Alaska home insurance is a different beast than in the lower 48. With average annual premiums of $850 according to the NAIC (National Association of Insurance Commissioners), Alaska home insurance quotes consistently rank among the highest in the country. In fact, when you consider the Frontier State's extreme weather, its huge geographical size and spread out population, and Alaska's unforgiving and active geology (Alaska experiences an average of 1,000 earthquakes per month.), it's a wonder Alaska doesn't rank higher on the list. That said, if you want to get the best insurance rates possible, it's vital that you're aware of the unique challenges you face in acquiring Alaska home insurance, and the full array of threats your home faces in the Land of the Midnight Sun.
Riding the Ebb and Tide of Homeowners Insurance in Alaska
As we already mentioned, NAIC studies show an average cost of about $850 annually for home insurance in Alaska, well above the national average of $690. Those rates include basic home insurance coverage that comes standard with most policies, such as Dwelling, Property Damage, Additional Living Expenses, Medical Payments, and Personal Liability. Keep in mind those rates are not set in stone, however. The Alaska home insurance quotes you get today are likely going to be different than the quotes you'll get in a month, which will be different from quotes you get 6 months down the road. And while home insurance rates are trending upwards (according to the NAIC, the national average has risen 58.3% over the last decade), regularly checking insurance rates can still save you money. To illustrate the point, the national average has actually dropped a surprising 13.4% since 2006.
Specific Alaska Home Insurance Quotes
Individual factors also play a role in fluctuating insurance rates in the state of Alaska. Factors as variable as your insurance provider, your former claims history, the type of construction used to build your home, the age of your home, and your current credit history, just to name a few, will all play into the rates you're offered. Alaska's Division of Insurance, for example, cites that in 2009 insuring a $200,000 stick frame construction home in Anchorage with a reputable national insurance provider can run as low as $564 a year, provided you live within 5 miles of a fire station and within 1,000 feet of a fire hydrant. If you live 10 miles or more from your local firefighters, however, the exact same coverage jumps by more than 50%, costing you $1,269 instead.
Earthquake, Flood, and Other Additional Coverage You Need to Know About
If your head's not already spinning faster than a bush pilot's turbo prop, the unique natural makeup of the largest state in the union is sure to send a few more curve balls your direction. Take Earthquake Coverage, for example. With bragging rights to the 2nd largest earthquake ever recorded (1964's Great Alaska Earthquake, which registered 9.2 on the Richter Scale), and 7 of the 10 most powerful earthquakes ever recorded in the U.S., Earthquake Coverage is no joke in Alaska. In fact, it's something you should seriously consider if you live in Alaska's southwest and south central regions, the Inside Passage, and even in substantial portions of the Interior. Earthquake coverage will add about $300 more per year to the premiums listed above, but it's well worth the cost considering Alaska's seismic inclinations. Flood insurance (provided by the Federal Government through FEMA) is another additional coverage to consider if you live along any of Alaska's many untamed watersheds, and if you're one of Alaska's die-hards and call the backcountry home, you may have trouble getting your home insured altogether (though be sure to ask about basic fire protection policies that might still be an option to you when you seek out Alaska home insurance quotes).
Shopping Around for Alaska Home Insurance
With all these factors to consider, the obvious question that most Alaskans ask is how does one go about finding the best rates possible when it comes to homeowners insurance? The answer is surprisingly simple: shop around, and shop around often. By casting a wide net and comparing as many Alaska home insurance quotes as possible, you can be certain you're getting the biggest bang for your buck. And by reaching out to a number of insurance providers before you sign any papers, you'll be much more likely to find an agent who will work in your best interests and help you sort out the complex storm of insurance options that every Alaskan has to weather when putting together a homeowners policy. Whether you go it alone, or save yourself the time and trouble by using a reputable service like NetQuote .com to gather quotes for you, homeowners who do their homework are going to get the best Alaska home insurance quotes every time.