Alaska Minimum Car Insurance Requirements
Alaska requires any drivers to carry a minimum amount of liability insurance coverage. You can go beyond these, depending on what your driving circumstances are, but you must at least meet the state’s requirements. Failure to do so can result in some severe penalties. Outlined below are the mandatory liability insurance minimums for the state of Alaska:
- $50,000 bodily injury per person
- $100,000 bodily injury per accident
- $25,000 property damage per accident
Alaska requires drivers to carry proof of insurance, and you must present it if asked to by law enforcement. If you finance or lease a car, your lender or leasing company may require you to carry additional car insurance.
Car Insurance Exemptions in Alaska
Due to Alaska being a large state with many remote areas for people to live in, some places may not require vehicle registration. Due to this, if registration is not required, neither is car insurance. check with Alaska’s Divison of Motor Vehicles to see if you live in an area exempt from carrying minimum liability insurance.
Alaska Liability Coverage
Liability insurance is the only required coverage in the state of Alaska. Liability coverage pays for damage you have caused in an accident. This includes both bodily injury and property damage. Liability insurance will never pay for damage you or your car has sustained in an accident. It is strictly for the other party. Coverage limits are expressed by three numbers. In Alaska, the mandatory minimum liability insurance policy is 50/100/25.
Car Insurance Limits in Alaska
Coverage limit is the set amount of money your insurance provider will pay for damages after an accident. As outlined above, there is a set minimum required by the state of Alaska. Carrying only the state-mandated minimum insurance means what is expressed is the maximum amount of damage your provider will pay for.
Liability is split into three different categories, each with its own function:
- Bodily injury coverage per person is the maximum amount of money your car insurance company will pay for one person’s injuries in an accident you caused.
- Bodily injury coverage per accident is the most amount your insurer will pay for all injuries after an accident you were responsible for.
- Property damage per accident is the maximum amount your insurance policy will pay for property damage you caused.
The numbers outlined by the Alaska government are just the required minimums. You are free to purchase higher amounts and extended coverage from insurance providers.
Is Alaska’s Mandatory Insurance Minimums Enough Coverage?
The state of Alaska has set higher liability insurance minimums than other states, but it is always a good idea to buy coverage beyond it. Accidents can get very costly. Between medical expenses and car repairs, significant damage can be easily done with one incident. If you can afford it, buy above the minimums and add any additional coverage, you feel you and your car may need.
Driving Without Insurance in Alaska
Refusing to carry the state-mandated liability insurance minimums is a serious crime in the state of Alaska. The table below outlines what you could be facing if you fail to provide proof of insurance when asked: