The average cost of homeowners insurance in South Dakota is about $2,426 per year for a policy with $300,000 in dwelling coverage, according to our latest home insurance pricing analysis.
South Dakota experiences inclement weather in all four seasons, including tornadoes, winter storms, and wildfires, not to mention the state's heavy rainfall and flash flooding. To ensure your home is adequately protected, South Dakota residents should ensure they have the right homeowners insurance policy from a reputable insurer.
Compare the best homeowners insurance companies in South Dakota
According to our analysis, Auto-Owners Insurance, State Farm, Farmers, Nationwide, and American Family are the best homeowners insurance companies in South Dakota.
Policygenius analyzed thousands of quotes across the state to find the average cost of homeowners insurance from each company. We then looked at J.D. Power customer satisfaction scores, complaint data, and coverage offerings to find the best homeowners insurance in South Dakota.
Company | Average monthly cost | Policygenius rating | |
|---|---|---|---|
$245 | 5.0 out of 5 | ||
$271 | 4.8 out of 5 | ||
$150 | 4.5 out of 5 | ||
$233 | 4.5 out of 5 | ||
$349 | 4.5 out of 5 |
Methodology & why you can trust our rates
Policygenius has analyzed home insurance rates provided by Quadrant Information Services in March 2022 for ZIP codes in all 50 states plus Washington, D.C., for a 40-year-old female homeowner with no claim history, good credit, a $1,000 deductible, and the following coverage limits:
Dwelling: $300,000
Other structures: $30,000
Personal property: $150,000
Loss of use: $60,000
Liability: $300,000
Medical: $1,000
All rates based on the above coverage limits except where otherwise noted.
Some carriers may be represented by affiliates or subsidiaries. Rates provided are a sample of costs. Your actual quotes may differ.
2025 Policygenius award winner
Auto-Owners Insurance
5.0
Bundle home & auto
Offers extended replacement cost
Offers flood insurance
Why we chose it
Auto-Owners Insurance is the best homeowners insurance company in South Dakota thanks to its extensive policy and coverage options, its high marks for financial strength, and its customer experience ratings.
Pros and cons
Pros
Offers a slew of extra coverage add-ons
Offers lots of discounts
Flood insurance through the NFIP
Cons
Not able to get quotes or file claims online
Rates are more expensive than average in South Dakota
More details
Why we chose Auto-Owners Insurance
Auto-Owners Insurance is one of the best home insurance companies in South Dakota, especially if you want to add more protection to a basic policy. Auto-Owners offers endorsements like guaranteed replacement cost coverage, water backup protection, inland flood coverage, and more.
In South Dakota, Auto-Owners' rates are more expensive than average, but the company offers more than a dozen discounts, including many that are easy to qualify for, like signing up for automatic payments and paperless billing.
How much does Auto-Owners home insurance cost in South Dakota?
The average cost of Auto-Owners home insurance in South Dakota is $2,941 per year, which is 21% more expensive than the statewide average.
How to get quotes
To get a homeowners insurance quote, you’ll have to call a local Auto-Owners Insurance agent.
2025 Policygenius award winner
State Farm
4.8
Bundle home & auto
Offers extended replacement cost
Offers flood insurance
Offers earthquake insurance
Wind/hail deductible
Offers wildfire insurance
Why we chose it
State Farm is one of the best home insurance companies in South Dakota thanks to its large selection of policy options, high customer service marks, and industry-best financial stability ratings.
Pros and cons
Pros
Top-tier coverage add-ons, including extended replacement cost coverage
High customer satisfaction and financial strength ratings
Big discount for bundling home and auto coverage
Cons
No discounts for first-time homebuyers
Rates are more expensive than average in South Dakota
More details
Why we chose State Farm
State Farm is one of our picks for the best home insurance in South Dakota, especially if you want to add protection to a basic policy. With State Farm homeowners can get extended replacement cost coverage for their homes, replacement cost coverage for their personal property, water backup protection, and more.
State Farm's customer service is highly rated, too. The company has received high ratings from policyholders, according to J.D. Power’s 2022 customer satisfaction, claims, and digital experience surveys. It has also received the highest rating possible from A.M. Best for financial strength and stability.
How do State Farm home insurance rates compare to the South Dakota average?
The average cost of home insurance from State Farm in South Dakota is $3,246 per year, which is 34% more expensive as than the statewide average.
How to get a quote
Online through State Farm or by contacting your local State Farm agent.
2025 Policygenius award winner
Farmers
4.5
Offers extended replacement cost
Bundle home & auto
Smart home discounts
Why we chose it
Farmers is one of the best home insurance companies in South Dakota for those who want to add coverage to their policies. Farmers also has a range of discounts and high claims satisfaction scores.
Pros and cons
Pros
Optional extended or guaranteed replacement cost dwelling coverage
Receives few complaints from policyholders and has a high claims satisfaction score
Cheaper than average rates
Cons
Below-average scores on J.D. Power’s overall customer satisfaction and digital experience surveys
More details
Why we chose Farmers
Farmers is one of the best home insurance companies in South Dakota, especially if you want to add coverage to a basic policy. Optional coverages from Farmers include guaranteed or extended replacement cost coverage, water backup protection, and a personal articles floater.
Farmers also earned a high score in J.D. Power’s 2022 claims satisfaction study (though it scored below average on J.D. Power’s overall customer satisfaction and digital experience surveys). Plus, Farmers receives fewer complaints than average, according to the National Association of Insurance Commissioners.
How do Farmers home insurance rates compare to the average in South Dakota?
The average cost of Farmers home insurance in South Dakota is $1,804 per year, which is 26% cheaper than the state's average annual premium.
How to get a quote
Online through Farmers
2025 Policygenius award winner
Nationwide
4.5
Bundle home & auto
Mobile app
New homebuyer discount
Offers extended replacement cost
Why we chose it
Nationwide is one of the best homeowners insurance companies in South Dakota for people who want complete coverage. You can strengthen a basic Nationwide policy with the company's range of coverage add-ons.
Pros and cons
Pros
Multiple high-quality coverage options
Highly rated for claims satisfaction with J.D. Power
Cons
Rates are higher than average
Below-average customer satisfaction and digital experience ratings
More details
Why we chose Nationwide
Nationwide is the best homeowners insurance company for those who can take advantage of its large selection of coverage options. These include guaranteed and extended replacement cost coverage, better roof replacement, new belongings coverage, water backup protection, and equipment breakdown coverage.
Nationwide has also received high ratings from J.D. Power for claims satisfaction, and it ranks fifth on J.D. Power's Property Claims Satisfaction Study from 2022. The company also receives far fewer complaints than other insurers, according to the National Association of Insurance Commissioners.
Although we found that Nationwide's rates are more expensive than average in South Dakota, you might be able to lower your premiums with the company's discounts. These include discounts for bundling, renovating your home, buying a new home, and others.
How do Nationwide home insurance rates compare to the South Dakota average?
The average cost of Nationwide home insurance in South Dakota is $2,795 per year, which is 15% more expensive than the South Dakota average of $2,426 per year.
How to get a quote
Online through Policygenius or Nationwide
2025 Policygenius award winner
American Family
4.5
Offers extended replacement cost
Offers flood insurance
Bundle home & auto
Why we chose it
American Family is one of the best home insurance companies in South Dakota, especially for people who want to add coverage to a basic policy. AmFam also has high customer service ratings and several discounts.
Pros and cons
Pros
Several one-of-its-kind coverage endorsements and policy perks
High customer satisfaction and digital shopping satisfaction scores with J.D. Power
Cons
Requires you to work with an agent to purchase a policy
Rates are more expensive than average in South Dakota
More details
Why we chose American Family
American Family is one of the top home insurance companies in South Dakota. You can customize your American Family policy with up to 15 additional coverage options — including inland flood, equipment breakdown, and service line coverage.
American Family is more expensive than average in South Dakota, but with AmFam's many discounts (including paying your premiums all at once, opting for paperless billing, and signing up for automatic payments) your premiums could be cheaper.
How do American Family home insurance rates compare to the South Dakota average?
The average annual cost of American Family home insurance in South Dakota is $4,187 per year, which is 73% more expensive than the statewide average.
How to get a quote
Online with American Family or by contacting a local agent
How much is homeowners insurance in South Dakota?
The average cost of homeowners insurance in South Dakota is $2,426 per year, or $202 a month, for a home insurance policy with $300,000 in dwelling coverage. This means insurance in South Dakota is around $700 more per year than the national average.
South Dakota homeowners insurance rates by city
Home insurance costs in South Dakota can vary considerably from city to city. Cities with a high risk of extreme weather or property crime will typically have the most expensive rates on average.
Here’s a look at the average annual cost of home insurance in the 20 largest cities in South Dakota.
City | Average monthly cost | Average annual cost | Difference from state average (%) |
|---|---|---|---|
Sioux Falls | $24 | $287 | -8% |
Rapid City | $25 | $303 | -3% |
Aberdeen | $23 | $278 | -11% |
Brookings | $25 | $305 | -2% |
Watertown | $27 | $325 | 5% |
Mitchell | $24 | $292 | -6% |
Yankton | $24 | $284 | -9% |
Huron | $25 | $301 | -3% |
Pierre | $24 | $283 | -9% |
Spearfish | $27 | $326 | 5% |
Vermillion | $24 | $286 | -8% |
Brandon | $24 | $290 | -7% |
Harrisburg | $24 | $286 | -8% |
Sturgis | $27 | $325 | 5% |
Tea | $24 | $292 | -6% |
Madison | $27 | $319 | 3% |
Belle Fourche | $27 | $323 | 4% |
Dell Rapids | $25 | $294 | -5% |
Hot Springs | $26 | $311 | 0% |
Milbank | $25 | $305 | -2% |
South Dakota homeowners insurance rates by coverage amount
The table below highlights the average annual premium in South Dakota for five different levels of dwelling coverage, which is the part of your policy that covers structural damage to your home.
Generally speaking, more dwelling coverage means higher homeowners insurance rates, as shown in the table below.
Dwelling coverage limit | Average yearly cost |
|---|---|
$100,000 | $1,243 |
$200,000 | $1,846 |
$300,000 | $2,426 |
$400,000 | $3,070 |
$500,000 | $3,697 |
Cheapest homeowners insurance companies in South Dakota
After analyzing home insurance rates in all of the state's ZIP codes, we found that the cheapest home insurance companies in South Dakota are North Star Mutual, Farmers, State Auto, Allstate, and USAA.
Company | Average annual cost |
|---|---|
North Star Mutual Insurance | $1,752 |
$1,804 | |
$2,028 | |
$2,093 | |
$2,293 | |
Farmers Mutual of Nebraska | $2,562 |
$2,669 | |
$2,795 | |
$2,941 | |
State Farm | $3,246 |
$4,187 |
Cheapest South Dakota homeowners insurance if you have poor credit
Poor credit can be bad news when it comes to home insurance rates. Insurance companies consider a bad credit score to be an indicator of risky behavior and an increased risk of filing an insurance claim.
With an average rate of $1,179 per year, State Auto has the cheapest home insurance rates in South Dakota for a homeowner with poor credit.
Company | Average annual cost |
|---|---|
State Auto | $1,179 |
North Star Mutual Insurance | $2,494 |
Farmers Mutual of Nebraska | $2,694 |
Allstate | $3,199 |
USAA | $3,269 |
Farmers | $3,302 |
Nationwide | $3,673 |
Farm Bureau Insurance | $3,710 |
Auto-Owners Insurance | $4,227 |
State Farm | $5,567 |
American Family | $5,633 |
Cheapest South Dakota homeowners insurance if you have an older home
It can cost a lot to insure older homes. That's because they're more prone to structural damage than new homes. Older homes are also often constructed out of materials and with features that would be expensive to replace if they were damaged.
With an average annual premium of $1,681, Farmers offers the cheapest home insurance rates in South Dakota for an older home.
Company | Average annual cost |
|---|---|
Farmers | $1,681 |
North Star Mutual Insurance | $1,752 |
State Auto | $2,057 |
Allstate | $2,116 |
USAA | $2,200 |
Farm Bureau Insurance | $2,526 |
Farmers Mutual of Nebraska | $2,562 |
Nationwide | $2,626 |
Auto-Owners Insurance | $2,958 |
State Farm | $3,246 |
American Family | $4,234 |
Cheapest South Dakota homeowners insurance if you have a history of claims
If you have multiple claims on your record, you'll typically pay more for home insurance, as insurers will consider you more likely to file future claims than a homeowner with a spotless claims history.
With an average annual premium of $1,752, North Star Mutual offers the cheapest home insurance rates in South Dakota if you've filed three claims within a five-year period.
Company | Average annual cost |
|---|---|
North Star Mutual Insurance | $1,752 |
Farmers | $2,103 |
Farmers Mutual of Nebraska | $2,562 |
State Auto | $2,904 |
Auto-Owners Insurance | $3,174 |
USAA | $3,429 |
Farm Bureau Insurance | $3,564 |
State Farm | $3,706 |
Nationwide | $4,336 |
Allstate | $5,085 |
American Family | $6,132 |
How to buy homeowners insurance in South Dakota
South Dakota residents shopping for insurance should ensure they have adequate homeowners insurance to protect their homes and lifestyles if disaster strikes.
Frequently asked questions
What is the average home insurance cost in South Dakota?
The average home insurance rate in South Dakota is $202 a month or $2,426 per year. That’s about $700 more per year than the national average.
Do I have to have home insurance on my house in South Dakota?
You're not legally required to have home insurance, but we highly recommend it to any South Dakota homeowner. Additionally, most mortgage lenders require you to carry home insurance before extending you a loan, so you'll likely need to purchase it anyway.
How do I lower my home insurance rates in South Dakota?
One of the easiest ways to lower your home insurance rates is by comparing quotes from multiple companies with Policygenius. Once you’ve reviewed your quotes, a Policygenius agent can help you select a policy that works for your coverage and budget needs and help you sort out any additional details, like deductibles and potential discounts you may be eligible for.
