SD — it’s the land of infinite variety! From the mashed potato wrestling contests in Clark to the grandeur of Mount Rushmore in Keystone, it’s safe to say that the state’s tourism slogan is pretty accurate. You can do just about anything your heart desires within South Dakota’s borders, including enjoying its surprising amount of coastline. (The state actually has more shoreline than Florida, thanks to Lake Oahe.)

But no matter what your favorite pastime is in SD, if you own a home in the Mount Rushmore State, you’ll need a policy to protect it. That’s why we created this guide to South Dakota home insurance — to help simplify the process of getting the protection you need so you can get back to what really matters, enjoying your home.

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

Illustration of three houses with green doors and smoke coming out of the chimney of one

Homeowners insurance in South Dakota costs an average of $1,351 per year, the same price you’d pay for over 135 kuchen (German for “cake”), South Dakota’s state dessert. Though you can cross state lines into North Dakota and expect to pay the same for your favorite flavor of kuchen, if you buy home insurance in North Dakota, you’ll end up paying more — $57 more per year, to be exact.

Homeowners insurance in South Dakota costs an average of $1,351 per year, the same price you’d pay for over 135 kuchen, South Dakota’s state dessert.

What factors influence my home insurance rate?

The average home insurance premiums in both the Dakotas run a bit higher than the nationwide average of $1,200 due to the state’s high risk of severe winter storms. But your premium will be different depending on where you live in the state, so even if you move within South Dakota’s borders, don’t be surprised if your home insurance premiums shift a bit. Other factors that influence your premium include your home’s size, its condition and your financial history (aka your credit score and claim history).

South Dakota Home Insurance Premiums

What does South Dakota home insurance cover?

Home insurance in South Dakota covers your home’s structure, its contents and your liability as a homeowner. But when deciding how much insurance you need, it’s essential to take into consideration the severe weather risk for your state in case you need additional coverage by way of insurance riders.

While South Dakota isn’t one of the most dangerous places to live, the state does experience severe weather such as snowstorms, floods and tornadoes. Adding on protection for these events as well as riders like equipment breakdown coverage and scheduled personal property can help give you the protection you need to weather whatever storm comes your way.

South Dakota Insurance Coverage Options

Traditional coverage


Supplemental coverage


Tips for lowering your home insurance premium

Though South Dakota is one of the least populated states in the nation, home insurance providers in the area are still willing to shell out some discounts to their new and existing customers. To take advantage of these discounts, you’ll need to make some upgrades to your home. 

Upgrades like replacing your roof, installing smart home monitoring devices and keeping up with regular home maintenance can all help lower your risk to insure in the eyes of your provider. Other ways to get your premium down include raising your deductible, shopping for a new provider and working to lower your insurance score. 

Your insurance score takes into account your credit score, history of claims, debt, credit payment history, your home’s location and even your age. While you can’t change all of these, you can get your insurance score down by reducing your debt and paying off your credit cards regularly.

South Dakota home insurance resources

South Dakota’s Crazy Horse Memorial has achieved its own level of fame within the state for never being finished, but that’s about the only thing you’ll find in the state that’s half-done. Though South Dakota doesn’t have a FAIR Plan for its homeowners, it does have the South Dakota Division of Insurance. This department helps regulate the insurance industry across the state, protecting homeowners and ensuring everyone gets proper protection.

National Flood Insurance Program

While the Big Sioux River is a beautiful place to enjoy the water, it also causes some big floods every few years. The most recent flooding event took place in 2019, breaking records for flood water levels in the southeastern area of South Dakota. But even if your home is nestled far away from the river, getting flood insurance protection is always a good idea. Getting a policy is as simple as calling your home insurance provider, as they can get your coverage through the National Flood Insurance Program (NFIP).

Whether you moved to South Dakota for the “Great Faces” or the “Great Places” (the state’s slogan), if you own your home, you’ll need home insurance. Learn what friendly service is all about by giving us a call to get more information on our home insurance options.

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