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Shopping for homeowners insurance but not sure where to start? Don't worry; we've got you covered. We've combed through the best homeowners insurance in Alaska to find which companies offer the lowest rates. Here, we'll share what we found as well as clue you in on factors to look for when choosing an Alaska home insurance policy.
These three companies not only offer cheap homeowners insurance in Alaska, but they also offer a great assortment of coverage options:
If the house you're buying is brand new, you may be surprised by just how low your homeowners insurance rates are. Insurance companies don't end up paying out many claims on new properties, primarily because everything in the house is new and less likely to malfunction. Companies pass some of their savings on to policyholders through lower insurance premiums. Here are the three cheapest Alaska home insurance providers for newly built homes:
When it comes to character and history, there's nothing quite like an older Alaska home. However lovely the home may be, though, an older home is more likely to have issues, like broken pipes, leaky roofs, and wood rot. For that reason, insurers tend to charge more to insure an older home. These three companies still manage to insure old Alaska homes cheaply:
If a home is damaged or destroyed, it's important to have the right coverage. Still, a homeowner can expect their premiums to go up for a while after making a claim. For an Alaska homeowner who has previously made a claim, these three insurers offer the most forgiving rates in the state:
The average cost of homeowners insurance in Alaska is $1,241, which is about 28% lower than the national average of $1,725.
|Average Rate Category
|New home construction
|When making a claim
The best homeowners insurance in Alaska can be summed up by two things: low premiums and comprehensive coverage.
Homeowners coverage in Alaska is not meant to be a one-size-fits-all proposition. There are six types of policies specifically designed to cover traditional (non-mobile) homes. These policies range from basic to coverage with all the bells and whistles. The best homeowners insurance companies offer enough policy types so homeowners can choose the right level of protection.
A homeowner should not be surprised if a bare-bones policy does not fully cover their losses after a peril damages their home. That's why it's essential to shop for a level of coverage that does not require the homeowner to pull a large sum of money from their own pocket.
A deductible is an amount a homeowner must pay toward a claim. Let's say there's a house fire and the total repair estimate is $60,000 with a $1,000 deductible on the policy. The homeowner pays the contractors $1,000, and the insurance company covers the remaining $59,000. It's a good idea for homeowners to consider deductible amounts when shopping for Alaska home insurance.
One of the easiest ways to keep policy costs to a minimum is by taking advantage of discounts. A homeowner can't be sure which companies offer truly cheap homeowners insurance in Alaska until they learn how much a policy costs after discounts are factored in. Most insurance companies offer home insurance discounts, ranging from whether smoke detectors are in the house to whether a homeowner bundles home and auto insurance.
To ensure proper coverage, it may help to know the most common Alaska home insurance claims. Here's what they are.
Alaska gets more than its fair share of snow and rain each year. That helps explain the number of Alaska home insurance claims for things like damage due to ice dams, frozen pipes, and slip-and-fall accidents. There's also the risk of water damage caused by plumbing issues and malfunctioning appliances.
About 11% of all earthquakes in the world take place in Alaska according to the Alaska Seismic Hazards Safety Commission. And an average of 1,000 earthquakes happen every month somewhere in the state, with one magnitude 8 or larger hitting every 13 years. While a standard homeowners insurance policy does not cover earthquakes, it's a good idea for homeowners to add earthquake insurance when they're buying their homeowner's policy.
Nationally, fire and lightning damage accounted for 25% of all homeowners insurance claims in 2019 according to the Insurance Information Institute. And Alaska was no exception. Fire is not the top reason for insurance claims in the state, but it is one of the most expensive claims a homeowners insurance company deals with.
Wind damage is another common Alaska home insurance claim. Between blowing objects, falling trees, and heavy winds, roofs and other exterior features of a home can take a beating that require repairs.
Here's a list of coverage and discount options available to those looking for the best homeowners insurance in Alaska.
As mentioned, homeowners (other than those with a mobile home) can choose from six categories of coverage. These categories are referred to as HO-1 through HO-8. Here's how the types of homeowners insurance break down:
A homeowner can pick up coverage for upgraded features like a custom theater room or upgraded lighting. A comprehensive insurance policy may also protect against loss for things like coins, artwork, or computer equipment.
Landing inexpensive homeowners insurance in Alaska depends, in part, on claiming as many discounts as possible. Each insurer offers a different set of discount options. Here's a sampling of the most common:
Insurance companies take many factors into account as they determine premiums. They include some things outside the homeowner's control, such as:
With that said, here are the five cheapest cities in Alaska for homeowners insurance:
|Average Home Insurance Rate
Here are the five most expensive cities in Alaska for homeowners insurance:
|Average Home Insurance Rate
The best homeowners insurance in Alaska provides the level of protection necessary to help a homeowner sleep easier at night at a rate that works with their budget. While homeowners insurance is often treated as an afterthought, it can be a life saver in the event peril strikes.
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We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.
The data found on this page is a combination of publicly available quote data obtained directly from the carrier as well as insurance rate data from Quadrant Information Services. These rates were publicly sourced from the top ten (10) to fifteen (15) carrier markets, within each state, based on annual written premium and should be used for comparative purposes only -- your own quotes may be different.
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