South Dakota is an at-fault state, meaning drivers are responsible for damages that occur as a result of an accident they cause. For this reason, motorists in the state are required to maintain healthy minimum coverage amounts. While coverage in South Dakota has historically been affordable thanks to low population density and other factors, recent quotes from providers in the state show an uptick in rates for full-coverage policies.
For these reasons, it pays to shop around when considering a new car insurance policy. In this review, we at the MarketWatch Guides team take you through the best car insurance providers in South Dakota, including available coverage options, company reputations, and more. Use the list below to narrow down your search for the best car insurance companies for your needs and budget.
Key Takeaways
- South Dakota drivers pay an average of $2,291 per year for full-coverage car insurance, which is higher than the national average of $2,008 per year for similar policies.
- Minimum liability coverage costs about $328 per year in South Dakota, which is lower than the national average of $627 per year.
- Drivers are required to carry a minimum of 25/50/25 liability coverage and 25/50 for uninsured/underinsured motorist coverage in the Mount Rushmore State.
Best South Dakota Car Insurance
State Farm, Farmers Mutual of Nebraska, Geico, USAA, and Allstate are among the best providers in the state of South Dakota. These insurers offer a wide range of coverage options. You’ll also find unique discounts and benefits, such as accident forgiveness, safe driver rewards, and bundling options, allowing South Dakota residents to customize policies to suit their individual needs.
South Dakota Car Insurance Companies
Below, you can review and compare how the best providers for South Dakota drivers scored across all of our review categories:
- State Farm
- Farmers Mutual of Nebraska
- Geico
- USAA
- Allstate
Our research team considers nationwide factors when rating providers. The ranking order of providers in this table is specific to car insurance in South Dakota.
Our team reached out to Allstate for a comment on its low cost rating, but have not yet received a response.
South Dakota Car Insurance Customer Experience
When evaluating a car insurance company’s reputation and customer experience scores, we look at several factors to determine the final number. In addition to in-house consumer surveys polling just under 7,000 drivers, we look at Better Business Bureau (BBB) scores and AM Best financial strength ratings, as well as customer reviews on platforms like Trustpilot and Google.
We also look at the scores from J.D. Power’s 2023 U.S. Auto Insurance Study℠, which surveyed policyholders on their satisfaction with their insurers’ billing process, claims, interactions, policy offerings, and price and broke down ratings by region. For this article, we look at results from the Central region, which includes Arkansas, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma, and South Dakota.
Best Car Insurance Companies in South Dakota
In each of the sections below, we provide a detailed snapshot of what you may expect from each insurance provider:
State Farm: Best Customer Experience
J.D. Power score: 833/1,000
AM Best financial strength rating: A++
BBB rating: C-
State Farm is the largest private auto insurance provider in the nation, according to the National Association of Insurance Commissioners (NAIC). It’s a reputable insurance company that offers a range of options with affordable average rates.
Pros
- Above-average J.D. Power score
- Affordable rates for high-risk drivers
- Wide network of insurance agents
Cons
- Fewer add-on coverages than other providers
Coverage
Here are the main types of car insurance coverage provided by State Farm and all the other providers on our list:
- Liability coverage
- Collision coverage
- Comprehensive coverage
- Uninsured/Underinsured motorist coverage
- Medical payments coverage (MedPay)
- Personal Injury Protection (PIP)
State Farm’s add-ons are standard across the industry. They include:
- Rental car reimbursement
- Emergency road service
- Rideshare driver coverage
State Farm provides many of the typical car insurance discount options plus the Drive Safe & Save™ program that rewards safe driving habits. Please note that coverage options and availability may vary.
Reputation
State Farm is a frequent favorite among drivers in most states, often scoring higher than average in J.D. Power insurance studies. However, the company’s BBB score has recently slipped to a C- due to its slowness in responding to comments. What’s more, customers on the platform give the company a rating of just 1.2 out of 5 stars.
It may be reassuring to know, however, that low review scores are common along large insurance providers. Because State Farm is so large, its score is based on a small percentage of its base.
Farmers Mutual of Nebraska: Best Regional Coverage
J.D. Power score: Not rated
AM Best financial strength rating: A
BBB rating: A+
Farmers Mutual of Nebraska is a regional insurance company that provides a range of coverage options and discounts tailored to the needs of drivers in Nebraska and South Dakota. The company’s strong local presence, financial stability, and commitment to serving South Dakotans make it a reliable choice.
Pros
- Region-specific insurance coverage
- Excellent financial strength rating from AM Best
- Affordable rates for young drivers
Cons
- Rates after an accident may be higher than other providers
Coverage
Farmers Mutual’s standard auto insurance policy includes liability and uninsured/underinsured motorist coverage. Collision and comprehensive coverages are also available. Unique offerings from the company include the Farm and Ranch Auto policy, which is designed for agricultural vehicle and property coverage. It also offers discounts for drivers of all ages.
Reputation
Farmers Mutual of Nebraska isn’t a large enough insurance company to rank in J.D. Power Auto Insurance Study. However, the company does have an online review presence. It earned an A financial strength rating from AM Best as well as an A+ rating from the BBB. Customer reviews for the company are limited, so star ratings on BBB may not accurately reflect the company’s coverage and customer service.
Geico: Best for Budget-Conscious Drivers
J.D. Power score: 819/1,000
AM Best financial strength rating: A++
BBB rating: A-
Geico is the nation’s third-largest provider of private auto insurance, according to the NAIC. It’s also a reputable car insurance company that offers a wide range of coverage options and competitive rates for South Dakota drivers.
Pros
- Strong industry reputation
- Affordable full coverage rates in South Dakota
Cons
- Limited local agent network
Coverage
In addition to the six main types of car insurance, here are additional coverages available from Geico:
- Rental car reimbursement
- Emergency road service
- Mechanical breakdown insurance (MBI)
Beyond the company’s unique MBI offering, coverage options are fairly basic. Geico does offer a high number of discounts, resulting in some of the cheapest car insurance rates in the state.
It’s important to remember that the specific coverage options and limits available to you may vary depending on factors like your driving history, credit score, vehicle type, and more.
Reputation
Geico has mixed performance in J.D. Power studies, often coming in below average. However, low rates and varied discount opportunities still make the company a popular choice among drivers on a budget. Like many large insurance companies, Geico has mixed customer review scores on both the BBB and Trustpilot. It does have a Superior A++ financial strength rating from AM Best, however, so you can be sure that Geico is more than capable of paying out claims.
USAA: Best For Military Members
J.D. Power score: 890/1,000
AM Best financial strength rating: A++
BBB rating: Not rated
USAA eligibility is limited to active military members, veterans, and their families. However, those who qualify can take advantage of the company’s tailored coverage options and exclusive discounts. With its competitive rates, exceptional customer service, and strong financial stability, USAA provides a top-tier car insurance experience for eligible South Dakota drivers, focusing on the unique needs of military families.
Pros
- Military-focused benefits
- Great customer service scores
Cons
- Eligibility limited to military-affiliated drivers
- Fewer local agents than other companies
Coverage
USAA offers a comprehensive range of car insurance coverages to protect its members in various situations. In addition to the six standard coverages, USAA offers add-ons such as:
- Accident forgiveness
- Rideshare gap coverage
- Roadside assistance
- Rental car reimbursement
- Glass coverage
USAA’s car insurance policies are designed to cater to the specific needs of military members and their families, offering tailored protection and benefits. It offers unique benefits like its vehicle storage discount for deployed military members and the legacy discount for families with multiple generations insured by USAA.
Reputation
USAA received the highest score in the region in the J.D. Power Auto Insurance Study, but isn’t officially ranked since it doesn’t meet eligibility criteria. Its customer review score on the BBB is just 1.2 out of 5 stars, which may make some drivers hesitate. However, USAA is a large insurance company, and the number of reviews on the BBB only reflect the feelings of a fraction of the company’s customer base.
We reached out to USAA about its low BBB rating, but have not received a response.
Allstate: Affordable for Many Drivers
J.D. Power score: 806/1,000
AM Best financial strength rating: A+
BBB rating: A+
Allstate is an affordable choice for South Dakota drivers, including those who are considered high-risk and have a recent speeding ticket or DUI.
Pros
- Strong industry reputation
- Affordable rates for high-risk drivers in South Dakota
- Offers accident forgiveness
Cons
- Rates may be lower from other providers for some drivers
- Below-average score in J.D. Power customer satisfaction study
Coverage
Allstate offers the six standard coverages and the following optional add-ons:
- Rental reimbursement
- 24/7 roadside assistance
- Rideshare insurance
- New car replacement protection
- Accident forgiveness option
Allstate also has a deductible rewards program, which reduces your deductible by $100 for every accident-free year, up to $500.
Reputation
Allstate has below-average customer satisfaction scores in the Central region, according to J.D. Power’s Auto Insurance Study. However, the company holds a solid A+ rating from both the BBB and AM Best. Customer review scores for Allstate are low, which is common for large insurance providers. In many cases, these reviews only reflect a small percentage of experiences of a large insurer’s customer base.
We reached out to Allstate for comment on its J.D. Power scores, but have not received a response.
How To Find the Best Car Insurance in South Dakota
If you’re looking for well-rounded coverage in South Dakota for the right price, keep the tips below in mind as you compare car insurance quotes.
Know How Much Coverage You Need
In South Dakota, you’ll need to carry the state minimum coverage to meet insurance requirements and legally operate a vehicle. The state mandates three main types of insurance: bodily injury liability, property damage liability, and uninsured/underinsured motorist coverage.
Here’s a breakdown of the minimum required car insurance coverage in South Dakota:
- Bodily injury liability: $25,000 per person and $50,000 per accident
- Property damage liability: $25,000 per accident
- Uninsured/Underinsured Motorist Coverage: $25,000 per person and $50,000 per accident
Remember that while these are the minimum requirements, it’s sometimes best to purchase higher coverage limits. With these higher limits, you can better protect yourself and your assets in the event of an accident.
Don’t Always Go For the Lowest Deductible
Many drivers instinctively choose the lowest possible deductible to avoid paying a lot out of pocket during a claim. However, choosing a higher deductible for your car insurance policy can be beneficial.
By agreeing to pay more out of pocket in the event of a claim, you can often secure a lower monthly premium. With a lower premium and safe driving habits, you can end up with significant savings over time.
However, it’s important to ensure that your budget has room to cover the higher deductible in case you do need to file a claim. If you’re comfortable with the increased financial responsibility and believe that the potential savings outweigh the risk, a higher deductible can be an effective way to reduce your car insurance costs while still maintaining adequate protection. Ultimately, it’s a matter of finding the right balance between affordability and coverage.
How Much is Car Insurance in South Dakota?
South Dakota drivers pay an average of $2,291 per year or $191 per month for full-coverage car insurance and $328 per year or $27 per month for minimum liability. The national average cost for full coverage is $2,008 per year or $167 per month for full coverage and $627 per year or $52 per month for minimum liability.
South Dakota Car Insurance Costs by City
Tea, Watertown, and Brookings are the three most affordable cities in South Dakota for full-coverage car insurance. The quotes you see below are based on a 35-year-old driver with good credit and a clean driving record, so you may expect higher rates depending on your background.
Car Insurance Discounts in South Dakota
Several car insurance discounts are available to help South Dakota drivers save money on their premiums. Here are six common discounts that may be offered by insurance providers in the state:
- Multi-policy Discount
- Safe Driver Discount
- Low-Mileage Discount
- Good Student Discount
- Loyalty Discount
- Paid-in-full Discount
Best Car Insurance in South Dakota: The Bottom Line
South Dakota drivers have access to a variety of reputable car insurance providers that offer multiple coverage options, competitive rates, and valuable discounts. State Farm, Farmers Mutual of Nebraska, Geico, USAA, and Allstate are the top choices for car insurance in the state, each with their own strengths and unique offerings.
When searching for the best car insurance in South Dakota, it pays to consider factors such as the level of coverage you need, discounts offered, and the company’s overall reputation for customer service. By comparing quotes from multiple providers and taking advantage of discounts and special offers, South Dakota drivers can find well-rounded, affordable car insurance policies to protect themselves on the road.
Best Auto Insurance in South Dakota: FAQ
Here are some frequently asked questions about the best car insurance in South Dakota.
How much does car insurance cost in South Dakota?
Drivers in South Dakota pay an average of $2,291 per year or $191 per month for full coverage. For liability insurance, drivers typically pay around $328 yearly or $27 monthly.
What is the minimum amount of car insurance you need in South Dakota?
South Dakota requires drivers to carry a minimum of $25,000 per person and $50,000 per accident in bodily injury liability, $25,000 in property damage liability, and $25,000 per person and $50,000 per accident in uninsured/underinsured motorist coverage.
Which car insurance company offers the best customer service in South Dakota?
State Farm is known for its excellent customer service in South Dakota, with a high J.D. Power score and a wide network of local agents.
What car insurance discounts can you get in South Dakota?
Some discounts that may be particularly relevant to South Dakota drivers include safe driving discounts and the Farm and Ranch Auto policy discount offered by Farmers Mutual of Nebraska for agricultural vehicles. For those who plan to stick around the Mount Rushmore State, a loyalty discount is offered by several providers for long-term customers.
Our Methodology
Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.
Here are the factors our ratings take into account:
- Industry standing
- Availability
- Coverage
- Cost and discounts
- Customer experience
Our credentials:
- 800 hours researched
- 45 companies reviewed
- 8,500+ consumers surveyed
Data accurate at time of publication.