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Last updated: May 13, 2024

Average Cost of Car Insurance in Alaska

How much is car insurance in The Last Frontier?

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With more than 14,000 miles of public roads, including many through national parks and forests, Alaska residents have plenty of opportunities to drive. If you need auto insurance, the good news is that the state ranks among the cheapest for car insurance premiums in the country. Read on to see how much you might pay, on average, as a resident of The Last Frontier, plus ways to save on your premiums.

Average Cost of Car Insurance in Alaska

Across all demographics, the average cost of car insurance in Alaska is $984 for full-coverage car insurance. First, we’ll take a deep dive into how much different demographics pay, on average, for auto insurance in Alaska for 2023.

By City

Where you live can affect how much you pay for car insurance. For example, when determining your premium, insurers take into account geographic factors, including how likely your vehicle is to be stolen or vandalized in your location. Here’s the average annual cost of car insurance for full coverage in six of the largest Alaskan cities.

City Average annual rate of car insurance
Anchorage $2,046
Bethel $1,943
Fairbanks $1,885
Juneau $1,272
Kenai $1,816
Wasilla $1,977

By Age

Across the U.S., teen drivers have the highest cost for car insurance. The average teenager in Alaska pays $4,112 each year for auto insurance, while drivers in their 20s and older have annual average insurance bills of $1,391. However, discounts for teen drivers can offer you ways to save.

Age Average annual cost of car insurance
16 $4,096
17 $3,790
18 $4,615
19 $3,947
20s $3,674
30s $1,009
40s $984
50s $924
60s $503
70s $1,252

By Gender

On average, women in Alaska pay less than men for car insurance.

Gender Average annual rate of car insurance
Male $1,144
Female $1,126

By Marital Status

If you’re hitched, you’ll save an average of $111 on car insurance in Alaska compared with singles, divorced people, and widows/widowers.

Marital status Average annual rate of car insurance
Married $1,033
Single $1,144
Divorced $1,146
Widowed $1,121

By Coverage Level

Remember, the more coverage you purchase for your vehicle, the higher your premium will be.

Coverage level Average annual rate of car insurance
Full coverage $984
Minimum coverage $554

By Driving History

If you have a few dings on your driving record, you will shell out more for car insurance in Alaska. If you clean up your driving record, you’ll save on auto insurance.

Driving history Average annual rate of car insurance
Clean driving record $1,946
Accident $2,600
DUI $2,815
Speeding ticket $2,227

By Company

Not surprisingly, the price of auto insurance fluctuates depending on the insurance company. The Alaskan insurance company Umialik, a member of the Western National Insurance Group, offers the lowest rates to residents, on average.

Company Average annual rate of car insurance
Allstate $1,074
GEICO $882
Progressive $1,028
State Farm $954
Umialik $468
USAA $619

By Credit Score

Alaska permits insurance companies to consider your credit score when determining your premiums. If you have poor credit, you’ll pay a higher premium.

Credit score Average annual rate of car insurance
Poor $2,697
Fair $2,054
Good $1,946
Excellent $1,771

By Car

The type of vehicle you drive affects your car insurance rates in Alaska. Drivers with luxury or sports vehicles pay the highest rates due to more costly parts and labor.

Vehicle size also plays a role in premium amounts. For example, larger trucks and SUVs might cause more damage in at-fault accidents, but they do a better job of protecting drivers and passengers. Overall, SUVs and larger trucks have less property damage to the vehicles themselves in accidents compared with smaller vehicles.1 This chart shows the average cost of insuring some popular vehicle models in Alaska:

Vehicle type Average annual rate of car insurance
BMW 330i $2,549
Ford F-150 $1,526
Honda Odyssey $1,584
Toyota Camry $1,946
Toyota Prius $2,140

Cheapest Car Insurance Rates in Alaska

Want low auto insurance rates? Regardless of whether you have a clean driving record and whether you want minimum coverage or full coverage, drivers in Alaska across all ZIP codes will find the lowest average rates with the following companies:

Demographic Cheapest insurance company Annual rate of car insurance
Male GEICO $1,556
Female State Farm $1,216
Married State Farm $936
Single State Farm $1,172
Veteran USAA $949
Minimum coverage USAA $252
Full coverage USAA $949
Excellent credit USAA $949
Poor credit USAA $1,550
16 years old Umialik/Western National $3,505
17 years old USAA $2,761
18 years old USAA $2,344
20s GEICO $2,344
30s State Farm $1,216
40s State Farm $1,172
50s State Farm $1,130
60s State Farm $1,061
70s State Farm $1,130


You might be able to lower your premiums even further by taking advantage of the many discounts insurance companies offer.

How to Save on Car Insurance in Alaska

There are many ways to slash your auto insurance premiums in Alaska.

  • Maintain a good credit history: Alaska allows insurers to consider credit history when calculating premiums. Cleaning up your credit history can net you savings on car insurance.
  • Take advantage of discounts: Most insurance companies offer policyholders myriad ways to save on their premiums. Popular auto insurance discounts include good student, good driver, multiple vehicles, and the bundling of auto with other types of insurance policies, like homeowners insurance.
  • Reduce the amount of coverage: Lower your premium by dropping down to Alaska’s minimum car insurance.
  • Switch to a less-expensive vehicle to insure: Luxury and other expensive vehicles cost more to insure because they have higher repair costs than less-expensive vehicles do.
  • Shop around for coverage: Checking with multiple insurance companies for rates will help you nab the best coverage for the lowest premium.


Take advantage of Alaska’s defensive driving courses to lower your insurance premiums. The state has an approved list of course providers at

Minimum Car Insurance in Alaska

Alaska requires only liability insurance in the form of bodily injury liability and property damage liability.

  • Bodily injury per person: $50,000
  • Bodily injury per accident: $100,000
  • Property damage per accident: $25,000

Under state laws AS 28.10.011, AS 28.22.011, and 2 ACC 90.220(e), some regions or areas of Alaska — such as Arctic Village, King Cove, Perry Island, and Yes Bay — do not require auto insurance. Check out for the full list.

If you want to find cheap auto insurance in Alaska, minimum coverage is your best bet. USAA offers the lowest rates, but keep in mind that it’s only for military and veterans. If you don’t fall into those groups, you’ll have to get cheap car insurance elsewhere.

Fault Law in Alaska

Alaska is an at-fault state, so parties who are at fault in an accident must pay for the other party’s property damage and bodily injury in Alaska. Additionally, Alaska operates as a pure comparative state, which means accident victims may recover some money for their injuries no matter how negligent they were in the accident.

However, there are some things to keep in mind about Alaska’s at-fault policy. Drivers involved in an accident pay their share of the fault, essentially dividing the cost of the accident. For example, if, in a civil suit, you’re found to be 60 percent at fault, your compensation would be reduced by 60 percent of the total amount. To arrive at that percentage, the courts rely on insurance adjusters and the police, who assess fault based on evidence.


The Alaska Division of Motor Vehicles has the power to suspend your license until you fulfill your obligation to pay owed damages.


Drivers who meet the following conditions need to file SR-22s:

  • Have had their driving privileges suspended or revoked for three years after the revocation ends
  • Had received a DUI/DWI or refusal conviction:
    • Five years from the ending date of a first offense
    • 10 years from the ending date of a second offense
    • 20 years from the ending date of a third offense
  • Had obtained a fourth offense for a DUI/DWI or a refusal conviction
  • Have had an unsatisfied judgment


Living in The Last Frontier means enjoying beautiful scenery and saving on your auto insurance. Because Alaska is an at-fault state, you’ll want to have more than the minimum amount of auto insurance to protect you and your vehicles better. When you contact, we can connect you with insurance providers.


Because has more than two decades of experience in connecting drivers with top car insurance providers, the company has compiled a wealth of proprietary data about the auto insurance industry, including providers and customers. We examine this data — along with state-specific facts about minimum-coverage mandates, SR-22s, and fault systems — to provide you with an overview of how much car insurance costs in this state.

Frequently Asked Questions

What happens if someone else is driving my car and gets into an accident in Alaska?

Alaska is an at-fault state, which means the at-fault party must pay victims for their bodily and property damage-related losses from an accident. If the person had your permission to drive your vehicle, then your insurance would cover any accident-related expenses. However, if someone else caused the accident while driving your vehicle without your permission, that person would be responsible for paying any accident-related expenses.

How long do you have to get insurance after buying a car in Alaska?

You have two to 30 days to obtain car insurance after buying a car in Alaska.

What is the hit-and-run law in Alaska for hitting an unattended vehicle?

If you hit an unattended vehicle and cause property damage of $2,000 or more, you must leave a note that says your name, address, and license number. If you don’t, you’ll face imprisonment for up to a year, a fine of up to $500, or both.

Additionally, you are required to report the accident to the local police department if the incident occurred in a municipality or, if not, to the Department of Public Safety. Within 10 days of the accident, you must send a written or electronic report to the Department of Administration or the local police department if the incident occurred in a municipality, according to Alaska Statutes § 28.35.080. You must also leave a written report for the owner of the vehicle. If you cannot, you must notify them within five days.

If you fail to leave a report, your license will be suspended until you file it, plus an extension of up to 30 days. You will be guilty of a misdemeanor and will face a fine of up to $200, imprisonment of up to 90 days, or both, according to Alaska Statutes § 28.35.110.

Can you register a new vehicle online in Alaska?

No, you must register your new vehicle either in person or by mail at the Alaska Division of Motor Vehicles. You can find a location with office hours and the address of your local DMV at See below if you prefer to connect with the main DMV office:

  • Phone: 907-269-551
  • Email:
  • DMV Main Address:
    • State of Alaska
      Division of Motor Vehicles
      3901 Old Seward Highway, Suite 101
      Anchorage, AK 99503


  1. Vehicle size and weight. Insurance Institute for Highway Safety. (2023, Jun).