Financial Responsibility and Mandatory Insurance
If you own or drive a car, you must have automobile insurance on the car. You must also carry proof of insurance (an insurance card) at all times.
Alaska’s financial responsibility law requires a vehicle owner or driver to have liability insurance to protect others if you cause an accident that hurts another person or damages their property. The smallest amount of liability insurance allowed by Alaska law is $50,000 per person, $100,000 per accident for bodily injury or death and $25,000 for property damage per accident. Certain rural areas in Alaska are exempt from these mandatory insurance requirements.
The person driving the vehicle is the person responsible for making sure the vehicle is insured before driving the vehicle. If you drive without insurance, or without proof of insurance in your possession, you may be fined or your driver’s license may be suspended. Your insurance company can provide extra cards so that every driver in a family has one with them.
When you apply for auto insurance, the company may ask for a credit report and use your credit history in part to set the rate. Automobile insurance can be expensive in Alaska. It is a good idea to find out how much insurance will cost before you buy a car because having insurance is part of the price of driving a car.
First, STOP. In Alaska, you must stop after an accident that results in injury, death, or damage to property. You must help any injured person at the scene of the accident. You also must exchange names, addresses and vehicle license numbers with the driver of the other vehicle. If you do not do these things, you may be charged with a crime called leaving the scene of an accident. You could be fined or imprisoned for leaving the scene of an accident.
When parents consent to a child under 18 getting a driver’s license, they agree to accept liability for damages the minor child may cause by driving a vehicle. That means that you and your family will have to pay for any damage you cause.