How Much are Auto Insurance Quotes for Good Drivers in Alaska?

Ideally, we could just give you the name of the one auto insurance company that has the cheapest rate quotes in Alaska. Regrettably, it’s not quite that easy, as there are many unknown aspects such as if you have any prior insurance claims, the neighborhood you live in, what deductibles to use for physical damage coverage, and how much you actually drive in a year, that all help calculate your car insurance rates. The content below covers the types of things that cause high car insurance rates and educate you enough to have a solid foundation to find cheaper car insurance.

Finding reliable, budget insurance is not easy, and determining which companies quote the best insurance rates for good drivers takes even more shopping around. Premiums will most likely be somewhat better than the state average, with the decrease attributed to the reduced risk that comes with selling insurance for safe drivers. Reasonably-priced insurance should be obtainable from many insurance companies.
Each auto insurance company has a proprietary formula for filing rates in each state, so we’ll take a look at the lowest cost insurance companies in Alaska.

Umialik may offer some of the best car insurance rates in Alaska at around $901 a year. USAA, State Farm, Progressive, and GEICO would also make the list of some of the most economical Alaska insurance companies.

As shown in the table above, if you are currently insured with GEICO and switched to USAA, you may realize a yearly savings of about $938. Alaska drivers with Allstate could save as much as $1,430 a year, and Safeco insureds might lower prices by $1,484 a year.

If you want to find out if you’re overpaying, click here to get a free quote or visit any of the low-priced companies below.

Be aware that those premium estimates are averaged across all insureds and vehicles and do not take into consideration a rate discount for good drivers. So the insurer that can offer you the lowest price may not even be in the above list. That emphasizes why you need to get rate quotes using your own personalized driver profile and vehicle information.

The vehicle model you are insuring is a large factor when shopping around for the cheapest coverage for good drivers. Vehicles with lots of horsepower, poor safety ratings, or a track record of large liability claims will cost more to insure than safer models. The next table showcases coverage rates for some of the most economical automobiles to buy insurance for.

Data based on married male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Alaska minimum liability limits. Discounts applied include multi-vehicle, safe-driver, homeowner, claim-free, and multi-policy. Rate information does not factor in specific location information which can lower or raise prices significantly.

Looking at the numbers, we can tell that vehicles like the Ford Escape, Chevrolet Traverse, and Honda CR-V will be a few of the most budget-friendly vehicles to insure for safe drivers.

One of the more important criteria that establish the annual cost of car insurance is where you normally keep your vehicle in Alaska. Areas that are more densely populated like Anchorage, Meadow Lakes, and Sterling will most likely pay more, whereas areas with less people or fewer weather incidents enjoy lower car insurance rates.

The following table rates the highest-priced areas in Alaska for good drivers to buy car insurance in.

Annual rates are comparative as specific location information can impact insurance rates substantially.

Discounts on cheap car insurance for good drivers in Alaska

Insurers that offer quotes for good drivers could also offer policy discounts that could lower prices by 35% or more if you meet eligibility requirements. Popular insurance companies and their possible discounts can be read below.

• Travelers has discounts for hybrid/electric vehicle, student away at school, multi-car, home ownership, and payment discounts.
• 21st Century policyholders can earn discounts including anti-lock brakes, air bags, defensive driver, 55 and older, homeowners, automatic seat belts, and teen driver.
• State Farm has savings for good student, Steer Clear safe driver discount, passive restraint, multiple autos, good driver, and anti-theft.
• GEICO may have discounts that include multi-policy, multi-vehicle, anti-theft, daytime running lights, and good student.
• SAFECO offers premium reductions for homeowner, accident prevention training, anti-lock brakes, teen safe driver, safe driver, multi-car, and bundle discounts.
• AAA includes discounts for good student, good driver, pay-in-full, AAA membership discount, anti-theft, multi-policy, and multi-car.

The illustration below visualizes the comparison of yearly insurance costs with and without discounts being applied to the rates. The premiums are based on a male driver, no violations or accidents, Alaska state minimum liability limits, comprehensive and collision coverage, and $1,000 deductibles. The first bar for each age group shows the price with no discounts. The second bar shows the rates with vehicle safety, passive restraint, multiple policy, claim-free, marriage, and defensive driving course discounts applied. When these discounts are applied to the policy premium, the average savings per year on insurance for good drivers is 28% or $318.

Driving violations and accidents

The obvious way to receive good insurance premiums in Alaska for safe drivers is to pay attention while driving and avoid accidents and traffic violations. The illustration below illustrates how speeding tickets and at-fault fender-benders increase auto insurance rates for different insured age categories. The information is based on a single male driver, full coverage, $100 deductibles, and no discounts are applied.

In the example above, the average cost of a car insurance policy in Alaska per year with a clean driving record and no accidents is $2,095. Get one speeding ticket and the average cost swells to $2,359, an increase of $264 each year. Then add in one accident along with the one speeding ticket and the yearly cost of insurance for good drivers jumps again to an average of $3,114. That’s an increase of $1,019, or $85 per month, just for being a little careless behind the wheel!

Low rates today, overpriced tomorrow

Alaska insurance rates are determined by lots of factors that control the price you pay for coverage. Simply improving your credit, buying a home, or getting a reckless driving citation may generate price changes resulting in some companies being affordable when they were higher priced. Not only may your risk profile change, but insurance companies change the rates they charge in Alaska every year or even multiple times each year in order to protect their financial rating. An extended period of higher than normal claims may cause rate hikes, while profitable underwriting can produce lower-cost Alaska car insurance rates.

As an example, the bar chart below shows which company has the cheapest car insurance in Alaska for a 30-year-old male driver with no accidents or violations, and good credit. When quoting prices based on his current risk profile, Umialik might quote the most affordable car insurance rates in Alaska at $865 a year. This is $678 less than the average rate paid by Alaska drivers of $1,543. USAA, State Farm, Progressive, and GEICO are the rest of the cheapest Alaska auto insurance companies.

In this example, we will give the driver from the first set of rates an accident claim, less-than-perfect credit, and a speeding citation. Due to the fact that every insurance company uses their own method for determining prices, getting updated rate quotes may now show a different ranking of the cheapest companies as shown below.

USAA now has the best car insurance rate in Alaska with State Farm, Umialik, Progressive, and Safeco now rounding out the top five. This example illustrates why it is crucial to compare rates to find the most affordable car insurance rates for good drivers.

Prices are impacted by many different factors and change substantially, so the lowest-price company a year ago may now be quite expensive.