Claire Smith Last Updated On: February 13, 2024

Finding the Right Homeowners Insurance in Alaska

If you live in the northernmost state of Alaska, you want to ensure you have the right home insurance to keep you comfortable during the long winter nights. Alaska is the only state that experiences subarctic weather, so you need next-level home insurance that protects your home against the frigid climate.

But what is the right home insurance if you live in Alaska?

The first thing is making sure that you know what you need. Read on, and we’ll help you determine your ideal home insurance policy in The Last Frontier.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

Table of Contents

The Geography of Alaska and How It Affects Your Rates

As America’s only subarctic climate, Alaska’s home insurance requirements differ from warmer states like Texas. If you live in a cold climate, you’ll need insurance that protects your home from freezing temperatures. 

The trouble with cold weather is frozen pipes or damage caused by freezing. Fortunately, home insurance in Alaska and other states traditionally covers frozen pipe damage. 

Here are other ways homeowners insurance in Alaska protects your house when the temps drop: 

  • Homeowners insurance in Alaska covers frozen pipes or damage caused by system breakdowns, so long as you can prove you tried to heat it.
  • If you have to place a claim, an adjuster will travel to your home to ensure the frozen pipe damage isn’t caused by disrepair or neglect; if so, insurance won’t cover your damages. 

The other geographical feature of Alaska that most Americans don’t realize is that it’s earthquake-prone. In fact, there are over 1,000 earthquakes each month in Alaska! Not to mention, Alaska is one of the most seismically active places in the world, accounting for 11% of global earthquakes. 

Because Alaska is susceptible to earthquakes, you should consider taking out an earthquake rider for your home insurance, as seismic activity isn’t covered in traditional policies.

Do I Have to Have Homeowners Insurance in Alaska?

Legally no. Home insurance in Alaska is not mandatory. However, you will need home insurance as part of the lending requirements to take out a mortgage on a house in Alaska.

What Does Home Insurance in Alaska Cover?

When you take out any home insurance policy in Alaska, it comes with fixed coverages and then you can customize your plan further with optional add-ons/riders. Standard homeowners insurance includes:
  • Personal Property that safeguards your belongings like furniture.
  • Personal Liability/Medical Payments means if someone hurts themselves on your property, your insurance will pay their medical expenses and legal fees (if there are any).
  • Dwelling covers the structures on your property from damage.
  • Weather Protection from wind, hail, hurricane, or tornado damage.
  • Additional Living Expenses or Loss of Rent if your home is damaged and undergoing repairs, this coverage will pay for temporary accommodations.
But that’s not all. If you want more protection, there are riders you can add to your main policy. 

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

Optional Add-Ons That Alaskans Should Consider

Standard home insurance policies come with great coverage. However, due to Alaska’s unique climate, there are some optional coverages you should consider adding to your policy.

Here are some other coverages you should add to your home insurance policy:

  • Flood: Flooding is a very real risk for Alaskans. Alaska is a coastal state, and with all the snow/rain they experience, floods happen. Flood insurance helps you protect your property when water levels start to rise. 
  • Personal Property Replacement Costs: If your home is damaged and you lose personal property like furniture, this coverage will pay to replace your lost belongings.
  • Earthquake: As a seismically active state, every homeowner in Alaska should have earthquake protection. This coverage will pay to repair/replace your dwelling or personal property should it be damaged in an earthquake.

If you thought these coverages were already included in home insurance, you’re not alone. That’s why it’s so important to understand exactly what your policy includes, or you could be leaving your home exposed.

Earthquake Insurance in Alaska

Because Alaska encounters its fair share of earthquakes, every homeowner should consider protecting their most expensive investment—their house—from seismic activity. Conversely, because Alaska is so prone to earthquakes, not every insurance company offers this protection, and if they do, it’ll cost you.

Here’s what you should know about earthquake coverage if you call Alaska home:

  • It doesn’t cover fire or water damage triggered by a quake.
  • It will pay to remove debris and additional living expenses while your home is being repaired.
  • Alaska’s Division of Insurance estimates that only 15% of Alaskans buy earthquake insurance!
  • You can also add this coverage to your renters home insurance.
  • If you don’t buy earthquake coverage, you could be looking at a huge out-of-pocket expense should anything happen.

Earthquake insurance is important, but so is your budget. Let’s explore the cost of this optional coverage so you can ensure you can afford it.

How Much Does Earthquake Insurance Cost?

Earthquake insurance is more expensive in Alaska than in other states given the frequency of tremors, but it can save you from costly repairs if your home is damaged in a quake. 

The cost of earthquake insurance isn’t a fixed rate. Rather, it’s based on the following factors:

  • Your home’s age and where it’s located
  • What your home is made of
  • How much it would cost to repair your house
  • And your deductible amount

One thing to note is older brick homes will cost much more than brand-new homes built to withstand Alaska’s geographical challenges.

Cheap Homeowners Insurance in Alaska

You live in a beautiful four-season state that sees you through fiery hot summers and extreme cold snaps, so you’ll need home insurance that protects you no matter the season!

But at what cost?

Alaskans’ annual home insurance cost is $1,059, while the national average is $1,428, making Alaska homeowners insurance very affordable.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required

Home Insurance Companies in Alaska

The kicker about finding home insurance in Alaska is that many well-known insurance companies won’t insure Alaskans. Some insurance companies simply don’t operate in Alaska due to the level of risk from floods, earthquakes, wildfires, and other weather phenomena.

This means the pool of insurance companies offering home insurance in Alaska is relatively small. 

Here are some of the Alaska home insurance companies that are active in the state:

  • Allstate
  • Country Financial
  • Liberty Mutual
  • Nationwide
  • State Farm
  • Umialik
  • USAA

But just because fewer insurance companies are operating in the state doesn’t mean you shouldn’t shop around when you’re in the market for home insurance. Every insurer uses different factors to calculate your rates, so it pays to shop around!

Cheap Renters Home Insurance

Alaska has a large number of renters: approximately 33% of the population rents; so it’s important that insurers offer competitive renters insurance

Renters insurance is similar to homeowners insurance in that it protects your property and personal belongings from covered perils, e.g., pipe bursting. 

In general, renters insurance covers:

  • Personal Property Protection should your belongings be destroyed or damaged due to a covered peril.
  • Liability Protection safeguards you from paying for someone getting hurt on your property or damages to another’s personal property.
  • Additional Living Expenses will cover the bill if you have to stay elsewhere while your home is being repaired.
  • Medical Payments will pay for medical expenses relating to an injury that happened on your property.

You can find cheap renter’s home insurance in Alaska, as the annual average is around $100.

Alaska Condo Insurance

If you own a condo in Alaska and want home insurance, the average cost is around $400 a year. Alaska condo insurance protects your personal property and offers you liability coverage.

Final Thoughts on Home Insurance in Alaska

Whether you live in a home, condo, or are renting a place in Alaska, make sure you can identify your home insurance needs, as it’ll help you determine which coverage makes most sense for you.

Home insurance is important no matter what state you call home. But if somewhere like Anchorage or Juneau is your hometown, you can’t afford not to look into optional coverages like earthquakes or flooding add-ons, as the risk level of these hazards is exceptionally high.

With that in mind, don’t settle on the first quote you find when shopping around for home insurance quotes in Alaska. Even though Alaska has a limited number of insurance carriers, this shouldn’t stop you from getting multiple homeowners insurance quotes in Alaska.

So grab your free quote here so you can start to find a home insurance policy that works for your budget and needs.

Free Home Insurance Comparison - Save up to 30%

No junk mail. No spam calls. Free quotes.

No Signup required


Stay Up-to-Date
Subscribe to our newsletter and receive alerts, offers, education, and updates in your inbox.