Average homeowners insurance cost in South Dakota

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The average cost of home insurance in South Dakota is $3,747 per year for a standard policy.

Your premium is shaped by the dwelling coverage limit you select and the level of protection you need. Broader coverage generally means a higher cost. Higher coverage means higher premiums. Allstate stands out for its more affordable rates in the state, offering solid value as you weigh different levels of coverage.

Both avoid asserting anything about financial ratings, claims service, or stability – they stay anchored to price, which is the one thing you know for sure.

Compare quotes from multiple insurers and ask each one what discounts they offer. Premiums can differ significantly from company to company because they weigh things like where your home is located, how old it is, what it’s built from, the shape your roof is in, and your past claims. Pulling several quotes tied to your specific address is the surest way to spot the best value.

Key Takeaways

Our data puts the average homeowners insurance cost in South Dakota at $3,747 per year.
Of all ZIP codes analyzed in South Dakota, 57428 has the lowest average home insurance rates at around $3,013 annually.
On the insurer side, Allstate offers the most affordable average premiums in South Dakota, coming in at $2,644 per year.

What is the average cost of homeowners insurance in South Dakota?

Homeowners in South Dakota pay an average of $3,747 per year for a policy with $300,000 in dwelling coverage, $100,000 in liability protection, and a $1,000 deductible.

How much is home insurance in South Dakota? Cost by coverage level

Homeowners insurance in South Dakota costs $3,747 per year on average, based on a policy with $300,000 in dwelling coverage, $100,000 in liability, and a $1,000 deductible.

However, if you increase the dwelling coverage limit from $300,000 to $400,000, you will pay $4,663 per year for homeowners insurance in South Dakota for $100,000 in liability protection and a $1,000 deductible.

The table below shows average homeowners insurance costs in South Dakota for dwelling coverage from $200,000 to $1 million.

Coverage	Average annual rate	Average monthly rate
$200,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$2,816	$235
$200,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$2,831	$236
$300,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$3,747	$312
$300,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$3,760	$313
$400,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$4,663	$389
$400,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$4,682	$390
$600,000 with $1,000 Deductible and $200,000 Liability and None Hurricane	$6,435	$536
$600,000 with $1,000 Deductible and $300,000 Liability and None Hurricane	$6,462	$539
$1,000,000 with $2,500 Deductible and $200,000 Liability and None Hurricane	$8,799	$733
$1,000,000 with $2,500 Deductible and $300,000 Liability and None Hurricane	$8,829	$736

Average home insurance cost in South Dakota by insurer

Allstate offers the most affordable homeowners insurance in South Dakota, at an average annual premium of $2,644, followed by North Star Mutual and Farmers Mutual of Nebraska.

You can save hundreds – if not thousands – of dollars each year by shopping around.

Below are the average annual and monthly insurance rates for South Dakota homeowners for a policy with $300,000 dwelling coverage and $100,000 liability protection with a $1,000 deductible.

Company	Average annual rate	Average monthly rate
Allstate	$2,644	$220
North Star Mutual	$2,821	$235
Farmers Mutual of Nebraska	$2,930	$244
State Farm	$2,940	$245
American Family	$3,530	$294
Farmers	$3,811	$318
Auto-Owners	$4,134	$345
Nationwide	$4,644	$387
Iowa Farm Bureau	$6,276	$523
USAA*	$3,762	$314

*USAA is only available to military community members and their families.

How to lower your home insurance rate

Shop around. A single quote won’t tell you much. Comparing rates from three or four different insurers in South Dakota is the surest way to find a competitive price.
Bundle your policies. Pairing home and auto insurance, or renters and auto, with the same provider is a straightforward way to qualify for multi-policy discounts.
Ask about smart home discounts. Home security systems, smoke detectors, and leak detection devices are upgrades that many insurers reward with lower premiums.
Check for other savings. It’s worth asking your insurer about loyalty discounts, claims-free incentives, and credits for improvements like fire-resistant roofing materials.

How does your ZIP code affect home insurance rates in South Dakota?

Your ZIP code is one of the biggest factors in your home insurance rate, because it tells the insurer how much risk comes with your location. Areas with higher crime rates, frequent natural disasters, or high rebuilding costs are treated as higher-risk-and that pushes premiums up.

Below are the most affordable and most expensive ZIP codes for home insurance in South Dakota

Most affordable ZIP codes for home insurance rates in South Dakota

The most affordable rates are in 57428, where homeowners pay $3,013 per year on average.

Not every area in South Dakota has the same home insurance cost. How much you pay for homeowners insurance in South Dakota depends on many factors, including your ZIP code.

Below you can find homeowners insurance rates for some of the most affordable ZIP codes in South Dakota.

ZIP code	Average annual rate	Average monthly rate
57428	$3,013	$251
57471	$3,023	$252
57448	$3,026	$252
57437	$3,028	$252
57632	$3,031	$253
57451	$3,034	$253
57466	$3,040	$253
57438	$3,042	$254
57472	$3,054	$255
57646	$3,059	$255

Most expensive ZIP codes for home insurance in South Dakota

At the other end of the spectrum, 57722 has the highest average rates in South Dakota at $4,869 per year.

Higher premiums in certain ZIP codes typically reflect greater exposure to crime, natural disasters, and elevated living and rebuilding costs.

Below are some of the most expensive ZIP codes for home insurance in South Dakota.

ZIP code	Average annual rate	Average monthly rate
57722	$4,869	$406
57773	$4,858	$405
57744	$4,857	$405
57747	$4,850	$404
57730	$4,837	$403
57782	$4,780	$398
57763	$4,777	$398
57716	$4,769	$397
57794	$4,764	$397
57725	$4,738	$395

Home insurance rates vary from one city to another. But with Insure.com, finding the right home insurance policy is easy. Learn more about homeowners insurance costs for different cities below.

Home insurance rates in South Dakota by city

See rates in your city

Aberdeen

Sioux Falls

How have home insurance rates changed in South Dakota?

Home insurance rates in South Dakota increase by 23% from 2023 to 2025. This reflects broader trends in the state’s insurance market over the past few years.

The below data shows how much homeowners insurance rates have changed since 2022.

2022 rates	2023 rates	2025 rates
$3,167	$3,038	$3,747

What are the best homeowners insurance companies in South Dakota?

Based on our data, North Star Mutual stands out as a top choice in South Dakota. It earns an AM Best rating of A+ and one of the lowest NAIC complaint scores in the state-a combination that points to both financial stability and customer satisfaction.

To identify the most reliable insurers, we weighed two key metrics:

AM Best Rating, which evaluates a company’s financial strength and its ability to pay out claims.
NAIC Complaint Score, which reflects how many complaints a company receives relative to its size, so a lower score signals fewer problems.

Together, these metrics help you determine an insurer’s financial stability and customer satisfaction. The table below breaks down the best companies in South Dakota by average annual premium, financial rating, and complaint history.

Company	Average annual premium	Am Best Rating	NAIC Complaint Index	Overall score
North Star Mutual	$2,821	A+	0.18	4.56
Allstate	$2,644	A+	1.26	4.53
State Farm	$2,940	A+	1.15	4.5
Farmers Mutual of Nebraska	$2,930	A	0.29	4.44
Auto-Owners	$4,134	A+	0.39	4.37
American Family	$3,530	A	1.07	4.32
Farmers	$3,811	A	0.89	4.29
Nationwide	$4,644	A	1.34	4.16
Iowa Farm Bureau	$6,276	A	0.48	3.98
USAA*	$3,762	A++	0.46	4.52

*USAA is only available to military community members and their families.

How to understand insurer ratings and complaint data

When choosing an insurer, you want to know if the company can pay your claim, and if customers are satisfied with it. Rating agencies track this data so you can make an informed decision at renewal.

Here are the two ratings that we have referred to:

AM Best: A global agency that rates insurers based on their financial strength and ability to pay claims. A higher score means the company is more financially stable.
NAIC Complaint Index: The National Association of Insurance Commissioners tracks consumer complaints. A score below 1.00 means fewer complaints than expected for a company of that size, while a score above 1.00 means more complaints than expected.

What factors affect your home insurance rate?

Home insurance rates come down to how much risk you represent to the insurer. The main factors they weigh:

Where you live. Local crime, weather risk, and how often neighbors file claims.
Your claims history. Past claims usually raise your rate.
Your credit-based insurance score. Weaker credit can mean a higher premium (restricted in some states, like California and Massachusetts).
Your coverage limits and deductible. More coverage or a lower deductible costs more.

Rates have also been climbing across the board. Home insurance premiums for owner-occupied homes rose more than 11% nationwide in 2023, according to S&P Global Market Intelligence’s RateWatch application.

Resources and Methodology

Sources:

S&P Global. “US homeowners insurance rates jump by double digits in 2023.” Accessed August 2026.

Methodology

Insure.com worked with Quadrant Information Services to compile homeowners insurance data, analyzing 37,973,840 quotes from 75 company groups (134 companies) across 34,595 ZIP codes in all 51 states.

Rates are based on a sample homeowner profile with good credit and the following coverage:

$300,000 dwelling coverage
$100,000 liability protection
$1,000 deductible

The national average annual premium (non-hurricane deductible) is $2,543.

Company rankings factor in:

AM Best rating: 30%
NAIC score: 35%
Annual premium: 35%

All quoted rates are for comparison purposes and individual premiums may vary.

Alisha Ambre

Alisha Ambre holds a Bachelor of Arts with honours in English Literature and Media Studies. She focuses on crafting clear, engaging content that makes complex information feel practical and approachable for everyday readers. When she’s not writing, she’s likely on the volleyball court or immersed in a good video game.