How Much Is Car Insurance in South Dakota? (2023)

A combination of several factors determines car insurance rates, including your provider, age, location, coverage level, driving history, credit score and the number of drivers on your policy. To illustrate how rates change based on company and driver age, we found that Allstate is the cheapest provider in South Dakota at $746 per year for full coverage, while Progressive is the most expensive at $1,344 per year. Meanwhile, drivers in their 20s pay an average of $1,185 per year, while those in their 60s pay around $857 per year.

The average cost of car insurance in South Dakota is $950 per year or $79 per month for full coverage. Many factors can influence your rates, but the coverage amount of your policy and your driving record can have the biggest impact. Here’s what you can expect to pay for full coverage based on your driving record:

• Clean record: $950 per year
• Speeding ticket: $1,129 per year
• At-fault accident: $1,359 per year
• DUI: $1,813 per year

You can expect to pay less if you opt for a minimum coverage policy.

Car insurance rates in South Dakota are moderate, placing the statewide average near the national average of $1,054 per year. Some of the possible reasons for South Dakota’s moderate auto insurance rates are medium traffic density, lower urban population density, cheaper insurers and lower vehicle theft rates in the state. Personal factors, such as your age and driving history, can also impact insurance costs, so your rates may be higher than the state average.

When comparing car insurance costs, averages can be misleading since rates vary significantly across companies. For minimum coverage, we found that Farmers Mutual of Nebraska has the most affordable car insurance in South Dakota at $207 per year ($811 per year for full coverage), while Allstate is the least affordable insurer at $398 per year ($746 per year for full coverage).

You’ll find that liability-only policies are cheaper than full coverage policies, but it’s still possible to find cheap full coverage insurance by doing a bit of research and shopping around.

The average cost of car insurance in South Dakota ranges from $286 per year for state-minimum coverage to $1,202 for full coverage with increased liability limits. The cost of insurance will increase as you increase your liability limits. Similarly, adding comprehensive and collision insurance can drive up your annual premiums by a few hundred dollars. Increasing your deductible can help lower the cost of full coverage policies.

A minimum coverage policy is the cheapest option for car insurance, but it only includes the lowest possible liability limits and no comprehensive or collision coverage. Minimum coverage car insurance in South Dakota also includes uninsured motorist insurance, which may make it more expensive compared to other states.

Policies with increased liability limits are also available, which are shortened to 50/100/50 or 100/300/100. A policy with liability limits of 50/100/50 includes the following coverage:

• $50,000 in bodily injury liability insurance per person
• $100,000 in bodily injury liability insurance per accident
• $50,000 in property damage liability insurance per accident

Most insurers offer maximum liability limits of 300/500/300. Even at these increased limits, liability-only insurance will only cover damage or injury to others. For coverage against damages to you or your vehicle, you’ll need to get a full coverage policy, which adds comprehensive and collision insurance.

Although age is a major factor in determining the cost of car insurance, this is mostly true for young or inexperienced drivers. The average full coverage car insurance costs in South Dakota by age group are as follows:

• 22–29: $1,185 per year
• 30–59: $950 per year
• 60+: $857 per year

Drivers in their 20s tend to pay more expensive rates than other age groups, but rates usually stabilize from age 30 to 60 before decreasing slightly after 60. In some cases, the cost of auto insurance for new drivers over 30 may be similar to rates for those in their 20s.

Teen drivers are the most expensive age group to insure in South Dakota. The average cost of full coverage auto insurance for a 16-year-old male on an individual plan is $5,192 per year. Joining a family plan is a great way for teens to save money — the average rate for a family plan is $2,355 per year. Keep in mind that teens under 18 cannot legally purchase their own policy without a parent or guardian agreeing to co-sign.

Insurance costs tend to decrease as teens age and gain more experience on the road. We found that a 19-year-old male on a family plan pays an average of $1,836 per year, while a 22-year-old pays $1,508 per year for full coverage. In addition, female teens tend to pay less for auto insurance as they're considered less risky to insure. In South Dakota, they pay an average of $312 less per year than male teens for a family plan.

Since rates vary greatly between insurers, it's important to shop around and compare quotes to find the cheapest auto insurance in South Dakota for teens.

It costs an average of $917 per year to insure an older car in South Dakota, while insuring a new vehicle costs $1,367 per year — that’s a 49% increase. New cars have a higher actual cash value (ACV), making them more expensive to insure as the insurance company would have to pay out a higher amount in the event of a claim.

We recommend that drivers of newer cars with a higher ACV consider purchasing full coverage auto insurance to cover damages to your own car.

Your driving record can have a significant effect on your insurance rates. Generally, drivers with a record of traffic violations face higher car insurance rates than those with clean driving histories. You can expect to pay the following rates in South Dakota, on average, based on your driving record:

• Clean record: $950 per year
• Speeding ticket: $1,129 per year
• At-fault accident: $1,359 per year
• DUI: $1,813 per year

The severity of the driving offense usually determines how much your rates will increase. For example, drivers with a DUI should expect to pay more than those with a speeding ticket. It’s always good practice to compare rates from multiple insurers to find low-cost car insurance in South Dakota for drivers with poor records.

Your credit score can also have a major impact on your car insurance cost. On average, drivers in South Dakota with poor credit pay $1,804 per year, whereas those with excellent credit only pay $723 per year. These are the average costs that South Dakota drivers should expect to pay for full coverage based on their credit scores:

• Excellent: $723 per year
• Good: $876 per year
• Fair: $1,068 per year
• Below fair: $1,349 per year
• Poor: $1,804 per year

Some insurers may charge more than others if you have a lower credit score. That’s why it’s important to do a bit of comparison shopping to find the most affordable auto insurance in South Dakota for drivers with poor credit.

Your rates can vary greatly depending on the city where you live in South Dakota. We found that drivers in Sioux Falls pay around $937 per year for full coverage. This is very close to the average annual rate in the state of $950.

To help you in your search for the best insurance provider, MoneyGeek answered some of the most common questions about average car insurance costs in South Dakota. Your rates may vary based on a variety of factors.