Average homeowners insurance cost in South Dakota

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Homeowners in South Dakota pay an average of $3,374 per year for a standard home insurance policy.

The coverage limit you choose for your dwelling has a major impact on your premium. More protection generally means a higher cost. Higher coverage means higher premiums. Auto-Owners offers some of the lowest rates in the state, making it a good starting point when comparing your options.

Don’t settle for the first quote – reach out to several insurers and dig into available discounts. Since rates hinge on details like your location, the age and construction of your home, your roof’s condition, and your claims history, the prices you’re offered can swing a lot. Getting address-specific quotes from a handful of companies puts you in the best position to land a great rate.

Key Takeaways

Our data puts the average homeowners insurance cost in South Dakota at $3,374 per year.
Of all ZIP codes analyzed in South Dakota, 57005 has the lowest average home insurance rates at around $3,058 annually.
On the insurer side, Auto-Owners offers the most affordable average premiums in South Dakota, coming in at $2,248 per year.

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

The average homeowners insurance premium in South Dakota is $3,374 annually 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 $3,374 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 $4,259 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 $100,000 Liability and None Deductible	$2,593	$216
$200,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$2,607	$217
$300,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$3,374	$281
$300,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$3,390	$283
$400,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$4,259	$355
$400,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$4,275	$356
$600,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$6,229	$519
$600,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$6,247	$521
$1,000,000 with $1,000 Deductible and $100,000 Liability and None Deductible	$9,570	$797
$1,000,000 with $1,000 Deductible and $300,000 Liability and None Deductible	$9,592	$799

Average home insurance cost in South Dakota by insurer

Auto-Owners has the lowest average homeowners insurance premiums in South Dakota at $2,248 per year. North Star Mutual and Allstate also offer competitive rates worth comparing.

Taking the time to shop around can save you a significant amount each year.

The table below shows average annual and monthly rates from insurers in South Dakota, based on $300,000 in dwelling coverage, $100,000 in liability protection, and a $1,000 deductible.

Company	Average annual rate	Average monthly rate
Auto-Owners	$2,248	$187
North Star Mutual	$2,420	$202
Allstate	$2,643	$220
Iowa Farm Bureau	$2,878	$240
Farmers Mutual of Nebraska	$3,001	$250
State Farm	$3,023	$252
Nationwide	$3,097	$258
American Family	$3,455	$288
Farmers	$5,214	$434
USAA*	$3,662	$305

*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 shapes your home insurance rate by showing insurers the risk tied to your location. Higher crime, greater exposure to natural disasters, and steeper rebuilding costs all push an area into higher-risk territory-and premiums rise accordingly.

Below, see the most and least expensive ZIP codes for home insurance in South Dakota.

Most affordable ZIP codes for home insurance in South Dakota

57005 has the lowest average home insurance rates in South Dakota, with homeowners paying around $3,058 per year.

Home insurance rates aren’t uniform across South Dakota. Your ZIP code, in particular, is one of the biggest reasons prices differ from one area to the next.

Below are average rates for some of the most affordable ZIP codes in South Dakota.

ZIP code	Average annual rate	Average monthly rate
57005	$3,058	$255
57255	$3,074	$256
57260	$3,078	$256
57266	$3,085	$257
57257	$3,090	$257
57256	$3,092	$258
57441	$3,097	$258
57269	$3,098	$258
57265	$3,101	$258
57279	$3,103	$259

Most expensive ZIP codes for home insurance rates in South Dakota

57751 has the highest rates in South Dakota at an average of $4,361 per year.

Home insurance costs more in certain ZIP codes due to higher crime rates, natural disaster risk, and living costs.

Below, we’ve highlighted some of the most expensive ZIP codes in South Dakota for home insurance:

ZIP code	Average annual rate	Average monthly rate
57751	$4,361	$363
57738	$4,332	$361
57744	$4,325	$360
57722	$4,316	$360
57747	$4,314	$360
57730	$4,292	$358
57794	$4,286	$357
57763	$4,271	$356
57782	$4,270	$356
57773	$4,266	$356

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

What are the best homeowners insurance companies in South Dakota?

Based on our data, Auto-Owners stands out as the top choice in South Dakota. It earns an AM Best rating of A++ and holds one of the lowest NAIC complaint scores statewide-a strong sign of both reliability and customer satisfaction.

To pinpoint the most trustworthy insurers, we measured each company against two benchmarks:

AM Best Ratings gauge a company’s financial strength and its ability to pay claims when you need it most.
NAIC Complaint Scores compare how often a company is the subject of complaints relative to its size, with lower scores pointing to fewer problems.

Looked at together, these benchmarks give a dependable picture of an insurer’s financial footing and the experience you can expect as a customer. The table below ranks the leading companies in South Dakota by annual premium, financial rating, and complaint history.

Company	Average annual premium	AM Best rating	NAIC Complaint Index	Overall score
Auto-Owners	$2,248	A++	0.33	5
Farmers Mutual of Nebraska	$3,001	A	0.13	4.78
North Star Mutual	$2,420	A+	0.72	4.29
American Family	$3,455	A	0.37	4.16
Allstate	$2,643	A+	0.9	3.82
Nationwide	$3,097	A+	0.87	3.63
State Farm	$3,023	A++	0.95	3.62
Farmers	$4,767	A	0.54	3.21

How to understand insurer ratings and complaint data

A good insurer answers two questions well: Can it pay your claim, and does it keep its customers happy? Independent rating agencies measure both, giving you an evidence-based way to compare your options.

The two ratings referenced here:

AM Best, which assesses an insurer’s financial strength and capacity to pay claims. Higher ratings indicate greater financial stability.
NAIC Complaint Index, compiled by the National Association of Insurance Commissioners from consumer complaint data. The baseline is 1.00 – a lower score means fewer complaints than expected for the insurer’s size, and a higher score means more.

What factors affect your home insurance rate?

Home insurance is priced according to the risk an insurer associates with your property and personal profile. The factors that carry the most weight include:

Where you live. Crime levels, weather-related risks, and local claims activity all factor into your rate.
Your claims history. Having filed claims in the past generally leads to a higher premium going forward.
Your credit-based insurance score. Most states allow insurers to use credit as a pricing factor. A lower score can result in a higher rate, though states such as California and Massachusetts have restrictions on this practice.
Your coverage limits and deductible. Choosing higher coverage or a lower deductible will increase your annual cost.

Home insurance costs have also been rising nationally. S&P Global Market Intelligence’s RateWatch application found that premiums for owner-occupied homes increased by more than 11% in 2023.

Resources and methodology

Source

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

Methodology

Insure.com partnered with Quadrant Information Services to gather homeowners insurance data, drawing from 20,739,560 quotes across 82 national and regional insurers and 34,588 ZIP codes.

Sample rates are based on a homeowner profile with good credit and the following coverage levels:

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

The best companies list was determined using average annual cost, NAIC complaint score, and AM Best rating. All rates are intended for comparison and individual results will 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.