Car Insurance in Alaska

Before you may legally drive your vehicle on state roads, you must have proof of financial responsibility, in case of an accident.

However, if you live in one of the areas exempt from insurance policy requirements as well as car registration requirements, this will not apply to you.

Ways to Establish Financial Responsibility

To meet the requirements of financial responsibility, you must do one of the following:

• Post a bond in amount determined by the DMV.

• Self-insure.

• Buy auto insurance.

If you would rather post a bond (usually an amount in the tens of thousands of dollars) or self-insure, call your nearest DMV office for more information.

Alaska Liability Insurance Requirements for Private Passenger Vehicles

The minimum auto insurance requirements that you must carry are:

• Bodily injury: $50,000 per person.

• Bodily injury: $100,000 per accident.

• Property damage: $25,000.

Research the different types of auto insurance to help you determine how much you need to buy. Alaska also has premium comparisons in its Automobile Insurance Guide, which uses several different scenarios to demonstrate how much you might pay for insurance.

Rates are determined by many factors, including credit score, your driving history, and {I{626}age. Get several different quotes from providers.

Proof of Insurance and Financial Responsibility

Once you buy auto insurance, the insurer will issue you a card with your name, vehicle information, and policy number on it. Keep this in the car with you. You will need to show it if there is an accident worth more than $501 in damages.

If you are pulled over by a peace officer, you will also be asked to show this information.

Penalties for Failure to Maintain Financial Responsibility

Driving without proof of insurance could result in your driver’s license being suspended. To get it back, you will have to pay various fines and show that you have bought insurance.

If you’re uninsured and in an accident, you will have to file an SR-22 form from your insurance company with the DMV. This is proof of your financial responsibility and must be kept on file for three straight years.