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1.1 Alaska Division of Insurance

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Alaska Property & Casualty Insurance State

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1 Standalone Coverage Map

Standalone Coverage Map

2 Introduction: Alaska Property & Casualty Insurance Exam Overview

Alaska Property & Casualty Exam Overview

3 National Portion: Insurance Fundamentals

1.1 Risk, Hazards, Perils, and the Law of Large Numbers 1.2 Insurable Interest, Indemnity, and Other Insurance Principles 1.3 Insurance Contract Law and Elements 1.4 Policy Structure: Declarations, Insuring Agreement, Conditions, Exclusions 1.5 Parties, Agents vs. Brokers, and Authority

4 National Portion: Property Insurance Concepts

2.1 Causes of Loss / Named-Peril vs. Open-Peril 2.2 Valuation: ACV, Replacement Cost, and Functional Value 2.3 Coinsurance and the Coinsurance Formula 2.4 Deductibles, Limits, and Loss Settlement 2.5 Common Property Policy Conditions and Clauses

5 National Portion: Dwelling Policies (DP)

3.1 Dwelling Policy Forms DP-1, DP-2, DP-3 3.2 Dwelling Coverages A-E and Other Coverages 3.3 Dwelling Perils, Conditions, and Endorsements 3.4 Mobile Home and Specialized Dwelling Coverage

6 National Portion: Homeowners Policies - Forms & Section I

Homeowners Forms HO-2 through HO-8 and Eligibility Section I Coverages A-D and Additional Coverages Section I Perils Insured Against and Exclusions Replacement Cost vs. ACV and Loss Settlement in Homeowners

7 National Portion: Homeowners Policies - Section II & Endorsements

Section II Coverages E (Liability) and F (Medical Payments) Homeowners Conditions and Duties After Loss Common Homeowners Endorsements

8 National Portion: Personal Auto Policy - Liability & Injury

6.1 Personal Auto Policy Structure and Eligibility 6.2 Part A Liability and Supplementary Payments 6.3 Part B Medical Payments 6.4 Part C Uninsured/Underinsured Motorists

9 National Portion: Personal Auto Policy - Physical Damage & Duties

7.1 Part D Coverage for Damage to Your Auto 7.2 Exclusions and Part E Duties After an Accident 7.3 Part F General Provisions, Endorsements, and No-Fault Concepts

10 National Portion: Liability Insurance Concepts

8.1 Negligence, Torts, and Legal Liability 8.2 Defenses, Damages, and Vicarious Liability 8.3 Occurrence vs. Claims-Made Triggers 8.4 Bodily Injury, Property Damage, and Personal/Advertising Injury

11 National Portion: Commercial Property Insurance

9.1 Commercial Package Policy Structure and Common Policy Conditions 9.2 Building and Personal Property Coverage Form (BPP) 9.3 Causes of Loss Forms (Basic, Broad, Special) 9.4 Business Income and Extra Expense 9.5 Commercial Property Endorsements and the BOP

12 National Portion: Commercial General Liability - Coverages

10.1 CGL Coverage A: Bodily Injury and Property Damage Liability 10.2 CGL Coverage B: Personal and Advertising Injury, Coverage C: Medical Payments 10.3 Who Is an Insured and Supplementary Payments

13 National Portion: Commercial General Liability - Limits, Triggers & Exclusions

11.1 CGL Limits of Insurance and Aggregates 11.2 Occurrence vs. Claims-Made CGL and Retroactive Dates 11.3 Key CGL Exclusions and Endorsements

14 National Portion: Commercial Auto Insurance

12.1 Business Auto Coverage Form and Covered Auto Symbols 12.2 Commercial Auto Liability and Physical Damage 12.3 Motor Carrier / Trucking and MCS-90 12.4 Garage Coverage Form and Garagekeepers 12.5 Commercial Auto Endorsements

15 National Portion: Workers Compensation

13.1 Workers Compensation Statutory Background and Benefits 13.2 Part One (Workers Comp) and Part Two (Employers Liability) 13.3 Premium Basis, Experience Modification, and Classification 13.4 Other States, USL&H, and Federal Acts 13.5 Workers Comp Exclusions and Endorsements

16 National Portion: Other Commercial Lines - BOP, Crime & Marine

14.1 Businessowners Policy (BOP) in Depth 14.2 Crime and Fidelity Coverage 14.3 Inland Marine and Nationwide Marine Definition 14.4 Ocean Marine Coverages (Hull, Cargo, Freight, P&I)

17 National Portion: Other Commercial Lines - Specialty & Professional

15.1 Farm and Agricultural Coverage 15.2 Commercial Umbrella and Excess Liability 15.3 Professional Liability and Errors & Omissions 15.4 Directors & Officers and Employment Practices Liability

18 National Portion: Other Commercial Lines - Surety, Flood & Specialty

16.1 Surety and Fidelity Bonds 16.2 National Flood Insurance Program (NFIP) 16.3 Cyber, Aviation, and Other Specialty Lines

19 National Portion: Insurance Regulation & Market Conduct

17.1 State Regulation, Licensing, and the McCarran-Ferguson Act 17.2 Rates, Forms, Solvency, and Guaranty Associations 17.3 Producer Authority, Fiduciary Duty, and Company Operations

20 National Portion: Ethics & Unfair Trade Practices

18.1 Unfair Trade Practices and Unfair Claims Settlement 18.2 Producer Ethics, Errors & Omissions Exposure, and Fiduciary Conduct 18.3 Privacy, Fraud, and Consumer Protection

21 Chapter 1: Alaska P&C Insurance Regulation & Licensing

1.1 Alaska Division of Insurance 1.2 Alaska P&C Producer Licensing Requirements 1.3 Alaska Producer Duties and Responsibilities

22 Chapter 2: Alaska Property Insurance

2.1 Alaska Homeowners Insurance 2.2 Alaska Property Insurance Policy Provisions

23 Chapter 3: Alaska Auto & Casualty Insurance

3.1 Alaska Auto Insurance Requirements 3.2 Alaska Commercial Liability Insurance

24 Chapter 4: Alaska Ethics & Professional Conduct

4.1 Alaska Ethical Standards for Insurance Producers 4.2 Alaska Privacy Laws and Regulatory Compliance

1.1 Alaska Division of Insurance

Key Takeaways Explain This Topic AI

The Alaska Division of Insurance operates under the Department of Commerce, Community, and Economic Development

The Director of Insurance is appointed by the Governor and confirmed by the Alaska Legislature

Alaska uses a file-and-use system for most property and casualty insurance rates

The Division handles licensing, rate review, market conduct examinations, and consumer complaints

  • Alaska Insurance Code is found in Alaska Statutes Title 21
  • Last updated: January 2026

The Alaska Division of Insurance is the state agency responsible for regulating the Property & Casualty insurance industry in Alaska. The Division operates as part of the larger Department of Commerce, Community, and Economic Development, ensuring fair insurance practices and protecting Alaska consumers.

  • Organizational Structure
  • The Director of Insurance

The Director of the Division of Insurance is:

  • Appointed by the Governor of Alaska
  • Confirmed by the Alaska Legislature
  • Serves at the pleasure of the Governor
  • Responsible for enforcing Alaska Statutes Title 21 (Insurance Code)
  • Authorized to adopt regulations, review rates, investigate violations, and discipline licensees
  • Division Location & Contact
  • Main Office (Anchorage)
  • Address : 550 W 7th Avenue, Suite 1560, Anchorage, AK 99501
  • Phone : (907) 269-7900
  • Fax : (907) 269-7910
  • Email : insurance@alaska.gov
  • Website : commerce.alaska.gov/web/ins
  • Juneau Office
  • Address : P.O. Box 110805, Juneau, AK 99811-0805
  • Phone : (907) 465-2515
  • Consumer Services & Licensing
  • Toll-Free : (800) 467-8725
  • Email : insurancelicensing@alaska.gov
  • Hours : Monday-Friday, 8:00 AM - 4:30 PM Alaska Time

Exam Tip : Know that the Director is appointed by the Governor (not elected) and that Alaska's insurance code is in Title 21 of Alaska Statutes.

Director Powers and Duties

The Director of Insurance has broad authority to regulate the insurance industry:

  • Power Category Specific Authority
  • Licensing Issue, suspend, revoke, and deny producer and company licenses
  • Rate Review Review and approve/disapprove P&C insurance rate filings
  • Market Conduct Examine insurer business practices and financial condition
  • Enforcement Investigate violations, conduct hearings, impose penalties
  • Consumer Protection Handle complaints, mediate disputes, educate consumers
  • Rulemaking Adopt regulations (3 AAC) interpreting Alaska Insurance Code
  • Reporting Require annual statements and financial reports from insurers
  • Examination Authority

The Director may examine:

  • Insurance companies - Financial condition, market conduct, claims practices
  • Producers - Records, transactions, trust accounts
  • Adjusters and other licensees - Compliance with laws and regulations

Examinations can be:

  • Routine - Scheduled periodic reviews
  • For cause - Based on complaints or suspicious activity
  • Financial - Solvency and reserve adequacy
  • Market conduct - Sales practices, claims handling, consumer treatment
  • Alaska Insurance Code
  • Alaska Statutes Title 21

The primary source of Alaska insurance law is Alaska Statutes Title 21 , which covers:

  • Chapter Topic
  • AS 21.06 Alaska Insurance Code organization
  • AS 21.09 Insurance companies (formation, licensing)
  • AS 21.27 Insurance producers and licensees
  • AS 21.36 Regulation of rates and policy forms
  • AS 21.42 Unfair trade practices and fraud
  • AS 21.54 Property and casualty insurance
  • AS 21.96 Penalties and enforcement
  • Alaska Administrative Code

Regulations adopted by the Division are found in 3 AAC (Alaska Administrative Code) :

  • 3 AAC 21 - Producer licensing regulations
  • 3 AAC 23 - Rate and form filing requirements
  • 3 AAC 25 - Consumer protection provisions
  • 3 AAC 26 - Insurance company regulations

Study Strategy : You don't need to memorize statute numbers, but understand what topics Alaska law covers and where to find information.

Rate Regulation System

Alaska uses a file-and-use system for most property and casualty insurance rates:

  • File-and-Use Process
  • Insurers file rates with the Division
  • Rates can be used immediately upon filing (no prior approval required)
  • Division reviews rates for compliance within 30-60 days

Director may disapprove rates if found:

  • Excessive (unreasonably high)
  • Inadequate (insufficient to be actuarially sound)
  • Unfairly discriminatory (not based on sound actuarial principles)
  • Exceptions: Prior Approval Required

Certain lines require prior approval before use:

  • Workers' compensation insurance rates
  • Medical professional liability rates
  • Rates for residual market mechanisms
  • Rate Standards

Alaska law requires rates to be:

  • Requirement Definition
  • Not excessive Not likely to produce unreasonable profit
  • Not inadequate Sufficient to sustain expected losses and expenses
  • Not unfairly discriminatory Based on sound actuarial principles and risk factors

Exam Tip : Alaska's file-and-use system allows immediate use of rates while maintaining regulatory oversight. This balances market flexibility with consumer protection.

  • Consumer Protection
  • Consumer Services Division

The Division's Consumer Services section handles:

  • Complaints - Investigate consumer complaints against insurers/producers
  • Inquiries - Answer questions about coverage, rates, claims
  • Education - Provide guides and resources
  • Mediation - Facilitate dispute resolution
  • Filing a Complaint

Alaska consumers can file complaints:

  • Online - Through Division website
  • Phone - (800) 467-8725 toll-free
  • Mail - Written complaint to Anchorage office
  • Email - insurance@alaska.gov

Required Information :

  • Consumer's contact information
  • Insurance company/producer name
  • Policy number
  • Description of issue
  • Supporting documentation
  • Division Response Process
  • Step Timeline Action
  • Acknowledgment 5 business days Confirm receipt of complaint
  • Investigation 30-45 days Review facts, contact parties
  • Resolution 60-90 days Facilitate settlement or issue findings
  • Appeal 30 days Consumer may appeal decision
  • Market Conduct & Enforcement
  • Market Conduct Examinations

The Division conducts periodic examinations of insurers to ensure compliance with:

  • Fair claims handling practices
  • Proper policy issuance and cancellation procedures
  • Accurate rate application
  • Timely premium accounting
  • Proper producer supervision
  • Consumer protection laws
  • Enforcement Actions

The Director may take action against insurers or producers who violate Alaska law:

  • Violation Level Possible Actions
  • Minor Warning letter, corrective action plan
  • Moderate Fine (up to $25,000 per violation), suspension
  • Serious License revocation, cease and desist order
  • Criminal Referral to Alaska Attorney General for prosecution
  • Civil Penalties
  • Per violation : Up to $25,000
  • Continuing violations : Up to $10,000 per day
  • Willful violations : Enhanced penalties
  • Restitution : May be ordered to compensate harmed consumers
  • Alaska's Insurance Marketplace
  • Market Characteristics

Alaska's insurance market is unique due to:

  • Factor Impact
  • Small population ~731,000 residents (2025) - limited competition
  • Geographic isolation Higher costs, fewer carriers in remote areas
  • Natural hazards High earthquake risk, extreme weather, permafrost
  • Economic factors Resource-dependent economy, seasonal employment
  • Regulatory balance Strong consumer protection with market flexibility
  • Licensed Insurers

As of 2026, Alaska has approximately:

  • 200+ property and casualty insurers licensed
  • 50+ major carriers writing significant premium
  • 15-20 dominant carriers in most markets
  • Limited competition in rural areas
  • Producer Landscape
  • 5,000+ licensed insurance producers statewide
  • 60% located in Anchorage or Mat-Su Valley
  • Growing demand for producers in underserved areas
  • Career opportunity in Alaska's expanding insurance market
  • Division Responsibilities Summary
  • Core Functions
  • Licensing & Regulation
  • License insurance companies and producers
  • Monitor financial solvency of insurers
  • Review policy forms for compliance
  • Rate & Form Review
  • Examine rate filings for appropriateness
  • Approve/disapprove policy forms
  • Investigate rate discrimination complaints
  • Consumer Protection
  • Handle consumer complaints and inquiries
  • Conduct market conduct examinations
  • Educate consumers about insurance
  • Enforcement
  • Investigate violations of insurance law
  • Impose penalties and discipline
  • Prosecute insurance fraud
  • Industry Oversight
  • Monitor market trends and competition
  • Coordinate with NAIC (National Association of Insurance Commissioners)
  • Maintain insurer financial surveillance

Key Concept : The Division's primary mission is protecting Alaska consumers while fostering a competitive, solvent insurance marketplace.