Auto insurance in Alaska is compulsory as per the law of the state. But compared to other states the premium charged by auto insurance companies in Alaska is on the lower side.
Alaska is known for having the enormous landmass of any state in the nation, but it also has one of the smallest – and most dispersed – populations. Snowmobiles are among the vehicles, as are the more popular cars, vans, bikes, trailers, pickups, buses, and passenger vehicles. Car insurance is a requirement for Alaskan drivers.
What drivers pay for auto insurance is decided by a variety of variables. Auto insurance companies in Alaska consider a driver's address, stability, age, gender, marital status, driving background, license status, credit information, previous insurance, automobile usage, and other drivers in the household, in addition to the vehicle's year, make, and model.
Auto insurance in Alaska is lower than the national average for various insurance providers. Drivers in Alaska pay an average of $850. Because of USAA's restricted membership for military affiliations, it's worth noting that State Farm insurance has the second-lowest representative rates in Alaska, according to our research, with an average driver profile paying $905 per year. The average driver pays $1455 a year at Allstate, Alaska's most expensive national auto insurance provider in our study. The average cost of automobile insurance in Alaska is $1070, with drivers saving a significant amount of money than the national average of $1330.
An overview of auto insurance in Alaska
Alaska's average driver profile pays $1114 per year for car insurance, which is slightly less than the national average of $1415 per year. The cheapest of the top five national insurance companies in Alaska are USAA at $825 a month and State Farm at $1027. However, membership in USAA is limited to military personnel, veterans, and their families. Progressive charges around the national average for auto insurance in Alaska, with average consumer profiles paying $1126 a year.
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Allstate is the most expensive top national insurer in Alaska, with representative premiums that are 27% higher than the state average. Remember that the study rates discussed in this article are representative averages, not the exact price an individual can expect to pay. A variety of factors determines the rates paid by car insurance companies.
Besides USAA, which restricts membership to drivers with military affiliations, State Farm insurance is the cheapest in Alaska for most of our driver profiles.
USAA drivers in Alaska paid an average study rate of $835 per year, while State Farm driver profiles paid an average of $1035 per year. USAA is the most affordable car insurance choice for those with military affiliations. State Farm provides some of the most competitive insurance plans in Alaska for average driver profiles, men and women of all ages; those who want low, medium, or moderate coverage; those with a clean record or with incidents; and those with good or decent credit.
GEICO was the cheapest in Alaska for average driver profiles with lousy credit and senior drivers.
Tips to get cheap and best car insurance in Alaska
Insurers in Alaska may provide discounts to drivers or households with characteristics that have shown a lower incidence of incidents or severity of losses.
The most popular way to lower and retain your rates is to be a good driver with a clean driving record. Some insurance providers give incentives if the driving record is spotless for at least six months.
However, if you are involved in an accident or earn a summons, the premiums are likely to spike.
Many significant insurers give discounts on auto insurance to drivers who mix plans. Getting several cars on your policy or combining your auto insurance with your homeowners or renters insurance will help you save money. You will also get discounts on your insurance for younger drivers if they hold a B average and apply for a decent student discount. Learn all about the best auto insurance providers for teenagers to discover even more opportunities to save when you add a teen to your policy.
Multiple cars on the same policy; taking a driver education course aimed at younger and older drivers; good students; good drivers; students who live away from home and do not have access to a vehicle; getting anti-theft systems installed to reduce vandalism; safety devices such as automatic seatbelts; and auto and home packages are popular discounts in Alaska.
When looking for a new auto insurance policy, make sure to browse around. Comparing quotes from various firms is the easiest way to ensure you're having the best deal with the best coverage.
Cheap car insurance in Alaska for drivers with a good credit score
In Alaska, a driver with bad credit charged an average study rate of $1620 per year for car insurance or around $500 more than our driver with good credit. USAA is the cheapest in Alaska, but for drivers without military affiliations, State Farm is the most competitive for drivers with a decent credit score, offering a rate that is around 8% lower than the state average.
Aside from USAA, GEICO is the most affordable choice for driver profiles with equal credit, offering a rate around 6% lower than the state average. GEICO charges the same average rate to drivers with decent and robust credit ratings.
GEICO has the lowest average prices for driver profiles with lousy credit, offering around 25% less than the state average. State Farm and Allstate have some of the highest representative premiums, with State Farm costing about 21% more than the state average for driver profiles with lousy credit.
Cheap car insurance in Alaska for drivers with a good driving record
The average representative rate in Alaska for a driver profile with a clean record is $1115. A driver with one speeding ticket had an average cost of $1280, or around $165 more. When one accident was included, the average representative rate increased to $1600. When one DUI was introduced, the average study rate increased by $120 to about $1725. Aside from USAA, State Farm is the most affordable national insurer in Alaska for average driver profiles with most types of data. State Farm charges average driver profiles with one DUI around 35% less than the state average. In Alaska, Allstate penalizes average user profiles with lousy driving records the most, costing more than 25% more than the state average for driver profiles with one crash.
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Drivers with a DUI should stop GEICO, which charges average profiles roughly 56% more than the state average when they have one DUI.
Cheap car insurance in Alaska for drivers with minimum auto insurance
In Alaska, the premium ranges from $1110 for minimum coverage to $1200 for full coverage. USAA, Alaska's cheapest auto insurance provider, charges about 27% less than the state average for average driver profiles with full coverage. State Farm comes in second, with our average driver profiles with high coverage costing 7% less than the state average.
Allstate is the most expensive in Alaska, charging almost 30% more than the state average for average driver profiles with full coverage. The average $90 rise per year from minimum to maximum coverage is worth it when you realize how much more you might end up spending if you cause an accident and have minimum coverage.