Both houses of the Alaska legislature have unanimously passed a bill that would allow commercial fishers to form insurance co-ops, helping them secure more affordable insurance options.
Commercial fishers in Alaska have complained that it is increasingly difficult for them to secure insurance, especially for smaller and older vessels.
“Insurance costs have risen sharply in recent years and represent an increasingly significant part of annual operating costs for fishermen,” Pacific Seafood Processors Association President Julie Decker said in a statement supporting the legislation. “The seafood industry often does not fit the regulatory or policy framework for other businesses, and the insurance options for Alaska’s fishermen are fairly limited. Some of Alaska’s fishing fleets have found a way to create associations for joint coverage, and we believe the State should support those efforts.”
To get around those insurance limitations, Alaska lawmakers have proposed a bill that would allow insurance pools for fishing vessels while exempting them from the state’s insurance code. According to lawmakers, three such coinsurance pools are already operating in Alaska, although they are based out of Washington, which has an insurance exemption for commercial fishers already in place.
The bill was one of several put forward by the Joint Legislative Task Force Evaluating Alaska’s Seafood Industry, a task force established by the legislature to address multiple crises impacting Alaska’s seafood sector. A NOAA Economic Snapshot report found that the state’s commercial seafood sector saw its profitability decline by 50 percent from 2022 to 2023, suffering a USD 1.8 billion (EUR 1.7 billion) loss. The task force held its first meeting in September 2024, issued its final report of recommendations in January 2025, and disbanded in February.
In addition to the Pacific Seafood Processors Association, the legislation has been backed by the Cordova District Fishermen United (CDFU) and the Southeast Alaska Fishermen’s Alliance.
“The ability to work cooperatively with other fishing and seafood professionals in Alaska would provide much-needed options for responsible, effective, and affordable insurance,” CDFU Board President Ezekiel Brown said in a letter supporting the bill. “Fishing businesses are unique and often struggle to fit into the regulatory frameworks developed for other fields of work. This exemption allows this critical component of Alaska’s economy and community traditions to engage in thoughtfully developing insurance frameworks that are fitting for our needs and the landscape in which we operate.”
The Alaska House passed the bill unanimously 25 April, and the Alaska Senate passed the bill unanimously 16 May. The legislation next goes to the Alaska governor for his signature.
