Cheapest Car Insurance in Alaska

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Cheapest Auto Insurance in Alaska

According to our rate data, car insurance rates in Alaska are significantly below the national average of $627 per year for minimum coverage or $2,008 per year for full coverage. This means you stand a good chance at finding great car insurance in Alaska at excellent rates. Here, we’ll look at the cheapest car insurance companies and coverage options in the state, beginning with the most affordable providers.

Cheapest Alaska Car Insurance Companies

 The cheapest car insurance companies in Alaska are Geico, USAA, State Farm, Umialik Insurance and Allstate. In the table below, see our review team’s ratings of these providers based on their reputation, availability, coverage, cost and customer experience, as well as how many discounts each one has.

Cheap Alaska Car Insurance Companies	Overall Rating	Cost Rating	# of Discounts
1. Geico	9.1	9.2	16
2. USAA	9.2	9.8	13
3. State Farm	9.4	9.2	15
4. Umialik Insurance	9.3	9	10
5. Allstate	8.8	6.5	11

Car insurance companies have different methods for calculating car insurance premiums. This means that no two quotes you receive will be the same. Because of this, we recommend comparing rates from multiple providers if you want to find the cheapest car insurance in Alaska.

Cheapest Alaska Car Insurance Coverage

Coverage level is one of the major factors that impacts car insurance rates. Most quotes from providers include estimates for minimum liability and full coverage car insurance. While minimum liability is all that’s required, consider purchasing full coverage auto insurance for extra protection on the road.

Below are the cheapest auto insurance options in Alaska for both coverage types.

Cheapest Liability Car Insurance in Alaska

According to our rate estimates, USAA provides the cheapest liability car insurance in Alaska, costing $24 per month or $294 per year. Geico and Allstate can also be affordable choices for drivers in the state.

Cheapest Liability Insurance in Alaska	Average Monthly Cost	Average Annual Cost
USAA	$24	$294
Geico	$27	$323
Allstate	$33	$392
State Farm	$36	$434
Umialik Insurance	$41	$493

Keep in mind that this minimum coverage level only covers damage to other drivers and cars, since it doesn’t include comprehensive or collision coverage. You’ll be responsible for repairs to your own vehicle in the event of an accident. 

Cheapest Full Coverage Car Insurance in Alaska

At $85 per month or $1,020 per year, Geico offers the cheapest full coverage car insurance in Alaska on average. Motorists can also find cheap car insurance through USAA and State Farm.

Cheapest Full Coverage Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$85	$1,020
USAA	$104	$1,247
State Farm	$124	$1,494
Umialik Insurance	$161	$1,927
Progressive	$168	$2,018

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Cheapest Car Insurance Quotes Alaska

Age, driving history and credit score can all impact the cost of car insurance in Alaska. Below we compare cheap car insurance estimates for Alaska drivers in these categories.

Cheap Car Insurance in Alaska for Young Drivers

Young drivers can pay significantly more for car insurance than older drivers. The tables below show the cheapest car insurance for young drivers in Alaska, along with average monthly and annual costs.

Cheapest Alaska Car Insurance for 16-Year-Olds

Sixteen-year-old drivers pay some of the highest auto insurance rates in Alaska. Geico typically offers the lowest rates for young drivers who just received their driver’s license, with an average cost of $4,106 per year for full coverage.

Cheapest Car Insurance in Alaska for 16-Year-Olds	Average Monthly Rate	Average Annual Rate
Geico	$342	$4,106
Umialik Insurance	$430	$5,158
USAA	$444	$5,332
State Farm	$465	$5,579
Allstate	$642	$7,702

Cheapest Alaska Car Insurance for 17-Year-Olds

Full coverage car insurance rates for 17-year-old Alaska drivers are slightly lower than for 16-year-olds. The cheapest car insurance for this age in Alaska comes from USAA, which offers coverage for an average of $2,761 per year.

Cheapest Car Insurance in Alaska for 17-Year-Olds	Average Monthly Rate	Average Annual Rate
USAA	$230	$2,761
State Farm	$284	$3,410
Umialik Insurance	$292	$3,505
Geico	$293	$3,516
Allstate	$367	$4,407

Cheapest Alaska Car Insurance for 18-Year-Olds

USAA also offers the lowest full coverage car insurance rates for 18-year-old Alaska drivers. Rates from the provider average $2,344 annually.

Cheapest Car Insurance in Alaska for 18-Year-Olds	Average Monthly Rate	Average Annual Rate
USAA	$195	$2,344
Geico	$244	$2,926
State Farm	$254	$3,044
Umialik Insurance	$261	$3,133
Allstate	$347	$4,167

Cheapest Alaska Car Insurance for 21-Year-Olds

Drivers with more experience typically see lower rates for full coverage car insurance. Alaskan 21-year-olds see this benefit, with the cheapest car insurance rates coming from Geico at $1,187 per year.

Cheapest Car Insurance in Alaska for 21-Year-Olds	Average Monthly Rate	Average Annual Rate
Geico	$99	$1,187
USAA	$116	$1,393
State Farm	$173	$2,079
Umialik Insurance	$214	$2,567
Allstate	$238	$2,861

Cheapest Alaska Car Insurance for 25-Year-Olds

Geico also tends to offer the lowest full coverage car insurance rates for 25-year-old drivers in Alaska. The company offers coverage for $1,093 per year on average.

Cheapest Car Insurance in Alaska for 25-Year-Olds	Average Monthly Rate	Average Annual Rate
Geico	$91	$1,093
USAA	$123	$1,478
State Farm	$140	$1,684
Progressive	$181	$2,176
Umialik Insurance	$210	$2,517

Cheap Car Insurance in Alaska for Adult Drivers

The cost of car insurance tends to decrease as drivers get more experience behind the wheel. Middle-aged drivers tend to get the lowest rates on average, while Alaskan drivers in their 70s may start to see their rates increase again. 

Cheap Alaska Car Insurance for 30-Year-Old Drivers

As with most other age groups, USAA tends to be the cheapest car insurance provider for 30-year-old drivers in the Last Frontier State at $1,045 per year or $87 per month. Geico is a close second, averaging around $1,067 per year or $89 per month for a full-coverage car insurance policy.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
USAA	$87	$1,045
Geico	$89	$1,067
State Farm	$106	$1,275
Umialik Insurance	$139	$1,673
Allstate	$160	$1,925

Cheap Alaska Car Insurance for 35-Year-Old Drivers

Geico provides the cheapest car insurance for 35-year-olds in Alaska, averaging around $85 per month or $1,020 per year. USAA is the second cheapest choice for this age group, costing an average of $104 per month or $1,247 per year.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$85	$1,020
USAA	$104	$1,247
State Farm	$125	$1,494
Umialik Insurance	$161	$1,927
Progressive	$168	$2,018

Cheap Alaska Car Insurance for 45-Year-Olds

Geico and USAA are typically the most affordable providers of full-coverage insurance for 45-year-old drivers in Alaska. With Geico, Alaska auto insurance tends to average $82 per month or $989 per year, while USAA costs an average of $97 per month or $1,163 per year.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$82	$989
USAA	$97	$1,163
State Farm	$123	$1,470
Umialik Insurance	$144	$1,729
Progressive	$160	$1,924

Cheap Alaska Car Insurance for 55-Year-Olds

Based on our research, we discovered that Geico tends to offer the cheapest rates in Alaska for 55-year-olds. Full-coverage policies cost an average of $77 per month or $922 per year.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$77	$922
USAA	$92	$1,098
State Farm	$116	$1,396
Umialik Insurance	$130	$1,560
Progressive	$148	$1,770

Cheap Alaska Car Insurance for 65-Year-Olds

65-year-old drivers in Alaska can expect to find the cheapest full-coverage auto policies through Geico. The company charges an average of $67 per month or $805 per year.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$67	$805
USAA	$78	$933
State Farm	$95	$1,140
Umialik Insurance	$107	$1,284
Progressive	$163	$1,953

Cheap Alaska Car Insurance for 75-Year-Olds

Based on our cost estimates, Geico and USAA offer the cheapest Alaska auto insurance on average for 75-year-olds. Geico costs an average of $81 per month or $967 per year for full coverage, while USAA averages $95 per month or $1,136 per year.

Cheapest Car Insurance in Alaska	Average Monthly Cost	Average Annual Cost
Geico	$81	$967
USAA	$95	$1,136
State Farm	$111	$1,335
Umialik Insurance	$145	$1,737
Allstate	$185	$2,216

Cheapest Alaska Car Insurance for High-Risk Drivers

High-risk drivers who have had a speeding ticket, DUI or recent accident can pay substantially more for auto insurance. The sections below provide estimates for the cheapest car insurance rates for drivers who may fall into these categories.

Cheap Alaska Car Insurance for Drivers With a Speeding Ticket

Good drivers will enjoy lower prices, but a speeding ticket will elevate insurance rates. Geico and State Farm are among the cheapest car insurance companies for Alaska drivers with a speeding ticket. Geico offers an average annual premium of $1,255.

Cheapest Car Insurance in Alaska After a Speeding Ticket	Average Monthly Rate	Average Annual Rate
Geico	$105	$1,255
State Farm	$133	$1,590
USAA	$135	$1,625
Umialik Insurance	$161	$1,927
Progressive	$215	$2,577

Cheap Alaska Car Insurance for Drivers With a Recent Accident

Car insurance rates are higher for Alaska drivers with an at-fault accident on their record. Geico is the cheapest insurance option in the state for these motorists, with an average annual rate of $1,672.

Cheapest Car Insurance in Alaska After an Accident	Average Monthly Rate	Average Annual Rate
Geico	$139	$1,672
State Farm	$144	$1,723
USAA	$154	$1,853
Umialik Insurance	$161	$1,927
Progressive	$232	$2,783

Cheap Alaska Car Insurance for Drivers With a DUI

A driving under the influence (DUI) violation in Alaska comes with higher car insurance rates. State Farm is the cheapest option for drivers in this situation, with an average annual rate of $1,590.

Cheapest Car Insurance in Alaska After a DUI	Average Monthly Rate	Average Annual Rate
State Farm	$133	$1,590
Geico	$160	$1,921
Umialik Insurance	$161	$1,927
USAA	$197	$2,367
Progressive	$200	$2,395

Cheap Alaska Car Insurance for Drivers With Poor Credit

Alaska drivers with poor credit scores have to pay higher rates for full coverage car insurance. Geico is the cheapest option for those with a less-than-perfect credit history in the state, with an average annual cost of $1,956.

Cheapest Car Insurance in Alaska With Poor Credit	Average Monthly Rate	Average Annual Rate
Geico	$163	$1,956
USAA	$182	$2,183
State Farm	$241	$2,892
Umialik Insurance	$246	$2,953
Progressive	$251	$3,008

Car Insurance Deals in Alaska

When insuring your car in Alaska, deals and discounts can be a great way for motorists to save on their premiums. Auto insurers in Alaska offer a variety of discounts for drivers to save — here’s a breakdown of the offerings from the top providers in the state.

Alaska Car Insurance Discounts	Geico	USAA	State Farm	Umialik Insurance	Allstate
Multi-policy	✔️	✔️	✔️	✔️	✔️
Multi-vehicle	✔️	✔️	✔️	✔️
Safe driver	✔️	✔️	✔️		✔️
Student	✔️	✔️	✔️	✔️	✔️
Defensive driving	✔️	✔️	✔️	✔️
Driver training	✔️	✔️	✔️
New vehicle	✔️	✔️			✔️
Car safety equipment	✔️	✔️	✔️	✔️	✔️
Loyalty	✔️	✔️		✔️
Military	✔️	✔️

Car Insurance Discounts in Alaska

As you’re shopping around for car insurance, remember to look for providers that offer the best discounts for your situation. Your driving profile will typically determine which discounts you’re eligible for. You can also speak with your insurance agent to see if there are any discount opportunities that you are missing out on.

Here’s more information on the standard types of discounts offered by car insurance companies:

• Multi-policy: Bundling two or more insurance policies with the same company
• Multi-vehicle: Insuring multiple cars under the same policy or combining auto insurance policies
• Military: Applies whether you’re a veteran or active military member
• Homeowners: If you own a home, you may qualify for this discount
• Good student: Usually for college and high school students under 25 with grades of a B or higher in their courses
• Good driver: Applies to drivers with a clean driving record
• Senior: Typically applies to policyholders who are 55 and older
• Defensive driving: Those who take a defensive driving course tend to qualify for this discount
• Driver training: Get a discount by taking a driver education training course
• New car: Given to drivers who purchase a new car, typically three model years or newer
• Safe car: Applies if your vehicle has safety features like anti-theft technology
• Paperless: Go paperless for your billing and paperwork for this discount
• Pay-in-full: Pay up front on your car insurance policy to earn a discount

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Best Cheap Auto Insurance Companies in Alaska

The sections below contain more detailed information about the cheapest auto insurance in Alaska. 

#1 Geico: Best for Budget-Conscious Drivers

AM Best financial strength rating: A++
BBB rating: A+

As one of the top companies nationwide for auto insurance, Geico provides minimum and full coverage at competitive rates for Alaska drivers. The company also offers a host of discounts to help drivers in the state save on their policies, including bundling discounts, safe driving discounts, an active-duty military discount and more. 

Keep reading: Geico insurance review

#2 USAA: Best for Military Members

AM Best financial strength rating: A++
Better Business Bureau (BBB) rating: NR

USAA has earned consistently high marks for customer service and financial health. In fact, it received one of the highest customer satisfaction scores across all regions in the J.D. Power 2023 U.S. Auto Insurance Study℠. The company offers affordable car insurance policies for active military, veterans and their immediate family members in Alaska. Note that only those with military connections are eligible for USAA plans.

Keep reading: USAA insurance review

#3 State Farm: Best Customer Experience

AM Best financial strength rating: A++
BBB rating: C-

State Farm offers affordable auto insurance in Alaska for many kinds of motorists. As the largest auto insurer in the U.S. in 2023 according to the National Association of Insurance Commissioners (NAIC), State Farm provides comprehensive coverage and top-notch customer service. It’s known as a particularly good choice for young drivers due to its affordable rates for teens, student discounts and Steer Clear^® training program designed for drivers under 25.

Keep reading: State Farm insurance review

#4 Umialik Insurance: Affordable Rates for Alaska Drivers

AM Best financial strength rating: A+
BBB rating: A+

Umialik Insurance is an Anchorage-based insurer that’s under the umbrella of Minnesota insurance group Western National. Being based in Alaska, the company knows how best to serve the needs of Alaskan drivers. Umialik stands out for its Penalty-Free Promise^®, which locks in premiums for qualifying drivers regardless of accidents or traffic violations.

#5 Allstate: Best for Customizable Coverage

AM Best financial strength rating: A+
BBB rating: A+

Allstate offers a wide range of coverage options for Alaskan drivers. In addition to the six standard types of coverage, policyholders can also choose from a number of insurance products, including accident forgiveness, new car replacement and tire and wheel protection. Allstate’s Extended Vehicle Care program is akin to mechanical breakdown insurance or an extended warranty plan, and comes with three tiers of protection. Drivers who stay accident-free for the entire policy period can be eligible for rewards through the Safe Driving Bonus^® program.

Keep reading: Allstate insurance reviews

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• Driving record: A recent accident, speeding ticket or DUI will lead to higher insurance rates. Those with clean driving records pay the lowest rates.
• Location: Drivers in larger cities such as Anchorage typically pay more than those in less populated parts of Alaska.
• Credit score: A bad credit score means higher insurance rates for Alaska motorists.
• Age: The younger the driver, the higher the car insurance rate in Alaska. Teen drivers in particular see elevated rates for all levels of coverage.
• Vehicle: Your car’s make, model and mileage have a significant impact on the cost of coverage.

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Alaska Car Insurance Requirements

Most states require motorists to carry at least some auto insurance in order to legally drive.

Alaska Minimum Auto Insurance Coverage

According to the Alaska Department of Motor Vehicles (DMV), all drivers must meet the following state minimum coverage requirements:

• Bodily injury liability coverage: $50,000 per person and $100,000 per accident

• Property damage liability coverage: $25,000 per accident
• Uninsured/underinsured motorist bodily injury: $50,000 per person and $100,000 per accident
• Underinsured motorist property damage: $25,000

Drivers can be excluded from the uninsured motorist coverage requirement by submitting a letter rejecting the coverage.

There are many parts of Alaska that are exempt from mandatory vehicle registration and auto insurance coverage requirements. The list of exempted areas can be found here.

Minimum coverage in Alaska only covers damages to other drivers’ vehicles. Many drivers opt for additional insurance coverage, such as collision insurance, comprehensive coverage and underinsured/uninsured motorist coverage, for greater protection.

Is It Illegal To Drive Without Car Insurance in Alaska?

Driving without a license in Alaska is a traffic infraction. It won’t result in jail time, but it does have an associated fine that can be up to $300.

Additional Alaska Car Insurance Coverage

While you don’t need more than minimum coverage to legally drive, we recommend carrying full-coverage car insurance to make sure you’re completely covered in any situation. Alaska is an “at-fault” state, which means whoever causes a car accident is responsible for the damages caused.

Consider adding these coverages to your policy to insulate yourself from financial risk:

• Collision insurance: Covers damages to your vehicle in the event of an accident, regardless of who’s at fault
• Comprehensive coverage: Helps pay for damages to your vehicle for non-collision incidents like theft, vandalism, fires and natural disasters
• Personal injury protection (PIP): Covers medical expenses of you and your passengers no matter who causes an accident
• Medical payments (MedPay): Covers medical expenses for you and your passengers similar to PIP coverage, but is more widely available and less comprehensive

How To Get Alaska Auto Insurance

We recommend that you compare car insurance quotes from multiple providers to find the best coverage option for your needs. This is the easiest way to get the best rates on Alaska auto insurance. Check out Geico, USAA, State Farm, Umialik Insurance and Allstate for quality, affordable car insurance coverage in Alaska. 

Cheap Auto Insurance in Alaska: The Bottom Line

In this article, we reviewed the cheapest auto insurance companies, coverage and rates in the state of Alaska. We also looked at average cost of car insurance and coverage requirements in the Last Frontier State.

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Cheapest Car Insurance in Alaska: FAQ

Below are frequently asked questions about the cheapest car insurance in Alaska.

Is car insurance cheaper in Alaska?

Based on our research, we found that car insurance in Alaska tends to be cheaper than the national average. A liability-only policy in Alaska costs an average of $486 per year and a full-coverage policy costs an average of $1,685 per year.

What is Alaska state minimum car insurance?

Alaska requires drivers to hold $50,000 per person and $100,000 per accident of bodily injury liability, $25,000 per accident of property damage liability.

What type of coverage is cheapest for car insurance?

The cheapest option for car insurance is to opt for a liability-only policy that satisfies the state minimum requirements to legally drive. To make sure you’re financially protected, however, we recommend a full-coverage policy.