Best Life Insurance Companies in South Dakota

Buying life insurance in South Dakota is a good step towards securing the financial health of your beneficiaries once you pass away. MoneyGeek compared average monthly life insurance costs across various companies based on gender, smoking history and age. If you are looking to compare life insurance quotes in South Dakota, using MoneyGeek’s analysis can help you secure coverage from the best life insurance companies in South Dakota.

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Best Cheap Life Insurance in South Dakota

The amount of coverage you choose will determine how much you pay for life insurance in South Dakota per month. A lower coverage amount will typically cost less, but it may not cover all your beneficiaries’ expenses after you pass away.

The cheapest life insurance provider in South Dakota for a coverage amount of $250,000 is MassMutual, charging male buyers an average of $9.99 per month and female buyers roughly $9.41 per month.

If you need more coverage, especially if you have a young family, you might need to purchase a life insurance policy with a higher coverage limit. Doing that will translate to more financial support for your beneficiaries. MoneyGeek recommended different coverage limits for different states depending on average income, cost of living, average age and average personal debt.

In South Dakota, the recommended limit is $696,000. The cheapest provider for male buyers is MassMutual, at $17.33 per month on average. Nationwide is the most affordable for female buyers, at around $14.72 per month.

Best Cheap Life Insurance Companies in South Dakota: Males

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  • Company
    $250K Coverage
    Suggested Coverage: $696k
  • MassMutual
    $9.99
    $17.32
  • Nationwide
    $10.63
    $17.49
  • Mutual of Omaha
    $10.84
    $18.31
  • Transamerica
    $13.93
    $28.18
  • State Farm
    $18.60
    $35.49
  • AAA
    $19.21
    $43.56
  • Progressive Life
    $21.73
    $46.35
  • Prudential
    $25.71
    $53.83
Best Cheap Life Insurance Companies in South Dakota: Females

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  • Company
    $250K Coverage
    Suggested Coverage: $696k
  • Nationwide
    $10.43
    $14.72
  • Mutual of Omaha
    $10.65
    $15.07
  • MassMutual
    $9.40
    $15.14
  • Transamerica
    $12.04
    $25.47
  • State Farm
    $19.57
    $32.73
  • Progressive Life
    $17.81
    $35.94
  • AAA
    $16.63
    $36.91
  • Prudential
    $18.97
    $50.68

Life insurance policy costs were determined by gathering 10-year term quotes from major life insurance companies in South Dakota using average buyer profile statistics in South Dakota, including average age of 30, average weight of 193 pounds for males and 153 pounds for females, and an average coverage need of $696,000.

What Is the Average Cost of Life Insurance for Companies in South Dakota?

Gender is one of the factors that impact the cost of life insurance in South Dakota. Since men have a shorter lifespan than women, they tend to pay more for their coverage.

Life insurance companies in South Dakota charge male buyers an average of $18.41 per month for a coverage limit of $250,000 and roughly $38.47 per month for the $696,000 limit. That’s a difference of $20.06.

The companies charge female buyers an average of $16.04 per month for a $250,000 limit and around $17.07 more for the $696,000 coverage limit.

Most Popular Life Insurance Companies in South Dakota

When purchasing life insurance, you can tell the financial stability of a provider through its market share. The larger the market share, the higher the financial stability.

Market share is defined as the number of insurance premiums written by a company as a percentage of the total premiums written by the state.

According to MoneyGeek, the company with the largest market share in South Dakota is Prudential Financial Inc., taking up 16.45% of the state’s market share. The top seven insurers in the state contribute to 55.26% of the total market share.

Most Popular Life Insurance Companies in South Dakota

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  • Company
    Market Share
  • Prudential Financial Inc.
    16.45%
  • New York Life
    9.19%
  • Lombard International
    6.43%
  • Pacific Life
    6.02%
  • Zurich
    5.96%
  • Northwestern Mutual
    5.9%
  • John Hancock
    5.31%

Life insurance market share data for South Dakota is based off of total premiums written in the state and was sourced from 2020 S&P Global Data reports.

Which Companies Have the Best Life Insurance Rates for Young People in South Dakota?

Young buyers get charged less for life insurance in South Dakota because companies believe they are less risky to insure. Waiting until you are older before purchasing life insurance means that you will need to pay more.

On average, based on the MoneyGeek study, the cheapest life insurance companies in South Dakota for young people are:

  • Transamerica: $14.30 per month
  • Mutual of Omaha: $16.10 per month
Best Life Insurance Companies for Young People in South Dakota

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  • Company
    Monthly Cost
  • Transamerica
    $14.30
  • Mutual of Omaha
    $16.10
  • MassMutual
    $16.37
  • AAA
    $18.74
  • Prudential
    $19.38
  • State Farm
    $19.72
  • Nationwide
    $21.00
  • Progressive Life
    $24.19

Rates were determined by analyzing quotes for a 25-year-old male non-smoker in South Dakota who is 5 ft 10 inches and 164 pounds that purchases a 20-year term contract at the average coverage need of $290,000. We chose a 20-year term to provide a longer coverage period for a younger buyer.

Which Companies Have the Best Life Insurance Rates for Seniors in South Dakota?

Senior residents of South Dakota pay more for life insurance because they are riskier to insure. However, they are allowed to purchase life insurance policies with lower coverage limits, typically around $100,000, since their children are already grown and may not need a lot of financial support. That means if you are a senior, you will be able to find cheaper options for your coverage if you take time to compare life insurance quotes in South Dakota.

As per MoneyGeek’s research, the cheapest life insurance coverage on average in the state for seniors is from:

  • MassMutual: $38.37 per month
  • Mutual of Omaha: $43.47 per month
Best Life Insurance Companies for Seniors in South Dakota

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  • Company
    Monthly Cost
  • MassMutual
    $38.37
  • Mutual of Omaha
    $43.47
  • Nationwide
    $44.19
  • State Farm
    $51.50
  • Progressive Life
    $69.17
  • AAA
    $72.34
  • Prudential
    $79.39
  • Transamerica
    $82.60

Rates were determined by analyzing quotes for a 60-year-old male non-smoker in South Dakota who is 5 ft 10 inches and 193 pounds that purchases a 10-year term contract at the average coverage need of $86,000.

Which Companies Have the Best Life Insurance Rates for Smokers in South Dakota?

For individuals who smoke, life insurance rates will most likely be higher due to the health risks associated with smoking. If you are a smoker but still have average to good health, you can still find decent rates from life insurance companies in South Dakota.

The top two life insurance providers in South Dakota for smokers are, on average:

  • MassMutual: $113.71 per month
  • State Farm: $113.90 per month
Best Life Insurance Companies for Smokers in South Dakota

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  • Company
    Monthly Cost
  • MassMutual
    $113.71
  • State Farm
    $113.90
  • Nationwide
    $115.59
  • Mutual of Omaha
    $124.49
  • Transamerica
    $124.69
  • Progressive Life
    $176.35
  • Prudential
    $187.51
  • AAA
    $211.64

Rates were determined by analyzing quotes for a 30-year-old male smoker in South Dakota who is 5 ft 10 inches and 193 pounds that purchases a 20-year term contract at the average coverage need of $696,000. If you are a smoker, we suggest buying a longer-term (20-year) policy to provide longer coverage as rates for smokers increase dramatically as you age.

South Dakota Life Insurance Laws You Should Know

Different states have different laws when it comes to life insurance. MoneyGeek compared costs between providers to ensure you find the best coverage for your needs.

We recommend that you read and understand the laws of the state before purchasing your life insurance policy. Some of the laws that apply in South Dakota are:

  • Free look period - If you purchase life insurance in South Dakota, you will have 10 days as the free look period. You can cancel your policy and ask for a refund within this period if you are not satisfied with the terms of the policy.
  • Grace period for missed payments - For missed or delayed payments, insurers will give you a grace of at least 30 days or four weeks to settle the pending payment before canceling your policy.
  • Time allowable to settle a claim - Once you file a claim in South Dakota, your insurer will have two months to pay the said claim. Insurers who take more than two months to settle customer claims get penalized.
  • Personal Information Protection - Insurers in South Dakota are restricted by the law to share any buyer’s medical records with other agencies unless instructed by the buyer.

Methodology

MoneyGeek used several factors to analyze average life insurance costs in South Dakota. These factors include the average personal debt and average age, average mortgage debt and the per capita income from the U.S. Bureau of Economics. While these costs accurately describe the average rates across various circumstances, insurance companies in South Dakota will charge you more or less depending on your unique profile.

About the Author


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Mark Fitzpatrick is a senior content manager with MoneyGeek specializing in insurance. Mark has years of experience analyzing the insurance market and creating original research and content. He graduated from Boston College with a Bachelor of Arts and Johns Hopkins University with a Master of Arts.


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