INSURANCE - CAR INSURANCE

Best Car Insurance in South Dakota for 2024

Updated April 17, 2024
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State Farm and USAA generally have the best car insurance in South Dakota.

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South Dakota offers many sites to explore by car, like Mount Rushmore, the Badlands, and the Black Hills. And while car insurance in South Dakota is generally cheaper than in other states, knowing where to find the best deal can help you save more without sacrificing coverage.

In this article

Key takeaways

  • The best car insurance in South Dakota is State Farm, which costs $927 a year for comprehensive coverage.
  • Drivers with a clean driving record pay an average of $107 monthly in South Dakota.
  • Rapid City drivers typically pay the most in the state, an annual average of $1,797.

Best car insurance companies in South Dakota

State Farm and USAA generally have the best car insurance in South Dakota, with the lowest total and minimum coverage costs, respectively. Auto-Owners offers the most expensive full coverage insurance annually, averaging $1,726. However, Auto-Owners minimum coverage is the second cheapest on our list. Farmers has the highest minimum insurance cost, averaging $1,628 per year.

Provider J.D. Power customer satisfaction rating Estimated annual full coverage Estimated annual minimum liability coverage
USAA 890/1,000 $1,148/year $188/year
American Family 837/1,000 $1,324/year $362/year
State Farm 833/1,000 $927/year $285/year
Auto-Owners 829/1,000 $1,726/year $192/year
Allstate 829/1,000 $1,101/year $397/year
Farmers 819/1,000 $1,628/year $482/year
Progressive 803/1,000 $1,379/year $424/year

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USAA: Highest customer satisfaction

USAA earned the highest customer satisfaction rating in South Dakota and has the cheapest minimum liability coverage, averaging just $188 annually. It provides standard coverages and some optional coverages like roadside assistance and rental reimbursement. While USAA is an excellent option, only current and former military members and their families can apply for USAA policies.

Pros
  • USAA had the best minimum coverage pricing in South Dakota
  • It offers multiple discounts, including up to 30% off for using the SafePilot program
Cons
  • USAA policies are not available to people outside the military
  • You can likely find lower rates on full coverage insurance with a competitor

Get a quote now | USAA review

State Farm: Most affordable coverage

State Farm has the most affordable full coverage car insurance in South Dakota. Customers pay an average of $927 yearly for full coverage, and its minimum coverage costs an average of $285 annually. State Farm earned the third-highest customer satisfaction score in the state and offers many standard and optional coverages and a list of discounts to help you save more.

Pros
  • State Farm had the lowest cost on full coverage car insurance in South Dakota
  • It has multiple agents throughout the state
Cons
  • You can request a quote online but must work with a local agent to purchase a policy
  • State Farm earned only average customer satisfaction scores

Get a quote now | State Farm review

Auto-Owners: Best budget pick

Auto-Owners may be a good option for those on a tight budget. It offers the cheapest minimum coverage available to the general public, costing a yearly average of $192. However, its full coverage was the most expensive option on our list, averaging $1,726 a year. Auto-Owners only provides quotes through independent agents but offers multiple policy options.

Pros
  • Auto-Owners had the most affordable minimum coverage in South Dakota
  • It has multiple coverage options, including gap policies and accident forgiveness
Cons
  • It was the most expensive full coverage option in South Dakota
  • Auto-Owners does not have as many discounts as some competitors

Get a quote now | Auto-Owners review

Allstate: Best for new cars

Allstate offers the second-best full coverage insurance pricing in South Dakota, averaging $1,101 per year. Its minimum coverage costs an average of $397 annually. Allstate tied fourth in customer satisfaction scores, but it has policies that specifically protect new cars, like loan/lease payoff, new car replacement, and repair provision coverages.

Pros
  • Allstate has many policy options, including accident forgiveness and gap coverage
  • It is the second cheapest full coverage insurance in South Dakota
Cons
  • Allstate only has four agents in South Dakota
  • It earned below-average customer service ratings

Get a quote now | Allstate review

Farmers: Best for coverage options

Farmers insurance offers the most expensive minimum liability coverage in South Dakota, costing an average of $482 annually. Its full coverage was the second-most expensive option behind Auto-Owners, costing an average of $1,628 per year. While you’ll likely pay more with Farmers, its extensive policy options could make it a good choice for some people.

Pros
  • Farmers offers multiple policy options, including for loss of use and customized equipment
  • Its glass deductible buyback can help you save
Cons
  • Farmers is one of the most expensive options for auto insurance in South Dakota
  • It earned the second-lowest customer satisfaction score on our list

Get a quote now | Farmers review

South Dakota auto insurance requirements

Most states require drivers to have a minimum amount of car insurance to drive legally. The minimum insurance requirements in South Dakota are:

  • $25,000 in bodily injury liability for one person in an accident
  • $50,000 in bodily injury liability for two or more people in an accident
  • $25,000 in property damage liability
  • $25,000 per person and $50,000 per accident in uninsured/underinsured motorist coverage

How to choose a car insurance provider in South Dakota

If you’re researching a new car insurance provider, consider the following to help you get the best deal:

  • Check financial stability: Use a website like Standard & Poor’s or AM Best to check each insurance company's financial rating. Confirm that the company is licensed in South Dakota by checking with the South Dakota Division of Insurance or the National Association of Insurance Commissioners (NAIC).
  • Get multiple quotes: Compare pricing and coverage options from at least three companies and check that the coverage types, limits, and add-ons are similar for a more accurate comparison. Double check you are getting all of the discounts you qualify for.
  • Search for reviews: Check websites like the Better Business Bureau to see how a company responds to and resolves customer issues. Ask friends and family for recommendations if you are new to an area.

How much does car insurance cost in South Dakota?

The average cost of car insurance in South Dakota is $1,284 per year for full coverage and $345 for the state’s minimum coverage.

Drivers in Rapid City generally pay the most for car insurance, an annual average of $1,797 for full coverage. Sioux Falls residents pay a yearly average of $1,406, the lowest in the state.

South Dakota car insurance rates by city

Cities with a high crime rate are likely to pay more for car insurance, especially when there’s a higher property crime rate, like vehicle theft. Analytics site NeighborhoodScout reports that Rapid City residents, who pay the most for car insurance in the state, have a one-in-28 chance of being the victim of a property crime like car theft.

Comparatively, drivers in Sioux Falls, who pay the least for car insurance, have a one-in-33 chance of being victimized by property crime.

City Avg. annual full-coverage premium
Rapid City$1,797/year
Yankton $1,632/year
Watertown $1,510/year
Aberdeen $1,482/year
Brookings $1,437/year
Sioux Falls $1,406/year

Methodology

Our analysis was conducted using six different auto insurance marketplaces to determine the best auto insurance in each state. The data we analyzed included coverage premiums from up to 10 different insurance providers. We looked at rates by city, driver profile, and credit score, as well as factored in the impact of driving violations. This data is for comparative purposes only. Your actual quote may be different.

FAQs about car insurance costs in South Dakota

What are the minimum car insurance coverage requirements in South Dakota?

The minimum insurance requirements in South Dakota are $25,000 in bodily injury liability for one person in an accident and $50,000 for two or more people. Drivers must also have $25,000 in property damage liability.

Finally, drivers must have $25,000 per person and $50,000 per accident in uninsured/underinsured motorist coverage.

How much does car insurance cost in South Dakota?

Car insurance in South Dakota costs an average of $1,284 per year for full coverage and $345 for the state’s minimum coverage.

Which car insurance companies cover South Dakota?

Multiple car insurance companies, including State Farm, USAA, Allstate, Farmers, and Auto-Owners, cover South Dakota.

What is the cheapest car insurance company in South Dakota?

The best car insurance in South Dakota is from State Farm, where full coverage costs an average of $927 per year. USAA offers the cheapest minimum coverage for those who qualify, costing an average of $188 annually.

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Author Details

Kate Daugherty Kate Daugherty is a professional writer with a passion for providing others the head start they deserve on their financial journeys. Largely self-taught, Kate relied on books, blogs, and trial-and-error to learn how to budget and save for the future, all while working to pay back about $15,000 in student loans.