What You Need to Know About Auto Insurance in Alaska

You may have questions about your auto insurance in Alaska. In most cases, you need only liability insurance, although uninsured/underinsured motorist coverage is optional. If you’re a new driver, you need to contact your current insurer to confirm that your policy meets Alaska’s minimum liability requirements. You’ll also need to update your vehicle registration and driver’s license. pa auto insurance quotes

Liability insurance is the only required coverage in Alaska

Liability insurance is the only coverage required by law for all drivers in Alaska. This type of coverage pays for damage to the other party’s property and bodily injury in the event of an accident. While liability insurance never pays for injuries sustained by the insured driver, it provides a valuable financial safety net in the event of a car accident. Limits for liability coverage vary by state, but the minimum liability insurance policy in Alaska is 50/100/25.

While liability insurance is the only mandatory coverage in Alaska, you can choose to purchase higher limits and extra types of coverage. Some policies automatically add these types of coverage, but you can always reject them if you’re not comfortable with them.

Uninsured/underinsured motorist coverage is optional but recommended

Uninsured/underinsured motorist coverage (UM/UIM) pays for your medical expenses if you are involved in an accident with a driver who has insufficient insurance. It also pays for any funeral costs or rehabilitation costs that you incur. Uninsured/underinsured car insurance is required in some states, but you can also choose not to carry it.

The minimum requirements for car insurance in Alaska do not require drivers to purchase uninsured/underinsured motorist insurance. However, you should consider obtaining this type of insurance if you plan to drive on the road in Alaska. In Alaska, 13% of drivers are uninsured and have no insurance. In such a situation, you would not be able to file a claim with your own insurer. Underinsured/uninsured motorist coverage is designed to cover the difference between minimum insurance limits and the uninsured motorist’s insurance limit.

Teen drivers pay more than $4,000 in Alaska

Car insurance in Alaska is expensive for teen drivers. According to the state’s Department of Insurance, 16 year olds pay over $3,000 a year for car coverage. To get the best rate, teenagers should shop around. In addition to comparing carriers, teens may be able to get discounts if they complete driving courses or get good grades. Insurance for 18 and 19 year olds generally costs less than $1,500 a year. Teens can also get lower rates by maintaining a 3.0 GPA.

Some car insurance companies give discounts to teens who complete a defensive driving course or extra driver education course. These discounts can save up to 5% of the premium. These classes are best taken with a parent. However, some insurance providers may not give discounts for online classes. In addition, some car insurance companies offer a student “away” discount for students who are away at college or living away from home during high school.

Young drivers pay nearly $2,500

When it comes to Alaska auto insurance, young drivers are often paying more than the minimum requirement. On average, they pay nearly $2,500 per year. However, it is possible to find cheaper car insurance by comparing rates from different companies and by shopping around.

In Alaska, insurance rates are higher for young drivers, partly because they get into more accidents. However, some factors can help young drivers get cheaper insurance, such as good grades and usage-based driving monitors. As a general rule, male drivers are more likely to cause accidents than female drivers.