Everything You Need to Know About Alaska Auto Insurance

If you’re a driver in Alaska, having auto insurance is not only mandatory but also crucial. Auto insurance protects you financially in case of an accident, theft, or other unexpected events. However, with so many options, coverages, and rates available, finding the right auto insurance policy can be confusing. In this article, we’ll explain everything you need to know about Alaska auto insurance.

Alaska Auto Insurance Laws

Like most states, Alaska has minimum requirements for auto insurance. All drivers are required to have liability insurance with at least:

Minimum Amount
Bodily Injury Liability – Per Person
Bodily Injury Liability – Per Accident
Property Damage Liability

These minimum requirements are often referred to as “50/100/25” coverage.

Not having insurance that meets these requirements can lead to a range of consequences, such as fines, license suspension, and even imprisonment in extreme cases.

Optional Auto Insurance Coverages

While the minimum requirements cover liability, they don’t cover damages to your own car or injuries you may sustain in an accident. You can choose to add optional coverages to your policy to better protect yourself financially. Some common optional auto insurance coverages include:

  • Collision Coverage: Covers damages to your car in case of an accident.
  • Comprehensive Coverage: Covers damages to your car from non-accident-related incidents such as theft, fire, or natural disasters.
  • Uninsured/Underinsured Motorist Coverage: Covers damages from an accident caused by a driver with insufficient or no insurance.
  • Medical Payments Coverage: Covers medical expenses if you or your passengers are injured in an accident.
  • Roadside Assistance: Covers emergency services such as towing, flat tire changes, and battery jump-starts.

While these coverages may not be required by law, they can provide added peace of mind and financial protection in case of unexpected events.

Factors Affecting Auto Insurance Rates in Alaska

Auto insurance rates in Alaska can vary greatly depending on several factors, including:

Driving Record

Your driving record is one of the most significant factors that affect your auto insurance rates. If you have a history of accidents, traffic violations, or DUIs, you can expect to pay higher rates than someone with a clean driving record.

Age and Gender

Young drivers and male drivers statistically have a higher risk of accidents, and therefore, they may pay higher auto insurance rates.

Car Make and Model

Your car’s make and model can also affect your auto insurance rates. Generally, newer and more expensive cars cost more to insure than older and less expensive models.


Your ZIP code can also affect your auto insurance rates. If you live in an area with high crime rates or high instances of accidents, you may pay higher insurance rates than someone who lives in a low-risk area.

Credit Score

Your credit score can also be a factor in determining your auto insurance rates. Insurers often use credit scores to predict the likelihood of a policyholder filing a claim.


What should I do if I get into an accident?

If you get into an accident, the first step is to ensure everyone involved is safe and call 911 if necessary. Then, exchange insurance information with the other driver and take photos of the scene if possible. Finally, contact your insurance provider to report the accident and file a claim.

Can my insurance company cancel my policy?

Yes, your insurance company can cancel your policy for a variety of reasons, such as non-payment, misrepresenting information on your application, or having too many claims.

How can I lower my auto insurance rates?

There are several ways to lower your auto insurance rates, including choosing a higher deductible, maintaining a good driving record, bundling your policies, and taking advantage of discounts such as safe driver discounts, multi-car discounts, and student discounts.

How much auto insurance do I really need?

While the minimum liability requirements are mandatory, they may not be enough to fully protect you financially in case of an accident. It’s recommended to consider optional coverages based on your needs and budget.


Having auto insurance is essential in Alaska. Make sure to meet the state’s minimum requirements and consider adding optional coverages to protect yourself financially. Shop around for rates and pay attention to the factors that affect your auto insurance rates. Always drive safely and responsibly to maintain a good driving record.