Average Car Insurance Cost in Alaska (2024)

Drivers in Alaska pay an average cost of $135 every month for car insurance, which adds up to an average annual rate of $1,620. This is slightly below the national average.

The state requires high limits of bodily injury liability coverage, which can make it harder to find cheap rates.^[1] Here’s what you need to know about finding car insurance in Alaska.

What’s the average cost of car insurance in Alaska?

The average cost of car insurance in Alaska is $135 monthly, or $1,620 annually. How much you pay depends on various factors, ranging from your age and vehicle type to the level of coverage you choose. Alaska drivers pay an average of $81 monthly for liability insurance and $189 for full coverage.

Drivers who purchase liability insurance typically pay the lowest average premiums. If you have an accident, liability insurance covers the other person’s resulting medical bills and vehicle repairs.

Full-coverage insurance offers more protection for your car, so it costs more than a minimum liability-only policy. Prices vary by insurer, making it important to compare quotes from multiple companies. If you lease or finance your car, your lender may require you to purchase a full-coverage policy.^[4]

Find Cheap Car Insurance in Alaska

Liability coverage quotes start at $63 per month

Enter your ZIP codeView My Quotes

Secure. Free. Easy-to-use.

Based on 3,806+ reviews

4.8/5

Average Alaska car insurance rates by city

Living in a smaller community can lead to more affordable car insurance rates. Fewer vehicles on the road typically result in fewer accidents, and a smaller city generally has a lower crime rate. Insurers consider these factors when setting premiums, and Alaska has an extremely low population density of fewer than two people per square mile.^[5]

Drivers in Anchorage, which has a much larger population than Fairbanks, pay approximately 62% more for liability-only coverage than Fairbanks residents. Your ZIP code and city play a pivotal role in your insurance costs, as you’ll see in the table below.

Average Alaska car insurance rates by age

Your age plays a big role in driver profiles and influences how much insurers charge for an auto insurance policy. Teens face higher premiums because they lack experience and are riskier behind the wheel. Young drivers in Alaska were in 14% of the state’s fatal car accidents in 2020, according to the National Highway Traffic Safety Administration.^[6]

Drivers between the ages of 35 and 69 tend to benefit from rates that decrease with age and experience, but senior drivers older than 70 start facing increased rates due to aging-related risk factors.

The table below shows average quotes for Alaskans by driver age.

How gender affects car insurance rates in Alaska

Your gender can affect your premiums, especially when considered with age. Younger male drivers often face steeper rates than females. But as drivers get older, the price gap gets smaller, decreasing the influence of gender on car insurance costs.

For instance, the average 16-year-old Alaskan male spends $864 more each year than the average same-age female. But by age 50, the difference in auto premiums is only $72 each year. Here’s a look at the average quotes Alaska car insurance by age and gender.

How your driving record affects car insurance rates in Alaska

Your driving record significantly influences how much you pay for car insurance. Drivers with a clean record pay the lowest average auto rates. An incident like a car accident, speeding ticket, or DUI can make insurers view you as a high-risk driver and increase your prices. However, the specific increase in rates will depend on the severity and frequency of your violations.

The data in the table below shows how a single speeding ticket can raise your prices by 34%. If you’ve had an accident, you’ll see an approximate 43% increase. But driving under the influence often has the highest premium penalty, with around a 55% hike in how much you pay.

Here are the average quotes for Alaskans by driving record.

Average Alaska car insurance rates by marital status

Your relationship status can affect your car insurance bill. Insurance companies often see married people as more stable and less risky, which can decrease your premiums. In Alaska, married drivers pay about 5% less for car insurance, which saves them around $50 each year for liability insurance and nearly $100 for full coverage.

Here are the average quotes for drivers in Alaska by marital status.

Average Alaska car insurance rates by credit tier

Credit scores can influence more than a mortgage, credit card, or loan. In Alaska, your credit history plays a role in determining your car insurance quotes. The state allows insurers to use your credit information when you request a quote and when your policy is up for renewal. Drivers with excellent or good credit tend to pay lower rates than people with poor credit.

Compare the average quotes for car insurance in Alaska by credit tier below.

Alaska car insurance FAQs