Best South Dakota Homeowners Insurance Quotes (2024)

Farmers offers some of the cheapest homeowners insurance policies in South Dakota, with annual premiums averaging $1,822.

Amy Beardsley
Written byAmy Beardsley
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Amy BeardsleyInsurance Writer
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  • 7+ years in personal finance and technology

Amy specializes in insurance and technology writing and has a talent for transforming complex topics into easy-to-understand stories.

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Sara Getman
Edited bySara Getman
Sara Getman
Sara GetmanAssociate Editor

Sara Getman is an Associate Editor at Insurify and has been with the company since 2022. Prior to joining Insurify, Sara completed her undergraduate degree in English Literature at Simmons University in Boston. At Simmons, she was the Editor-in-Chief for Sidelines Magazine (a literary and art publication), and wrote creative non-fiction.

Outside of work, Sara is an avid reader, and loves rock climbing, yoga and crocheting.

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Data reviewed byAndrew Huang
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Andrew HuangVP, Marketing & Analytics
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Andrew applies his vast knowledge of analytics and insurance industry trends to help inform Insurify’s content and marketing efforts.

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Updated December 6, 2024

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Homeowners insurance in South Dakota averages $2,562 annually for a policy with a $1,000 deductible and $300,000 in dwelling coverage. Some of the cheapest home insurance companies in the state are Farmers, Austin Mutual, Auto-Owners, and Allstate.

Rates in South Dakota are slightly above the national average of $2,080, partly due to the state’s flooding and wildfire risk. South Dakota averages 62 floods per year, and the Black Hills National Forest area sees about 100 wildfires per year. While homeowners insurance covers wildfires, it doesn’t protect against floods. You’ll want to buy flood insurance separately or add it as an endorsement.

Comparing companies, coverages, and discounts is the best way to find an affordable homeowners insurance rate in South Dakota. Keep reading to learn how to secure the best coverage for your situation.

Quick Facts
  • Homeowners insurance costs in South Dakota are rising faster than the national average.[1]

  • Your homeowners policy should cover at least 80% of your home’s replacement cost.[2]

  • Home insurance covers hail and wildfire damage but not flood damage.

Best home insurance companies in South Dakota

Some of the best homeowners insurance companies are in South Dakota, but the best one really depends on what you're looking for. One size doesn’t fit all, so it’s important to examine the different levels of coverage options and pick the company that fits your situation the best.

Insurance Company
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
Average Annual Premium
Best For
Farmers8.4$1,822Cheapest rates
Auto-Owners7.4$2,039Discounts
Nationwide8.4$2,339Local agents
Allstate8.2$2,259High-risk homes
  • Our editorial team spent more than 350 hours developing the Insurify Quality (IQ) Score and scoring insurance companies. The IQ Score objectively analyzes and calculates a score for insurers using more than 15 crucial criteria. The team weighted criteria by importance to the consumer — factors such as customer reviews and affordability influence the score more than availability and third-party ratings.

    We rate each company on a 1 to 10 scale based on five categories: financial ratings, customer satisfaction, affordability, customer support and transparency, and availability. Insurify updates ratings once a year or as more recent information becomes available.

    • Third-party financial ratings: Insurify uses data from AM Best, S&P, Moody’s, and more to compare insurance companies’ credit and ability to pay out future claims.
    • Customer satisfaction: To calculate this score, Insurify analyzed more than 55,000 customer reviews across 155 car insurance companies. We also consider third-party ratings from J.D. Power, the National Association of Insurance Commissioners, and Trustpilot.
    • Affordability: Our data scientists analyzed more than 90 million real-time auto insurance rates from our partners across the U.S., as well as available discounts, to calculate an affordability score.
    • Customer support and transparency: This measures coverage options, ease of claims filing, and the insurer's transparency surrounding discounts, coverages, and claims process.
    • Availability and reach: Insurify scores availability and reach by identifying the number of states in which insurers offer coverage and company size by market share.

Cheapest rates: Farmers

Compare personalized, real-time quotes
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
8.3/10
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
828
$300,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $300,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$148/mo
$500,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $500,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$221/mo

Farmers has the cheapest rates in South Dakota. With Farmers, you can lower premiums even more with discounts for safety features, like smoke alarms, fire sprinklers, and home security systems. Plus, its Declining Deductible program takes $50 off your deductible each year you have a Farmers homeowners policy. Flexible payment options let you pay your premium in full, in two installments, or each month.

Pros
  • AM Best financial strength rating of A (Excellent)

  • Fewer complaints than average, according to the National Association of Insurance Commissioners (NAIC)

  • Easy-to-use mobile app

Cons
  • Below-average J.D. Power customer satisfaction rating

  • Mixed reviews on platforms like Trustpilot, Better Business Bureau (BBB), and Clearsurance

  • Not many local offices in South Dakota for in-person support

Best insurer for discounts: Auto-Owners

Compare personalized, real-time quotes
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
8.5/10
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
821
$300,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $300,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$126/mo
$500,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $500,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$195/mo

Auto-Owners is South Dakota’s top option for discounts. It offers a wide range of discounts, from having smoke detectors and deadbolt locks to going paperless and paying your bill online. Bundling your home and auto insurance with Auto-Owners can also lead to big savings.

You won’t have to sacrifice service, either: Auto-Owners scored above average in customer satisfaction in J.D. Power’s 2023 U.S. Home Insurance Study.

Pros
  • AM Best financial strength rating of A++ (Superior)

  • Many customizable coverage options

  • Settle your claims fast with electronic payment options

Cons
  • Some customers report problems with mobile app

  • Limited online features for managing your home insurance policy

  • Quotes not available online

Best insurer for local agent support: Nationwide

Compare personalized, real-time quotes
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
8.7/10
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
800
$300,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $300,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$230/mo
$500,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $500,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$349/mo

Nationwide shines in South Dakota for its local agent support, with insurance agents in 60 cities across the state. You can start a quote online, then follow up with in-person service to get the right type of homeowners insurance for your situation.

Taking a closer look, you’ll find that Nationwide has fewer customer complaints compared to other insurers, according to its lower-than-average NAIC complaint ratio. J.D. Power also ranks Nationwide highly for handling claims.

Pros
  • Savings of up to 20% when you bundle home and auto policies

  • AM Best financial strength rating of A (Excellent)

  • Basic coverage includes rebuilding your home to current building codes after damage

Cons
  • Identity theft coverage not part of basic insurance policy

  • Not the lowest rate for home insurance in South Dakota

  • Extended or guaranteed replacement cost coverage not available

Best insurer for high-risk homes: Allstate

Compare personalized, real-time quotes
IQ Score
The Insurify Quality (IQ) Score uses more than 15 criteria to objectively rate insurance companies on a one-to-ten scale. The Insurify editorial team researches insurer data to determine the final scores.
8.9/10
JD Power
J.D. Power data measures overall customer satisfaction and claims satisfaction based on a 1,000-point scale.
816
$300,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $300,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$205/mo
$500,000 Dwelling
A standard HO-3 home insurance policy typically includes dwelling, personal property, and liability coverage. The average rate displayed here reflects a policy with the following coverage limits: $500,000 dwelling; $25,000 personal property; $300,000 personal liability; $30,000 loss of use; and a $1,000 deductible for medical payments to others.
$307/mo

Allstate stands out for insuring high-risk homes in South Dakota. You can purchase separate flood insurance, which is crucial since 62,600 properties in the state face substantial flood risks, according to the First National Flood Risk Assessment by First Street Foundation.

Allstate also allows you to add home insurance coverage options, like yard and garden insurance and coverage to replace items with energy-efficient alternatives, adding extra layers of protection for high-risk property owners.

Pros
  • Plenty of available discounts

  • Offers insurance for manufactured and mobile homes

  • Mobile app scores highly from iOS and Android users

Cons
  • Agents are only available in three cities across South Dakota

  • Below-average J.D. Power customer satisfaction rating

  • Not as many extra coverage options to customize your protection

Cheapest home insurance in South Dakota

The average rate of homeowners insurance varies, but Farmers Insurance leads the pack for the most affordable coverage in South Dakota.

You’ll find competitive home insurance rates and discount options to further reduce your costs by installing safety features like smoke alarms and fire sprinklers. Plus, sticking with Farmers for the long term opens the door to even more savings through its Declining Deductible program.

Other great options include Austin Mutual, Allstate, and Auto-Owners.

The table below compares the cheapest homeowners insurance rates from top insurers in South Dakota.

Insurance Company
Average Annual Premium
Farmers$1,822
Austin Mutual$1,874
Auto-Owners$2,039
Allstate$2,259
Nationwide$2,339
Foremost$2,577

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Cost of homeowners insurance in South Dakota

The cost of South Dakota homeowners insurance runs an average of $2,562 per year — but that’s just the average. Your price depends on several factors, from the age and type of construction of your home to how close you are to a fire hydrant or fire station. Plus, the more types of homeowners coverage you need, the higher your premium might climb.

Discounts also play a role in your rates. You could pay more if the company you choose doesn’t offer many discounts or if you don’t qualify for the available ones.

Cost of homeowners insurance by dwelling coverage amount

The more it costs to rebuild or repair your home, the higher your dwelling coverage needs to be — and that means higher premiums. Dwelling coverage is what pays to restore your home after losses like fires, hail, lightning, or wind take a toll. Since the insurer may have to cover more if you file an insurance claim, higher coverage levels raise your costs.

Just remember: Rebuilding costs aren’t the same as what you paid for your home. Rebuilds may cost more due to materials and labor prices, especially for older homes.[2]

Here’s how your coverage limit will affect your premium.

Coverage Limit
Average Annual Premium
$100,000$1,202
$200,000$1,838
$300,000$2,562
$400,000$3,174
$500,000$3,827

Cost of homeowners insurance by deductible

Your deductible is the amount you pay out of pocket before your insurance steps in to cover a claim. Choosing a lower deductible means you’ll pay less when something happens, but it usually results in a higher premium. Opting for a higher deductible can get you a lower price on your home insurance bill, but it increases what you owe if you file a claim.

Most insurers suggest a deductible of at least $500, according to the Insurance Information Institute (Triple-I).

Here’s how different deductibles compare.

Deductible Amount
Average Annual Premium
$500$2,618
$1,000$2,562

How to get cheap homeowners insurance in South Dakota

Getting cheap homeowners insurance in South Dakota isn’t impossible — you just need to know where to look and what to ask for. Many companies offer discounts or ways to lower your quote if you meet certain criteria.

Here are a few common ways to reduce your home insurance costs:[3]

  • illustration card https://a.storyblok.com/f/162273/x/f9e1d7766e/saving-bundle.svg

    Bundle home and auto insurance

    One of the easiest ways to save money on your homeowners insurance is by bundling it with your auto policy. You can often find big discounts when you purchase multiple policies from the same company. Combining policies simplifies your insurance management and can cut up to 20% or more off your total bill.

  • illustration card https://a.storyblok.com/f/162273/150x150/0989d9c1e0/protection-and-security-96x96-orange_016-door-lock.svg

    Install home safety features

    Homes with safety features like smoke detectors, fire alarms, deadbolts, or home security systems can qualify for discounts. These upgrades make your home safer and reduce the chance of an expensive claim, which is why insurers are willing to lower your premium. If you have safety features, or plan to add them, ask your insurer about discounts. You could knock a noticeable amount off your quote.

  • illustration card https://a.storyblok.com/f/162273/150x150/aadb4752ff/house-rental-96x96-green_050-budget.svg

    Raise your deductible

    Going with a higher deductible can open the door to lower policy costs. By raising your deductible from $500 to $1,000, you could save up to 25% on your home insurance premiums, according to Triple-I. Just remember you’re responsible for paying the amount if you ever file a claim. Make sure you choose an amount you’re comfortable paying in case of an emergency.

  • illustration card https://a.storyblok.com/f/162273/150x150/8329623678/money-96x96-blue_025-online-money.svg

    Use comparison-shopping sites

    Shop around for home insurance to find the best deal. Use a comparison website to compare quotes from multiple insurers in one place. Since companies weigh things like your home’s age, location, and safety features differently, this can help you lower costs without spending hours calling individual companies.

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How much homeowners insurance do you need in South Dakota?

If you take out a mortgage, your lender will require you to have homeowners insurance. But the coverage your lender requires may not be enough to fully protect you. It’s crucial to understand exactly what your homeowners policy covers. This way, you’ll know whether it’s enough to stand between you and risks like fire, hail, or other common disasters in South Dakota.

At a minimum, your home insurance policy should cover 80% of your home’s replacement cost.[2] You may also want to consider additional coverage for personal belongings, liability, or natural disasters your standard policy doesn’t cover. This ensures you’ll have enough coverage to rebuild after a catastrophe.

What are some of the biggest risks when owning a home in South Dakota? 

Some of the biggest risks when owning a house in South Dakota can lead to costly damage. Here are three perils you need to know about and how standard home insurance handles them.

  • Flooding: South Dakota is prone to flooding, with Rapid City, Sioux Falls, Sturgis, and Watertown having the most properties at risk. Standard homeowners insurance doesn’t cover flood damage. For protection, you must add a flood insurance endorsement to your existing coverage or purchase a separate policy through a private insurer or the National Flood Insurance Program.

  • Hailstorms: A standard homeowners policy protects against hail damage, which can cause damage to your roof, siding, and windows. South Dakota sits in “Hail Alley,” and hail season has grown from 138 days on average in the 1970s to 173 days between 2014 and 2023. Ask your insurer questions about hail coverage to make sure you have enough protection.

  • Wildfires: Homeowners insurance covers wildfire damage, including to your home and personal property. Since wildfires are common in South Dakota, it’s a good idea to take a few precautions. Pre-fire activities — like keeping your yard tidy, clearing out brush around your house, installing a fire-resistant roof, and making sure emergency vehicles have an easy path in and out — can help reduce damage.

South Dakota homeowners insurance FAQs

Homeowners insurance is an important financial decision. If you still have questions, check out these answers below.

  • How much is home insurance in South Dakota?

    Homeowners insurance in South Dakota costs an average of $2,562 per year with $300,000 in dwelling coverage, or about $214 per month. South Dakota homeowners may want to add additional flood coverage if they live in a high-risk flood zone.

  • Which company has the cheapest homeowners insurance in South Dakota?

    Farmers has the cheapest homeowners insurance in South Dakota, averaging $1,822 per year, or $152 per month.

  • Does South Dakota require homeowners insurance?

    No. Homeowners insurance isn’t required in South Dakota, but your mortgage lender will require you to have home insurance to protect its asset.

    But even if you’ve paid off your mortgage, it’s still a good idea to have homeowners insurance. In the event of a covered peril like wind damage or theft, insurance can help you financially. Without insurance, you’re on the hook for any repairs or replacements.

  • Is South Dakota a matching state for home insurance?

    Yes. In 2014, South Dakota became the 10th state to adopt matching into insurance. This means that if your home is damaged, insurers are required to match the original look of the home before the damage, depending on your policy type. This helps to retain the uniform look for a home and its property value.

Sources

  1. Federal Reserve Bank Minneapolis. "Homeowners insurance costs are growing fast but coverage is shrinking."
  2. NAIC. "A Consumer's Guide to Homeowners Insurance."
  3. Insurance Information Institute. "How to save money on your homeowners insurance."
Amy Beardsley
Amy BeardsleyInsurance Writer

Amy is a personal finance and technology writer. With a background in the legal field and a bachelor's degree from Ferris State University, she has a talent for transforming complex topics into content that’s easy to understand. Connect with Amy on LinkedIn.

Amy has been a contributor at Insurify since September 2023.

Sara Getman
Edited bySara GetmanAssociate Editor
Sara Getman
Sara GetmanAssociate Editor

Sara Getman is an Associate Editor at Insurify and has been with the company since 2022. Prior to joining Insurify, Sara completed her undergraduate degree in English Literature at Simmons University in Boston. At Simmons, she was the Editor-in-Chief for Sidelines Magazine (a literary and art publication), and wrote creative non-fiction.

Outside of work, Sara is an avid reader, and loves rock climbing, yoga and crocheting.

Andrew Huang
Data reviewed byAndrew HuangVP, Marketing & Analytics
Headshot of Andrew Huang, Directory of Analytics at Insurify
Andrew HuangVP, Marketing & Analytics
  • Chartered financial analyst

  • 12+ years in data analysis and marketing

Andrew applies his vast knowledge of analytics and insurance industry trends to help inform Insurify’s content and marketing efforts.

Featured in

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