Allstate is the cheapest home insurance option for most homeowners in South Dakota, with an average monthly savings of $301. Below is a summary of the most affordable providers in the state.
Cheapest Home Insurance in South Dakota
Updated: December 2, 2025
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Key Takeaways
Allstate, Nationwide and Auto-Owners offer the lowest-cost home insurance in South Dakota overall, with potential savings of up to 74%.
Nationwide offers the cheapest homeowners insurance if you own a new home or have bad credit, while Allstate is best for older homes.
Auto-Owners offers the most affordable home coverage for those in high-risk fire areas in South Dakota.
What is the Cheapest Home Insurance in South Dakota?
| Allstate | $198 | $2,379 | 27% |
| Auto-Owners Insurance | $212 | $2,538 | 22% |
| Farmers | $227 | $2,728 | 17% |
| State Farm | $234 | $2,804 | 14% |
*These rates are based on a house built in 2000 with a $1,000 deductible, $250,000 in dwelling coverage, $125,000 in personal property coverage, $200,000 in liability coverage and class 3 fire protection. The insured is assumed to have good credit and no claims in the past five years.
THE CHEAPEST COMPANY MAY NOT BE THE BEST FOR YOU
While these companies offer some of the lowest rates in South Dakota, it’s still important to look at their customer service reputation and coverage options. For a broader comparison, we also have a separate guide to the best home insurance companies in South Dakota.
Cheapest South Dakota Home Insurance Rates by Category
Although the companies above are the cheapest for many homeowners, your best option can still vary based on your situation. For instance, Nationwide is the cheapest overall and it also offers the most affordable rates for newer homes. These tables show the lowest rates across different home categories.
| Allstate | Older Homes | $198 |
| Nationwide | Newer Homes | $63 |
| Auto-Owners Insurance | Homes in High Risk Fire Areas | $213 |
| Allstate | Bad Credit | $384 |
*Rates are modified based on our methodology’s base profile. Newer home estimates are based on a home built in 2023, high-risk fire estimates are for a policy with 8-class fire protection, and bad credit rates assume a poor credit score on the FICO scale.
Compare Personalized Cheap South Dakota Home Insurance
The companies listed above typically provide the best rates for their categories, but actual rates vary based on your unique profile. Use the filter below to get a personalized list of the cheapest providers for your situation.
Data filtered by:
$250K Dwelling / $125K Personal Property / $200K Liability
1000
Claim free for 5+ years
Good
Older Homes
| Allstate | $211 | $2,527 |
| Auto-Owners Insurance | $212 | $2,547 |
| State Farm | $234 | $2,804 |
| Farmers | $239 | $2,865 |
| Nationwide | $286 | $3,429 |
Cheapest South Dakota Home Insurance By City
Risk factors differ by location, so some insurers end up being more affordable in certain areas. For example, Farmers is the cheapest option in most cities, but State Farm and Nationwide offer lower rates in places like Sioux Falls and Rapid City.
| Sioux Falls | Auto-Owners Insurance | $218 |
*These rates are based on a home built in 2000 with a $1,000 deductible, $250,000 in dwelling coverage, $125,000 in personal property coverage, $200,000 in liability coverage and class 3 fire protection. The profile assumes the homeowner has good credit and no claims within the past five years.
How To Find the Cheapest South Dakota Home Insurance for You
Finding affordable home insurance in South Dakota can take some work, but there are ways to lower your costs. These tips can help you save more on your policy.
- 1Figure out how much coverage you need
It's easy to get oversold on coverage when you don't have limits in mind before buying. Determine your home insurance coverage needs beforehand to avoid purchasing too much. Understanding the different types of home protection available helps ensure you don't miss something important.
- 2Review home insurance costs
Look at average home insurance rates in South Dakota to get a sense of what’s typical in the market. Ask your representative about all available discounts, since many of them aren’t applied automatically.
- 3Save by bundling your policies
Get discounts through bundled home and vehicle protection in South Dakota.
- 4Compare quotes with the same coverage
To accurately compare prices, request quotes using identical coverage details. Once everything matches, gather as many quotes as you can through different platforms to find the best rate.
Cheap Home Insurance South Dakota: Bottom Line
Allstate, Auto-Owners and Farmers offer some of the most affordable home insurance options in South Dakota. If you’ve been denied coverage, state programs like the TFPA can provide lower-cost alternatives.
Before choosing a policy, compare several insurers, review local pricing and determine how much coverage you need.
Cheapest Home Insurance South Dakota: FAQ
These answers address common questions about the cheapest home insurance in South Dakota.
What is the cheapest home insurance company in South Dakota?
Nationwide offers the lowest rates for newer homes in South Dakota at $63 per month or $751 per year. However, homeowners with older properties or higher fire protection needs may find better rates with Allstate or Auto-Owners Insurance.
How expensive is home insurance in South Dakota?
South Dakota has the 33rd-highest home insurance rates in the U.S.
How much is home insurance in South Dakota?
Your home insurance needs should cover the full replacement cost of your home, align with the value of your possessions, take into account local risks, and cover any special items.
While not a legal requirement for homeowners, mortgage lenders typically necessitate comprehensive dwelling coverage to rebuild your home entirely in case of total loss. Optimal insurance extends to protect the worth of personal belongings, safeguards against area-specific threats, and underpins one-of-a-kind assets.
How much home insurance do I need?
Your home insurance needs should cover the full replacement cost of your home, align with the value of your possessions, take into account local risks, and cover any special items.
While not a legal requirement for homeowners, mortgage lenders typically necessitate comprehensive dwelling coverage to rebuild your home entirely in case of total loss. Optimal insurance extends to protect the worth of personal belongings, safeguards against area-specific threats, and underpins one-of-a-kind assets.
How We Found the Cheapest Home Insurance Companies in South Dakota
To determine the cheapest home insurance companies in South Dakota, we assumed the following base profile:
- $250K dwelling coverage
- $125K personal property coverage
- $200K liability coverage
- Home built in 2000
- Frame construction
- Composition roof
- $1,000 all perils deductible
- No claims in the past 5+ years
- 3-class fire protection
All other combinations were adjusted based on this profile to provide a more accurate comparison for your specific situation. However, these figures are estimates, and we recommend comparing quotes from multiple providers to secure the best deal.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like 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.