The words “cheap” and “auto insurance” probably shouldn’t be used in the same sentence, in particular when you are looking for the cheapest coverage for postal workers. Because of the high cost, let’s teach you some situations that have an effect on insurance rates, and come up with some ideas to take a little off the next policy you buy.
Figuring out which company offers the best auto insurance rates for postal workers requires a little more work than just comparing rates from one or two companies. Each company uses their own method to determine premium rates, so we will examine the lowest cost auto insurance companies in Anchorage, AK.
It’s a good idea to be aware that Anchorage, AK auto insurance rates are influenced by many factors that will increase or decrease the price you pay for coverage. Simply improving your credit, filing a claim, or having a fender bender can produce rate changes that can cause some rates to be cheaper than before.
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Umialik offers some of the most affordable car insurance rates in Anchorage at around $901 each year. This is $642 less than the average price paid by Alaska drivers of $1,543. USAA, State Farm, Progressive, and GEICO would also be considered some of the cheaper Anchorage, AK car insurance companies.
As shown above, if you are a policyholder with Progressive and switched to USAA, you could see annual savings of approximately $294. Drivers with GEICO may save as much as $1,033 a year, and Allstate policyholders might reduce prices by as much as $1,398 a year.
Remember that these policy rates are averages for all ages of drivers and types of vehicles and and are not calculated with a specific location for postal workers. So the company that is most affordable for your situation may not even be in the list above. That’s why you need to get rate quotes using your own driver and vehicle profiles.
For postal employees, one of the big criteria that aid in calculating car insurance rates is where you call home in Anchorage. Larger areas likely pay more, whereas areas with lower crime rates and fewer weather claims benefit from lower coverage costs.
The illustration below lists the most expensive places in Alaska for postal workers to buy car insurance in. Anchorage is ranked #4 with the annual price of $1,256 on average, which is approximately $105 per month.
Rank | City | Annual Premium |
---|---|---|
1 | Fairbanks | $1,284 |
2 | Wasilla | $1,266 |
3 | Palmer | $1,265 |
4 | Anchorage | $1,256 |
5 | Meadow Lakes | $1,252 |
6 | College | $1,244 |
7 | Homer | $1,226 |
8 | Nikiski | $1,226 |
9 | Kenai | $1,202 |
10 | Sterling | $1,190 |
11 | Kodiak | $1,155 |
12 | Ketchikan | $1,035 |
13 | Juneau | $999 |
14 | Sitka | $987 |
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Rate quotes are estimated as specific Anchorage garaging address can impact price quotes considerably.
Impact of careless driving on Anchorage auto insurance rates
In a perfect world, the ideal way to score the cheapest auto insurance prices for postal employees is to drive safely and avoid accidents and violations. The diagram below shows how traffic citations and at-fault collisions raise annual premium costs for different insured age categories. The premiums assume a single male driver, comprehensive and collision coverage, $500 deductibles, and no other discounts are factored in.
In the previous example, the average cost of car insurance in Alaska per year with a clean driving record and no accidents is $1,409. Add in two speeding tickets and the average cost increases to $1,864, an increase of $455 each year. Then add in two accidents along with the two speeding tickets and the annual cost of auto insurance for postal workers jumps again to an average of $3,560. That’s an increase of $2,151, or $179 per month, just for not driving responsibly!
Do you need full coverage?
Reducing the cost of auto insurance should be important to most vehicle owners, and an effective way to find cheap insurance for postal workers is to not buy full coverage. The chart below illustrates the difference between insurance costs with full coverage and liability only. The prices are based on a clean driving record, no claims, $500 deductibles, single marital status, and no additional discounts are factored in.
Averaged out for all age groups, comp and collision coverage costs $1,288 per year more than just buying liability only. That is a large expense which might make you wonder if paying for full coverage is a waste of money. There is no clear-cut rule of when to stop paying for physical damage coverage on your policy, but there is a guideline you can consider. If the yearly cost of comp and collision coverage is more than about 10% of the replacement cost minus the deductible, then you might want to think about dropping full coverage.
There are some situations where buying only liability insurance is not recommended. If you still have a lienholder on your title, you have to carry full coverage to satisfy the loan requirements. Also, if your savings is not enough to buy a different vehicle if your current one is damaged, you should not remove full coverage.
The importance of shopping around
Anchorage auto insurance rates are calculated based on many things that can increase the cost of having a policy. Getting older, increasing liability limits, or getting a few speeding tickets can produce rate changes that can cause some rates to be much cheaper than others.
In addition, insurers amend pricing as needed to ensure their profitability. A period of higher than normal claims may cause more expensive premiums, while a better loss history can cause lower-cost Anchorage car insurance rates.
For instance, the data below shows rates for the cheapest car insurance in Anchorage, AK for a 30-year-old female driver with a clean driving record, no accidents, and great credit. Based on her current risk profile, Umialik offers the best car insurance rates in Anchorage at $1,124 annually. This is $419 less than the average price paid by Alaska drivers of $1,543. State Farm, USAA, Progressive, and GEICO are the remaining cheapest Anchorage, AK auto insurance companies.
In this next rate comparison, we will give the driver from above a chargeable claim, bad credit, and a blemish on her driving record. Due to the fact that every auto insurer uses their own calculation to set their prices, comparing rates may now present a new list of affordable Anchorage car insurance companies as shown below.
USAA now has the lowest price on auto insurance in Anchorage with State Farm, Umialik, Progressive, and Safeco also being competitive. This example shows why Alaska drivers need to do a thorough rate comparison when trying to get the most budget-friendly insurance quotes for postal workers.
Car insurance prices can be determined by many risk factors and can change substantially, so the best company the last time you checked may now cost much more than other companies.
How to find economical auto insurance for postal workers
The list below summarizes a few thrifty solutions that can help Anchorage drivers get cheap car insurance.
- Pay lower rates with good credit
- You will pay more if you get tickets or have at-fault accidents
- Prevent rate increases by staying accident-free
- Vehicles with good safety ratings are usually cheaper to insure
- Pay for smaller claims out-of-pocket
- Shop around for cheaper prices
The last idea is notably necessary, as we hit on in this piece. Auto insurance rates go up and down frequently, so don’t be afraid to change insurance companies if a better rate can be found. Many drivers prefer to stick with one company, but it’s not recommended if that devotion results in you overpaying lots of money. In less than five minutes you could shop around and find cheaper auto insurance for postal workers in Anchorage.
The insurance agencies listed below can aid you in deciding which coverages and limits you need, as many people would rather get help from a professional when shopping around for cheaper insurance for postal employees. It can be complicated to find the cheapest car insurance policy, so insurance agents can bring comfort knowing you have suitable coverage if you ever need to use it.
To locate an Anchorage car insurance agency using an interactive map, click the button below the list.
- GEICO Insurance Agent
1830 E Parks Hwy a116 – Wasilla, AK 99654 – (907) 631-6001 - Marsh Mc Lennan Agency
1031 W 4th Ave #400 – Anchorage, AK 99501 – (907) 276-5617 - Safeco Insurance
500 W 36th Ave #210 – Anchorage, AK 99503 – (907) 770-2400