Best Car Insurance in South Dakota: Finding the best car insurance in South Dakota can feel like a daunting task, but it doesn’t have to be! Whether you’re a new driver or have years of experience, it’s essential to understand your coverage options and how to get the best deal. After all, car insurance is a legal requirement and can save you from a financial disaster if an accident occurs.
Let’s dive into everything you need to know about getting the best car insurance in South Dakota, from state requirements to tips on securing the lowest rates.
Understanding Car Insurance Requirements in South Dakota
Before shopping for car insurance, it’s crucial to know what’s required by law. South Dakota, like other states, has minimum coverage requirements that all drivers must meet. These include:
- Bodily Injury Liability: $25,000 per person / $50,000 per accident
- Property Damage Liability: $25,000 per accident
These limits cover damages to others in case you’re at fault in an accident. If you don’t carry insurance, you can face hefty penalties, including fines, license suspension, and even jail time in some cases. That’s why staying insured isn’t just a good idea—it’s the law!
Types of Car Insurance Coverage
When shopping for car insurance, you’ll come across several types of coverage. Understanding what each type offers can help you make an informed decision.
- Liability Coverage: This is the most basic form of car insurance. It covers damages and injuries you cause to others.
- Collision Coverage: This covers damages to your car resulting from a collision, regardless of who is at fault.
- Comprehensive Coverage: Protects against non-collision events like theft, vandalism, and natural disasters.
- Uninsured/Underinsured Motorist Coverage: Helps cover your costs if you’re hit by someone with little or no insurance.
- Personal Injury Protection (PIP): Covers medical expenses for you and your passengers, regardless of fault.
Factors that Affect Car Insurance Rates in South Dakota
When determining your premium, insurers look at a variety of factors:
- Driving Record: Clean records get better rates. Accidents, tickets, or DUIs? Expect your premiums to rise.
- Age and Gender: Younger drivers (especially males) typically pay more. As you gain experience, your rates often decrease.
- Vehicle Type and Age: Luxury and sports cars usually cost more to insure due to expensive repairs.
- Location: Living in a rural area? Your premiums could be lower than city dwellers, thanks to less traffic and fewer accidents.
- Credit Score: Yes, your credit score matters! Insurers believe it reflects your reliability and financial risk.
How to Get the Best Car Insurance Rates
So, how do you score the best deal on car insurance in South Dakota? Here are a few strategies:
- Compare Quotes: The easiest way to save is by shopping around. Compare quotes from at least three different providers to find the best rate.
- Look for Discounts: Many insurers offer discounts for things like good driving records, multiple cars, or bundling home and auto policies.
- Increase Your Deductible: A higher deductible (what you pay before insurance kicks in) can lower your monthly premium.
- Safe Driving: The safer you drive, the less you pay. Avoid speeding, texting while driving, and other high-risk behaviors.
Top Car Insurance Companies in South Dakota
While there are many insurers to choose from, some of the top-rated companies in South Dakota include:
- State Farm: Known for its personalized service and discounts for safe driving.
- Geico: Competitive rates and a simple online experience make it a favorite for many drivers.
- Progressive: Offers unique options like usage-based insurance and a Name Your Price tool.
Cheapest Car Insurance Companies in South Dakota
| Company | Avg. Annual Premium |
|---|---|
| Nationwide | $1,372 |
| Farmers | $1,410 |
| State Farm | $1,422 |
| GEICO | $1,579 |
| USAA | $1,610 |
| Allstate | $1,847 |
| Progressive | $2,386 |
South Dakota auto insurance laws
Car insurance is mandatory in almost every state, including South Dakota. If you choose the legal minimum coverage level in South Dakota, expect to pay an average of $254 annually. This expenditure is less expensive than the nationwide average by 53%.
State minimum coverage
In order to drive legally in the state of South Dakota, you must carry at least the minimum liability limits listed below:
Liability
- Bodily Injury $25,000 per person
- Bodily Injury $50,000 per accident
- Property Damage $25,000 per accident
Uninsured/Underinsured Motorist
- Bodily Injury $25,000 per person
- Bodily Injury $50,000 per accident
Optional coverage in South Dakota (varies by carrier):
- Comprehensive
- Collision
- Loan/Lease Payoff
- Medical Payments
- Rental Car Reimbursement
- Roadside Assistance
- Accidental Death
- Total Disability
If you opt for better coverage, you can choose a policy with comprehensive and collision, which will protect against the costs of car accidents, theft, vandalism, or weather incidents. But better coverage comes with a cost: in South Dakota, a comprehensive insurance policy with a $1,000 deductible costs $1,316, 418% more than liability-only car insurance. For a comprehensive policy with a $500 deductible, expect to pay 585% more than you would for basic coverage.
South Dakota car insurance premiums by rating factor
Your rates are determined by a number of individual factors, including your coverage level, driving history, location, and more. Explore average premium costs by rating factor below to get a better sense of how much you should be paying for auto insurance in South Dakota.
Cheap auto insurance in South Dakota for minimum coverage
Forgoing full coverage for liability-only at the state minimum level will make your car insurance significantly cheaper. In South Dakota, the average cost for minimum coverage is $21 per month, or $254 yearly — a savings of $1,485 compared to full coverage.
Cheap auto insurance in South Dakota for minimum coverage
| Company | Avg. Annual Premium |
|---|---|
| Progressive | $191 |
| USAA | $212 |
| GEICO | $269 |
| State Farm | $271 |
| Farmers | $333 |
| Nationwide | $360 |
| Allstate | $420 |
Cheap auto insurance in South Dakota with bad credit
Your credit history is an important factor in determining your car insurance rates. Many carriers see those with a poor credit score as being higher risk, meaning you could pay more for your policy. On average, South Dakota drivers with poor credit pay 61% more per year than those with exceptional credit. Have a look at some common rates by credit tier below.
Cheapest carrier for bad credit in South Dakota
| Company | Avg. Annual Premium |
|---|---|
| State Farm | $7,453 |
| Progressive | $4,021 |
| USAA | $3,171 |
| Allstate | $2,743 |
| Farmers | $2,022 |
| Nationwide | $1,946 |
| GEICO | $1,930 |
Cheap auto insurance in South Dakota with an at-fault accident
Your driving history plays a big part in how much you pay. Insurance companies look for previous accidents for which you have been at fault to gauge the level of risk you pose as a customer. An at-fault accident in recent years could see your car insurance rates increase by as much as $649 per year.
Safe driver discounts
In addition to having a cheaper premium, some companies offer a safe driving discount. While the amount varies based on your company, it can range between 5 and 10%.
Cheapest carriers for at fault accidents in South Dakota
| Company | Avg. Annual Premium |
|---|---|
| State Farm | $1,711 |
| Farmers | $1,830 |
| USAA | $2,071 |
| Nationwide | $2,196 |
| GEICO | $2,385 |
| Allstate | $2,487 |
| Progressive | $3,427 |
Cheap auto insurance for young drivers in South Dakota
Young drivers — aged between 16 and 25 — pay very high car insurance rates, with those aged 16 to 19 paying the most expensive premiums of all. Because of the risk presented by inexperienced drivers, teen drivers pay more than three times the national average for car insurance. In South Dakota, teen drivers pay especially high rates: $4,515 per year — $281 less than the nationwide average and over twice as much as a typical South Dakota driver.
Cheapest Carriers for teen drivers in South Dakota
| Company | Avg. Annual Premium |
|---|---|
| Nationwide | $3,826 |
| USAA | $3,996 |
| State Farm | $4,321 |
| GEICO | $4,329 |
| Farmers | $4,869 |
| Progressive | $8,095 |
| Allstate | $8,596 |
South Dakota auto insurance rate by violation
In South Dakota, a bad driving record will cause your rates to skyrocket. If you receive a ticket or citation, your auto insurance premiums will probably rise. By how much depends on the violation, your insurer’s pricing standards, and differing local insurance regulations and risks. That’s why tickets may have a different impact on insurance in your state compared to the national average. Car insurance premiums typically increase by 93% after a DUI and 43% after a speeding ticket.
See below average auto insurance rates in South Dakota after a few common citations.
Rates by violation in South Dakota
| Accident/Violation | Avg. Annual Premium | % Rate Increase | $ Rate Increase |
|---|---|---|---|
| One Med/PIP claim | $1,607 | 0% | $0 |
| None | $1,607 | 0% | $0 |
| Not-at-fault accident | $1,641 | 2% | $35 |
| Two Med/PIP claims | $1,695 | 6% | $88 |
| One comp claim | $1,701 | 6% | $94 |
| Two comp claims | $1,751 | 9% | $144 |
| Failure to wear a seat belt | $1,772 | 10% | $165 |
| Driving without lights | $1,787 | 11% | $180 |
| Child safety restraint | $1,787 | 11% | $180 |
| Failure to show documents | $1,808 | 13% | $201 |
| Driving with expired registration | $1,828 | 14% | $221 |
| Driving too slowly | $1,840 | 15% | $233 |
| Wrong way/wrong lane | $1,850 | 15% | $243 |
| Speeding 6 – 10 MPH over limit | $1,855 | 15% | $248 |
| Failure to stop at a red light | $1,859 | 16% | $252 |
| Cell phone violation | $1,864 | 16% | $257 |
| Texting while driving | $1,864 | 16% | $257 |
| Illegal turn | $1,865 | 16% | $258 |
| Failure to yield | $1,865 | 16% | $258 |
| Following too closely | $1,865 | 16% | $258 |
| Improper passing | $1,871 | 16% | $264 |
| Speeding 11 – 15 MPH over limit | $1,875 | 17% | $268 |
| Speeding 16 – 20 MPH over limit | $1,886 | 17% | $279 |
| At-fault accident – less than $1000 | $1,924 | 20% | $317 |
| Operating a vehicle without permission | $1,934 | 20% | $327 |
| In 65 MPH zone | $1,946 | 21% | $339 |
| Speeding in school zone | $1,992 | 24% | $385 |
| Speeding 21 – 25 MPH over limit | $2,035 | 27% | $428 |
| Passing school bus | $2,062 | 28% | $456 |
| Open container | $2,082 | 30% | $475 |
| At-fault accident – $1000-$2000 | $2,171 | 35% | $564 |
| At-fault accident – greater than $2000 | $2,211 | 38% | $604 |
| Reckless driving | $2,649 | 65% | $1,042 |
| Driving with a suspended license | $2,692 | 68% | $1,085 |
| Refusal to submit to a chemical test | $2,832 | 76% | $1,226 |
| Racing | $2,879 | 79% | $1,272 |
| DUI | $2,948 | 83% | $1,341 |
| Leaving scene of an accident/hit and run | $3,022 | 88% | $1,415 |
South Dakota DUI laws
In South Dakota, a DUI offense can increase your annual car insurance premium by an average of $1,225. That’s 31% more than the national average rate hike after a DUI. Finding affordable auto insurance in the wake of a DUI violation isn’t simple. In fact, a DUI often brings about a bigger premium increase than any single road violation — more than an at-fault accident, racing, or reckless driving.
Low-cost car insurance after a DUI in South Dakota
If you’re convicted of a DUI or DWI violation in South Dakota, it’s key to mull over each of your insurance choices carefully. Auto insurance premiums following a DUI can vary substantially by insurer. For example, the least expensive car insurance company with a DUI in South Dakota, State Farm, advertises annual rates 26% less than the statewide average insurance rate with a DUI. The second-cheapest insurer for auto insurance after a DUI in South Dakota is Farmers, while the priciest firm is GEICO, with prices 50% above average.
CAR INSURANCE RATES WITH DUI IN SOUTH DAKOTA — BY INSURER
Cheapest insurance companies in South Dakota for drivers with a DUI
| Company | Avg. Annual Premium |
|---|---|
| State Farm | $1,876 |
| Farmers | $2,117 |
| Progressive | $2,635 |
| Nationwide | $2,832 |
| USAA | $3,069 |
| Allstate | $3,081 |
| GEICO | $3,816 |
Rates by city
Car insurance companies calculate your rate based on many factors, the location of the vehicle being an important one. The cheapest car insurance is found in ?, South Dakota, and the most expensive in ?, South Dakota.
Have a look at the table below to see average car insurance costs in some of South Dakota’s biggest cities.
Cheapest rates by city in South Dakota
| City | Avg. Annual Premium |
|---|---|
| Brookings | $1,356 |
| Sioux Falls | $1,377 |
| Watertown | $1,378 |
| Aberdeen | $1,394 |
| Mitchell | $1,464 |
Car insurance price trends in South Dakota
In South Dakota, average annual auto insurance costs increased by $138 in the past year. A typical South Dakota driver pays an average of $1,578 per year.
The recent pricing trend in South Dakota leans closely to national car insurance costs. The steepest decrease occurred from 2017 to 2018, while the highest surge took place from 2018 to 2019. At the same time, car insurance rates across the United States have stayed relatively steady in the past few years, moving from $1,521 in 2018 to $1,529 in 2021.
SOUTH DAKOTA CAR INSURANCE RATE TRENDS
| Year | Avg. Annual Premium — South Dakota | Yearly Change — South Dakota | Avg. Annual Premium — US | Yearly Change — US |
|---|---|---|---|---|
| 2021 | $1,578 | $138 | $1,529 | $46 |
| 2020 | $1,440 | -$301 | $1,483 | -$61 |
| 2019 | $1,741 | $340 | $1,544 | $23 |
| 2018 | $1,401 | -$395 | $1,521 | $84 |
| 2017 | $1,796 | $234 | $1,437 | $69 |
| 2016 | $1,562 | -$323 | $1,368 | $88 |
| 2015 | $1,885 | $216 | $1,280 | $51 |
| 2014 | $1,669 | $155 | $1,229 | $34 |
| 2013 | $1,514 | -$63 | $1,195 | -$80 |
| 2012 | $1,577 | $323 | $1,276 | $82 |
Getting a Free Quote for Car Insurance in South Dakota
Wondering how to get a free quote? It’s easier than ever! Most insurers offer online quote tools. Here’s what you’ll need:
- Basic information about your car and driving history
- Personal details, including your age and address
- The type of coverage you’re looking for
After entering this information, you’ll receive an estimate. Be sure to get quotes from several companies and compare them side by side.
Discounts You Should Look For
When it comes to discounts, you may be eligible for several, such as:
- Multi-Car Discounts: Insure more than one vehicle and save.
- Good Driver Discounts: Have a clean record? Many insurers reward you with lower rates.
- Student Discounts: Young drivers who maintain good grades may qualify for reduced rates.
- Bundling Discounts: Combine home and auto insurance for a significant discount.
How Your Driving Record Impacts Your Premium
A clean driving record is one of the best ways to keep your premiums low. Speeding tickets, DUIs, and accidents can increase your rates by hundreds of dollars. To avoid this, drive defensively, avoid distractions, and obey traffic laws.
Special Considerations for Young Drivers in South Dakota
Teen and young adult drivers often face higher insurance rates due to their lack of experience. To mitigate these costs:
- Take Driver’s Education: Some insurers offer discounts for completing driving courses.
- Maintain Good Grades: Many insurers offer discounts to students with a B average or better.
- Choose a Safe Car: Some vehicles cost less to insure, particularly those with high safety ratings.
Impact of Location on Car Insurance Rates
Your location plays a big role in determining your premium. In South Dakota, urban areas like Sioux Falls typically have higher rates due to traffic congestion and accident frequency. Rural areas may see lower premiums thanks to fewer risks on the road.
How to Lower Your Car Insurance Costs
Want to cut your car insurance bill? Here are a few tips:
- Take a Defensive Driving Course: Some companies offer discounts for completing a certified defensive driving course.
- Pay Your Premiums Upfront: You might get a discount for paying your premium in full rather than in monthly installments.
- Use Usage-Based Insurance: If you don’t drive much, consider a pay-as-you-go insurance plan.
Filing a Car Insurance Claim in South Dakota
If you’re ever in an accident, follow these steps to file a claim:
- Contact your insurance company as soon as possible.
- Provide details about the accident, including photos and police reports.
- Cooperate with your claims adjuster to assess the damage.
- Keep all receipts and documentation related to repairs.
The Role of Credit Scores in Car Insurance Premiums
Your credit score can have a significant impact on your premium. Insurance companies view those with higher credit scores as less risky. To improve your credit score (and lower your premium):
- Pay bills on time
- Keep credit card balances low
- Check your credit report for errors
FAQs about Car Insurance in South Dakota
What are the minimum car insurance requirements in South Dakota?
In South Dakota, drivers are required to have at least the following minimum coverage: $25,000 for bodily injury per person, $50,000 for bodily injury per accident, and $25,000 for property damage per accident. This is often referred to as 25/50/25 coverage.
Is uninsured motorist coverage mandatory in South Dakota?
Yes, uninsured motorist coverage is mandatory in South Dakota. This coverage helps pay for damages caused by a driver who does not have insurance. The minimum limits are the same as the liability coverage minimums, at 25/50/25.
How does South Dakota’s no-fault insurance work?
South Dakota is not a no-fault state. This means that the driver who is at fault for an accident is responsible for paying the damages. In contrast, in a no-fault state, each driver’s insurance would cover their own injuries and damages without regard to who caused the accident.
What factors influence car insurance rates in South Dakota?
Several factors can affect your car insurance rates in South Dakota, including your driving history, age, the type of vehicle you drive, and your geographical location within the state. Other factors like your credit score and marital status may also impact your premiums.
Can I get discounts on car insurance in South Dakota?
Yes, many insurers offer discounts that can help lower your car insurance premiums. Common discounts include those for safe driving, being a good student, having multiple cars on one policy, or installing anti-theft devices in your vehicle. Check with your insurance provider to see what discounts are available.
What should I do if I’m involved in a car accident in South Dakota?
After ensuring everyone’s safety and calling for medical help if needed, it’s important to report the accident to the police, especially if it involves significant damage or injuries. Exchange insurance information with the other driver and document the accident scene with photos if possible. Notify your insurance provider as soon as you can to begin the claims process.
Conclusion
In summary, securing car insurance in South Dakota is not just a legal requirement; it’s a crucial step in safeguarding yourself, your finances, and your vehicle against unexpected incidents. The importance of having adequate coverage cannot be overstated, as it provides peace of mind and financial security in the face of accidents and theft.
When searching for the best car insurance, it’s essential to compare quotes and explore various options to find a policy that offers comprehensive coverage at a competitive price. Remember, the right car insurance policy isn’t just about meeting state requirements—it’s about ensuring that you’re well-protected in every journey you undertake.
With thoughtful research and careful consideration, you can secure a policy that fits your needs and budget perfectly.
References
For more detailed insights and to validate the information discussed in this guide on the best car insurance options in South Dakota, consider exploring the following reputable sources:
- National Association of Insurance Commissioners (NAIC) – Access comprehensive data and compare national insurance standards with South Dakota’s policies to understand market trends and regulatory compliance. Check out their resources here.
- Insurance Information Institute – This site offers a wealth of information on various types of car insurance coverages, safety tips, and consumer insurance guides that can be beneficial for South Dakota residents. Click here for more details.
- Consumer Reports – Known for its unbiased reviews and in-depth research, Consumer Reports provides useful information on choosing the best car insurance companies and plans tailored to your needs in South Dakota. Explore their articles here.
Each of these resources provides valuable, in-depth information that can help you make well-informed decisions about car insurance in South Dakota.
