BestCar InsuranceAlaskaBest Car Insurance in Alaska (May 2023)
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State Farm is our top auto insurance pick for full and minimum coverage as well as customer service. The provider is also an ideal option for seniors and drivers with violations. Progressive is the best option for quality customer service. Young adults may find the best policies with GEICO. Other great options include Allstate for drivers with new cars and USAA for military drivers.
BestCar InsuranceAlaskaBest Car Insurance in Alaska
Best Overall - State Farm
Best for Service - Progressive
Best for Minimum Coverage - State Farm
Best for Young Adults - GEICO
Best for Seniors - State Farm
Best for Driving Offenses - State Farm
Best for New Cars - Allstate
Best for Military - USAA
Best Overall for Car Insurance in Alaska
State Farm provides the best car insurance for a full coverage policy. The following companies received the highest rankings based on our analysis:
- State Farm: MoneyGeek score of 89 out of 100 ($699 per year)
- GEICO: MoneyGeek score of 88 out of 100 ($757 per year)
State Farm outshines its competitors because it provides excellent customer service at a low cost. Consider the cheapest full coverage auto insurance in Alaska if you want to save on monthly costs.
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State FarmBest Overall
Score:89
State Farm offers better customer service than most of its competitors. It also has the least expensive full coverage premiums, at around $699 per year. One downside is that State Farm offers limited add-on coverages.
More About State Farm
State Farm only provides basic, widely available add-on coverage options. However, it’s still our top choice due to its cheap average annual premium cost and quality customer service.
Its coverages include emergency roadside assistance, rental car and travel reimbursement and rideshare insurance. Emergency roadside service covers mechanical labor for repairs, towing, delivery of oil or gas and locksmith services.
If you are found at fault in an accident involving your rental car, rental car and travel reimbursement coverage pay for your meals, lodging and transportation up to $500. You can also reimburse a $500 deductible. Adding these options to your policy can give you peace of mind, especially when faced with an unfavorable situation.
In the Northwest, State Farm ranked second-highest in customer satisfaction among seven competitors, according to a 2022 J.D. Power study.
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GEICO
Score:88
Our study revealed that GEICO is the runner-up for best auto insurance in Alaska, ranking second-highest for both affordability and service quality. A full coverage policy with GEICO costs an average of $757 per year. The insurer also offers the unique add-on coverage, mechanical breakdown insurance (MBI).
More About GEICO
GEICO provides solid add-on coverages such as MBI and accident forgiveness. Mechanical breakdown insurance is rare yet available to virtually all drivers. In comparison to dealer extended warranties, MBI can be more cost-effective since it offers affordable, comprehensive coverage for all parts and systems of your vehicle. You can purchase MBI for new or leased cars less than 15 months old with fewer than 15,000 miles. Mechanical breakdown insurance is a great option for those who want to protect their new vehicles.
Accident forgiveness ensures that your premiums won’t skyrocket after your first at-fault accident. You can either purchase this add-on coverage or qualify if you’re over the age of 21 and have been accident-free for five years or more. Accident forgiveness can give you peace of mind, especially if you frequently use your vehicle.
How the Best Insurers in Alaska Rank: MoneyGeek Scores and Costs
Out of the five auto insurance carriers that we evaluated, we found that State Farm is the best provider because it balances exceptional customer service and affordable premiums. Allstate and Progressive have more coverage options but charge pricier annual rates. Progressive was ranked highest in claims management but fell short since it offered the most expensive premiums at $1,180 per year.
Insurers only received a MoneyGeek score if sufficient data were available for all components of our scoring system.
Best Car Insurance in Alaska for Customer Service
Alaskan residents that value quality service over affordability should consider Progressive. The following are the top two insurers for customer service:
- Progressive: MoneyGeek score 89 out of 100 ($1,180 per year)
- Allstate: MoneyGeek score 88 out of 100 ($879 per year)
Progressive earned the number one spot for coverage, which means it offers key add-on coverages. It ranked second in claims management, which means you can expect quality service in a time of need.
pros
Highest coverage rating
Second-highest claims management score
Has key add-on coverages and rare offerings, such as custom parts and pet coverages
cons
Most expensive premium
Lowest score in customer satisfaction
COMPANY HIGHLIGHTS
Although Progressive has the most expensive premium, it’s still our top pick due to its superior claims management and customer service. It offers essential coverages, including rental car and roadside assistance. Additionally, the company has unique offerings like custom parts and pet coverage.
With rental car reimbursement coverage, the policyholder gets reimbursement up to their chosen limit for their car rental expenses while the covered vehicle is being repaired. Roadside assistance coverage pays for certain services, including towing and repairs, if the covered vehicle breaks down.
If you have after-market accessories installed in your car, the custom parts and equipment coverage may be a good addition. It pays for the repair or replacement of any equipment not installed by the original manufacturer. Eligible policyholders who have pets may also find Progressive’s pet coverage an ideal add-on. The insurer covers expenses related to pet injuries incurred in an auto accident.
What Makes an Insurer the Best for Customer Service?
Quality auto insurance providers should deliver outstanding customer service, especially during stressful situations such as when you file a claim. Companies that demonstrate great customer service quickly respond to your questions or complaints, disburse payments swiftly after approving claims and adequately address potential customer concerns.
Comparing car insurance quotes in Alaska; the cheapest option is State Farm. Progressive has the highest average car insurance rate. Despite that, it was chosen as the winner because of its high ratings in coverage and customer satisfaction. Additionally, it received the highest score in claims management reputation.
Best Car Insurance in Alaska for Minimum Coverage
State Farm is the best insurer in Alaska for minimum coverage policies, which only include the state’s standard liability requirements. We ranked the top-two companies based on customer satisfaction and affordability ratings:
- State Farm: MoneyGeek score of 93 out of 100 ($322 per year)
- GEICO: MoneyGeek score of 91 out of 100 ($356 per year)
Out of five providers, State Farm has the highest scores in both customer satisfaction and affordability. Purchasing cheap minimum coverage in Alaska will save you money upfront, but it provides the least protection. While you’re financially safe from liability costs, you’re not covered for damages to your vehicle.
pros
Provides the cheapest minimum coverage policy at $322 per year
Discounts include Drive Safe & Save™, passive restraint and good driving
Ranks highest in affordability and service quality
cons
No pay-in-full discount
Relatively low scores in coverages and claims
COMPANY HIGHLIGHTS
In Alaska, State Farm garnered the highest scores for both cost and customer service, making it a clear winner in this category. Its average annual premium cost of $322 breaks down to about $27 per month, and that’s not even including discounts.
To lower your premium cost, you can bundle insurance policies, insure multiple vehicles and drive safely. You can receive this insurer’s safe-driving discount by installing its Drive Safe & Save™ mobile application. With this discount, you can save up to 30% on your insurance based on your driving habits, as monitored by the insurer’s mobile app.
New State Farm policyholders who have gone three years without moving violations or at-fault accidents can receive a discount on their auto insurance. Drivers with factory-installed airbags and similar protective systems that meet federal safety guidelines can also snag a passive restraint discount.
What Makes an Insurer the Best for Minimum Coverage?
Some drivers prefer minimum coverage car insurance since it has cheaper premiums and meets the state’s coverage limits. Often, you may have to sacrifice quality customer service for affordability, but with State Farm, you can still get both. The provider offers auto insurance at a reasonable cost while providing excellent customer service.
Best Car Insurance in Alaska for Young Adults
GEICO offers the best full coverage policies in Alaska for young drivers. It received the highest score for affordability and the second-highest for customer satisfaction. Our top two picks for Alaskan drivers in their 20s are:
- GEICO: MoneyGeek score of 92 out of 100 ($750 per year)
- State Farm: MoneyGeek score of 91 out of 100 ($829 per year)
Younger drivers tend to pay less than teen drivers but more than middle-aged drivers. You can find cheap car insurance for young drivers in Alaska if you’re looking to save a couple of bucks.
pros
Has the most affordable rates at $750 per year
Offers good student and driver’s education discounts
Provides above-average customer experience
cons
Has average scores in claims management and coverage offerings
COMPANY HIGHLIGHTS
GEICO shines in terms of customer service and affordability. In 2022, J.D. Power awarded it the third-highest ranking for customer satisfaction. Its many discount opportunities allow customers to reduce its already low rates for car insurance.
Young drivers might be able to decrease their premiums through discounts. Full-time students in good academic standing can get up to 15% off. Young adults may also receive a discount by completing a driver’s education course.
With GEICO, you can get basic coverages like emergency roadside assistance and rental car and travel reimbursement. Both add-on options are worth considering since they can come in handy if you get into an accident. Drivers with relatively new cars may also consider mechanical breakdown insurance, which offers more robust protection than typical dealer-extended warranties.
What Makes an Insurer the Best for Young Adults?
When selecting a suitable policy, young drivers should look for insurers that offer reasonable premiums, great customer service and adequate coverage. Discounts, specifically for younger drivers 25 years old and below, are also a bonus. These features — affordable premiums, quality service, coverage and discount availability — make GEICO shine.
Best Car Insurance in Alaska for Seniors
State Farm offers the best auto insurance in Alaska for senior drivers. Our rankings were based on affordability and service quality for drivers in their 60s with a full coverage policy. The top-two insurers are:
- State Farm: MoneyGeek score of 93 out of 100 ($644 per year)
- GEICO: MoneyGeek score of 92 out of 100 ($659 per year)
Compared to the insurers we evaluated, State Farm has the most affordable rates and has the second-best customer satisfaction score. While drivers in their 60s will pay roughly the same rate as drivers between the ages of 30 and 50, rates increase as drivers approach their 70s. Compare several providers to find the cheapest car insurance for seniors in Alaska.
pros
Offers the cheapest average premium at $644 per year
Top choice for customer satisfaction
cons
Few add-on coverages available
Claims management rating is average
COMPANY HIGHLIGHTS
State Farm delivers top-notch service quality while offering the most affordable quotes in Alaska. Compared to the insurers that we ranked, State Farm received the highest scores for customer satisfaction and affordability.
Although State Farm has limited add-on coverage options, the ones it offers may prove especially useful. Rental car and/or travel reimbursement and roadside assistance coverage can provide relief after an accident or car breakdown.
Drivers that get into an at-fault accident in their rental cars can receive coverage for meals, lodging and transportation up to $500. Emergency roadside assistance helps pay for mechanical and locksmith labor, towing and delivery of items like fuel or car batteries.
What Makes an Insurer the Best for Seniors?
A great auto insurance company for seniors should ideally offer affordable rates, senior discounts and helpful add-on coverages like roadside assistance. We highly recommend carriers with cheap full coverage policies and personal injury protection (PIP), especially since senior drivers are at a higher risk of serious injury in an accident. State Farm, our top pick, doesn’t provide senior discounts. Regardless, its balance between customer service and cost surpasses its competitors.
Best Car Insurance in Alaska for Drivers With Offenses
State Farm is the best auto insurance company for drivers with a violation. We determined scores by evaluating the affordability of a full coverage policy and customer satisfaction for drivers with speeding tickets, at-fault accidents and/or DUIs.
- State Farm: MoneyGeek score of 93 out of 100 ($813 per year)
- GEICO: MoneyGeek score of 88 out of 100 ($1,115 per year)
We chose State Farm as the winner since it ranked highest for both affordability and service quality. If you’re looking for affordable premiums after an incident, know that rates in Alaska typically increase by $219 after an accident and $213 after a DUI.
pros
Offers the most affordable policies at $813 per year
Has the highest rating for customer satisfaction among the providers we evaluated
Offers rental car and/or travel reimbursement and emergency roadside assistance coverage
cons
Has relatively average scores in claims and coverage categories
New or better car replacement coverage not available
COMPANY HIGHLIGHTS
State Farm policyholders receive superior quality service while paying the most affordable premiums. According to a J.D. Power study from 2022, State Farm received the second-best customer satisfaction in the Northwest.
In comparison to its competitors, the insurer offers fewer coverage options. However, customers that opt for its add-on coverages, including rental car and/or travel reimbursement and emergency roadside assistance, may benefit.
Through rental car and/or travel reimbursement coverage, you can be reimbursed for the cost of meals, lodging and transportation up to $500 after an at-fault accident. Emergency roadside service covers the cost of locksmith labor, mechanical repairs, gas delivery and towing services. Having these coverages can give you peace of mind when faced with an unexpected incident. One disadvantage of State Farm is that accident forgiveness and new or better car replacement coverage isn’t available.
What Makes an Insurer the Best for Drivers With Offenses?
A great insurer for drivers with offenses should have lower average premiums, discounts and extra coverages like accident forgiveness, roadside assistance and new or better car replacement. While State Farm doesn’t offer all of these, its rates are significantly cheaper than its competitors, and it provides exceptional customer service. GEICO, our runner-up, does offer accident forgiveness but for an added cost.
Best Car Insurance in Alaska for Drivers With New Cars
Allstate is our top pick for drivers with new vehicles (2022 model). Our analysis only included insurers that offered new car replacement coverage while accounting for affordability and service quality — Allstate is the only insurer in the state that offers this coverage, so it was the only provider included in our rankings.
New car replacement coverage generally covers the cost of purchasing a new car with the same make and model if it’s totaled after an accident. Allstate garnered a MoneyGeek score of 92 out of 100, and its policies cost roughly $1,361 per year. The provider has the least expensive rates and delivers above-average customer service. Allstate also offers a wide selection of useful add-on coverage options.
pros
Offers affordable rates at approximately $1,361 per year
Has new car replacement coverage
Offers numerous add-on coverage options
cons
Has a below-average claims management rating
COMPANY HIGHLIGHTS
Allstate received high ratings for affordability and coverage options, which means its policyholders pay reasonable rates for access to a good amount of coverage choices.
New car replacement coverage with Allstate will allow you to swap out your car with a brand new model if it’s less than two model years old and gets totaled. Normally, your vehicle significantly depreciates as soon as it leaves the lot. By adding new car replacement coverage, you can avoid receiving the depreciated value of your vehicle if it’s totaled.
Drivers with new vehicles can also take advantage of Allstate’s new vehicle discount, which lowers rates if you’re the first owner of a current-model or one-model-year-old vehicle.
What Makes an Insurer the Best for Drivers With New Cars?
Drivers with new vehicles should select auto insurance companies that offer new or better car replacement coverage. These add-on coverage options can prove extremely useful, especially with a new car. While there are other excellent carriers in Alaska, Allstate was the only insurer that offered new or better car replacement coverage. The insurer provides above-average service quality and multiple coverage options.
Best Car Insurance in Alaska for Military Drivers
The best car insurance provider for military personnel in the Last Frontier is USAA. The company earned a MoneyGeek score of 92 out of 100, and its policies cost approximately $519 per year. USAA surpassed five other insurers with its cheap rates and superior customer service.
pros
Offers the most affordable premiums at $519 per year
Offers accident forgiveness
Has the highest marks in customer satisfaction
cons
Has limited coverages
Has an average claims management rating
COMPANY HIGHLIGHTS
USAA received the highest ratings for customer service and affordability compared to the other insurers in our study. With USAA, drivers can also get accident forgiveness. This coverage guarantees that your premium won’t increase after your first at-fault accident, with the condition that you’ve been accident-free for five years with USAA. Note that adding accident forgiveness to your policy may come at an extra cost. Drivers with a military background can get multiple discounts, one of which includes USAA’s military discount, which reduces your car insurance if you store your vehicle on base.
How to Find the Best Car Insurance in Alaska for You
Cost, customer satisfaction and financial stability are key factors to consider when you're shopping for outstanding auto insurance. It's important to receive help during stressful situations like filing claims. We offered a few tips to help you find the best insurance for your needs.
1
Research customer service reputations in Alaska
MoneyGeek’s rankings took customer satisfaction into account, but you can view ratings yourself by checking insurers’ J.D. Power scores and NAIC complaint ratios. We also recommend researching more on the Alaska Department of Insurance.
2
Compare quotes
MoneyGeek's quotes represent average rates for sample drivers in the Lone Star State, but these may vary from your actual rates since insurers consider several factors when calculating premiums. It's still good practice to check personalized quotes from at least three different insurers to get a rough estimate of how much your car insurance will cost.
3
Find the coverages you want in Alaska
Auto insurance companies can promote coverages and discounts on their website without offering them nationwide. Before purchasing a policy, check if your insurance company offers the coverages you need in your specific area.
4
Check financial stability ratings
We highly encourage you to research an insurer’s financial strength rating, which means that the company will uphold claims despite market conditions. Larger carriers are generally financially stronger, while regional insurance companies in Alaska usually have lower ratings.
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FAQs About the Best Car Insurance in Alaska
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About Mark Fitzpatrick
sources
- J.D. Power. "2022 U.S. Auto Insurance Study." Accessed January 28, 2023.