Who Has Affordable Auto Insurance for Retired Military in Anchorage?

The words “low-priced” and “insurance” really should not be used together, specifically when you are searching for the best car insurance for retired military. In an attempt to save some money, let’s learn about a few of the factors that influence car insurance rates, and figure out some ways to lower the cost of the next policy you buy.

The make and model of vehicle you are buying coverage for is one of the largest considerations when comparing quotes for the cheapest auto insurance for retired military. Vehicles with limited top-end speed, modern passenger safety features, or a track record of few liability claims will cost significantly less to insure than higher performance models. The next table shows auto insurance prices for a number of the cheapest automobiles to insure.

Cheapest Vehicles to Insure in Anchorage, AK
Vehicle Insured Estimated Cost for Full Coverage
Honda CR-V EX-L 2WD $1,353
Honda Accord EX 4-Dr Sedan $1,452
Ford Escape XLT 4WD $1,488
Chevrolet Impala LS $1,543
Chevrolet Malibu Hybrid $1,572
Chevrolet Equinox LT 2WD $1,580
Ford Explorer Limited 2WD $1,603
Ford F-150 FX2 2WD $1,611
Toyota Prius $1,660
Hyundai Sonata GLS 4-Dr Sedan $1,683
Ford Fusion SEL 4-Dr Sedan $1,689
Toyota Tacoma 4WD $1,698
GMC Sierra 3500HD SLT Extended Cab 2WD $1,717
Toyota RAV4 Limited 4WD $1,725
Ford Focus SE 4-Dr Sedan $1,733
Volkswagen Jetta S 4-Dr Sedan $1,772
Toyota Camry LE $1,782
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Data assumes single male driver age 30, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Alaska minimum liability limits. Discounts applied include multi-vehicle, safe-driver, claim-free, homeowner, and multi-policy. Information does not factor in specific zip code location which can increase or decrease price quotes considerably.

Looking at the data, you can infer that vehicles like the Honda CR-V, Honda Accord, Ford Escape, and Chevrolet Impala are most likely to be the more affordable vehicles to insure for veterans.

Deciding which company quotes the cheapest auto insurance rates for retired military involves a tad more effort than just comparing a company or two. Every insurance company uses a little different formula for establishing rates, so let’s take a look at the lowest cost auto insurance companies in Anchorage, AK.

Best Car Insurance Prices for Vets

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Who has the cheapest car insurance in Alaska?
Rank Company Cost Per Year
1 Umialik $901
2 USAA $957
3 State Farm $965
4 Progressive $1,210
5 GEICO $1,962
6 Allstate $2,327
7 Safeco $2,526
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Umialik normally has some of the most affordable car insurance rates in Anchorage at around $901 each year. USAA, State Farm, Progressive, and GEICO would also be considered some of the cheapest Anchorage, AK car insurance companies.

As illustrated above, if you have coverage with Progressive and switched to USAA, you could see an annual savings of in the neighborhood of $253. Policyholders with GEICO may save as much as $1,005 a year, and Allstate customers might see rate reductions of $1,370 a year.

It’s important to note that these prices are averaged for all types of drivers and the different vehicles they drive and and are not figured with a specific vehicle garaging location for retired military. So the company that has the cheapest price for you may not even be in the list above. That’s why you need to get auto insurance quotes using your own driver and vehicle profiles.

For veterans, one of the largest factors that help determine auto insurance rates is where you keep your car in Anchorage. Areas with high crime rates or more dense population tend to pay more, whereas areas that tend to be more rural benefit from having to pay less for coverage.

The illustration below ranks the most costly cities in Alaska for retired military to buy car insurance in. Anchorage is ranked #2 having an annual price of $1,295 for the average insurance policy, which is approximately $108 per month.

How much does car insurance cost in Anchorage, AK?
Rank City Average Per Year
1 Meadow Lakes $1,304
2 Anchorage $1,295
3 Fairbanks $1,284
4 Palmer $1,265
5 Wasilla $1,240
6 Sterling $1,238
7 Kenai $1,238
8 College $1,232
9 Nikiski $1,202
10 Homer $1,202
11 Kodiak $1,191
12 Ketchikan $1,024
13 Juneau $1,009
14 Sitka $957
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Prices are approximated as specific Anchorage garaging address can change coverage prices considerably.

The information below demonstrates how deductibles can influence insurance premiums when trying to find cheap insurance for retired military. The rates are based on a married female driver, comprehensive and collision coverage, and no other discounts are factored in.

A 40-year-old driver could reduce rates by $222 a year by changing their physical damage coverage from a $100 deductible to a $500 deductible, or save $336 by switching to a $1,000 deductible. Even younger insureds, like the 20-year-old, could roll back prices $552 every year just by using higher deductibles. When insureds make the decision to increase the deductibles on their policy, it will be necessary to have plenty of discretionary funds to enable you to pay the extra out-of-pocket expense that is associated with using high deductibles.

Get discount Anchorage auto insurance

Save on auto insurance for veterans in AnchorageCar insurance companies that offer coverage for retired military could also offer rate discounts that can lower rates by as much as 25% or more if you qualify. A list of companies and their offered discounts include:

The diagram below compares auto insurance rates with and without policy discounts. The prices are based on a female driver, no driving violations, no at-fault accidents, Alaska state minimum liability limits, full physical damage coverage, and $500 deductibles.

The first bar for each age group shows the average annual price with no discounts. The lower bar shows the rates with accident-free, claim-free, passive restraint, defensive driving course, homeowner, and marriage discounts applied. When drivers qualify for the discounts, theaverage amount saved on auto insurance for retired military is 28% or $459.

Liability-only versus full coverage

Reducing the cost of auto insurance is probably important to the majority of drivers, and an easy way to reduce the cost of insurance for retired military is to only buy liability coverage. The chart below illustrates the comparison of insurance premiums with full coverage and liability only. The rate quotes are based on no tickets, no at-fault accidents, $100 deductibles, marital status is single, and no additional discounts are factored in.

If we average all the age groups together, physical damage coverage costs $1,566 per year over liability only. That may make you wonder if paying for full coverage is worth it. There is no exact rule for dropping full coverage, but there is a general guideline. If the annual cost of having full coverage is more than around 10% of any settlement you would receive from your insurance company, then it’s probably a good time to buy liability coverage only.

For example, let’s pretend your vehicle’s settlement value is $9,000 and you have $1,000 full coverage deductibles. If your vehicle is damaged in an accident, the most your company would pay you is $8,000 after paying your policy deductible. If you are paying in excess of $800 annually for full coverage, then you may need to consider dropping full coverage.

There are a few situations where buying only liability insurance is not advised. If you still have a loan on your vehicle, you are required to maintain full coverage in order to prevent the bank from purchasing higher-priced coverage. Also, if your savings is not enough to buy a different vehicle in the event your current vehicle is totaled, you should not drop full coverage.