
Umialik Insurance$94$143
Progressive$138$210
Allstate$149$226
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

How your driving history affects Alaska car insurance rates

Your driving record is one big factor that insurance companies consider when determining your car insurance rates. Most insurance companies consider drivers with an at-fault accident, speeding ticket, or DUI as a higher risk, while drivers with a clean driving record are considered as a lower risk. Drivers with more infractions typically face higher insurance premiums.

In Alaska, high-risk drivers with infractions on their record can expect the cheapest rates from national insurers like State Farm and GEICO, while those belonging to military families can also enjoy affordable rates from USAA. For those who prefer regional companies, Umialik also has affordable rates.

See More: High-Risk Car Insurance Alaska 

Car Insurance CompanyAverage Monthly Quote
State Farm$127
GEICO$130
USAA$141
Umialik Insurance$143
Progressive$210
Allstate$226
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

SR-22 insurance in Alaska

In Alaska, you might need an insurance company to file an SR-22 form, or a certificate of financial responsibility, if you get in trouble with the law for many different reasons, like getting a DUI. The SR-22 form shows that your auto insurance meets the state’s minimum liability insurance requirements.

You can file this form at the DMV. If you live in Alaska, these companies can help you get SR-22 insurance.

  • Allstate 

  • GEICO 

  • Progressive 

  • State Farm 

  • USAA

How credit scores affect Alaska car insurance quotes

In Alaska, insurance companies take your credit history into account when setting your car insurance premium. In most cases, a poor credit score indicates a higher risk that you won’t make your premium payments on time. But a good credit score is often seen as a lower risk. Due to this perception of risk, those with good credit scores tend to pay less than those with poor credit scores. 

Take a look at the table below to get an idea of how much you can expect to pay for car insurance in Alaska, based on your credit score. These averages were determined through Insurify’s proprietary database.

Credit TierAverage Monthly Quote
Excellent$108
Good$127
Average$139
Poor$215
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

How your city affects Alaska insurance quotes

Where you live is a significant factor to insurance companies. Risk factors like population, crime rates, and average commuting times are tied to the ZIP code you call home. In most cases, Alaskan drivers in bigger cities pay more than those living in smaller towns. Take a look at the average rate for your city below. 

CityAverage Monthly Quote
Anchor Point$134
Anchorage$188
Eagle River$135
Eielson AFB$162
Fairbanks$145
Jber$270
Juneau$101
Kenai$138
Ketchikan$102
Palmer$128
Salcha$176
Wasilla$112
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

How your age affects your Alaska car insurance rates

It’s natural to get better at driving as you practice. Older drivers have put in plenty of time behind the wheel, and many insurance companies reward their years on the road with lower insurance premiums. For example, Alaskan drivers in their 50s enjoy the cheapest average rates for car insurance. But teen drivers and those under 25 tend to pay the most for this unavoidable expense. 

Age GroupAverage Monthly Rate
Teenagers$951
Under 25$232
20s$134
30s$138
40s$127
50s$96
60s$139
70s$113
80+$158
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Quotes for younger drivers

Alaskan drivers under 25 pay an average of $232 for car insurance a month. If you add in a speeding ticket, accident, or a DUI, this number jumps significantly. For example, if you’re a young driver with a clean record you can expect to pay about $221 with GEICO, but if you have a DUI on your record, your rate jumps almost 100% to $422. This is because young drivers are already considered a high risk to insure due to their lack of experience, and a DUI is even less reassuring to insurers. 

Take a look at the table below to see how much you can expect to pay for car insurance as a young driver in Alaska based on your driving record. 

Car Insurance CompanyAverage Monthly Quote
USAA$212
GEICO$221
Umialik Insurance$241
State Farm$258
Allstate$413
Progressive$414
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Quotes for middle-aged drivers

Middle-aged drivers in Alaska can expect to pay cheaper rates compared to younger counterparts, owing to their years of demonstrated driving experience. Middle-aged drivers can find the cheapest rates from State Farm, the largest insurer in the country. However, regional companies like Umialik also provide affordable options.

Car Insurance CompanyAverage Monthly Quote
State Farm$118
GEICO$124
USAA$136
Umialik Insurance$138
Progressive$195
Allstate$212
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Read More: Compare Car Insurance by Age and Gender

Quotes for senior drivers

Alaskan drivers over the age of 60 find incredibly affordable car insurance rates. This is because older drivers typically have safer driving behaviors and as such, are a lower risk to insure.5 Check out the table below for a better idea of how much senior Alaskans can expect to pay for car insurance. The quotes below are sourced from Insurify’s database of more than 70 million insurance quotes, as well as third-party databases provided through Quadrant Information Services. 

Car Insurance CompanyAverage Monthly Quote
GEICO$101
Umialik Insurance$105
State Farm$106
USAA$137
Progressive$188
Allstate$214
Disclaimer: Table data sourced from real-time quotes from Insurify's 50-plus partner insurance providers. Actual quotes may vary based on the policy buyer's unique driver profile.

Alaska car insurance FAQs

Check out the answers to some often-asked questions about car insurance in Alaska. 

  • State Farm is the cheapest provider in Alaska, with average rates of $127 per month.

    As a driver, you can make choices to lock in the cheapest rates for your situation. For example, you might opt for a minimum liability car insurance policy. Although this bare-bones policy offers limited financial support after an accident, it could be the cheapest option for your wallet. 

  • In terms of safety on the road, Insurify’s data shows that Alaska is the 22nd-safest state, similar to Arkansas and Arizona. Although this overall ranking is relatively close to the middle of the pack, the state holds the dubious honor of ranking as the state with the fourth-most DUIs in the country. 

    Around 15% of drivers have an incident of some kind on their driving record. Drivers with a speeding ticket, DUI, or at-fault accident on their record will likely find higher insurance premiums. But other factors affecting rates in this state include age, credit score, and location. 

  • The average cost of car insurance in Alaska is $165 per month. When compared to the national average of $233 per month, Alaska drivers tend to enjoy better rates than many drivers living in the contiguous states. 

    However, it’s likely that what you’ll actually pay varies dramatically from this number. With unique factors tied to your situation, insurance companies often determine substantially different rates for drivers in the same state. 

  • A few of the best insurance companies offering policies to Alaskan drivers include Nationwide, Liberty Mutual, and Progressive. Both Liberty Mutual and Progressive earned an Insurify Composite Score rating of 80 or higher, while Nationwide earned an 89. 

    Nationwide and Progressive both earned an A+ rating A.M. Best rating, while Liberty Mutual earned an A A.M. Best rating, and Progressive earned an A A.M. Best rating. Liberty Mutual earned an A rating from Standard & Poor’s, Progressive earned an AA rating from Standard & Poor’s, and Nationwide earned an A+ rating from Standard & Poor’s. 

  • No, Alaska doesn’t require drivers to carry PIP coverage. When driving in Alaska, an at-fault system is used to determine who is financially responsible for an accident. 

    If one driver causes the accident, then the state will expect them to pick up the tab for the other driver’s damages. When you’re found at fault in an accident, your liability insurance policy will kick in to cover the damages. 

    In contrast, some states operate with a no-fault system. Since no one is on the hook for liability payments, PIP coverage covers your personal medical costs after an accident. With some PIP policies, you might also find coverage for non-medical benefits, including household expenses and compensation for lost wages. 

  • Yes, car insurance is required in the state of Alaska.6 You are required to carry proof of insurance while driving on Alaskan roads. 

    Drivers must carry a minimum amount of liability insurance. This requirement includes $50,000 per person and $100,000 per accident for bodily injury, and $25,000 per accident for property damage. It’s illegal to hit the road without this minimum-liability insurance. 

    Your liability insurance will kick in if you’re found at fault in an accident. The property damage liability coverage will pay for some of the costs to repair or replace the other driver’s vehicle, while bodily injury liability insurance will cover some medical costs of the other people involved in an accident. 

  • As in most states, car insurance policies in Alaska tend to follow the car instead of the driver. If another driver gets in an accident while driving your car, then your insurance policy will likely cover the costs. But the other driver’s insurance policy might step in after your policy limits are reached. 

    Although the vehicle might be covered, it’s usually not a good idea to let an uninsured driver borrow your vehicle. When an uninsured driver gets into an accident with your vehicle, they could face severe legal and financial penalties. Plus, you could be on the financial hook for the damages they cause. 

  • When you choose a full-coverage car insurance policy in Alaska, you’re buying more protection for your wallet. This type of policy includes comprehensive and collision insurance on top of liability insurance. 

    Collision insurance helps pay for repairing or replacing your vehicle after an accident. Comprehensive insurance helps pay for damage caused to your vehicle due to theft, vandalism, natural disasters, and more. Although you’ll pay more for a full-coverage auto insurance policy, you’ll get more protection than you would with a minimum-liability policy. 

Insurify Insights

How Alaska Drivers Measure Up

While most drivers know that car insurance quotes are determined in part by your personal driving history, many may be unaware that rates are also impacted by the average risk of the drivers around you as well. Check out Insurify's latest analysis of driving records in Alaska below:

Methodology

Drawing from an internal database of over 4 million car insurance applications, the research team at Insurify analyzes patterns in car ownership and driver behavior - including how Alaska drivers measure up to their fellow motorists across the United States in areas including speeding, DUIs, and more.
Insurify Insights publishes data-driven articles, trend analyses, and national rankings each week on all factors related to cars and those who drive them.

ford

Ford F-Series Pickup

Most Popular Car in Alaska

#31

State with the Most Speeding Tickets Rank

#39

State with the Moving Violations Rank

#20

State with the Most DUIs Rank

#20

State with the most Suspended Licenses

  • While car accidents are a sadly unavoidable feature of time spent on the road, rates of accidents do vary from city to city and from state to state. Alaska is the #46 state in the country for drivers with an at-fault accident on their driving record.

    • Rank among states: #46
    • Percent of drivers in Alaska with an accident: 6.2%
  • While driving while intoxicated is never acceptable, it’s a more common offense than many assume. Alaska is the #20 state in the country for drivers with a prior drunk driving conviction.

    • Rank among states: #20
    • Percent of drivers in Alaska with a DUI: 1.6%
  • Reckless driving refers to a specific traffic violation: when drivers willfully act dangerously in spite of the risks they’re imposing on both themselves and others. Alaska is the #11 state in the country for drivers with a reckless driving offense on record.

    • Rank among states: #11
    • Percent of drivers in Alaska with a reckless driving offense: 1.8%
  • The Insurify team classifies rude drivers as those who commit one or more of the following driving offenses: failure to yield or failure to stop, improper backing, passing where prohibited, tailgating, street racing, or hit-and-run. Alaska is the #13 state in the country for drivers with a rude driving violation on record.

    • Rank among states: #13
    • Percent of drivers in Alaska with a rude driving violation: 2%
  • Exceeding the speed limit can endanger others and have a serious impact on your insurance costs. Alaska is the #31 state in the country for drivers with a speeding ticket on record.

    • Rank among states: #31
    • Percent of drivers in Alaska with a speeding ticket: 7.9%
  • Failing to yield the right of way isn’t just frustrating for other drivers; it’s dangerous, too. Alaska is the #15 state in the country for drivers with a failure to yield violation on record.

    • Rank among states: #15
    • Percent of drivers in Alaska with a failure to yield violation: 0.2%

Insurify Insights

Insurify's team of data scientists and content specialists presents Insurify Insights, a series of automotive, home, and health studies focusing on the topics that impact us all. through expert analysis of over 4 million car insurance applications and an array of top data sources, the Insurify Insights team produces new data-driven articles, trend analyses, regional superlatives, and national rankings every week. See Insurify Insights as featured in Forbes, Fox News, USA Today, NPR, and more.

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  • Data scientists at Insurify analyzed more than 40 million real-time auto insurance rates from our partner providers across the United States to compile the car insurance quotes, statistics, and data visualizations displayed on this page. The car insurance data includes coverage analysis and details on drivers' vehicles, driving records, and demographic information. Quotes for Allstate, Farmers, GEICO, State Farm, and USAA are estimates based on Quadrant Information Service's database of auto insurance rates. With these insights, Insurify is able to offer drivers insight into how companies price their car insurance premiums.

Sarah Sharkey
Written by
Sarah Sharkey
Linkedin

Insurance Writer

Sarah Sharkey is a personal finance writer who enjoys helping people make savvy financial decisions. She covered insurance and personal finance topics. You can find her work on Business Insider, Money Under 30, Rocket Mortgage, Bankrate, and more. Connect with her on LinkedIn.

Learn More
Tanveen Vohra
Edited by
Tanveen Vohra
Linkedin

Editorial Manager

Photo of an Insurify author
Edited by
Tanveen Vohra
Editorial Manager
Tanveen Vohra is an editorial manager at Insurify specializing in writing about property and casualty insurance. Through her work, Tanveen helps consumers better understand the components of their insurance policies so they can make smarter purchase decisions.Tanveen's work has been cited by CNBC , Fox Business, Business Insider, Fortune, and Market Watch, among others.
Konstantin Halachev
Data reviewed by
Konstantin Halachev
Linkedin

VP of Engineering

Headshot of Konstantin Halachev, VP of Engineering at Insurify
Data reviewed by
Konstantin Halachev
VP of Engineering
Konstantin has led data science and engineering projects across multiple domains: biology, travel and insurance. He loves finding data nuggets that help people.