Auto-Owners Insurance takes the lead in Sioux Falls with a MoneyGeek score of 4.6 out of 5, offering reliable local agent support and competitive rates at $231 monthly. USAA earned the highest score at 4.9 for military families and veterans but didn't earn the No. 1 spot in our ranking because of its eligibility requirements. Our top five also includes State Farm, Farmers and Allstate for the best home insurance coverage in the area.
Best Cheap Home Insurance in Sioux Falls, South Dakota
Updated: February 26, 2026
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Compare the Best Home Insurance Companies in Sioux Falls
| Auto-Owners Insurance | 4.58 | $231 |
| USAA | 4.88 | $239 |
| State Farm | 4.46 | $242 |
| Farmers | 4.45 | $213 |
| Allstate | 4.28 | $228 |
*Rates are for a 2,500-square-foot home with $250,000 in dwelling coverage and a $1,000 deductible, built in 2000.
Our Top 3 Recommendations for Sioux Falls Homeowners Insurance
Auto-Owners
Best for Sioux Falls Homeowners
MoneyGeek Rating
4.6/ 5
4.9/5Affordability
4.5/5Customer Experience
3.7/5Coverage
J.D. Power Customer Satisfaction Score
621/1,000From the J.D. Power 2025 U.S. Home Insurance Study, which examines customer satisfaction based on responses from 14,511 homeowners and renters. The average score is 642/1,000.Average Monthly Premium
$231Based on our methodology's base profile of a policy with $250K in dwelling coverage, $125K in personal property coverage and $200K in liability coverage with a $1,000 deductible.
USAA
MoneyGeek Rating
4.9/ 5
4.8/5Affordability
5/5Customer Experience
5/5Coverage
J.D. Power Customer Satisfaction Score
737/1,000From the J.D. Power 2025 U.S. Home Insurance Study, which examines customer satisfaction based on responses from 14,511 homeowners and renters. The average score is 642/1,000.Average Monthly Premium
$239Based on our methodology's base profile of a policy with $250K in dwelling coverage, $125K in personal property coverage and $200K in liability coverage with a $1,000 deductible.
State Farm
MoneyGeek Rating
4.5/ 5
4.8/5Affordability
4.2/5Customer Experience
4/5Coverage
J.D. Power Customer Satisfaction Score
657/1,000From the J.D. Power 2025 U.S. Home Insurance Study, which examines customer satisfaction based on responses from 14,511 homeowners and renters. The average score is 642/1,000.Average Monthly Premium
$242Based on our methodology's base profile of a policy with $250K in dwelling coverage, $125K in personal property coverage and $200K in liability coverage with a $1,000 deductible.
How Much Does Sioux Falls Home Insurance Cost?
Homeowners in Sioux Falls pay an average of $271 monthly for home insurance with $250,000 in dwelling coverage, $125,000 in personal property and $200,000 in liability, compared to South Dakota's average of $301 per month. Your actual premium varies based on your home's age, construction materials, wildfire proximity and deductible amount.
Sioux Falls's location near the Big Sioux River and exposure to severe weather events drive up home insurance costs through increased claim risks. Thunderstorms and hail damage properties regularly, while the river's proximity raises flood concerns that impact premium calculations.
| $100K Dwelling / $50K Personal Property / $100K Liability | $157 | $1,887 |
| $250K Dwelling / $125K Personal Property / $200K Liability | $271 | $3,249 |
| $500K Dwelling / $250K Personal Property / $300K Liability | $458 | $5,499 |
| $750K Dwelling / $375K Personal Property / $500K Liability | $630 | $7,558 |
| $1MM Dwelling / $500K Personal Property / $1MM Liability | $788 | $9,454 |
Who Has the Cheapest Home Insurance in Sioux Falls?
Farmers offers the lowest home insurance rates in Sioux Falls at $213 monthly, which saves homeowners 21% compared to the city's $271 average. Allstate comes in second at $228 per month, providing a 16% discount from typical premiums while keeping strong coverage options and local agent support.
| Farmers | $213 | -21% |
| Allstate | $228 | -16% |
| Auto-Owners Insurance | $231 | -15% |
| USAA | $239 | -12% |
| State Farm | $242 | -11% |
COMPARE COVERAGE, NOT JUST COST
Adequate protection matters more than low rates for Sioux Falls homeowners. Look at coverage limits, deductibles and satisfaction ratings along with premiums so you get the coverage you need. Find out about top providers in our best homeowners insurance companies in South Dakota review.
How to Get the Best Cheap Home Insurance in Sioux Falls
Homeowners in Sioux Falls need to balance affordable premiums with coverage that protects against local risks.
Compare quotes from multiple insurers
Since rates vary among companies, you'll want to request quotes from at least three insurers. Average premiums range from $213 to $242 monthly among top-rated Sioux Falls providers.
Bundle home and auto policies
Companies like Allstate and State Farm provide multi-policy savings when you combine coverage. Most Sioux Falls insurers offer 10% to 25% off when you bundle policies, making this one of the easiest ways to cut costs.
Maintain a strong credit score
Better credit can lower your rates over time since South Dakota insurers use credit-based insurance scores to calculate premiums. Focus on paying bills on time and reducing debt to improve your insurance pricing.
Upgrade your home’s safety features
Safety improvements like monitored security systems, smoke detectors, fire sprinklers and storm shutters can earn you discounts of 5% to 20% based on which upgrades you install in your Sioux Falls home.
Best Home Insurance in Sioux Falls: Bottom Line
Sioux Falls homeowners pay an average of $271 monthly for home insurance, and rates range from $213 to $242 among leading insurers depending on coverage needs. Auto-Owners combines affordability and service best at $231 monthly, while Farmers offers the cheapest home insurance rates at $213.
Sioux Falls Home Insurance: FAQ
Common questions for Sioux Falls homeowners include what coverage they need and how to lower premiums.
Does home insurance cover wind damage in Sioux Falls?
Sioux Falls' severe storms can cause damage from the wind, but standard home insurance policies cover these repairs. Wind damage to your roof, siding, windows and other structures is covered, less your deductible.
What doesn't home insurance cover?
Home insurance doesn't cover earthquakes, flood damage, normal wear and tear or damage from lack of maintenance. Sioux Falls homeowners in flood-prone areas should purchase separate flood insurance through the National Flood Insurance Program.
Is home insurance required in Sioux Falls?
South Dakota doesn't legally require home insurance, but mortgage lenders require coverage until you've paid off your loan. Even homeowners without mortgages should keep insurance to protect against severe winter storms, flooding from heavy rains and other risks common in Sioux Falls.
What discounts are available for Sioux Falls homeowners?
Sioux Falls homeowners can access multiple savings opportunities through bundling home and auto policies (10% to 25% discount), installing security systems (5% to 15% off), upgrading to fire-resistant roofing materials (up to 20% savings) and maintaining a claims-free history for three or more years.
Our Methodology: Determining the Best Cheap Home Insurance Companies in Sioux Falls
We analyzed premium data from Quadrant Information Services for 10 major insurers serving South Dakota, then evaluated their coverage options and customer experience to identify companies with the best combination of affordability, financial strength and service for Sioux Falls homeowners.
Our base profile used a 2,500-square-foot home built in 2000 with $250,000 dwelling coverage, $125,000 personal property coverage and $200,000 liability coverage. All policies included a $1,000 deductible to make sure we compared rates accurately. We also analyzed rates for newly constructed homes, increased dwelling coverage limits, higher deductibles of $2,500 or $5,000 and homeowners with poor credit scores to understand how insurers price coverage across different risk profiles.
We combined affordability scores (weighted 55%), customer satisfaction data from J.D. Power surveys and customer reviews (weighted 30%) and coverage add-on availability (weighted 15%) to calculate each company's final MoneyGeek score.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.