Note from our editor: Maybe you’re searching for car insurance for the first time or want to do some insurance shopping to help lower your monthly premium? This article can serve as a starting point for your car insurance research. There are a lot of factors when it comes to the cost of car insurance, so while you may not see the exact premiums we’ve researched, they can give you an idea of some of the insurers offering the cheapest rates in your state.
Driving around Alaska, you may catch views of wildlife like moose, eagles and bears from the road. It’s important to keep your ride protected while you enjoy the state’s natural beauty — but could you be saving money on car insurance?
We looked at estimated car insurance rates from insurance companies around the state to determine which insurers offer the cheapest rates for several driver needs and profiles and the average cost of car insurance in Alaska.
We based our calculations on a relatively neutral driver profile — for example, someone with no tickets, claims or accidents — to evenly compare and get a baseline view of insurers’ rates (see our full methodology). Your rates may be higher or lower, given your unique driver profile. There are several factors that affect car insurance, like your age, vehicle type, mileage, coverage options and driving history.
Read on to learn about Alaska’s average car insurance rates and our findings for the cheapest options.
Cost of car insurance in Alaska
Average monthly premiums for car insurance in Alaska range from just under $60 up to over $100, depending on the type of coverage and driver profile.
Average monthly auto insurance premiums in Alaska
| Driver or coverage | Avg. monthly cost |
|---|---|
| State-minimum car insurance in Alaska | $58.51 |
| Drivers with poor credit in Alaska | $83.12 |
| Drivers with multiple claims in Alaska | $125.15 |
| Young drivers in Alaska | $92.73 |
5 cheapest car insurance companies in Alaska
We found that USAA and Geico offered the cheapest insurance options for most of the driver profiles we looked at. These rates were calculated based on a specific Alaska driver profile, as detailed in our methodology, to assess insurers fairly and get an accurate sense of minimum-coverage costs for an average driver.
That means your rates could be different. Unless otherwise noted, our Alaska driver has no tickets or coverage gaps, is 36 to 45 years old, has a credit score between 680 and 719 and has a car worth $20,000 to $30,000. Not you? No worries — we’ve also done the math for drivers with different coverage options, driving records and credit scores, so read on to learn more about the cheapest car insurance in Alaska.
1. USAA
USAA could offer our Alaska driver profile a policy for as little as $39.31 per month for minimum coverage. USAA car insurance is available for U.S. military members and their families with a USAA membership. Optional coverages such as collision, comprehensive and uninsured/underinsured motorist are available. Plus, drivers can save on their premiums with discounts for bundling their policies, setting up automatic payments or garaging their car on a military base. Or, sign up for USAA’s SafePilot program to save up to 30% for recording your safe driving habits.
Check out reviews of USAA car insurance.
2. Geico
With Geico, our Alaska driver profile could pay as low as $41.66 per month for basic-coverage car insurance. Geico offers a range of standard coverage options, but stands out for its discount opportunities. Drivers can save money by having certain vehicle equipment, maintaining a history of safe driving habits, meeting certain driver education benchmarks, having particular affiliations and being loyal customers.
Check out reviews of Geico car insurance.
3. Umialik Insurance
Umialik Insurance could offer our Alaska driver profile minimum-coverage car insurance for as low as $54.17 per month. Umialik is local to Alaska and works exclusively with independent agents. Umialik offers a Penalty-Free Promise, which means your rates don’t go up because of accidents or violations.
4. State Farm
With State Farm, our Alaska driver profile could pay about $55.79 per month for basic car insurance. State Farm offers a range of coverage options, including add-ons like rental insurance, emergency roadside assistance and rideshare coverage. State Farm may also stand out for younger drivers with its Steer Clear safe driving program and teen driver discounts.
Check out reviews of State Farm car insurance.
5. Allstate
Finally, Allstate could offer our Alaska driver profile a basic car insurance policy for about $77.50 per month. Allstate offers a range of coverage options, plus extras, including rental reimbursement and rideshare coverage. Many discounts are also on offer, including multiple policy, new car and smart student discounts.
Check out reviews of Allstate car insurance.
Cheapest state-minimum car insurance in Alaska
Alaska requires a minimum 50/100/25 insurance policy. This is called state-minimum insurance and it may have the lowest premium.
These companies may offer the cheapest rates for Alaska drivers seeking state-minimum coverage.
5 cheapest car insurance companies in Alaska for state-minimum coverage
| 1 | USAA | $39.31/month |
| 2 | Geico | $41.66/month |
| 3 | Umialik Insurance | $54.17/month |
| 4 | State Farm | $55.79/month |
| 5 | Allstate | $77.50/month |
Cheapest car insurance for good credit in Alaska
One thing that affects the cost of your car insurance is your credit. In general, drivers with good credit pay less for car insurance than drivers with poor credit.
The following companies have the lowest estimated rates for drivers with good credit.
5 cheapest car insurance companies in Alaska for those with good credit
| 1 | USAA | $34.88/month |
| 2 | Geico | $39.71/month |
| 3 | State Farm | $44.61/month |
| 4 | Umialik Insurance | $47.83/month |
| 5 | Allstate | $74.98/month |
Cheapest car insurance for poor credit in Alaska
Having poor credit can mean a higher car insurance bill. But there are other ways to keep your insurance premium low, like maintaining a safe driving record.
Here are the five cheapest car insurance companies in Alaska for drivers with lower credit scores.
5 cheapest car insurance companies in Alaska for those with poor credit
| 1 | Geico | $51.80/month |
| 2 | USAA | $70.70/month |
| 3 | Umialik Insurance | $82.17/month |
| 4 | Allstate | $84.37/month |
| 5 | State Farm | $104.52/month |
Cheapest car insurance for drivers with multiple claims in Alaska
Your claims history also affects the cost of your car insurance. Usually, if you’ve made multiple claims to your insurance company, your rates will be higher than a driver who has made fewer (or no) claims.
Drivers with multiple claims may find the cheapest car insurance with these five companies.
5 cheapest car insurance companies in Alaska for multiple claims
| 1 | Umialik Insurance | $54.17/month |
| 2 | State Farm | $72.92/month |
| 3 | Geico | $88.88/month |
| 4 | USAA | $104.08/month |
| 5 | Allstate | $119.40/month |
Cheapest car insurance for young drivers in Alaska
Finally, your age is a factor that contributes to the cost of your car insurance, with younger drivers typically being more expensive to insure than older drivers. Over time, as you develop a driving record and steer clear of accidents, your rates should go down.
These companies have the lowest estimated rates for young drivers between the ages of 18 and 21.
5 cheapest car insurance companies in Alaska for young drivers
| 1 | Geico | $61.18/month |
| 2 | USAA | $71.49/month |
| 3 | State Farm | $89.79/month |
| 4 | Umialik Insurance | $104.00/month |
| 5 | Allstate | $106.42/month |
Alaska auto insurance requirements
Alaska requires $50,000 per person and $100,000 per accident for bodily injury liability. It also requires $25,000 for property damage liability. If you have a car loan or lease, your coverage responsibilities may be more extensive.
Is usage-based insurance available in Alaska?
Usage-based insurance is a type of vehicle insurance that allows customers to pay premiums based on their driving behavior. Alaska drivers may be able to take advantage of their insurers’ UI programs to save money on their car insurance.
FAQs about the cheapest car insurance rates in Alaska
Alaska requires $50,000 per person and $100,000 per accident for bodily injury liability. It also requires $25,000 for property damage liability. If you have a car loan or lease, your coverage responsibilities may be more extensive.
Your license may be suspended if you’re caught driving without insurance in Alaska. In the Municipality of Anchorage, driving without proof of insurance could result in your car being impounded.
Alaska is not a no-fault state. That means the driver found to be at fault for an accident will be responsible for compensating the other driver for their damage or losses.
Methodology
The estimated rates in this article are the lowest estimated rates based on the profile of a driver aged 36 to 45 living in Alaska. Unless otherwise noted, the rates displayed assume a single driver on the insurance policy with no tickets on their driving record and no claims or coverage lapses. The vehicle used in this estimate is valued between $20,000 and $30,000 and has annual mileage of 12,000 to 15,000. Estimated rates for insurance for good credit apply to scores of 720 or higher. Estimated rates for insurance for poor credit apply to scores from 350 to 579. Estimated rates for young drivers include those aged 18 to 21. Estimated rates for those with multiple claims are calculated based on two claims.
Note that the rates are provided every six months by Quadrant Information Services. Quadrant Information Services doesn’t include all insurance companies in its rate data. These are estimated rates meant only to provide a frame of reference and comparison. Your rates may vary depending on factors such as age, vehicle driving habits, and history.
The average monthly premium for full coverage car insurance includes bodily injury, property damage, uninsured motorist, personal injury protection, collision and comprehensive coverages. The average monthly premium for state-minimum car insurance includes an Alaska-mandated 50/100/25 insurance policy.