Best car insurance in South Dakota for 2024

Our 2024 Bankrate Score considers variables our insurance editorial team determined impacts policyholders’ experiences with an insurance company. These rating factors include a robust assessment of each company’s product availability, financial strength ratings, online capabilities and customer and claims support accessibility. Each factor was added to a category, and these categories were weighted in a tiered approach to analyze how companies perform in key customer-impacting categories. 

Each category was assigned a metric to determine performance, and the weighted sum adds up to a company’s total Bankrate Score — out of 5 points. Our scoring model provides a comprehensive view, indicating when companies excel across several key areas and highlighting where they fall short.

• Tier 1 (Cost & ratings): To determine how well auto and home insurance companies satisfy these priorities, average quoted premiums from Quadrant Information Services (if available), as well as any of the latest third-party agency ratings from J.D. Power, AM Best, Demotech and the NAIC, were analyzed.
• Tier 2 (Coverage & savings): We assessed companies’ coverage options and availability to help policyholders find a provider that balances cost with coverage. Additionally, we evaluated each company’s discount options listed on its website.
• Tier 3 (Support): To encompass the many ways an auto and home insurance company can support policyholders, we analyzed avenues of customer accessibility along with community support. This analysis incorporated additional financial strength ratings from S&P and Moody’s and factored a company’s corporate sustainability efforts.

Tier scores are unweighted to show the company's true score in each category out of a possible five points.

Despite having a low average cost for minimum coverage, South Dakota’s car insurance laws require drivers to carry more kinds of coverage than many states. Drivers in South Dakota are required to carry at least minimum limits of bodily injury liability, property damage liability, uninsured motorist bodily injury and underinsured motorist bodily injury coverage. While minimum coverage can result in cheap premiums, you should know that it offers very little financial protection. Many drivers choose to buy higher limits of liability to further protect their finances.

If your car is leased or financed, your financial institution will likely require you to carry full coverage auto insurance with higher liability limits. Full coverage policies typically include collision and comprehensive insurance, which pays for repairs to your vehicle if you are deemed at fault for an accident. It is common for lessors to require liability coverage of at least 100/300/50. You will also likely have to keep your deductibles for comprehensive and collision at no more than $1,000.

While most banking institutions do not have specific liability requirements for car loans, drivers with loans may want to consider additional coverage types beyond comprehensive and collision, such as gap insurance. This option will cover the difference between the actual cash value of a new car that's been totaled and the remaining balance of the car loan, which may be very helpful since interest rates are so high right now.

Keep in mind that any quote you get for car insurance in South Dakota will meet the state’s minimum insurance requirements. From that baseline, you can adjust coverage limits or customize policy types according to your insurance needs. It can help to identify your insurance needs before requesting quotes and purchasing a policy. For example, if you have a spouse in the military, you might look for a provider that specializes in coverage types for military members or has discounts that fit your lifestyle. Your insurance needs may change over time, so it can be helpful to review your coverage selections every time you shop or before your policy renews.

There are a handful of companies writing reliable car insurance policies in South Dakota, as we noted above. To find the one that is best for you, first consider your priorities. Is price your primary consideration or are you more interested in award-winning customer service? Do you have special circumstances, such as a high-risk driver in your household? Then look at the companies that excel at your chosen priorities and ask for quotes from several of them to find the one that offers the cheapest coverage for your purposes.

There are several companies offering some of the cheapest auto insurance in South Dakota. However, your premium is based on personal rating factors that are unique to you and your vehicle, including your age, gender and driving record, as well as your car's age, make and model. Because of this you will need to ask for quotes from a range of likely carriers to see who is able to offer you the lowest rate.

Your insurance agent will usually need the contact information, birth date and driver’s license of every licensed driver in your household. They’ll also ask for information about the cars you want to insure. Specifically, they will need the makes, models and vehicle identification (VIN) numbers. You may also be asked about your driving history, including recent tickets and accidents. Then, the agent will ask you about what coverage you’d like to purchase. They may suggest limits or ask you what limits you’d like. Once they have all the details, they’ll quote you a price for coverage.