Minimum Car Insurance in Alaska

The owner or operator of a vehicle subject to registration must be insured under a motor vehicle liability policy (or hold a certificate of self-insurance under AS 28.20.400). Minimum limits are $50,000 for bodily injury or death of one person, $100,000 for bodily injury or death of two or more people in one accident, and $25,000 for property damage (50/100/25). The policy must also include uninsured/underinsured motorist coverage in those same amounts unless the insured rejects it in writing. Insurance is not required in certain road-isolated areas exempt from registration, but a driver cited within the last five years for a violation worth 6 or more points must still carry liability insurance.

Alaska uses a fault-based (tort) system. The Division of Insurance explains that required bodily injury liability insurance protects the insured against claims of other people injured in an accident for which the insured was at fault, and that liability coverage applies to damages for which the insured is found legally responsible. Medical payments coverage, which pays regardless of fault, is described as optional.

A motor vehicle liability policy must include uninsured/underinsured motorist (UM/UIM) coverage in the same minimum amounts as liability (50/100/25), as a single combined coverage. The insured may reject it in writing; once rejected, it is not added to a renewal or replacement policy unless the insured later asks for it in writing. UM property damage coverage carries a $250 deductible per accident (insurers may offer a different deductible) and covers only the insured vehicle. The Division of Insurance says applicants must receive a written offer, bodily injury and property damage UM must be offered separately, and if the selection or rejection is not signed the policy is issued with UM limits matching the liability limits.